Can I retire at age 40 with 4,000,000?

Use the below retirement simulation to view the chances of a successful retirement.
Confused? Try the simple retirement calculator
About Your Retirement ?
Current Age
Retirement Age
Current Savings $
Annual Deposits $
Annual Withdrawals $
Stock market crash:
Portfolio ?
% in Stocks:
% in Bonds:
% in Cash:
Modify Stock Returns:
0%
Modify Bond Returns:
0%
Modify Cash Returns:
0%
Modify Inflation:
0%
How much money do I need to retire?

This retirement calculator runs simulations based on past data from the S&P 500, 10 Year Treasury Bond, 3 month T-Bill, and US inflation. For each year of each simulation, a random return and inflation amount is chosen.

How to use: Enter your current age and the age when you retire. Then enter your current savings, the amount that you can save annually before you retire, and the amount that you plan to withdraw after retirement. Your annual deposits and withdrawals take inflation into account. For example, if you need $50,000 to live on in retirement using today's dollars, we will automatically take into account the cost of living for your retirement years. The same is true for your annual deposits. Next, decide if you'd like to simulate a stock market crash.

In the portfolio section, choose the makeup of your portfolio with stocks, bonds, and cash. Cash assumes that your money is stored in a savings account. You can then alter the future returns and inflation. For example, if the market has historically returned about 10%, but you think the future will be worse, modify the stock returns by -3%, and the future returns will average out to 7%. Investment fees can also lower stock market returns. Many index funds and ETFs offer extremely low fees and expenses.

Many people receive income in retirement, such as social security, pension plans, part time jobs, annuities, and other benefits. This would allow you to take out smaller distributions every year. Please note that taxes must also be considered, but are not used in this simulation. A 401k, Roth IRA, and Traditional IRA are taxed differently than a standard investment account, as are dividends.

Note: This assumes that the future is at least somewhat like the past. In reality, anything could happen. The Soviet Union collapsed, Japan's Nikkei Index is still well below its 1989 peak. Numerous other markets have changed drastically and never recovered. However, this online tool is helpful in retirement planning and estimating how much you might need for retirement, especially those hoping to retire early. We recommend receiving advice from a financial planner.

Want to retire with $4,000,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.1%
1 years$330,316$327,374$324,503$321,702$318,966$308,508
2 years$163,523$160,477$157,526$154,664$151,888$141,453
3 years$107,932$104,874$101,930$99,095$96,364$86,278
4 years$80,143$77,093$74,179$71,392$68,728$59,068
5 years$63,473$60,442$57,566$54,836$52,246$43,038
6 years$52,364$49,356$46,522$43,853$41,340$32,592
7 years$44,431$41,449$38,660$36,054$33,621$25,331
8 years$38,485$35,529$32,787$30,245$27,892$20,054
9 years$33,863$30,935$28,239$25,762$23,489$16,095
10 years$30,167$27,267$24,619$22,207$20,014$13,052
11 years$27,145$24,274$21,675$19,327$17,212$10,669
12 years$24,628$21,787$19,236$16,952$14,916$8,777
13 years$22,501$19,689$17,186$14,966$13,007$7,257
14 years$20,678$17,897$15,441$13,285$11,402$6,025
15 years$19,101$16,349$13,942$11,848$10,039$5,018
16 years$17,722$15,000$12,640$10,609$8,873$4,192
17 years$16,506$13,815$11,502$9,532$7,867$3,509
18 years$15,426$12,765$10,500$8,590$6,995$2,943
19 years$14,462$11,831$9,612$7,762$6,235$2,472
20 years$13,595$10,994$8,821$7,030$5,569$2,079
21 years$12,811$10,240$8,114$6,380$4,984$1,750
22 years$12,100$9,559$7,478$5,801$4,467$1,475
23 years$11,451$8,940$6,905$5,283$4,010$1,244
24 years$10,858$8,376$6,386$4,818$3,604$1,050
25 years$10,313$7,861$5,915$4,400$3,243$886
26 years$9,810$7,388$5,486$4,024$2,921$749
27 years$9,346$6,953$5,094$3,683$2,634$633
28 years$8,915$6,552$4,735$3,374$2,377$535
29 years$8,515$6,181$4,407$3,094$2,146$452
30 years$8,142$5,837$4,105$2,840$1,939$382
31 years$7,794$5,518$3,827$2,608$1,753$323
32 years$7,469$5,221$3,570$2,397$1,586$274
33 years$7,163$4,945$3,334$2,204$1,435$231
34 years$6,877$4,686$3,115$2,028$1,299$196
35 years$6,607$4,445$2,912$1,867$1,177$166
36 years$6,353$4,219$2,724$1,719$1,066$140
37 years$6,113$4,007$2,550$1,584$966$119
38 years$5,886$3,808$2,388$1,460$876$101
39 years$5,672$3,621$2,237$1,346$795$85
40 years$5,469$3,445$2,097$1,242$721$72
41 years$5,276$3,279$1,966$1,146$654$61
42 years$5,093$3,123$1,844$1,057$593$52
43 years$4,918$2,976$1,731$976$538$44
44 years$4,753$2,837$1,624$901$489$37
45 years$4,595$2,705$1,525$832$444$31
46 years$4,444$2,580$1,433$769$403$27
47 years$4,300$2,462$1,346$710$366$22
48 years$4,163$2,351$1,265$656$332$19
49 years$4,031$2,245$1,189$607$302$16
50 years$3,905$2,144$1,118$561$274$14

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $4,000,000, adding $4,884 every year, while hoping to spend $28,489 every year in retirement. These numbers increase with inflation.
Reality usually performs much different than the expected returns. This uses historical averages, but anything can happen. In general, riskier investments have greater returns on average, but more volatility in the short term.
Age Total: 100% Stocks Total: 100% Bonds Total: 100% Cash Total: 56/19/25 Blend
39$4,000,000$4,000,000$4,000,000$4,000,000
40$4,413,038$4,201,038$4,139,038$4,629,730
41$4,832,856$4,376,577$4,247,384$4,954,433
42$5,294,540$4,559,762$4,358,404$5,304,614
43$5,802,331$4,750,938$4,472,159$5,685,551
44$6,360,901$4,950,467$4,588,708$6,100,213
45$6,975,398$5,158,724$4,708,114$6,551,869
46$7,651,491$5,376,105$4,830,440$7,044,113
47$8,395,432$5,603,022$4,955,748$7,580,900
48$9,214,104$5,839,909$5,084,103$8,166,583
49$10,115,095$6,087,216$5,215,573$8,805,950
50$11,106,763$6,345,418$5,350,223$9,504,272
51$12,198,319$6,615,009$5,488,121$10,267,349
52$13,399,911$6,896,509$5,629,337$11,101,566
53$14,722,723$7,190,459$5,773,941$12,013,949
54$16,179,076$7,497,427$5,922,003$13,012,235
55$17,782,548$7,818,007$6,073,597$14,104,939
56$19,548,101$8,152,822$6,228,795$15,301,439
57$21,492,219$8,502,522$6,387,672$16,612,055
58$23,633,070$8,867,790$6,550,303$18,048,155
59$25,990,669$9,249,338$6,716,764$19,622,254
60$28,587,074$9,647,913$6,887,133$21,348,131
61$31,446,592$10,064,296$7,061,488$23,240,964
62$34,596,005$10,499,308$7,239,909$25,317,464
63$38,064,827$10,953,803$7,422,475$27,596,037
64$41,885,580$11,428,680$7,609,268$30,096,951
65$46,094,101$11,924,877$7,800,370$32,842,532
66$50,729,881$12,443,377$7,995,865$35,857,369
67$55,836,437$12,985,211$8,195,834$39,168,542
68$61,461,723$13,551,457$8,400,365$42,805,882
69$67,658,583$14,143,242$8,609,541$46,802,248
70$74,485,247$14,761,749$8,823,449$51,193,832
71$82,005,883$15,408,216$9,042,176$56,020,504
72$90,291,204$16,083,939$9,265,809$61,326,182
73$99,419,130$16,790,275$9,494,437$67,159,246
74$109,475,528$17,528,646$9,728,147$73,572,992
75$120,555,022$18,300,539$9,967,030$80,626,136
76$132,761,883$19,107,515$10,211,175$88,383,358
77$146,211,017$19,951,205$10,460,671$96,915,919
78$161,029,047$20,833,320$10,715,609$106,302,323
79$177,355,507$21,755,650$10,976,080$116,629,062
80$195,344,164$22,720,072$11,242,174$127,991,425
81$215,164,463$23,728,550$11,513,981$140,494,395
82$237,003,131$24,783,142$11,791,592$154,253,639
83$261,065,938$25,886,003$12,075,098$169,396,596
84$287,579,638$27,039,392$12,364,588$186,063,672
85$316,794,113$28,245,674$12,660,154$204,409,571
86$348,984,726$29,507,326$12,961,883$224,604,741
87$384,454,928$30,826,944$13,269,865$246,836,988
88$423,539,113$32,207,247$13,584,188$271,313,239
89$466,605,783$33,651,083$13,904,939$298,261,494
90$514,061,022$35,161,435$14,232,204$327,932,973
91$566,352,331$36,741,431$14,566,068$360,604,484
92$623,972,853$38,394,344$14,906,615$396,581,028
93$687,466,023$40,123,607$15,253,926$436,198,676
94$757,430,707$41,932,813$15,608,082$479,827,739
95$834,526,849$43,825,730$15,969,162$527,876,250
96$919,481,700$45,806,303$16,337,242$580,793,820
97$1,013,096,689$47,878,668$16,712,395$639,075,868
98$1,116,254,984$50,047,156$17,094,693$703,268,299
99$1,229,929,833$52,316,306$17,484,205$773,972,644
100$1,355,193,746$54,690,876$17,880,996$851,851,738