Can I retire at age 40 with 1,220,000?

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 $1,220,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.9%
1 years$100,746$99,849$98,974$98,119$97,285$93,425
2 years$49,874$48,946$48,045$47,173$46,326$42,485
3 years$32,919$31,987$31,089$30,224$29,391$25,690
4 years$24,443$23,513$22,625$21,775$20,962$17,429
5 years$19,359$18,435$17,558$16,725$15,935$12,579
6 years$15,971$15,053$14,189$13,375$12,609$9,432
7 years$13,552$12,642$11,791$10,996$10,254$7,256
8 years$11,738$10,836$10,000$9,225$8,507$5,683
9 years$10,328$9,435$8,613$7,857$7,164$4,511
10 years$9,201$8,317$7,509$6,773$6,104$3,617
11 years$8,279$7,404$6,611$5,895$5,250$2,922
12 years$7,512$6,645$5,867$5,170$4,549$2,375
13 years$6,863$6,005$5,242$4,565$3,967$1,940
14 years$6,307$5,459$4,710$4,052$3,478$1,590
15 years$5,826$4,987$4,252$3,614$3,062$1,308
16 years$5,405$4,575$3,855$3,236$2,706$1,078
17 years$5,034$4,213$3,508$2,907$2,399$891
18 years$4,705$3,893$3,202$2,620$2,133$737
19 years$4,411$3,608$2,932$2,367$1,902$611
20 years$4,146$3,353$2,691$2,144$1,699$507
21 years$3,907$3,123$2,475$1,946$1,520$421
22 years$3,690$2,915$2,281$1,769$1,362$349
23 years$3,493$2,727$2,106$1,611$1,223$291
24 years$3,312$2,555$1,948$1,470$1,099$242
25 years$3,145$2,398$1,804$1,342$989$201
26 years$2,992$2,253$1,673$1,227$891$167
27 years$2,850$2,121$1,554$1,123$803$139
28 years$2,719$1,998$1,444$1,029$725$116
29 years$2,597$1,885$1,344$944$655$97
30 years$2,483$1,780$1,252$866$591$81
31 years$2,377$1,683$1,167$795$535$67
32 years$2,278$1,592$1,089$731$484$56
33 years$2,185$1,508$1,017$672$438$47
34 years$2,097$1,429$950$619$396$39
35 years$2,015$1,356$888$569$359$32
36 years$1,938$1,287$831$524$325$27
37 years$1,864$1,222$778$483$295$23
38 years$1,795$1,161$728$445$267$19
39 years$1,730$1,104$682$411$242$16
40 years$1,668$1,051$640$379$220$13
41 years$1,609$1,000$600$349$199$11
42 years$1,553$953$563$323$181$9
43 years$1,500$908$528$298$164$8
44 years$1,450$865$495$275$149$6
45 years$1,401$825$465$254$135$5
46 years$1,355$787$437$234$123$4
47 years$1,312$751$411$217$112$4
48 years$1,270$717$386$200$101$3
49 years$1,230$685$363$185$92$3
50 years$1,191$654$341$171$84$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,220,000, adding $4,802 every year, while hoping to spend $34,305 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: 84/9/7 Blend
39$1,220,000$1,220,000$1,220,000$1,220,000
40$1,349,393$1,284,733$1,265,823$1,461,516
41$1,450,531$1,311,185$1,271,728$1,561,894
42$1,560,835$1,337,783$1,276,681$1,666,976
43$1,681,204$1,364,498$1,280,614$1,781,315
44$1,812,628$1,391,299$1,283,455$1,905,821
45$1,956,195$1,418,152$1,285,130$2,041,490
46$2,113,104$1,445,019$1,285,559$2,189,426
47$2,284,675$1,471,859$1,284,659$2,350,839
48$2,472,362$1,498,630$1,282,345$2,527,065
49$2,677,764$1,525,284$1,278,525$2,719,573
50$2,902,643$1,551,770$1,273,103$2,929,984
51$3,148,940$1,578,035$1,265,980$3,160,081
52$3,418,792$1,604,018$1,257,050$3,411,830
53$3,714,552$1,629,658$1,246,204$3,687,394
54$4,038,810$1,654,885$1,233,326$3,989,158
55$4,394,423$1,679,629$1,218,296$4,319,749
56$4,784,533$1,703,809$1,200,988$4,682,061
57$5,212,603$1,727,344$1,181,269$5,079,281
58$5,682,448$1,750,143$1,159,001$5,514,924
59$6,198,269$1,772,112$1,134,039$5,992,857
60$6,764,695$1,793,147$1,106,231$6,517,346
61$7,386,823$1,813,141$1,075,420$7,093,088
62$8,070,271$1,831,977$1,041,438$7,725,259
63$8,821,225$1,849,530$1,004,112$8,419,563
64$9,646,502$1,865,669$963,262$9,182,284
65$10,553,610$1,880,252$918,696$10,020,346
66$11,550,823$1,893,129$870,218$10,941,378
67$12,647,256$1,904,141$817,619$11,953,789
68$13,852,949$1,913,117$760,682$13,066,842
69$15,178,967$1,919,877$699,182$14,290,744
70$16,637,499$1,924,228$632,882$15,636,745
71$18,241,974$1,925,966$561,534$17,117,240
72$20,007,191$1,924,873$484,881$18,745,887
73$21,949,453$1,920,721$402,653$20,537,737
74$24,086,724$1,913,262$314,568$22,509,376
75$26,438,796$1,902,239$220,333$24,679,080
76$29,027,480$1,887,375$119,640$27,066,990
77$31,876,805$1,868,379$12,171$29,695,300
78$35,013,250$1,844,940$0$32,588,466
79$38,465,990$1,816,731$0$35,781,098
80$42,267,173$1,783,403$0$39,296,706
81$46,452,223$1,744,588$0$43,167,136
82$51,060,173$1,699,896$0$47,428,483
83$56,134,033$1,648,913$0$52,120,523
84$61,721,197$1,591,202$0$57,287,086
85$67,873,889$1,526,301$0$62,976,470
86$74,649,655$1,453,719$0$69,241,899
87$82,111,906$1,372,938$0$76,142,023
88$90,330,519$1,283,411$0$83,741,472
89$99,382,492$1,184,557$0$92,111,468
90$109,352,671$1,075,765$0$101,330,495
91$120,334,552$956,387$0$111,485,038
92$132,431,165$825,738$0$122,670,405
93$145,756,041$683,096$0$134,991,621
94$160,434,286$527,697$0$148,564,424
95$176,603,763$358,734$0$163,516,353
96$194,416,389$175,355$0$179,987,955
97$214,039,573$0$0$198,134,113
98$235,657,793$0$0$218,127,815
99$259,474,336$0$0$240,173,811
100$285,713,218$0$0$264,462,104