Can I retire at age 40 with 4,800,000?

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 $4,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.3%
1 years$396,380$392,849$389,404$386,042$382,759$377,507
2 years$196,227$192,573$189,031$185,597$182,266$176,984
3 years$129,519$125,849$122,316$118,914$115,637$110,489
4 years$96,171$92,512$89,014$85,671$82,473$77,499
5 years$76,168$72,531$69,079$65,803$62,695$57,909
6 years$62,836$59,227$55,826$52,623$49,608$45,016
7 years$53,318$49,738$46,392$43,265$40,345$35,948
8 years$46,182$42,635$39,344$36,294$33,470$29,269
9 years$40,635$37,121$33,887$30,914$28,187$24,178
10 years$36,200$32,721$29,543$26,648$24,016$20,198
11 years$32,574$29,129$26,009$23,192$20,655$17,023
12 years$29,554$26,145$23,083$20,342$17,899$14,450
13 years$27,001$23,627$20,623$17,959$15,608$12,337
14 years$24,814$21,477$18,530$15,942$13,682$10,583
15 years$22,921$19,619$16,730$14,218$12,047$9,116
16 years$21,266$18,000$15,168$12,730$10,647$7,878
17 years$19,807$16,578$13,802$11,438$9,440$6,827
18 years$18,512$15,318$12,600$10,308$8,394$5,931
19 years$17,354$14,197$11,534$9,314$7,482$5,163
20 years$16,314$13,193$10,586$8,436$6,683$4,503
21 years$15,373$12,288$9,737$7,656$5,980$3,933
22 years$14,520$11,471$8,974$6,961$5,361$3,439
23 years$13,742$10,728$8,286$6,340$4,812$3,012
24 years$13,029$10,052$7,663$5,782$4,325$2,639
25 years$12,375$9,433$7,098$5,281$3,892$2,315
26 years$11,772$8,866$6,583$4,828$3,506$2,033
27 years$11,215$8,344$6,113$4,419$3,161$1,785
28 years$10,698$7,862$5,682$4,049$2,852$1,569
29 years$10,218$7,417$5,288$3,713$2,575$1,380
30 years$9,771$7,005$4,926$3,408$2,327$1,214
31 years$9,353$6,622$4,592$3,130$2,104$1,069
32 years$8,962$6,265$4,284$2,876$1,903$941
33 years$8,596$5,933$4,000$2,645$1,722$829
34 years$8,252$5,624$3,738$2,434$1,559$730
35 years$7,928$5,334$3,494$2,240$1,412$643
36 years$7,624$5,063$3,269$2,063$1,280$567
37 years$7,336$4,808$3,060$1,901$1,160$500
38 years$7,064$4,570$2,865$1,752$1,051$440
39 years$6,806$4,345$2,684$1,616$953$388
40 years$6,562$4,134$2,516$1,490$865$342
41 years$6,331$3,935$2,359$1,375$785$302
42 years$6,111$3,748$2,213$1,269$712$266
43 years$5,902$3,571$2,077$1,171$646$235
44 years$5,703$3,404$1,949$1,082$586$207
45 years$5,513$3,246$1,830$999$532$183
46 years$5,333$3,096$1,719$923$483$161
47 years$5,160$2,955$1,615$852$439$142
48 years$4,995$2,821$1,518$788$399$126
49 years$4,837$2,694$1,427$728$362$111
50 years$4,686$2,573$1,341$673$329$98

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $4,800,000, adding $3,035 every year, while hoping to spend $54,847 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: 24/48/28 Blend
39$4,800,000$4,800,000$4,800,000$4,800,000
40$5,292,731$5,038,331$4,963,931$5,373,004
41$5,774,232$5,226,852$5,071,865$5,630,038
42$6,303,009$5,422,773$5,181,578$5,900,393
43$6,883,825$5,626,397$5,293,070$6,188,909
44$7,521,928$5,838,044$5,406,340$6,497,133
45$8,223,100$6,058,044$5,521,388$6,826,762
46$8,993,711$6,286,742$5,638,209$7,179,652
47$9,840,777$6,524,500$5,756,797$7,557,840
48$10,772,030$6,771,695$5,877,144$7,963,558
49$11,795,987$7,028,717$5,999,238$8,399,253
50$12,922,031$7,295,978$6,123,066$8,867,609
51$14,160,502$7,573,905$6,248,612$9,371,572
52$15,522,790$7,862,943$6,375,858$9,914,372
53$17,021,446$8,163,559$6,504,781$10,499,559
54$18,670,298$8,476,238$6,635,355$11,131,026
55$20,484,582$8,801,487$6,767,553$11,813,050
56$22,481,085$9,139,835$6,901,341$12,550,329
57$24,678,304$9,491,835$7,036,685$13,348,023
58$27,096,620$9,858,065$7,173,543$14,211,800
59$29,758,490$10,239,124$7,311,871$15,147,891
60$32,688,658$10,635,644$7,451,621$16,163,142
61$35,914,390$11,048,279$7,592,739$17,265,080
62$39,465,728$11,477,715$7,735,166$18,461,980
63$43,375,777$11,924,667$7,878,839$19,762,937
64$47,681,014$12,389,884$8,023,687$21,177,957
65$52,421,634$12,874,144$8,169,637$22,718,041
66$57,641,927$13,378,264$8,316,607$24,395,291
67$63,390,699$13,903,094$8,464,508$26,223,017
68$69,721,728$14,449,524$8,613,247$28,215,864
69$76,694,275$15,018,482$8,762,722$30,389,944
70$84,373,642$15,610,938$8,912,824$32,762,984
71$92,831,785$16,227,906$9,063,435$35,354,493
72$102,147,998$16,870,444$9,214,431$38,185,938
73$112,409,657$17,539,659$9,365,678$41,280,949
74$123,713,046$18,236,706$9,517,032$44,665,529
75$136,164,265$18,962,792$9,668,341$48,368,306
76$149,880,231$19,719,181$9,819,442$52,420,790
77$164,989,784$20,507,190$9,970,162$56,857,670
78$181,634,896$21,328,196$10,120,317$61,717,137
79$199,972,019$22,183,641$10,269,711$67,041,237
80$220,173,555$23,075,030$10,418,136$72,876,265
81$242,429,486$24,003,934$10,565,372$79,273,196
82$266,949,165$24,971,999$10,711,184$86,288,161
83$293,963,297$25,980,944$10,855,325$93,982,970
84$323,726,107$27,032,564$10,997,532$102,425,689
85$356,517,748$28,128,737$11,137,527$111,691,280
86$392,646,941$29,271,428$11,275,017$121,862,297
87$432,453,890$30,462,689$11,409,692$133,029,660
88$476,313,492$31,704,666$11,541,221$145,293,509
89$524,638,876$32,999,603$11,669,261$158,764,139
90$577,885,304$34,349,847$11,793,444$173,563,032
91$636,554,466$35,757,850$11,913,385$189,824,000
92$701,199,215$37,226,178$12,028,676$207,694,437
93$772,428,789$38,757,514$12,138,891$227,336,700
94$850,914,557$40,354,665$12,243,576$248,929,636
95$937,396,362$42,020,563$12,342,256$272,670,259
96$1,032,689,500$43,758,280$12,434,430$298,775,599
97$1,137,692,417$45,571,023$12,519,571$327,484,742
98$1,253,395,192$47,462,152$12,597,125$359,061,074
99$1,380,888,881$49,435,177$12,666,509$393,794,760
100$1,521,375,820$51,493,774$12,727,110$432,005,463