Can I retire at age 40 with 8,700,000?

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 $8,700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.9%
1 years$718,438$712,038$705,795$699,701$693,750$671,543
2 years$355,662$349,038$342,619$336,395$330,357$308,189
3 years$234,753$228,100$221,697$215,531$209,592$188,158
4 years$174,310$167,678$161,339$155,278$149,483$128,947
5 years$138,054$131,462$125,205$119,269$113,635$94,052
6 years$113,891$107,348$101,185$95,380$89,915$71,303
7 years$96,638$90,151$84,085$78,417$73,125$55,481
8 years$83,705$77,276$71,311$65,782$60,664$43,976
9 years$73,651$67,283$61,420$56,032$51,088$35,337
10 years$65,612$59,306$53,547$48,300$43,530$28,691
11 years$59,040$52,797$47,142$42,035$37,437$23,484
12 years$53,566$47,388$41,837$36,871$32,442$19,345
13 years$48,939$42,825$37,379$32,551$28,290$16,017
14 years$44,976$38,926$33,585$28,895$24,799$13,316
15 years$41,544$35,560$30,323$25,770$21,835$11,107
16 years$38,544$32,626$27,492$23,074$19,298$9,290
17 years$35,900$30,047$25,017$20,732$17,111$7,789
18 years$33,553$27,765$22,837$18,683$15,214$6,542
19 years$31,454$25,732$20,906$16,882$13,561$5,503
20 years$29,569$23,911$19,187$15,290$12,113$4,635
21 years$27,864$22,273$17,648$13,877$10,839$3,909
22 years$26,317$20,791$16,265$12,617$9,716$3,299
23 years$24,907$19,445$15,018$11,491$8,722$2,787
24 years$23,616$18,219$13,889$10,480$7,839$2,355
25 years$22,430$17,097$12,864$9,571$7,054$1,992
26 years$21,337$16,069$11,931$8,751$6,354$1,685
27 years$20,327$15,123$11,079$8,010$5,729$1,426
28 years$19,390$14,250$10,299$7,339$5,169$1,207
29 years$18,520$13,443$9,584$6,730$4,668$1,023
30 years$17,709$12,696$8,928$6,177$4,217$866
31 years$16,953$12,002$8,323$5,673$3,813$734
32 years$16,244$11,356$7,765$5,213$3,449$622
33 years$15,580$10,754$7,251$4,794$3,121$527
34 years$14,957$10,193$6,775$4,411$2,826$447
35 years$14,370$9,668$6,334$4,061$2,560$379
36 years$13,818$9,176$5,925$3,740$2,319$321
37 years$13,296$8,715$5,546$3,446$2,102$272
38 years$12,803$8,282$5,193$3,176$1,906$231
39 years$12,336$7,876$4,866$2,928$1,728$196
40 years$11,894$7,493$4,561$2,701$1,567$166
41 years$11,475$7,133$4,276$2,492$1,422$141
42 years$11,076$6,793$4,011$2,300$1,290$119
43 years$10,697$6,472$3,764$2,123$1,171$101
44 years$10,337$6,169$3,533$1,960$1,063$86
45 years$9,993$5,883$3,318$1,810$965$73
46 years$9,665$5,612$3,116$1,672$876$62
47 years$9,353$5,356$2,927$1,545$796$52
48 years$9,054$5,113$2,751$1,428$723$44
49 years$8,768$4,883$2,586$1,319$656$38
50 years$8,494$4,664$2,431$1,219$596$32

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $8,700,000, adding $6,469 every year, while hoping to spend $45,218 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: 43/47/10 Blend
39$8,700,000$8,700,000$8,700,000$8,700,000
40$9,594,073$9,132,973$8,998,123$9,978,564
41$10,524,557$9,532,377$9,251,448$10,646,431
42$11,548,434$9,949,836$9,511,745$11,364,433
43$12,675,184$10,386,188$9,779,198$12,141,241
44$13,915,250$10,842,308$10,053,998$12,982,253
45$15,280,139$11,319,115$10,336,341$13,893,397
46$16,782,532$11,817,570$10,626,426$14,881,174
47$18,436,398$12,338,679$10,924,460$15,952,724
48$20,257,134$12,883,497$11,230,652$17,115,883
49$22,261,702$13,453,129$11,545,219$18,379,255
50$24,468,793$14,048,730$11,868,382$19,752,292
51$26,899,004$14,671,512$12,200,367$21,245,374
52$29,575,030$15,322,743$12,541,407$22,869,904
53$32,521,879$16,003,754$12,891,740$24,638,413
54$35,767,108$16,715,935$13,251,610$26,564,671
55$39,341,082$17,460,745$13,621,268$28,663,811
56$43,277,262$18,239,711$14,000,970$30,952,469
57$47,612,519$19,054,433$14,390,979$33,448,934
58$52,387,483$19,906,587$14,791,564$36,173,311
59$57,646,925$20,797,929$15,203,001$39,147,711
60$63,440,183$21,730,299$15,625,572$42,396,449
61$69,821,620$22,705,622$16,059,567$45,946,266
62$76,851,146$23,725,918$16,505,284$49,826,576
63$84,594,777$24,793,302$16,963,025$54,069,738
64$93,125,260$25,909,990$17,433,102$58,711,346
65$102,522,760$27,078,302$17,915,834$63,790,565
66$112,875,614$28,300,672$18,411,547$69,350,490
67$124,281,168$29,579,647$18,920,575$75,438,538
68$136,846,695$30,917,897$19,443,262$82,106,894
69$150,690,404$32,318,220$19,979,958$89,412,989
70$165,942,560$33,783,547$20,531,021$97,420,032
71$182,746,710$35,316,950$21,096,819$106,197,597
72$201,261,041$36,921,648$21,677,729$115,822,269
73$221,659,870$38,601,011$22,274,136$126,378,352
74$244,135,291$40,358,575$22,886,434$137,958,654
75$268,898,988$42,198,042$23,515,026$150,665,353
76$296,184,231$44,123,293$24,160,326$164,610,942
77$326,248,082$46,138,393$24,822,756$179,919,281
78$359,373,817$48,247,605$25,502,749$196,726,749
79$395,873,603$50,455,394$26,200,748$215,183,517
80$436,091,442$52,766,440$26,917,204$235,454,949
81$480,406,420$55,185,647$27,652,582$257,723,144
82$529,236,286$57,718,155$28,407,355$282,188,641
83$583,041,394$60,369,351$29,182,008$309,072,288
84$642,329,047$63,144,880$29,977,036$338,617,313
85$707,658,290$66,050,659$30,792,947$371,091,593
86$779,645,184$69,092,890$31,630,259$406,790,166
87$858,968,622$72,278,070$32,489,501$446,037,992
88$946,376,739$75,613,013$33,371,217$489,192,998
89$1,042,693,973$79,104,858$34,275,960$536,649,429
90$1,148,828,850$82,761,087$35,204,296$588,841,548
91$1,265,782,557$86,589,545$36,156,804$646,247,704
92$1,394,658,396$90,598,452$37,134,076$709,394,824
93$1,536,672,201$94,796,424$38,136,716$778,863,353
94$1,693,163,812$99,192,495$39,165,342$855,292,704
95$1,865,609,725$103,796,131$40,220,585$939,387,266
96$2,055,637,031$108,617,257$41,303,090$1,031,923,010
97$2,265,038,780$113,666,273$42,413,514$1,133,754,787
98$2,495,790,899$118,954,085$43,552,531$1,245,824,358
99$2,750,070,858$124,492,121$44,720,827$1,369,169,244
100$3,030,278,214$130,292,364$45,919,104$1,504,932,481