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%13.7%
1 years$404,637$401,033$397,517$394,084$390,733$384,735
2 years$200,316$196,585$192,969$189,464$186,063$180,035
3 years$132,217$128,470$124,864$121,391$118,046$112,175
4 years$98,175$94,439$90,869$87,456$84,192$78,523
5 years$77,754$74,042$70,518$67,174$64,001$58,551
6 years$64,145$60,461$56,989$53,720$50,642$45,417
7 years$54,429$50,775$47,358$44,166$41,185$36,188
8 years$47,144$43,523$40,163$37,050$34,167$29,396
9 years$41,482$37,895$34,593$31,558$28,774$24,226
10 years$36,954$33,402$30,159$27,203$24,517$20,189
11 years$33,252$29,736$26,551$23,675$21,085$16,973
12 years$30,170$26,690$23,564$20,766$18,272$14,370
13 years$27,563$24,120$21,053$18,334$15,934$12,237
14 years$25,331$21,924$18,916$16,274$13,967$10,469
15 years$23,398$20,028$17,078$14,514$12,298$8,993
16 years$21,709$18,375$15,484$12,996$10,869$7,750
17 years$20,220$16,923$14,090$11,676$9,637$6,697
18 years$18,897$15,638$12,862$10,523$8,569$5,802
19 years$17,716$14,493$11,775$9,508$7,638$5,036
20 years$16,654$13,467$10,806$8,612$6,822$4,379
21 years$15,694$12,544$9,940$7,816$6,105$3,813
22 years$14,822$11,710$9,161$7,106$5,472$3,324
23 years$14,028$10,952$8,459$6,472$4,912$2,902
24 years$13,301$10,261$7,823$5,903$4,415$2,535
25 years$12,633$9,630$7,245$5,391$3,973$2,217
26 years$12,017$9,050$6,720$4,929$3,579$1,940
27 years$11,448$8,517$6,240$4,512$3,227$1,699
28 years$10,921$8,026$5,801$4,134$2,911$1,488
29 years$10,431$7,571$5,398$3,791$2,629$1,305
30 years$9,974$7,150$5,028$3,479$2,375$1,144
31 years$9,548$6,760$4,688$3,195$2,148$1,003
32 years$9,149$6,396$4,374$2,936$1,943$881
33 years$8,775$6,057$4,084$2,700$1,758$773
34 years$8,424$5,741$3,816$2,484$1,592$679
35 years$8,094$5,445$3,567$2,287$1,442$596
36 years$7,782$5,168$3,337$2,106$1,306$523
37 years$7,489$4,908$3,123$1,941$1,184$460
38 years$7,211$4,665$2,925$1,789$1,073$404
39 years$6,948$4,436$2,740$1,649$973$355
40 years$6,699$4,220$2,569$1,521$883$312
41 years$6,463$4,017$2,408$1,404$801$274
42 years$6,238$3,826$2,259$1,295$727$241
43 years$6,025$3,645$2,120$1,196$660$212
44 years$5,822$3,475$1,990$1,104$599$186
45 years$5,628$3,314$1,869$1,020$544$164
46 years$5,444$3,161$1,755$942$493$144
47 years$5,268$3,017$1,649$870$448$127
48 years$5,099$2,880$1,549$804$407$111
49 years$4,938$2,750$1,456$743$370$98
50 years$4,784$2,627$1,369$687$336$86

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 $5,435 every year, while hoping to spend $25,000 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: 76/19/5 Blend
39$4,900,000$4,900,000$4,900,000$4,900,000
40$5,405,406$5,145,706$5,069,756$5,814,210
41$5,930,158$5,371,246$5,212,993$6,308,904
42$6,507,596$5,606,999$5,360,191$6,847,189
43$7,143,069$5,853,440$5,511,455$7,436,422
44$7,842,469$6,111,065$5,666,895$8,081,641
45$8,612,287$6,380,395$5,826,623$8,788,395
46$9,459,679$6,661,972$5,990,754$9,562,789
47$10,392,526$6,956,369$6,159,404$10,411,545
48$11,419,514$7,264,181$6,332,694$11,342,063
49$12,550,214$7,586,036$6,510,749$12,362,489
50$13,795,172$7,922,587$6,693,695$13,481,792
51$15,166,008$8,274,522$6,881,662$14,709,850
52$16,675,526$8,642,559$7,074,783$16,057,536
53$18,337,837$9,027,452$7,273,195$17,536,824
54$20,168,487$9,429,988$7,477,039$19,160,901
55$22,184,610$9,850,995$7,686,457$20,944,288
56$24,405,084$10,291,337$7,901,597$22,902,976
57$26,850,712$10,751,922$8,122,610$25,054,577
58$29,544,418$11,233,700$8,349,651$27,418,487
59$32,511,463$11,737,665$8,582,878$30,016,069
60$35,779,681$12,264,860$8,822,453$32,870,852
61$39,379,748$12,816,377$9,068,545$36,008,753
62$43,345,463$13,393,361$9,321,322$39,458,318
63$47,714,074$13,997,009$9,580,960$43,250,989
64$52,526,626$14,628,579$9,847,638$47,421,403
65$57,828,348$15,289,385$10,121,540$52,007,711
66$63,669,081$15,980,807$10,402,854$57,051,943
67$70,103,751$16,704,290$10,691,773$62,600,396
68$77,192,880$17,461,347$10,988,494$68,704,071
69$85,003,164$18,253,563$11,293,219$75,419,155
70$93,608,101$19,082,601$11,606,155$82,807,545
71$103,088,681$19,950,203$11,927,516$90,937,431
72$113,534,156$20,858,193$12,257,517$99,883,937
73$125,042,878$21,808,482$12,596,382$109,729,829
74$137,723,229$22,803,075$12,944,338$120,566,290
75$151,694,644$23,844,072$13,301,619$132,493,779
76$167,088,739$24,933,672$13,668,464$145,622,979
77$184,050,550$26,074,182$14,045,118$160,075,833
78$202,739,907$27,268,018$14,431,830$175,986,697
79$223,332,939$28,517,712$14,828,857$193,503,599
80$246,023,736$29,825,918$15,236,462$212,789,639
81$271,026,187$31,195,417$15,654,914$234,024,518
82$298,575,991$32,629,125$16,084,486$257,406,237
83$328,932,886$34,130,097$16,525,460$283,152,954
84$362,383,103$35,701,533$16,978,125$311,505,047
85$399,242,061$37,346,791$17,442,775$342,727,370
86$439,857,354$39,069,386$17,919,710$377,111,757
87$484,612,024$40,873,005$18,409,240$414,979,763
88$533,928,180$42,761,513$18,911,679$456,685,701
89$588,270,985$44,738,957$19,427,351$502,619,977
90$648,153,043$46,809,584$19,956,585$553,212,772
91$714,139,241$48,977,841$20,499,718$608,938,093
92$786,852,081$51,248,392$21,057,096$670,318,247
93$866,977,556$53,626,126$21,629,071$737,928,758
94$955,271,625$56,116,165$22,216,004$812,403,798
95$1,052,567,354$58,723,881$22,818,263$894,442,167
96$1,159,782,775$61,454,902$23,436,226$984,813,875
97$1,277,929,556$64,315,130$24,070,278$1,084,367,412
98$1,408,122,551$67,310,751$24,720,811$1,194,037,743
99$1,551,590,322$70,448,249$25,388,230$1,314,855,129
100$1,709,686,743$73,734,421$26,072,944$1,447,954,841