Can I retire at age 40 with 5,900,000?

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 $5,900,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.8%
1 years$487,216$482,877$478,642$474,510$470,474$461,164
2 years$241,196$236,704$232,351$228,130$224,035$214,694
3 years$159,200$154,689$150,346$146,165$142,137$133,057
4 years$118,210$113,713$109,414$105,304$101,373$92,624
5 years$93,623$89,152$84,909$80,883$77,063$68,669
6 years$77,236$72,799$68,619$64,683$60,977$52,949
7 years$65,536$61,137$57,023$53,179$49,591$41,929
8 years$56,765$52,406$48,360$44,611$41,140$33,843
9 years$49,947$45,628$41,653$37,999$34,646$27,709
10 years$44,496$40,219$36,314$32,755$29,520$22,936
11 years$40,038$35,805$31,970$28,507$25,388$19,150
12 years$36,327$32,136$28,373$25,004$22,001$16,099
13 years$33,188$29,042$25,349$22,075$19,185$13,609
14 years$30,501$26,398$22,776$19,596$16,818$11,558
15 years$28,174$24,115$20,564$17,476$14,808$9,853
16 years$26,139$22,125$18,644$15,648$13,087$8,426
17 years$24,346$20,377$16,965$14,059$11,604$7,224
18 years$22,754$18,829$15,487$12,670$10,318$6,208
19 years$21,331$17,450$14,178$11,449$9,196$5,345
20 years$20,052$16,216$13,012$10,369$8,214$4,610
21 years$18,897$15,104$11,968$9,411$7,351$3,981
22 years$17,847$14,099$11,031$8,556$6,589$3,442
23 years$16,891$13,187$10,185$7,792$5,915$2,979
24 years$16,015$12,355$9,419$7,107$5,316$2,580
25 years$15,211$11,595$8,724$6,491$4,784$2,237
26 years$14,470$10,897$8,091$5,935$4,309$1,940
27 years$13,785$10,256$7,513$5,432$3,885$1,684
28 years$13,150$9,664$6,985$4,977$3,506$1,462
29 years$12,560$9,117$6,500$4,564$3,165$1,270
30 years$12,010$8,610$6,054$4,189$2,860$1,104
31 years$11,497$8,139$5,644$3,847$2,586$959
32 years$11,016$7,701$5,266$3,535$2,339$834
33 years$10,566$7,293$4,917$3,251$2,117$725
34 years$10,143$6,912$4,594$2,991$1,917$631
35 years$9,745$6,556$4,295$2,754$1,736$549
36 years$9,371$6,223$4,018$2,536$1,573$478
37 years$9,017$5,910$3,761$2,337$1,426$416
38 years$8,682$5,617$3,522$2,154$1,292$362
39 years$8,366$5,341$3,300$1,986$1,172$315
40 years$8,066$5,082$3,093$1,832$1,063$274
41 years$7,782$4,837$2,900$1,690$964$239
42 years$7,512$4,607$2,720$1,560$875$208
43 years$7,255$4,389$2,553$1,440$794$181
44 years$7,010$4,184$2,396$1,329$721$158
45 years$6,777$3,990$2,250$1,228$654$137
46 years$6,555$3,806$2,113$1,134$594$120
47 years$6,343$3,632$1,985$1,048$540$104
48 years$6,140$3,467$1,866$968$490$91
49 years$5,946$3,311$1,754$895$445$79
50 years$5,760$3,163$1,649$827$404$69

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $5,900,000, adding $3,540 every year, while hoping to spend $32,807 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: 63/29/8 Blend
39$5,900,000$5,900,000$5,900,000$5,900,000
40$6,505,452$6,192,752$6,101,302$6,904,531
41$7,134,101$6,461,290$6,270,789$7,439,812
42$7,825,774$6,741,887$6,444,854$8,019,853
43$8,586,862$7,035,100$6,623,617$8,652,317
44$9,424,412$7,341,509$6,807,198$9,342,281
45$10,346,185$7,661,727$6,995,722$10,095,330
46$11,360,735$7,996,390$7,189,317$10,917,606
47$12,477,484$8,346,167$7,388,114$11,815,867
48$13,706,818$8,711,759$7,592,246$12,797,546
49$15,060,177$9,093,899$7,801,850$13,870,821
50$16,550,169$9,493,355$8,017,066$15,044,690
51$18,190,688$9,910,930$8,238,039$16,329,055
52$19,997,040$10,347,468$8,464,915$17,734,811
53$21,986,093$10,803,849$8,697,845$19,273,951
54$24,176,434$11,280,997$8,936,982$20,959,672
55$26,588,544$11,779,880$9,182,485$22,806,501
56$29,244,993$12,301,511$9,434,515$24,830,428
57$32,170,648$12,846,951$9,693,238$27,049,055
58$35,392,914$13,417,312$9,958,821$29,481,759
59$38,941,988$14,013,757$10,231,439$32,149,875
60$42,851,146$14,637,506$10,511,267$35,076,891
61$47,157,057$15,289,837$10,798,488$38,288,666
62$51,900,125$15,972,088$11,093,286$41,813,676
63$57,124,878$16,685,660$11,395,851$45,683,275
64$62,880,379$17,432,022$11,706,376$49,931,992
65$69,220,699$18,212,711$12,025,060$54,597,846
66$76,205,416$19,029,340$12,352,106$59,722,710
67$83,900,186$19,883,596$12,687,719$65,352,697
68$92,377,361$20,777,248$13,032,114$71,538,593
69$101,716,667$21,712,148$13,385,505$78,336,330
70$112,005,962$22,690,239$13,748,114$85,807,514
71$123,342,062$23,713,552$14,120,168$94,019,998
72$135,831,657$24,784,221$14,501,898$103,048,519
73$149,592,314$25,904,476$14,893,540$112,975,400
74$164,753,592$27,076,657$15,295,335$123,891,320
75$181,458,261$28,303,215$15,707,531$135,896,163
76$199,863,649$29,586,718$16,130,379$149,099,959
77$220,143,131$30,929,858$16,564,137$163,623,917
78$242,487,763$32,335,453$17,009,067$179,601,556
79$267,108,082$33,806,458$17,465,439$197,179,967
80$294,236,102$35,345,969$17,933,526$216,521,192
81$324,127,493$36,957,231$18,413,608$237,803,744
82$357,064,005$38,643,643$18,905,972$261,224,287
83$393,356,119$40,408,767$19,410,908$286,999,485
84$433,345,984$42,256,337$19,928,714$315,368,038
85$477,410,643$44,190,266$20,459,694$346,592,929
86$525,965,593$46,214,654$21,004,158$380,963,893
87$579,468,708$48,333,797$21,562,423$418,800,148
88$638,424,562$50,552,199$22,134,810$460,453,396
89$703,389,190$52,874,578$22,721,648$506,311,132
90$774,975,337$55,305,883$23,323,273$556,800,296
91$853,858,245$57,851,295$23,940,026$612,391,285
92$940,782,026$60,516,248$24,572,257$673,602,388
93$1,036,566,685$63,306,437$25,220,320$741,004,664
94$1,142,115,864$66,227,829$25,884,577$815,227,322
95$1,258,425,369$69,286,679$26,565,398$896,963,643
96$1,386,592,574$72,489,544$27,263,156$986,977,518
97$1,527,826,781$75,843,296$27,978,236$1,086,110,638
98$1,683,460,633$79,355,137$28,711,027$1,195,290,426
99$1,854,962,696$83,032,618$29,461,925$1,315,538,782
100$2,043,951,325$86,883,651$30,231,334$1,447,981,705