Can I retire at age 40 with 16,000,000?

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 $16,000,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$1,321,265$1,309,496$1,298,013$1,286,806$1,275,862$1,252,665
2 years$654,092$641,910$630,104$618,657$607,554$584,265
3 years$431,730$419,495$407,719$396,379$385,457$362,804
4 years$320,570$308,373$296,715$285,569$274,911$253,067
5 years$253,892$241,768$230,263$219,344$208,983$188,011
6 years$209,455$197,422$186,087$175,411$165,361$145,285
7 years$177,726$165,795$154,639$144,215$134,483$115,307
8 years$153,940$142,117$131,146$120,979$111,567$93,287
9 years$135,450$123,738$112,956$103,047$93,955$76,560
10 years$120,667$109,069$98,478$88,828$80,054$63,529
11 years$108,579$97,098$86,698$77,307$68,850$53,175
12 years$98,513$87,150$76,942$67,808$59,664$44,819
13 years$90,002$78,758$68,743$59,865$52,028$37,989
14 years$82,714$71,589$61,766$53,141$45,607$32,350
15 years$76,403$65,398$55,766$47,392$40,156$27,654
16 years$70,886$60,001$50,560$42,435$35,490$23,715
17 years$66,023$55,259$46,008$38,127$31,468$20,392
18 years$61,706$51,062$41,999$34,360$27,980$17,575
19 years$57,847$47,323$38,448$31,048$24,939$15,177
20 years$54,379$43,975$35,286$28,120$22,276$13,128
21 years$51,245$40,961$32,456$25,520$19,935$11,371
22 years$48,400$38,236$29,913$23,204$17,869$9,861
23 years$45,806$35,761$27,620$21,132$16,040$8,561
24 years$43,431$33,506$25,544$19,274$14,417$7,439
25 years$41,250$31,444$23,659$17,602$12,973$6,469
26 years$39,241$29,552$21,942$16,094$11,686$5,629
27 years$37,383$27,812$20,375$14,731$10,536$4,902
28 years$35,661$26,207$18,941$13,497$9,506$4,270
29 years$34,060$24,723$17,627$12,377$8,584$3,721
30 years$32,569$23,348$16,418$11,359$7,756$3,245
31 years$31,177$22,072$15,306$10,433$7,012$2,830
32 years$29,875$20,885$14,281$9,588$6,343$2,469
33 years$28,654$19,778$13,334$8,817$5,741$2,154
34 years$27,507$18,745$12,459$8,112$5,197$1,880
35 years$26,428$17,779$11,648$7,468$4,708$1,641
36 years$25,412$16,875$10,897$6,878$4,265$1,433
37 years$24,452$16,028$10,199$6,337$3,866$1,252
38 years$23,546$15,232$9,551$5,841$3,505$1,093
39 years$22,688$14,484$8,948$5,385$3,178$955
40 years$21,875$13,780$8,387$4,967$2,883$834
41 years$21,103$13,118$7,864$4,583$2,615$729
42 years$20,370$12,493$7,377$4,230$2,373$637
43 years$19,674$11,903$6,922$3,904$2,154$556
44 years$19,010$11,346$6,498$3,605$1,955$486
45 years$18,378$10,820$6,101$3,329$1,775$425
46 years$17,776$10,322$5,731$3,075$1,611$371
47 years$17,200$9,850$5,384$2,841$1,463$324
48 years$16,650$9,403$5,059$2,625$1,329$283
49 years$16,125$8,979$4,755$2,426$1,207$248
50 years$15,622$8,577$4,471$2,243$1,096$216

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $16,000,000, adding $4,124 every year, while hoping to spend $29,296 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: 39/36/25 Blend
39$16,000,000$16,000,000$16,000,000$16,000,000
40$17,636,254$16,788,254$16,540,254$18,192,934
41$19,403,981$17,579,708$17,063,182$19,388,994
42$21,351,035$18,408,961$17,602,646$20,678,407
43$23,495,675$19,277,834$18,159,169$22,072,110
44$25,858,023$20,188,238$18,733,291$23,579,612
45$28,460,254$21,142,174$19,325,568$25,211,344
46$31,326,801$22,141,741$19,936,576$26,978,747
47$34,484,588$23,189,141$20,566,905$28,894,378
48$37,963,288$24,286,680$21,217,168$30,972,018
49$41,795,595$25,436,779$21,887,995$33,226,795
50$46,017,539$26,641,974$22,580,035$35,675,321
51$50,668,823$27,904,926$23,293,962$38,335,837
52$55,793,199$29,228,424$24,030,466$41,228,379
53$61,438,880$30,615,391$24,790,261$44,374,958
54$67,658,996$32,068,896$25,574,086$47,799,755
55$74,512,095$33,592,153$26,382,699$51,529,345
56$82,062,694$35,188,534$27,216,884$55,592,931
57$90,381,891$36,861,574$28,077,452$60,022,614
58$99,548,033$38,614,980$28,965,235$64,853,682
59$109,647,457$40,452,640$29,881,096$70,124,931
60$120,775,308$42,378,629$30,825,923$75,879,022
61$133,036,429$44,397,221$31,800,631$82,162,864
62$146,546,358$46,512,899$32,806,166$89,028,052
63$161,432,417$48,730,361$33,843,503$96,531,330
64$177,834,912$51,054,537$34,913,648$104,735,123
65$195,908,457$53,490,594$36,017,639$113,708,099
66$215,823,437$56,043,950$37,156,548$123,525,810
67$237,767,613$58,720,289$38,331,477$134,271,383
68$261,947,895$61,525,569$39,543,568$146,036,290
69$288,592,299$64,466,040$40,793,995$158,921,189
70$317,952,091$67,548,253$42,083,972$173,036,860
71$350,304,168$70,779,082$43,414,749$188,505,224
72$385,953,668$74,165,732$44,787,618$205,460,479
73$425,236,849$77,715,759$46,203,910$224,050,340
74$468,524,265$81,437,089$47,664,998$244,437,412
75$516,224,265$85,338,031$49,172,301$266,800,699
76$568,786,847$89,427,302$50,727,280$291,337,271
77$626,707,905$93,714,039$52,331,443$318,264,093
78$690,533,912$98,207,828$53,986,347$347,820,052
79$760,867,078$102,918,719$55,693,597$380,268,175
80$838,371,037$107,857,252$57,454,849$415,898,088
81$923,777,108$113,034,483$59,271,812$455,028,713
82$1,017,891,204$118,462,004$61,146,249$498,011,249
83$1,121,601,435$124,151,971$63,079,977$545,232,449
84$1,235,886,498$130,117,134$65,074,872$597,118,236
85$1,361,824,912$136,370,864$67,132,871$654,137,687
86$1,500,605,200$142,927,184$69,255,970$716,807,416
87$1,653,537,113$149,800,799$71,446,228$785,696,415
88$1,822,063,993$157,007,132$73,705,770$861,431,375
89$2,007,776,396$164,562,357$76,036,789$944,702,561
90$2,212,427,113$172,483,437$78,441,547$1,036,270,279
91$2,437,947,715$180,788,162$80,922,375$1,136,971,999
92$2,686,466,790$189,495,190$83,481,682$1,247,730,214
93$2,960,330,035$198,624,086$86,121,951$1,369,561,090
94$3,262,122,405$208,195,374$88,845,743$1,503,583,999
95$3,594,692,517$218,230,573$91,655,702$1,651,032,032
96$3,961,179,539$228,752,256$94,554,553$1,813,263,568
97$4,365,042,831$239,784,096$97,545,110$1,991,775,039
98$4,810,094,603$251,350,920$100,630,274$2,188,214,981
99$5,300,535,904$263,478,767$103,813,040$2,404,399,529
100$5,840,996,285$276,194,945$107,096,495$2,642,329,482