Can I retire at age 40 with 4,900,000?

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 $4,900,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.1%
1 years$404,637$401,033$397,517$394,084$390,733$384,102
2 years$200,316$196,585$192,969$189,464$186,063$179,403
3 years$132,217$128,470$124,864$121,391$118,046$111,564
4 years$98,175$94,439$90,869$87,456$84,192$77,938
5 years$77,754$74,042$70,518$67,174$64,001$57,993
6 years$64,145$60,461$56,989$53,720$50,642$44,887
7 years$54,429$50,775$47,358$44,166$41,185$35,685
8 years$47,144$43,523$40,163$37,050$34,167$28,920
9 years$41,482$37,895$34,593$31,558$28,774$23,778
10 years$36,954$33,402$30,159$27,203$24,517$19,767
11 years$33,252$29,736$26,551$23,675$21,085$16,576
12 years$30,170$26,690$23,564$20,766$18,272$13,999
13 years$27,563$24,120$21,053$18,334$15,934$11,889
14 years$25,331$21,924$18,916$16,274$13,967$10,145
15 years$23,398$20,028$17,078$14,514$12,298$8,690
16 years$21,709$18,375$15,484$12,996$10,869$7,468
17 years$20,220$16,923$14,090$11,676$9,637$6,435
18 years$18,897$15,638$12,862$10,523$8,569$5,558
19 years$17,716$14,493$11,775$9,508$7,638$4,811
20 years$16,654$13,467$10,806$8,612$6,822$4,170
21 years$15,694$12,544$9,940$7,816$6,105$3,621
22 years$14,822$11,710$9,161$7,106$5,472$3,147
23 years$14,028$10,952$8,459$6,472$4,912$2,739
24 years$13,301$10,261$7,823$5,903$4,415$2,385
25 years$12,633$9,630$7,245$5,391$3,973$2,079
26 years$12,017$9,050$6,720$4,929$3,579$1,814
27 years$11,448$8,517$6,240$4,512$3,227$1,583
28 years$10,921$8,026$5,801$4,134$2,911$1,382
29 years$10,431$7,571$5,398$3,791$2,629$1,208
30 years$9,974$7,150$5,028$3,479$2,375$1,056
31 years$9,548$6,760$4,688$3,195$2,148$923
32 years$9,149$6,396$4,374$2,936$1,943$807
33 years$8,775$6,057$4,084$2,700$1,758$706
34 years$8,424$5,741$3,816$2,484$1,592$618
35 years$8,094$5,445$3,567$2,287$1,442$541
36 years$7,782$5,168$3,337$2,106$1,306$473
37 years$7,489$4,908$3,123$1,941$1,184$414
38 years$7,211$4,665$2,925$1,789$1,073$363
39 years$6,948$4,436$2,740$1,649$973$318
40 years$6,699$4,220$2,569$1,521$883$278
41 years$6,463$4,017$2,408$1,404$801$244
42 years$6,238$3,826$2,259$1,295$727$213
43 years$6,025$3,645$2,120$1,196$660$187
44 years$5,822$3,475$1,990$1,104$599$164
45 years$5,628$3,314$1,869$1,020$544$144
46 years$5,444$3,161$1,755$942$493$126
47 years$5,268$3,017$1,649$870$448$110
48 years$5,099$2,880$1,549$804$407$97
49 years$4,938$2,750$1,456$743$370$85
50 years$4,784$2,627$1,369$687$336$74

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $4,900,000, adding $3,693 every year, while hoping to spend $23,475 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: 67/13/20 Blend
39$4,900,000$4,900,000$4,900,000$4,900,000
40$5,403,609$5,143,909$5,067,959$5,738,413
41$5,929,800$5,370,984$5,212,759$6,190,160
42$6,508,876$5,608,398$5,361,622$6,680,925
43$7,146,206$5,856,634$5,514,661$7,217,043
44$7,847,706$6,116,196$5,671,989$7,802,973
45$8,619,896$6,387,614$5,833,725$8,443,626
46$9,469,958$6,671,440$5,999,988$9,144,405
47$10,405,808$6,968,255$6,170,902$9,911,260
48$11,436,167$7,278,666$6,346,594$10,750,739
49$12,570,646$7,603,309$6,527,193$11,670,051
50$13,819,832$7,942,852$6,712,835$12,677,133
51$15,195,396$8,297,993$6,903,656$13,780,724
52$16,710,194$8,669,462$7,099,796$14,990,447
53$18,378,395$9,058,027$7,301,400$16,316,897
54$20,215,611$9,464,490$7,508,617$17,771,741
55$22,239,045$9,889,692$7,721,598$19,367,827
56$24,467,655$10,334,514$7,940,499$21,119,305
57$26,922,331$10,799,880$8,165,480$23,041,758
58$29,626,091$11,286,757$8,396,706$25,152,347
59$32,604,301$11,796,157$8,634,345$27,469,975
60$35,884,915$12,329,144$8,878,570$30,015,459
61$39,498,732$12,886,828$9,129,558$32,811,731
62$43,479,696$13,470,375$9,387,492$35,884,048
63$47,865,209$14,081,008$9,652,557$39,260,232
64$52,696,487$14,720,005$9,924,945$42,970,927
65$58,018,951$15,388,707$10,204,852$47,049,893
66$63,882,650$16,088,519$10,492,480$51,534,318
67$70,342,737$16,820,913$10,788,036$56,465,166
68$77,459,991$17,587,433$11,091,730$61,887,566
69$85,301,388$18,389,695$11,403,780$67,851,236
70$93,940,731$19,229,392$11,724,409$74,410,946
71$103,459,354$20,108,301$12,053,845$81,627,034
72$113,946,882$21,028,281$12,392,322$89,565,979
73$125,502,079$21,991,282$12,740,081$98,301,017
74$138,233,784$22,999,348$13,097,366$107,912,838
75$152,261,934$24,054,619$13,464,432$118,490,340
76$167,718,696$25,159,341$13,841,535$130,131,468
77$184,749,719$26,315,864$14,228,942$142,944,134
78$203,515,503$27,526,654$14,626,924$157,047,237
79$224,192,918$28,794,294$15,035,760$172,571,776
80$246,976,873$30,121,491$15,455,735$189,662,088
81$272,082,153$31,511,084$15,887,142$208,477,207
82$299,745,453$32,966,047$16,330,281$229,192,358
83$330,227,602$34,489,497$16,785,459$252,000,615
84$363,816,037$36,084,701$17,252,991$277,114,712
85$400,827,506$37,755,085$17,733,199$304,769,053
86$441,611,065$39,504,238$18,226,415$335,221,917
87$486,551,371$41,335,923$18,732,977$368,757,894
88$536,072,311$43,254,083$19,253,232$405,690,568
89$590,641,008$45,262,854$19,787,536$446,365,471
90$650,772,224$47,366,568$20,336,253$491,163,341
91$717,033,229$49,569,767$20,899,755$540,503,710
92$790,049,147$51,877,214$21,478,425$594,848,862
93$870,508,862$54,293,900$22,072,654$654,708,190
94$959,171,521$56,825,056$22,682,843$720,642,999
95$1,056,873,700$59,476,168$23,309,403$793,271,799
96$1,164,537,302$62,252,984$23,952,752$873,276,140
97$1,283,178,259$65,161,533$24,613,322$961,407,036
98$1,413,916,126$68,208,133$25,291,553$1,058,492,051
99$1,557,984,647$71,399,407$25,987,895$1,165,443,106
100$1,716,743,402$74,742,299$26,702,811$1,283,265,076