Can I retire at age 40 with 7,400,000?

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 $7,400,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%20%
1 years$611,085$605,642$600,331$595,148$590,086$566,450
2 years$302,517$296,883$291,423$286,129$280,994$257,477
3 years$199,675$194,016$188,570$183,325$178,274$155,618
4 years$148,264$142,623$137,231$132,076$127,146$105,524
5 years$117,425$111,818$106,497$101,447$96,655$76,119
6 years$96,873$91,308$86,065$81,128$76,480$57,045
7 years$82,198$76,680$71,520$66,700$62,198$43,857
8 years$71,197$65,729$60,655$55,953$51,600$34,332
9 years$62,646$57,229$52,242$47,659$43,454$27,235
10 years$55,808$50,444$45,546$41,083$37,025$21,821
11 years$50,218$44,908$40,098$35,754$31,843$17,619
12 years$45,562$40,307$35,586$31,361$27,594$14,311
13 years$41,626$36,426$31,794$27,687$24,063$11,680
14 years$38,255$33,110$28,567$24,578$21,093$9,569
15 years$35,336$30,246$25,792$21,919$18,572$7,864
16 years$32,785$27,751$23,384$19,626$16,414$6,478
17 years$30,536$25,557$21,279$17,634$14,554$5,347
18 years$28,539$23,616$19,425$15,892$12,941$4,421
19 years$26,754$21,887$17,782$14,360$11,534$3,661
20 years$25,150$20,339$16,320$13,005$10,303$3,034
21 years$23,701$18,945$15,011$11,803$9,220$2,517
22 years$22,385$17,684$13,835$10,732$8,264$2,090
23 years$21,185$16,540$12,774$9,774$7,418$1,736
24 years$20,087$15,496$11,814$8,914$6,668$1,443
25 years$19,078$14,543$10,942$8,141$6,000$1,200
26 years$18,149$13,668$10,148$7,444$5,405$998
27 years$17,289$12,863$9,423$6,813$4,873$831
28 years$16,493$12,121$8,760$6,242$4,397$691
29 years$15,753$11,434$8,152$5,724$3,970$576
30 years$15,063$10,799$7,594$5,254$3,587$479
31 years$14,419$10,208$7,079$4,825$3,243$399
32 years$13,817$9,659$6,605$4,434$2,934$332
33 years$13,252$9,147$6,167$4,078$2,655$277
34 years$12,722$8,670$5,762$3,752$2,404$231
35 years$12,223$8,223$5,387$3,454$2,177$192
36 years$11,753$7,805$5,040$3,181$1,973$160
37 years$11,309$7,413$4,717$2,931$1,788$133
38 years$10,890$7,045$4,417$2,701$1,621$111
39 years$10,493$6,699$4,139$2,491$1,470$93
40 years$10,117$6,373$3,879$2,297$1,333$77
41 years$9,760$6,067$3,637$2,120$1,210$64
42 years$9,421$5,778$3,412$1,956$1,098$54
43 years$9,099$5,505$3,202$1,806$996$45
44 years$8,792$5,248$3,005$1,667$904$37
45 years$8,500$5,004$2,822$1,540$821$31
46 years$8,221$4,774$2,650$1,422$745$26
47 years$7,955$4,556$2,490$1,314$677$22
48 years$7,701$4,349$2,340$1,214$615$18
49 years$7,458$4,153$2,199$1,122$558$15
50 years$7,225$3,967$2,068$1,037$507$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $7,400,000, adding $5,462 every year, while hoping to spend $56,749 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: 68/23/9 Blend
39$7,400,000$7,400,000$7,400,000$7,400,000
40$8,160,434$7,768,234$7,653,534$8,700,767
41$8,932,418$8,088,497$7,849,547$9,380,284
42$9,781,242$8,422,551$8,050,224$10,115,782
43$10,714,684$8,771,012$8,255,662$10,918,612
44$11,741,314$9,134,523$8,465,959$11,795,362
45$12,870,572$9,513,759$8,681,213$12,753,277
46$14,112,862$9,909,425$8,901,525$13,800,334
47$15,479,644$10,322,257$9,126,996$14,945,308
48$16,983,547$10,753,026$9,357,730$16,197,858
49$18,638,485$11,202,541$9,593,830$17,568,615
50$20,459,789$11,671,644$9,835,402$19,069,282
51$22,464,352$12,161,219$10,082,552$20,712,740
52$24,670,786$12,672,189$10,335,388$22,513,170
53$27,099,602$13,205,521$10,594,019$24,486,184
54$29,773,397$13,762,228$10,858,554$26,648,972
55$32,717,073$14,343,366$11,129,105$29,020,460
56$35,958,067$14,950,044$11,405,783$31,621,486
57$39,526,615$15,583,421$11,688,702$34,474,996
58$43,456,030$16,244,709$11,977,973$37,606,260
59$47,783,023$16,935,178$12,273,714$41,043,102
60$52,548,045$17,656,156$12,576,037$44,816,169
61$57,795,672$18,409,033$12,885,060$48,959,207
62$63,575,019$19,195,264$13,200,898$53,509,386
63$69,940,212$20,016,373$13,523,669$58,507,643
64$76,950,891$20,873,953$13,853,490$63,999,067
65$84,672,778$21,769,673$14,190,478$70,033,321
66$93,178,294$22,705,279$14,534,751$76,665,105
67$102,547,243$23,682,601$14,886,428$83,954,676
68$112,867,564$24,703,551$15,245,626$91,968,404
69$124,236,164$25,770,133$15,612,463$100,779,401
70$136,759,829$26,884,445$15,987,057$110,468,206
71$150,556,232$28,048,684$16,369,523$121,123,541
72$165,755,045$29,265,147$16,759,980$132,843,142
73$182,499,163$30,536,243$17,158,543$145,734,680
74$200,946,050$31,864,491$17,565,326$159,916,771
75$221,269,226$33,252,530$17,980,444$175,520,094
76$243,659,907$34,703,124$18,404,009$192,688,614
77$268,328,806$36,219,165$18,836,131$211,580,940
78$295,508,123$37,803,683$19,276,920$232,371,815
79$325,453,738$39,459,851$19,726,484$255,253,763
80$358,447,626$41,190,990$20,184,928$280,438,894
81$394,800,515$43,000,579$20,652,354$308,160,905
82$434,854,822$44,892,262$21,128,863$338,677,280
83$478,987,886$46,869,855$21,614,551$372,271,709
84$527,615,524$48,937,352$22,109,513$409,256,766
85$581,195,965$51,098,939$22,613,839$449,976,844
86$640,234,165$53,358,999$23,127,614$494,811,407
87$705,286,583$55,722,123$23,650,922$544,178,555
88$776,966,426$58,193,119$24,183,840$598,538,971
89$855,949,442$60,777,022$24,726,439$658,400,256
90$942,980,298$63,479,109$25,278,788$724,321,712
91$1,038,879,608$66,304,905$25,840,946$796,919,615
92$1,144,551,680$69,260,197$26,412,969$876,873,019
93$1,260,993,053$72,351,048$26,994,906$964,930,158
94$1,389,301,904$75,583,810$27,586,795$1,061,915,501
95$1,530,688,417$78,965,135$28,188,672$1,168,737,517
96$1,686,486,203$82,501,993$28,800,559$1,286,397,247
97$1,858,164,890$86,201,686$29,422,473$1,415,997,737
98$2,047,344,003$90,071,863$30,054,419$1,558,754,438
99$2,255,808,243$94,120,536$30,696,394$1,716,006,669
100$2,485,524,343$98,356,101$31,348,382$1,889,230,247