Can I retire at age 40 with 4,200,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $4,200,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.8%
1 years$346,832$343,743$340,729$337,787$334,914$321,753
2 years$171,699$168,501$165,402$162,397$159,483$146,384
3 years$113,329$110,117$107,026$104,050$101,182$88,559
4 years$84,150$80,948$77,888$74,962$72,164$60,112
5 years$66,647$63,464$60,444$57,578$54,858$43,407
6 years$54,982$51,823$48,848$46,046$43,407$32,566
7 years$46,653$43,521$40,593$37,857$35,302$25,066
8 years$40,409$37,306$34,426$31,757$29,286$19,646
9 years$35,556$32,481$29,651$27,050$24,663$15,603
10 years$31,675$28,631$25,850$23,317$21,014$12,518
11 years$28,502$25,488$22,758$20,293$18,073$10,120
12 years$25,860$22,877$20,197$17,800$15,662$8,232
13 years$23,626$20,674$18,045$15,714$13,657$6,727
14 years$21,712$18,792$16,214$13,950$11,972$5,519
15 years$20,056$17,167$14,639$12,441$10,541$4,542
16 years$18,608$15,750$13,272$11,139$9,316$3,747
17 years$17,331$14,505$12,077$10,008$8,260$3,098
18 years$16,198$13,404$11,025$9,020$7,345$2,565
19 years$15,185$12,422$10,093$8,150$6,547$2,127
20 years$14,274$11,543$9,263$7,381$5,847$1,766
21 years$13,452$10,752$8,520$6,699$5,233$1,467
22 years$12,705$10,037$7,852$6,091$4,690$1,220
23 years$12,024$9,387$7,250$5,547$4,210$1,015
24 years$11,401$8,795$6,705$5,059$3,784$845
25 years$10,828$8,254$6,210$4,621$3,405$704
26 years$10,301$7,757$5,760$4,225$3,067$587
27 years$9,813$7,301$5,348$3,867$2,766$489
28 years$9,361$6,879$4,972$3,543$2,495$408
29 years$8,941$6,490$4,627$3,249$2,253$340
30 years$8,549$6,129$4,310$2,982$2,036$283
31 years$8,184$5,794$4,018$2,739$1,841$236
32 years$7,842$5,482$3,749$2,517$1,665$197
33 years$7,522$5,192$3,500$2,314$1,507$165
34 years$7,221$4,921$3,270$2,129$1,364$137
35 years$6,937$4,667$3,058$1,960$1,236$115
36 years$6,671$4,430$2,860$1,805$1,120$96
37 years$6,419$4,207$2,677$1,663$1,015$80
38 years$6,181$3,998$2,507$1,533$920$67
39 years$5,956$3,802$2,349$1,414$834$56
40 years$5,742$3,617$2,202$1,304$757$46
41 years$5,540$3,443$2,064$1,203$687$39
42 years$5,347$3,279$1,937$1,110$623$32
43 years$5,164$3,125$1,817$1,025$565$27
44 years$4,990$2,978$1,706$946$513$23
45 years$4,824$2,840$1,602$874$466$19
46 years$4,666$2,709$1,504$807$423$16
47 years$4,515$2,586$1,413$746$384$13
48 years$4,371$2,468$1,328$689$349$11
49 years$4,233$2,357$1,248$637$317$9
50 years$4,101$2,252$1,174$589$288$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $4,200,000, adding $2,823 every year, while hoping to spend $35,361 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: 44/36/20 Blend
39$4,200,000$4,200,000$4,200,000$4,200,000
40$4,631,312$4,408,712$4,343,612$4,808,160
41$5,066,082$4,587,115$4,451,499$5,111,449
42$5,544,013$4,773,075$4,561,815$5,436,299
43$6,069,471$4,966,924$4,674,605$5,787,686
44$6,647,265$5,169,011$4,789,911$6,168,084
45$7,282,693$5,379,699$4,907,780$6,580,208
46$7,981,592$5,599,369$5,028,256$7,027,042
47$8,750,396$5,828,420$5,151,384$7,511,864
48$9,596,190$6,067,266$5,277,209$8,038,278
49$10,526,783$6,316,343$5,405,777$8,610,242
50$11,550,777$6,576,106$5,537,132$9,232,109
51$12,677,651$6,847,031$5,671,322$9,908,666
52$13,917,851$7,129,615$5,808,391$10,645,173
53$15,282,885$7,424,378$5,948,384$11,447,417
54$16,785,432$7,731,866$6,091,348$12,321,761
55$18,439,465$8,052,646$6,237,327$13,275,205
56$20,260,380$8,387,316$6,386,367$14,315,448
57$22,265,141$8,736,497$6,538,513$15,450,961
58$24,472,442$9,100,841$6,693,809$16,691,062
59$26,902,879$9,481,030$6,852,300$18,046,006
60$29,579,149$9,877,778$7,014,029$19,527,076
61$32,526,263$10,291,829$7,179,039$21,146,691
62$35,771,778$10,723,965$7,347,373$22,918,515
63$39,346,063$11,175,003$7,519,074$24,857,592
64$43,282,580$11,645,797$7,694,182$26,980,478
65$47,618,204$12,137,241$7,872,737$29,305,399
66$52,393,566$12,650,271$8,054,779$31,852,418
67$57,653,441$13,185,866$8,240,346$34,643,624
68$63,447,170$13,745,051$8,429,475$37,703,334
69$69,829,121$14,328,898$8,622,202$41,058,325
70$76,859,206$14,938,529$8,818,561$44,738,076
71$84,603,447$15,575,119$9,018,584$48,775,052
72$93,134,595$16,239,897$9,222,304$53,204,999
73$102,532,821$16,934,149$9,429,748$58,067,281
74$112,886,468$17,659,222$9,640,944$63,405,250
75$124,292,890$18,416,526$9,855,918$69,266,647
76$136,859,364$19,207,535$10,074,691$75,704,052
77$150,704,110$20,033,795$10,297,283$82,775,374
78$165,957,401$20,896,922$10,523,713$90,544,394
79$182,762,793$21,798,608$10,753,995$99,081,363
80$201,278,484$22,740,626$10,988,140$108,463,659
81$221,678,802$23,724,830$11,226,156$118,776,514
82$244,155,856$24,753,163$11,468,048$130,113,810
83$268,921,342$25,827,657$11,713,817$142,578,964
84$296,208,548$26,950,441$11,963,459$156,285,895
85$326,274,552$28,123,744$12,216,966$171,360,096
86$359,402,649$29,349,901$12,474,327$187,939,811
87$395,905,027$30,631,353$12,735,525$206,177,333
88$436,125,712$31,970,662$13,000,537$226,240,435
89$480,443,815$33,370,505$13,269,335$248,313,946
90$529,277,113$34,833,688$13,541,887$272,601,492
91$583,085,990$36,363,151$13,818,152$299,327,406
92$642,377,785$37,961,969$14,098,084$328,738,838
93$707,711,580$39,633,366$14,381,631$361,108,083
94$779,703,476$41,380,716$14,668,730$396,735,138
95$859,032,413$43,207,554$14,959,315$435,950,528
96$946,446,576$45,117,581$15,253,309$479,118,416
97$1,042,770,458$47,114,674$15,550,627$526,640,030
98$1,148,912,646$49,202,894$15,851,174$578,957,438
99$1,265,874,395$51,386,495$16,154,847$636,557,716
100$1,394,759,080$53,669,930$16,461,532$699,977,526