Can I retire at age 40 with 5,600,000?

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 $5,600,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$462,443$458,324$454,305$450,382$446,552$441,338
2 years$228,932$224,668$220,536$216,530$212,644$207,396
3 years$151,105$146,823$142,702$138,733$134,910$129,791
4 years$112,200$107,931$103,850$99,949$96,219$91,268
5 years$88,862$84,619$80,592$76,771$73,144$68,376
6 years$73,309$69,098$65,130$61,394$57,876$53,297
7 years$62,204$58,028$54,124$50,475$47,069$42,680
8 years$53,879$49,741$45,901$42,343$39,048$34,849
9 years$47,408$43,308$39,535$36,066$32,884$28,873
10 years$42,233$38,174$34,467$31,090$28,019$24,194
11 years$38,003$33,984$30,344$27,057$24,097$20,454
12 years$34,480$30,502$26,930$23,733$20,882$17,418
13 years$31,501$27,565$24,060$20,953$18,210$14,919
14 years$28,950$25,056$21,618$18,599$15,963$12,841
15 years$26,741$22,889$19,518$16,587$14,055$11,098
16 years$24,810$21,000$17,696$14,852$12,422$9,624
17 years$23,108$19,341$16,103$13,345$11,014$8,370
18 years$21,597$17,872$14,700$12,026$9,793$7,298
19 years$20,247$16,563$13,457$10,867$8,729$6,376
20 years$19,033$15,391$12,350$9,842$7,797$5,581
21 years$17,936$14,336$11,360$8,932$6,977$4,893
22 years$16,940$13,383$10,470$8,121$6,254$4,295
23 years$16,032$12,516$9,667$7,396$5,614$3,775
24 years$15,201$11,727$8,940$6,746$5,046$3,322
25 years$14,438$11,005$8,280$6,161$4,541$2,925
26 years$13,734$10,343$7,680$5,633$4,090$2,578
27 years$13,084$9,734$7,131$5,156$3,687$2,274
28 years$12,481$9,172$6,629$4,724$3,327$2,007
29 years$11,921$8,653$6,169$4,332$3,004$1,772
30 years$11,399$8,172$5,746$3,976$2,715$1,565
31 years$10,912$7,725$5,357$3,651$2,454$1,383
32 years$10,456$7,310$4,998$3,356$2,220$1,223
33 years$10,029$6,922$4,667$3,086$2,009$1,081
34 years$9,627$6,561$4,361$2,839$1,819$957
35 years$9,250$6,223$4,077$2,614$1,648$846
36 years$8,894$5,906$3,814$2,407$1,493$749
37 years$8,558$5,610$3,570$2,218$1,353$663
38 years$8,241$5,331$3,343$2,044$1,227$587
39 years$7,941$5,069$3,132$1,885$1,112$520
40 years$7,656$4,823$2,936$1,739$1,009$460
41 years$7,386$4,591$2,753$1,604$915$408
42 years$7,130$4,372$2,582$1,480$831$361
43 years$6,886$4,166$2,423$1,367$754$320
44 years$6,654$3,971$2,274$1,262$684$284
45 years$6,432$3,787$2,135$1,165$621$251
46 years$6,221$3,613$2,006$1,076$564$223
47 years$6,020$3,447$1,884$994$512$197
48 years$5,828$3,291$1,771$919$465$175
49 years$5,644$3,143$1,664$849$422$155
50 years$5,468$3,002$1,565$785$384$137

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $5,600,000, adding $6,017 every year, while hoping to spend $41,152 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: 45/32/23 Blend
39$5,600,000$5,600,000$5,600,000$5,600,000
40$6,177,407$5,880,607$5,793,807$6,414,165
41$6,763,717$6,124,971$5,944,114$6,826,136
42$7,408,451$6,379,930$6,098,077$7,268,138
43$8,117,526$6,645,959$6,255,775$7,746,653
44$8,897,458$6,923,556$6,417,289$8,265,100
45$9,755,431$7,213,242$6,582,699$8,827,234
46$10,699,355$7,515,561$6,752,090$9,437,181
47$11,737,948$7,831,083$6,925,544$10,099,477
48$12,880,817$8,160,404$7,103,148$10,819,105
49$14,138,545$8,504,148$7,284,988$11,601,543
50$15,522,793$8,862,968$7,471,152$12,452,815
51$17,046,412$9,237,547$7,661,729$13,379,543
52$18,723,558$9,628,599$7,856,810$14,389,011
53$20,569,834$10,036,874$8,056,485$15,489,227
54$22,602,429$10,463,152$8,260,849$16,689,001
55$24,840,284$10,908,254$8,469,995$17,998,023
56$27,304,271$11,373,037$8,684,018$19,426,954
57$30,017,389$11,858,398$8,903,015$20,987,524
58$33,004,979$12,365,276$9,127,083$22,692,638
59$36,294,967$12,894,654$9,356,320$24,556,497
60$39,918,123$13,447,562$9,590,826$26,594,731
61$43,908,355$14,025,075$9,830,702$28,824,539
62$48,303,026$14,628,323$10,076,049$31,264,852
63$53,143,308$15,258,484$10,326,970$33,936,508
64$58,474,569$15,916,794$10,583,568$36,862,446
65$64,346,805$16,604,546$10,845,947$40,067,917
66$70,815,106$17,323,095$11,114,212$43,580,719
67$77,940,178$18,073,859$11,388,470$47,431,458
68$85,788,918$18,858,320$11,668,826$51,653,833
69$94,435,044$19,678,034$11,955,388$56,284,946
70$103,959,787$20,534,626$12,248,262$61,365,652
71$114,452,664$21,429,802$12,547,558$66,940,941
72$126,012,318$22,365,344$12,853,382$73,060,355
73$138,747,448$23,343,120$13,165,845$79,778,449
74$152,777,841$24,365,086$13,485,054$87,155,310
75$168,235,496$25,433,290$13,811,118$95,257,109
76$185,265,873$26,549,877$14,144,147$104,156,726
77$204,029,264$27,717,093$14,484,248$113,934,429
78$224,702,308$28,937,290$14,831,530$124,678,630
79$247,479,658$30,212,932$15,186,101$136,486,710
80$272,575,816$31,546,599$15,548,068$149,465,932
81$300,227,159$32,940,991$15,917,538$163,734,448
82$330,694,170$34,398,941$16,294,616$179,422,406
83$364,263,897$35,923,410$16,679,407$196,673,176
84$401,252,662$37,517,505$17,072,015$215,644,686
85$442,009,048$39,184,477$17,472,541$236,510,917
86$486,917,186$40,927,731$17,881,087$259,463,525
87$536,400,385$42,750,837$18,297,749$284,713,653
88$590,925,127$44,657,530$18,722,626$312,493,904
89$651,005,467$46,651,726$19,155,812$343,060,538
90$717,207,890$48,737,527$19,597,397$376,695,871
91$790,156,656$50,919,227$20,047,471$413,710,939
92$870,539,694$53,201,327$20,506,120$454,448,417
93$959,115,093$55,588,543$20,973,426$499,285,844
94$1,056,718,265$58,085,814$21,449,468$548,639,177
95$1,164,269,823$60,698,314$21,934,320$602,966,705
96$1,282,784,278$63,431,464$22,428,053$662,773,360
97$1,413,379,614$66,290,946$22,930,732$728,615,473
98$1,557,287,842$69,282,709$23,442,419$801,106,012
99$1,715,866,629$72,412,989$23,963,167$880,920,349
100$1,890,612,118$75,688,319$24,493,027$968,802,628