Can I retire at age 40 with 5,800,000?

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 $5,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.6%
1 years$478,959$474,692$470,530$466,467$462,500$455,589
2 years$237,108$232,692$228,413$224,263$220,238$213,291
3 years$156,502$152,067$147,798$143,688$139,728$132,960
4 years$116,207$111,785$107,559$103,519$99,655$93,120
5 years$92,036$87,641$83,470$79,512$75,756$69,472
6 years$75,927$71,566$67,456$63,587$59,943$53,917
7 years$64,426$60,101$56,057$52,278$48,750$42,984
8 years$55,803$51,517$47,540$43,855$40,443$34,937
9 years$49,101$44,855$40,947$37,355$34,059$28,809
10 years$43,742$39,538$35,698$32,200$29,020$24,023
11 years$39,360$35,198$31,428$28,024$24,958$20,209
12 years$35,711$31,592$27,892$24,580$21,628$17,121
13 years$32,626$28,550$24,919$21,701$18,860$14,589
14 years$29,984$25,951$22,390$19,264$16,533$12,490
15 years$27,696$23,707$20,215$17,180$14,557$10,736
16 years$25,696$21,750$18,328$15,383$12,865$9,258
17 years$23,933$20,031$16,678$13,821$11,407$8,007
18 years$22,368$18,510$15,225$12,456$10,143$6,941
19 years$20,970$17,155$13,938$11,255$9,040$6,029
20 years$19,712$15,941$12,791$10,193$8,075$5,246
21 years$18,576$14,848$11,765$9,251$7,226$4,572
22 years$17,545$13,860$10,844$8,411$6,477$3,989
23 years$16,605$12,963$10,012$7,660$5,814$3,485
24 years$15,744$12,146$9,260$6,987$5,226$3,047
25 years$14,953$11,398$8,576$6,381$4,703$2,667
26 years$14,225$10,713$7,954$5,834$4,236$2,335
27 years$13,551$10,082$7,386$5,340$3,819$2,046
28 years$12,927$9,500$6,866$4,893$3,446$1,794
29 years$12,347$8,962$6,390$4,487$3,112$1,574
30 years$11,806$8,464$5,952$4,118$2,812$1,381
31 years$11,302$8,001$5,549$3,782$2,542$1,213
32 years$10,830$7,571$5,177$3,476$2,299$1,065
33 years$10,387$7,170$4,834$3,196$2,081$936
34 years$9,971$6,795$4,516$2,941$1,884$822
35 years$9,580$6,445$4,222$2,707$1,706$723
36 years$9,212$6,117$3,950$2,493$1,546$635
37 years$8,864$5,810$3,697$2,297$1,401$558
38 years$8,535$5,522$3,462$2,117$1,270$491
39 years$8,224$5,250$3,244$1,952$1,152$432
40 years$7,930$4,995$3,040$1,801$1,045$380
41 years$7,650$4,755$2,851$1,661$948$334
42 years$7,384$4,529$2,674$1,533$860$294
43 years$7,132$4,315$2,509$1,415$781$259
44 years$6,891$4,113$2,355$1,307$709$228
45 years$6,662$3,922$2,212$1,207$643$200
46 years$6,444$3,742$2,077$1,115$584$176
47 years$6,235$3,571$1,952$1,030$530$155
48 years$6,036$3,409$1,834$952$482$136
49 years$5,845$3,255$1,724$880$437$120
50 years$5,663$3,109$1,621$813$397$106

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $5,800,000, adding $3,393 every year, while hoping to spend $31,794 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: 40/32/28 Blend
39$5,800,000$5,800,000$5,800,000$5,800,000
40$6,395,100$6,087,700$5,997,800$6,597,892
41$7,013,571$6,352,169$6,164,898$7,010,104
42$7,694,062$6,628,531$6,336,528$7,452,570
43$8,442,863$6,917,335$6,512,808$7,930,672
44$9,266,907$7,219,158$6,693,860$8,447,694
45$10,173,835$7,534,600$6,879,807$9,007,242
46$11,172,064$7,864,292$7,070,778$9,613,275
47$12,270,867$8,208,895$7,266,902$10,270,140
48$13,480,464$8,569,100$7,468,312$10,982,613
49$14,812,117$8,945,631$7,675,146$11,755,940
50$16,278,232$9,339,247$7,887,543$12,595,885
51$17,892,483$9,750,741$8,105,646$13,508,785
52$19,669,934$10,180,945$8,329,603$14,501,601
53$21,627,186$10,630,730$8,559,564$15,581,986
54$23,782,532$11,101,008$8,795,682$16,758,355
55$26,156,128$11,592,736$9,038,115$18,039,960
56$28,770,186$12,106,913$9,287,025$19,436,974
57$31,649,181$12,644,588$9,542,577$20,960,585
58$34,820,084$13,206,859$9,804,939$22,623,099
59$38,312,613$13,794,876$10,074,285$24,438,054
60$42,159,518$14,409,843$10,350,792$26,420,340
61$46,396,886$15,053,023$10,634,641$28,586,341
62$51,064,484$15,725,737$10,926,018$30,954,084
63$56,206,134$16,429,370$11,225,111$33,543,405
64$61,870,124$17,165,373$11,532,116$36,376,134
65$68,109,666$17,935,266$11,847,232$39,476,292
66$74,983,398$18,740,640$12,170,660$42,870,323
67$82,555,937$19,583,163$12,502,610$46,587,328
68$90,898,488$20,464,584$12,843,293$50,659,344
69$100,089,517$21,386,733$13,192,927$55,121,636
70$110,215,493$22,351,527$13,551,734$60,013,027
71$121,371,698$23,360,977$13,919,942$65,376,259
72$133,663,134$24,417,188$14,297,784$71,258,391
73$147,205,510$25,522,366$14,685,495$77,711,236
74$162,126,333$26,678,823$15,083,321$84,791,846
75$178,566,115$27,888,982$15,491,508$92,563,045
76$196,679,696$29,155,379$15,910,311$101,094,010
77$216,637,707$30,480,674$16,339,988$110,460,924
78$238,628,181$31,867,655$16,780,805$120,747,685
79$262,858,326$33,319,240$17,233,033$132,046,687
80$289,556,482$34,838,491$17,696,947$144,459,693
81$318,974,280$36,428,613$18,172,830$158,098,776
82$351,389,007$38,092,966$18,660,972$173,087,379
83$387,106,237$39,835,072$19,161,665$189,561,465
84$426,462,704$41,658,622$19,675,212$207,670,793
85$469,829,487$43,567,482$20,201,919$227,580,322
86$517,615,511$45,565,704$20,742,099$249,471,757
87$570,271,407$47,657,538$21,296,073$273,545,255
88$628,293,767$49,847,433$21,864,168$300,021,303
89$692,229,829$52,140,055$22,446,716$329,142,786
90$762,682,648$54,540,295$23,044,057$361,177,270
91$840,316,784$57,053,275$23,656,538$396,419,515
92$925,864,577$59,684,367$24,284,514$435,194,242
93$1,020,133,064$62,439,200$24,928,345$477,859,186
94$1,124,011,590$65,323,674$25,588,398$524,808,459
95$1,238,480,212$68,343,974$26,265,049$576,476,254
96$1,364,618,945$71,506,581$26,958,680$633,340,929
97$1,503,617,963$74,818,289$27,669,681$695,929,506
98$1,656,788,829$78,286,219$28,398,449$764,822,628
99$1,825,576,881$81,917,835$29,145,389$840,660,023
100$2,011,574,875$85,720,961$29,910,912$924,146,523