Can I retire at age 40 with 1,550,000?

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 $1,550,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.7%
1 years$127,998$126,857$125,745$124,659$123,599$121,203
2 years$63,365$62,185$61,041$59,932$58,857$56,452
3 years$41,824$40,639$39,498$38,399$37,341$35,003
4 years$31,055$29,874$28,744$27,664$26,632$24,379
5 years$24,596$23,421$22,307$21,249$20,245$18,083
6 years$20,291$19,125$18,027$16,993$16,019$13,951
7 years$17,217$16,061$14,981$13,971$13,028$11,054
8 years$14,913$13,768$12,705$11,720$10,808$8,927
9 years$13,122$11,987$10,943$9,983$9,102$7,314
10 years$11,690$10,566$9,540$8,605$7,755$6,058
11 years$10,519$9,406$8,399$7,489$6,670$5,061
12 years$9,543$8,443$7,454$6,569$5,780$4,257
13 years$8,719$7,630$6,659$5,799$5,040$3,601
14 years$8,013$6,935$5,984$5,148$4,418$3,060
15 years$7,402$6,335$5,402$4,591$3,890$2,611
16 years$6,867$5,813$4,898$4,111$3,438$2,234
17 years$6,396$5,353$4,457$3,694$3,048$1,917
18 years$5,978$4,947$4,069$3,329$2,711$1,649
19 years$5,604$4,584$3,725$3,008$2,416$1,420
20 years$5,268$4,260$3,418$2,724$2,158$1,226
21 years$4,964$3,968$3,144$2,472$1,931$1,059
22 years$4,689$3,704$2,898$2,248$1,731$917
23 years$4,437$3,464$2,676$2,047$1,554$794
24 years$4,207$3,246$2,475$1,867$1,397$688
25 years$3,996$3,046$2,292$1,705$1,257$597
26 years$3,801$2,863$2,126$1,559$1,132$518
27 years$3,621$2,694$1,974$1,427$1,021$450
28 years$3,455$2,539$1,835$1,308$921$391
29 years$3,300$2,395$1,708$1,199$832$340
30 years$3,155$2,262$1,591$1,100$751$296
31 years$3,020$2,138$1,483$1,011$679$257
32 years$2,894$2,023$1,383$929$615$224
33 years$2,776$1,916$1,292$854$556$195
34 years$2,665$1,816$1,207$786$504$170
35 years$2,560$1,722$1,128$723$456$148
36 years$2,462$1,635$1,056$666$413$129
37 years$2,369$1,553$988$614$374$112
38 years$2,281$1,476$925$566$340$98
39 years$2,198$1,403$867$522$308$85
40 years$2,119$1,335$813$481$279$74
41 years$2,044$1,271$762$444$253$65
42 years$1,973$1,210$715$410$230$56
43 years$1,906$1,153$671$378$209$49
44 years$1,842$1,099$629$349$189$43
45 years$1,780$1,048$591$323$172$37
46 years$1,722$1,000$555$298$156$32
47 years$1,666$954$522$275$142$28
48 years$1,613$911$490$254$129$25
49 years$1,562$870$461$235$117$22
50 years$1,513$831$433$217$106$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,550,000, adding $5,416 every year, while hoping to spend $35,404 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: 85/5/10 Blend
39$1,550,000$1,550,000$1,550,000$1,550,000
40$1,713,687$1,631,537$1,607,512$1,856,404
41$1,850,813$1,673,812$1,623,694$1,992,741
42$2,000,740$1,716,973$1,639,231$2,137,157
43$2,164,735$1,761,024$1,654,065$2,294,728
44$2,344,195$1,805,972$1,668,134$2,466,757
45$2,540,658$1,851,820$1,681,371$2,654,677
46$2,755,817$1,898,571$1,693,709$2,860,068
47$2,991,537$1,946,227$1,705,074$3,084,669
48$3,249,870$1,994,789$1,715,391$3,330,395
49$3,533,080$2,044,256$1,724,579$3,599,358
50$3,843,656$2,094,626$1,732,554$3,893,881
51$4,184,341$2,145,896$1,739,228$4,216,526
52$4,558,159$2,198,060$1,744,507$4,570,112
53$4,968,438$2,251,111$1,748,294$4,957,748
54$5,418,843$2,305,040$1,750,487$5,382,857
55$5,913,413$2,359,835$1,750,977$5,849,210
56$6,456,598$2,415,484$1,749,651$6,360,963
57$7,053,299$2,471,970$1,746,392$6,922,693
58$7,708,914$2,529,275$1,741,074$7,539,443
59$8,429,391$2,587,377$1,733,568$8,216,772
60$9,221,283$2,646,253$1,723,737$8,960,801
61$10,091,809$2,705,875$1,711,438$9,778,277
62$11,048,923$2,766,212$1,696,520$10,676,632
63$12,101,386$2,827,229$1,678,826$11,664,057
64$13,258,852$2,888,889$1,658,192$12,749,574
65$14,531,959$2,951,148$1,634,445$13,943,129
66$15,932,425$3,013,960$1,607,405$15,255,676
67$17,473,162$3,077,274$1,576,883$16,699,289
68$19,168,396$3,141,032$1,542,680$18,287,270
69$21,033,803$3,205,173$1,504,590$20,034,277
70$23,086,653$3,269,629$1,462,397$21,956,464
71$25,345,978$3,334,326$1,415,873$24,071,628
72$27,832,745$3,399,186$1,364,782$26,399,383
73$30,570,058$3,464,119$1,308,876$28,961,339
74$33,583,377$3,529,034$1,247,896$31,781,313
75$36,900,751$3,593,827$1,181,570$34,885,547
76$40,553,092$3,658,389$1,109,617$38,302,960
77$44,574,459$3,722,600$1,031,740$42,065,418
78$49,002,380$3,786,335$947,631$46,208,038
79$53,878,212$3,849,454$856,965$50,769,515
80$59,247,522$3,911,810$759,406$55,792,493
81$65,160,525$3,973,244$654,601$61,323,961
82$71,672,551$4,033,585$542,183$67,415,702
83$78,844,572$4,092,652$421,767$74,124,778
84$86,743,773$4,150,247$292,951$81,514,072
85$95,444,191$4,206,162$155,318$89,652,878
86$105,027,406$4,260,172$8,429$98,617,557
87$115,583,319$4,312,037$0$108,492,259
88$127,210,993$4,361,502$0$119,385,542
89$140,019,592$4,408,294$0$131,385,756
90$154,129,410$4,452,120$0$144,604,664
91$169,673,006$4,492,670$0$159,166,418
92$186,796,454$4,529,612$0$175,207,829
93$205,660,723$4,562,594$0$192,879,657
94$226,443,196$4,591,240$0$212,348,037
95$249,339,340$4,615,149$0$233,796,043
96$274,564,557$4,633,896$0$257,425,418
97$302,356,214$4,647,029$0$283,458,481
98$332,975,881$4,654,066$0$312,140,219
99$366,711,803$4,654,498$0$343,740,605
100$403,881,619$4,647,780$0$378,557,141