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%18.7%
1 years$487,216$482,877$478,642$474,510$470,474$453,962
2 years$241,196$236,704$232,351$228,130$224,035$207,573
3 years$159,200$154,689$150,346$146,165$142,137$126,242
4 years$118,210$113,713$109,414$105,304$101,373$86,167
5 years$93,623$89,152$84,909$80,883$77,063$62,584
6 years$77,236$72,799$68,619$64,683$60,977$47,238
7 years$65,536$61,137$57,023$53,179$49,591$36,589
8 years$56,765$52,406$48,360$44,611$41,140$28,865
9 years$49,947$45,628$41,653$37,999$34,646$23,081
10 years$44,496$40,219$36,314$32,755$29,520$18,646
11 years$40,038$35,805$31,970$28,507$25,388$15,183
12 years$36,327$32,136$28,373$25,004$22,001$12,441
13 years$33,188$29,042$25,349$22,075$19,185$10,244
14 years$30,501$26,398$22,776$19,596$16,818$8,469
15 years$28,174$24,115$20,564$17,476$14,808$7,025
16 years$26,139$22,125$18,644$15,648$13,087$5,842
17 years$24,346$20,377$16,965$14,059$11,604$4,869
18 years$22,754$18,829$15,487$12,670$10,318$4,065
19 years$21,331$17,450$14,178$11,449$9,196$3,399
20 years$20,052$16,216$13,012$10,369$8,214$2,846
21 years$18,897$15,104$11,968$9,411$7,351$2,385
22 years$17,847$14,099$11,031$8,556$6,589$2,000
23 years$16,891$13,187$10,185$7,792$5,915$1,679
24 years$16,015$12,355$9,419$7,107$5,316$1,410
25 years$15,211$11,595$8,724$6,491$4,784$1,185
26 years$14,470$10,897$8,091$5,935$4,309$996
27 years$13,785$10,256$7,513$5,432$3,885$837
28 years$13,150$9,664$6,985$4,977$3,506$704
29 years$12,560$9,117$6,500$4,564$3,165$593
30 years$12,010$8,610$6,054$4,189$2,860$499
31 years$11,497$8,139$5,644$3,847$2,586$420
32 years$11,016$7,701$5,266$3,535$2,339$353
33 years$10,566$7,293$4,917$3,251$2,117$298
34 years$10,143$6,912$4,594$2,991$1,917$251
35 years$9,745$6,556$4,295$2,754$1,736$211
36 years$9,371$6,223$4,018$2,536$1,573$178
37 years$9,017$5,910$3,761$2,337$1,426$150
38 years$8,682$5,617$3,522$2,154$1,292$126
39 years$8,366$5,341$3,300$1,986$1,172$106
40 years$8,066$5,082$3,093$1,832$1,063$89
41 years$7,782$4,837$2,900$1,690$964$75
42 years$7,512$4,607$2,720$1,560$875$63
43 years$7,255$4,389$2,553$1,440$794$53
44 years$7,010$4,184$2,396$1,329$721$45
45 years$6,777$3,990$2,250$1,228$654$38
46 years$6,555$3,806$2,113$1,134$594$32
47 years$6,343$3,632$1,985$1,048$540$27
48 years$6,140$3,467$1,866$968$490$23
49 years$5,946$3,311$1,754$895$445$19
50 years$5,760$3,163$1,649$827$404$16

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 $4,463 every year, while hoping to spend $26,870 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: 33/46/21 Blend
39$5,900,000$5,900,000$5,900,000$5,900,000
40$6,506,404$6,193,704$6,102,254$6,678,940
41$7,141,467$6,468,606$6,278,090$7,082,800
42$7,840,407$6,756,077$6,458,916$7,514,995
43$8,609,709$7,056,706$6,644,870$7,980,243
44$9,456,523$7,371,107$6,836,096$8,481,469
45$10,388,722$7,699,926$7,032,740$9,021,882
46$11,414,987$8,043,837$7,234,952$9,604,996
47$12,544,879$8,403,549$7,442,886$10,234,663
48$13,788,935$8,779,801$7,656,701$10,915,108
49$15,158,766$9,173,371$7,876,560$11,650,962
50$16,667,166$9,585,072$8,102,630$12,447,306
51$18,328,232$10,015,755$8,335,083$13,309,717
52$20,157,498$10,466,314$8,574,096$14,244,313
53$22,172,083$10,937,684$8,819,848$15,257,808
54$24,390,849$11,430,844$9,072,526$16,357,577
55$26,834,581$11,946,821$9,332,322$17,551,714
56$29,526,184$12,486,691$9,599,430$18,849,111
57$32,490,897$13,051,580$9,874,053$20,259,533
58$35,756,531$13,642,670$10,156,396$21,793,710
59$39,353,733$14,261,197$10,446,672$23,463,429
60$43,316,277$14,908,459$10,745,098$25,281,646
61$47,681,376$15,585,812$11,051,898$27,262,597
62$52,490,041$16,294,682$11,367,301$29,421,934
63$57,787,463$17,036,559$11,691,543$31,776,861
64$63,623,440$17,813,006$12,024,866$34,346,294
65$70,052,849$18,625,661$12,367,516$37,151,035
66$77,136,161$19,476,240$12,719,750$40,213,958
67$84,940,016$20,366,543$13,081,829$43,560,222
68$93,537,848$21,298,453$13,454,019$47,217,499
69$103,010,577$22,273,946$13,836,598$51,216,231
70$113,447,379$23,295,092$14,229,847$55,589,906
71$124,946,521$24,364,061$14,634,056$60,375,372
72$137,616,291$25,483,126$15,049,523$65,613,170
73$151,576,023$26,654,669$15,476,552$71,347,912
74$166,957,219$27,881,189$15,915,457$77,628,693
75$183,904,789$29,165,302$16,366,560$84,509,546
76$202,578,428$30,509,751$16,830,189$92,049,939
77$223,154,110$31,917,412$17,306,683$100,315,329
78$245,825,762$33,391,298$17,796,390$109,377,768
79$270,807,085$34,934,567$18,299,664$119,316,573
80$298,333,577$36,550,529$18,816,872$130,219,061
81$328,664,752$38,242,656$19,348,387$142,181,363
82$362,086,593$40,014,582$19,894,595$155,309,318
83$398,914,250$41,870,121$20,455,889$169,719,459
84$439,495,016$43,813,269$21,032,673$185,540,099
85$484,211,601$45,848,214$21,625,361$202,912,525
86$533,485,754$47,979,345$22,234,380$221,992,320
87$587,782,234$50,211,266$22,860,165$242,950,817
88$647,613,205$52,548,801$23,503,163$265,976,692
89$713,543,065$54,997,006$24,163,833$291,277,735
90$786,193,781$57,561,182$24,842,644$319,082,790
91$866,250,754$60,246,887$25,540,080$349,643,897
92$954,469,291$63,059,946$26,256,634$383,238,649
93$1,051,681,740$66,006,464$26,992,812$420,172,795
94$1,158,805,341$69,092,844$27,749,135$460,783,100
95$1,276,850,889$72,325,797$28,526,134$505,440,504
96$1,406,932,277$75,712,358$29,324,356$554,553,598
97$1,550,277,008$79,259,902$30,144,361$608,572,458
98$1,708,237,786$82,976,161$30,986,721$667,992,863
99$1,882,305,289$86,869,242$31,852,025$733,360,953
100$2,074,122,236$90,947,641$32,740,874$805,278,351