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

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 $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%11.9%
1 years$611,085$605,642$600,331$595,148$590,086$585,387
2 years$302,517$296,883$291,423$286,129$280,994$276,256
3 years$199,675$194,016$188,570$183,325$178,274$173,645
4 years$148,264$142,623$137,231$132,076$127,146$122,663
5 years$117,425$111,818$106,497$101,447$96,655$92,329
6 years$96,873$91,308$86,065$81,128$76,480$72,317
7 years$82,198$76,680$71,520$66,700$62,198$58,201
8 years$71,197$65,729$60,655$55,953$51,600$47,768
9 years$62,646$57,229$52,242$47,659$43,454$39,786
10 years$55,808$50,444$45,546$41,083$37,025$33,519
11 years$50,218$44,908$40,098$35,754$31,843$28,497
12 years$45,562$40,307$35,586$31,361$27,594$24,404
13 years$41,626$36,426$31,794$27,687$24,063$21,026
14 years$38,255$33,110$28,567$24,578$21,093$18,205
15 years$35,336$30,246$25,792$21,919$18,572$15,829
16 years$32,785$27,751$23,384$19,626$16,414$13,812
17 years$30,536$25,557$21,279$17,634$14,554$12,089
18 years$28,539$23,616$19,425$15,892$12,941$10,607
19 years$26,754$21,887$17,782$14,360$11,534$9,328
20 years$25,150$20,339$16,320$13,005$10,303$8,219
21 years$23,701$18,945$15,011$11,803$9,220$7,254
22 years$22,385$17,684$13,835$10,732$8,264$6,412
23 years$21,185$16,540$12,774$9,774$7,418$5,674
24 years$20,087$15,496$11,814$8,914$6,668$5,027
25 years$19,078$14,543$10,942$8,141$6,000$4,458
26 years$18,149$13,668$10,148$7,444$5,405$3,957
27 years$17,289$12,863$9,423$6,813$4,873$3,515
28 years$16,493$12,121$8,760$6,242$4,397$3,125
29 years$15,753$11,434$8,152$5,724$3,970$2,779
30 years$15,063$10,799$7,594$5,254$3,587$2,473
31 years$14,419$10,208$7,079$4,825$3,243$2,202
32 years$13,817$9,659$6,605$4,434$2,934$1,961
33 years$13,252$9,147$6,167$4,078$2,655$1,747
34 years$12,722$8,670$5,762$3,752$2,404$1,557
35 years$12,223$8,223$5,387$3,454$2,177$1,388
36 years$11,753$7,805$5,040$3,181$1,973$1,238
37 years$11,309$7,413$4,717$2,931$1,788$1,104
38 years$10,890$7,045$4,417$2,701$1,621$985
39 years$10,493$6,699$4,139$2,491$1,470$879
40 years$10,117$6,373$3,879$2,297$1,333$785
41 years$9,760$6,067$3,637$2,120$1,210$700
42 years$9,421$5,778$3,412$1,956$1,098$625
43 years$9,099$5,505$3,202$1,806$996$558
44 years$8,792$5,248$3,005$1,667$904$498
45 years$8,500$5,004$2,822$1,540$821$445
46 years$8,221$4,774$2,650$1,422$745$397
47 years$7,955$4,556$2,490$1,314$677$355
48 years$7,701$4,349$2,340$1,214$615$317
49 years$7,458$4,153$2,199$1,122$558$283
50 years$7,225$3,967$2,068$1,037$507$253

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 $3,370 every year, while hoping to spend $47,337 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: 73/13/14 Blend
39$7,400,000$7,400,000$7,400,000$7,400,000
40$8,158,276$7,766,076$7,651,376$8,728,847
41$8,940,054$8,096,248$7,857,331$9,437,186
42$9,799,987$8,441,011$8,068,599$10,206,687
43$10,745,996$8,801,031$8,285,308$11,048,305
44$11,786,811$9,177,005$8,507,588$11,969,176
45$12,932,047$9,569,659$8,735,574$12,977,155
46$14,192,301$9,979,758$8,969,401$14,080,890
47$15,579,248$10,408,099$9,209,209$15,289,903
48$17,105,753$10,855,517$9,455,139$16,614,677
49$18,785,991$11,322,888$9,707,336$18,066,755
50$20,635,579$11,811,127$9,965,949$19,658,849
51$22,671,728$12,321,192$10,231,128$21,404,955
52$24,913,400$12,854,087$10,503,028$23,320,487
53$27,381,492$13,410,862$10,781,804$25,422,423
54$30,099,027$13,992,617$11,067,617$27,729,456
55$33,091,376$14,600,504$11,360,631$30,262,178
56$36,386,496$15,235,728$11,661,012$33,043,267
57$40,015,192$15,899,551$11,968,928$36,097,702
58$44,011,409$16,593,297$12,284,555$39,452,996
59$48,412,551$17,318,347$12,608,067$43,139,453
60$53,259,838$18,076,153$12,939,643$47,190,456
61$58,598,688$18,868,231$13,279,468$51,642,777
62$64,479,151$19,696,171$13,627,726$56,536,922
63$70,956,378$20,561,637$13,984,609$61,917,513
64$78,091,143$21,466,371$14,350,308$67,833,706
65$85,950,416$22,412,200$14,725,020$74,339,654
66$94,607,996$23,401,035$15,108,945$81,495,014
67$104,145,204$24,434,878$15,502,287$89,365,508
68$114,651,653$25,515,826$15,905,252$98,023,544
69$126,226,095$26,646,075$16,318,052$107,548,893
70$138,977,349$27,827,925$16,740,899$118,029,441
71$153,025,332$29,063,786$17,174,012$129,562,016
72$168,502,185$30,356,181$17,617,611$142,253,298
73$185,553,528$31,707,754$18,071,921$156,220,824
74$204,339,828$33,121,274$18,537,170$171,594,096
75$225,037,916$34,599,642$19,013,591$188,515,795
76$247,842,654$36,145,895$19,501,417$207,143,131
77$272,968,778$37,763,217$20,000,888$227,649,317
78$300,652,921$39,454,943$20,512,245$250,225,206
79$331,155,849$41,224,565$21,035,735$275,081,086
80$364,764,920$43,075,742$21,571,606$302,448,660
81$401,796,797$45,012,310$22,120,111$332,583,232
82$442,600,441$47,038,283$22,681,505$365,766,111
83$487,560,398$49,157,871$23,256,048$402,307,260
84$537,100,435$51,375,483$23,844,001$442,548,224
85$591,687,534$53,695,736$24,445,630$486,865,339
86$651,836,308$56,123,473$25,061,204$535,673,291
87$718,113,850$58,663,762$25,690,994$589,429,014
88$791,145,095$61,321,919$26,335,274$648,636,008
89$871,618,711$64,103,509$26,994,322$713,849,079
90$960,293,606$67,014,367$27,668,418$785,679,575
91$1,058,006,088$70,060,605$28,357,844$864,801,147
92$1,165,677,763$73,248,629$29,062,886$951,956,106
93$1,284,324,233$76,585,150$29,783,831$1,047,962,420
94$1,415,064,685$80,077,202$30,520,969$1,153,721,432
95$1,559,132,453$83,732,155$31,274,591$1,270,226,358
96$1,717,886,665$87,557,733$32,044,992$1,398,571,659
97$1,892,825,071$91,562,028$32,832,466$1,539,963,362
98$2,085,598,186$95,753,525$33,637,311$1,695,730,439
99$2,298,024,864$100,141,110$34,459,824$1,867,337,344
100$2,532,109,476$104,734,101$35,300,304$2,056,397,826