Can I retire at age 40 with 12,500,000?

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 $12,500,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.6%
1 years$1,032,238$1,023,044$1,014,073$1,005,317$996,768$990,071
2 years$511,009$501,492$492,268$483,326$474,651$467,897
3 years$337,289$327,731$318,530$309,671$301,138$294,536
4 years$250,446$240,917$231,808$223,101$214,774$208,375
5 years$198,353$188,882$179,893$171,363$163,268$157,091
6 years$163,636$154,236$145,380$137,040$129,188$123,241
7 years$138,848$129,527$120,812$112,668$105,065$99,349
8 years$120,266$111,029$102,458$94,515$87,161$81,679
9 years$105,820$96,670$88,247$80,506$73,402$68,151
10 years$94,271$85,210$76,936$69,397$62,543$57,519
11 years$84,827$75,858$67,733$60,396$53,789$48,990
12 years$76,963$68,086$60,111$52,975$46,612$42,034
13 years$70,314$61,530$53,705$46,769$40,647$36,285
14 years$64,620$55,929$48,255$41,516$35,631$31,480
15 years$59,690$51,092$43,567$37,025$31,372$27,426
16 years$55,380$46,876$39,500$33,152$27,727$23,980
17 years$51,581$43,171$35,944$29,787$24,584$21,031
18 years$48,208$39,892$32,812$26,844$21,859$18,493
19 years$45,193$36,971$30,038$24,256$19,484$16,298
20 years$42,484$34,356$27,567$21,968$17,403$14,392
21 years$40,035$32,001$25,356$19,938$15,574$12,730
22 years$37,812$29,872$23,370$18,128$13,960$11,277
23 years$35,786$27,938$21,578$16,509$12,531$10,003
24 years$33,931$26,176$19,956$15,058$11,263$8,883
25 years$32,227$24,565$18,483$13,752$10,135$7,896
26 years$30,657$23,087$17,142$12,574$9,129$7,025
27 years$29,205$21,728$15,918$11,509$8,231$6,255
28 years$27,860$20,474$14,798$10,545$7,427$5,573
29 years$26,609$19,315$13,771$9,670$6,706$4,969
30 years$25,445$18,241$12,827$8,874$6,060$4,432
31 years$24,357$17,244$11,958$8,150$5,478$3,956
32 years$23,340$16,316$11,157$7,490$4,956$3,532
33 years$22,386$15,452$10,418$6,888$4,485$3,155
34 years$21,490$14,645$9,734$6,338$4,061$2,819
35 years$20,647$13,890$9,100$5,834$3,678$2,519
36 years$19,853$13,184$8,513$5,373$3,332$2,252
37 years$19,103$12,522$7,968$4,951$3,020$2,014
38 years$18,395$11,900$7,462$4,563$2,738$1,802
39 years$17,725$11,316$6,991$4,207$2,483$1,612
40 years$17,089$10,766$6,552$3,881$2,252$1,442
41 years$16,487$10,248$6,144$3,580$2,043$1,290
42 years$15,914$9,760$5,763$3,304$1,854$1,155
43 years$15,370$9,299$5,408$3,050$1,683$1,034
44 years$14,852$8,864$5,077$2,816$1,527$926
45 years$14,358$8,453$4,767$2,601$1,387$829
46 years$13,887$8,064$4,477$2,403$1,259$742
47 years$13,438$7,695$4,206$2,220$1,143$664
48 years$13,008$7,346$3,953$2,051$1,038$595
49 years$12,597$7,015$3,715$1,896$943$533
50 years$12,204$6,701$3,493$1,752$856$477

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $12,500,000, adding $3,997 every year, while hoping to spend $45,029 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: 59/14/27 Blend
39$12,500,000$12,500,000$12,500,000$12,500,000
40$13,779,123$13,116,623$12,922,873$14,490,967
41$15,136,683$13,711,427$13,307,879$15,572,371
42$16,631,205$14,333,867$13,704,273$16,746,217
43$18,276,611$14,985,250$14,112,390$18,025,691
44$20,088,244$15,666,945$14,532,573$19,421,064
45$22,083,006$16,380,387$14,965,175$20,943,637
46$24,279,526$17,127,079$15,410,562$22,605,842
47$26,698,328$17,908,597$15,869,106$24,421,361
48$29,362,030$18,726,591$16,341,194$26,405,249
49$32,295,555$19,582,791$16,827,222$28,574,076
50$35,526,365$20,479,012$17,327,597$30,946,078
51$39,084,723$21,417,152$17,842,740$33,541,326
52$43,003,975$22,399,203$18,373,082$36,381,915
53$47,320,868$23,427,251$18,919,068$39,492,168
54$52,075,894$24,503,485$19,481,155$42,898,861
55$57,313,675$25,630,195$20,059,813$46,631,474
56$63,083,380$26,809,784$20,655,527$50,722,463
57$69,439,191$28,044,770$21,268,793$55,207,566
58$76,440,816$29,337,791$21,900,126$60,126,135
59$84,154,050$30,691,614$22,550,051$65,521,500
60$92,651,397$32,109,136$23,219,111$71,441,381
61$102,012,752$33,593,397$23,907,864$77,938,325
62$112,326,159$35,147,580$24,616,884$85,070,206
63$123,688,639$36,775,023$25,346,761$92,900,758
64$136,207,107$38,479,225$26,098,104$101,500,180
65$149,999,378$40,263,854$26,871,536$110,945,786
66$165,195,284$42,132,752$27,667,702$121,322,735
67$181,937,895$44,089,949$28,487,262$132,724,823
68$200,384,872$46,139,669$29,330,898$145,255,370
69$220,709,955$48,286,338$30,199,308$159,028,183
70$243,104,599$50,534,597$31,093,214$174,168,626
71$267,779,787$52,889,312$32,013,356$190,814,796
72$294,968,018$55,355,581$32,960,496$209,118,822
73$324,925,501$57,938,749$33,935,418$229,248,290
74$357,934,576$60,644,422$34,938,928$251,387,820
75$394,306,377$63,478,473$35,971,856$275,740,799
76$434,383,770$66,447,060$37,035,056$302,531,295
77$478,544,588$69,556,639$38,129,403$332,006,161
78$527,205,200$72,813,979$39,255,803$364,437,357
79$580,824,440$76,226,173$40,415,182$400,124,510
80$639,907,938$79,800,661$41,608,496$439,397,730
81$705,012,895$83,545,240$42,836,727$482,620,716
82$776,753,338$87,468,086$44,100,886$530,194,181
83$855,805,925$91,577,768$45,402,012$582,559,622
84$942,916,324$95,883,273$46,741,174$640,203,476
85$1,038,906,256$100,394,021$48,119,470$703,661,701
86$1,144,681,254$105,119,888$49,538,032$773,524,823
87$1,261,239,209$110,071,229$50,998,023$850,443,494
88$1,389,679,790$115,258,900$52,500,638$935,134,628
89$1,531,214,826$120,694,285$54,047,108$1,028,388,146
90$1,687,179,749$126,389,315$55,638,696$1,131,074,426
91$1,859,046,196$132,356,504$57,276,705$1,244,152,497
92$2,048,435,905$138,608,969$58,962,472$1,368,679,081
93$2,257,136,024$145,160,466$60,697,372$1,505,818,551
94$2,487,115,985$152,025,416$62,482,820$1,656,853,905
95$2,740,546,093$159,218,938$64,320,272$1,823,198,859
96$3,019,818,017$166,756,888$66,211,223$2,006,411,175
97$3,327,567,367$174,655,889$68,157,212$2,208,207,346
98$3,666,698,581$182,933,370$70,159,821$2,430,478,779
99$4,040,412,338$191,607,606$72,220,677$2,675,309,632
100$4,452,235,779$200,697,762$74,341,452$2,944,996,463