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

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 $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%14.5%
1 years$462,443$458,324$454,305$450,382$446,552$438,253
2 years$228,932$224,668$220,536$216,530$212,644$204,314
3 years$151,105$146,823$142,702$138,733$134,910$126,808
4 years$112,200$107,931$103,850$99,949$96,219$88,408
5 years$88,862$84,619$80,592$76,771$73,144$65,647
6 years$73,309$69,098$65,130$61,394$57,876$50,701
7 years$62,204$58,028$54,124$50,475$47,069$40,217
8 years$53,879$49,741$45,901$42,343$39,048$32,518
9 years$47,408$43,308$39,535$36,066$32,884$26,671
10 years$42,233$38,174$34,467$31,090$28,019$22,118
11 years$38,003$33,984$30,344$27,057$24,097$18,502
12 years$34,480$30,502$26,930$23,733$20,882$15,584
13 years$31,501$27,565$24,060$20,953$18,210$13,201
14 years$28,950$25,056$21,618$18,599$15,963$11,233
15 years$26,741$22,889$19,518$16,587$14,055$9,596
16 years$24,810$21,000$17,696$14,852$12,422$8,223
17 years$23,108$19,341$16,103$13,345$11,014$7,066
18 years$21,597$17,872$14,700$12,026$9,793$6,086
19 years$20,247$16,563$13,457$10,867$8,729$5,251
20 years$19,033$15,391$12,350$9,842$7,797$4,539
21 years$17,936$14,336$11,360$8,932$6,977$3,929
22 years$16,940$13,383$10,470$8,121$6,254$3,404
23 years$16,032$12,516$9,667$7,396$5,614$2,953
24 years$15,201$11,727$8,940$6,746$5,046$2,564
25 years$14,438$11,005$8,280$6,161$4,541$2,228
26 years$13,734$10,343$7,680$5,633$4,090$1,937
27 years$13,084$9,734$7,131$5,156$3,687$1,685
28 years$12,481$9,172$6,629$4,724$3,327$1,467
29 years$11,921$8,653$6,169$4,332$3,004$1,278
30 years$11,399$8,172$5,746$3,976$2,715$1,113
31 years$10,912$7,725$5,357$3,651$2,454$970
32 years$10,456$7,310$4,998$3,356$2,220$845
33 years$10,029$6,922$4,667$3,086$2,009$737
34 years$9,627$6,561$4,361$2,839$1,819$643
35 years$9,250$6,223$4,077$2,614$1,648$561
36 years$8,894$5,906$3,814$2,407$1,493$489
37 years$8,558$5,610$3,570$2,218$1,353$427
38 years$8,241$5,331$3,343$2,044$1,227$372
39 years$7,941$5,069$3,132$1,885$1,112$325
40 years$7,656$4,823$2,936$1,739$1,009$284
41 years$7,386$4,591$2,753$1,604$915$248
42 years$7,130$4,372$2,582$1,480$831$216
43 years$6,886$4,166$2,423$1,367$754$189
44 years$6,654$3,971$2,274$1,262$684$165
45 years$6,432$3,787$2,135$1,165$621$144
46 years$6,221$3,613$2,006$1,076$564$126
47 years$6,020$3,447$1,884$994$512$110
48 years$5,828$3,291$1,771$919$465$96
49 years$5,644$3,143$1,664$849$422$84
50 years$5,468$3,002$1,565$785$384$73

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 $6,531 every year, while hoping to spend $51,825 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: 49/25/26 Blend
39$5,600,000$5,600,000$5,600,000$5,600,000
40$6,177,937$5,881,137$5,794,337$6,434,809
41$6,752,945$6,114,171$5,933,306$6,848,147
42$7,384,867$6,356,887$6,075,193$7,291,274
43$8,079,453$6,609,705$6,220,042$7,771,688
44$8,843,039$6,873,062$6,367,895$8,292,935
45$9,682,605$7,147,417$6,518,795$8,858,917
46$10,605,840$7,433,250$6,672,784$9,473,923
47$11,621,216$7,731,060$6,829,903$10,142,670
48$12,738,069$8,041,371$6,990,194$10,870,347
49$13,966,683$8,364,729$7,153,696$11,662,662
50$15,318,389$8,701,705$7,320,449$12,525,895
51$16,805,673$9,052,897$7,490,492$13,466,954
52$18,442,291$9,418,928$7,663,864$14,493,441
53$20,243,401$9,800,452$7,840,600$15,613,723
54$22,225,705$10,198,151$8,020,736$16,837,007
55$24,407,604$10,612,737$8,204,308$18,173,426
56$26,809,375$11,044,957$8,391,348$19,634,134
57$29,453,361$11,495,590$8,581,888$21,231,408
58$32,364,181$11,965,450$8,775,958$22,978,765
59$35,568,961$12,455,391$8,973,586$24,891,082
60$39,097,593$12,966,304$9,174,800$26,984,744
61$42,983,015$13,499,120$9,379,623$29,277,785
62$47,261,520$14,054,815$9,588,078$31,790,066
63$51,973,101$14,634,407$9,800,184$34,543,455
64$57,161,827$15,238,962$10,015,960$37,562,033
65$62,876,258$15,869,596$10,235,419$40,872,318
66$69,169,905$16,527,475$10,458,574$44,503,513
67$76,101,733$17,213,818$10,685,434$48,487,781
68$83,736,716$17,929,901$10,916,002$52,860,545
69$92,146,455$18,677,060$11,150,282$57,660,816
70$101,409,847$19,456,691$11,388,271$62,931,564
71$111,613,836$20,270,253$11,629,963$68,720,119
72$122,854,228$21,119,276$11,875,347$75,078,612
73$135,236,597$22,005,358$12,124,408$82,064,466
74$148,877,282$22,930,172$12,377,128$89,740,936
75$163,904,482$23,895,469$12,633,479$98,177,700
76$180,459,471$24,903,079$12,893,433$107,451,514
77$198,697,927$25,954,919$13,156,952$117,646,936
78$218,791,399$27,052,994$13,423,994$128,857,112
79$240,928,934$28,199,403$13,694,510$141,184,663
80$265,318,853$29,396,341$13,968,444$154,742,637
81$292,190,722$30,646,107$14,245,732$169,655,583
82$321,797,515$31,951,107$14,526,304$186,060,714
83$354,418,007$33,313,856$14,810,081$204,109,201
84$390,359,399$34,736,990$15,096,973$223,967,595
85$429,960,221$36,223,266$15,386,886$245,819,393
86$473,593,529$37,775,572$15,679,712$269,866,766
87$521,670,421$39,396,927$15,975,334$296,332,461
88$574,643,922$41,090,494$16,273,626$325,461,898
89$633,013,259$42,859,585$16,574,449$357,525,479
90$697,328,571$44,707,664$16,877,653$392,821,140
91$768,196,105$46,638,360$17,183,074$431,677,150
92$846,283,939$48,655,471$17,490,538$474,455,205
93$932,328,284$50,762,972$17,799,855$521,553,839
94$1,027,140,439$52,965,028$18,110,820$573,412,173
95$1,131,614,447$55,265,997$18,423,215$630,514,058
96$1,246,735,532$57,670,442$18,736,804$693,392,629
97$1,373,589,404$60,183,142$19,051,335$762,635,335
98$1,513,372,507$62,809,100$19,366,539$838,889,471
99$1,667,403,312$65,553,555$19,682,127$922,868,281
100$1,837,134,763$68,421,993$19,997,792$1,015,357,685