Can I retire at age 40 with 1,850,000?

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 $1,850,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.6%
1 years$152,771$151,410$150,083$148,787$147,522$145,920
2 years$75,629$74,221$72,856$71,532$70,248$68,636
3 years$49,919$48,504$47,142$45,831$44,568$42,995
4 years$37,066$35,656$34,308$33,019$31,787$30,264
5 years$29,356$27,954$26,624$25,362$24,164$22,697
6 years$24,218$22,827$21,516$20,282$19,120$17,711
7 years$20,550$19,170$17,880$16,675$15,550$14,198
8 years$17,799$16,432$15,164$13,988$12,900$11,607
9 years$15,661$14,307$13,061$11,915$10,864$9,628
10 years$13,952$12,611$11,386$10,271$9,256$8,077
11 years$12,554$11,227$10,024$8,939$7,961$6,837
12 years$11,391$10,077$8,896$7,840$6,899$5,830
13 years$10,407$9,106$7,948$6,922$6,016$5,000
14 years$9,564$8,277$7,142$6,144$5,273$4,309
15 years$8,834$7,562$6,448$5,480$4,643$3,729
16 years$8,196$6,938$5,846$4,907$4,104$3,238
17 years$7,634$6,389$5,320$4,408$3,638$2,820
18 years$7,135$5,904$4,856$3,973$3,235$2,463
19 years$6,689$5,472$4,446$3,590$2,884$2,155
20 years$6,288$5,085$4,080$3,251$2,576$1,889
21 years$5,925$4,736$3,753$2,951$2,305$1,658
22 years$5,596$4,421$3,459$2,683$2,066$1,458
23 years$5,296$4,135$3,194$2,443$1,855$1,284
24 years$5,022$3,874$2,953$2,229$1,667$1,131
25 years$4,770$3,636$2,736$2,035$1,500$998
26 years$4,537$3,417$2,537$1,861$1,351$881
27 years$4,322$3,216$2,356$1,703$1,218$778
28 years$4,123$3,030$2,190$1,561$1,099$688
29 years$3,938$2,859$2,038$1,431$993$608
30 years$3,766$2,700$1,898$1,313$897$538
31 years$3,605$2,552$1,770$1,206$811$476
32 years$3,454$2,415$1,651$1,109$733$422
33 years$3,313$2,287$1,542$1,019$664$374
34 years$3,180$2,167$1,441$938$601$331
35 years$3,056$2,056$1,347$863$544$293
36 years$2,938$1,951$1,260$795$493$260
37 years$2,827$1,853$1,179$733$447$231
38 years$2,722$1,761$1,104$675$405$205
39 years$2,623$1,675$1,035$623$367$181
40 years$2,529$1,593$970$574$333$161
41 years$2,440$1,517$909$530$302$143
42 years$2,355$1,444$853$489$274$127
43 years$2,275$1,376$800$451$249$112
44 years$2,198$1,312$751$417$226$100
45 years$2,125$1,251$705$385$205$89
46 years$2,055$1,193$663$356$186$79
47 years$1,989$1,139$622$329$169$70
48 years$1,925$1,087$585$304$154$62
49 years$1,864$1,038$550$281$140$55
50 years$1,806$992$517$259$127$49

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,850,000, adding $6,968 every year, while hoping to spend $28,927 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: 86/6/8 Blend
39$1,850,000$1,850,000$1,850,000$1,850,000
40$2,045,887$1,947,837$1,919,162$2,219,531
41$2,223,790$2,012,503$1,952,676$2,398,517
42$2,418,869$2,079,368$1,986,343$2,590,480
43$2,632,846$2,148,510$2,020,138$2,800,510
44$2,867,617$2,220,008$2,054,034$3,030,406
45$3,125,271$2,293,945$2,088,000$3,282,150
46$3,408,107$2,370,407$2,122,008$3,557,927
47$3,718,661$2,449,484$2,156,022$3,860,141
48$4,059,724$2,531,268$2,190,008$4,191,439
49$4,434,371$2,615,855$2,223,928$4,554,740
50$4,845,988$2,703,344$2,257,742$4,953,257
51$5,298,310$2,793,838$2,291,406$5,390,529
52$5,795,446$2,887,445$2,324,877$5,870,457
53$6,341,926$2,984,274$2,358,105$6,397,337
54$6,942,740$3,084,442$2,391,040$6,975,899
55$7,603,387$3,188,067$2,423,627$7,611,359
56$8,329,923$3,295,272$2,455,809$8,309,460
57$9,129,022$3,406,188$2,487,525$9,076,529
58$10,008,036$3,520,945$2,518,711$9,919,539
59$10,975,068$3,639,683$2,549,300$10,846,170
60$12,039,042$3,762,545$2,579,219$11,864,884
61$13,209,794$3,889,679$2,608,392$12,985,006
62$14,498,160$4,021,240$2,636,740$14,216,809
63$15,916,080$4,157,388$2,664,178$15,571,611
64$17,476,709$4,298,290$2,690,617$17,061,884
65$19,194,544$4,444,116$2,715,964$18,701,369
66$21,085,557$4,595,048$2,740,118$20,505,208
67$23,167,349$4,751,270$2,762,977$22,490,082
68$25,459,312$4,912,975$2,784,430$24,674,375
69$27,982,815$5,080,365$2,804,362$27,078,342
70$30,761,405$5,253,645$2,822,651$29,724,301
71$33,821,028$5,433,034$2,839,169$32,636,846
72$37,190,274$5,618,754$2,853,783$35,843,075
73$40,900,648$5,811,038$2,866,350$39,372,849
74$44,986,864$6,010,129$2,876,723$43,259,070
75$49,487,176$6,216,278$2,884,746$47,537,996
76$54,443,737$6,429,745$2,890,254$52,249,579
77$59,902,997$6,650,801$2,893,076$57,437,843
78$65,916,140$6,879,728$2,893,032$63,151,301
79$72,539,570$7,116,818$2,889,931$69,443,409
80$79,835,439$7,362,375$2,883,577$76,373,074
81$87,872,237$7,616,714$2,873,760$84,005,208
82$96,725,436$7,880,164$2,860,261$92,411,340
83$106,478,203$8,153,065$2,842,853$101,670,292
84$117,222,186$8,435,771$2,821,295$111,868,924
85$129,058,377$8,728,652$2,795,336$123,102,949
86$142,098,064$9,032,088$2,764,713$135,477,842
87$156,463,884$9,346,479$2,729,149$149,109,830
88$172,290,981$9,672,237$2,688,355$164,126,994
89$189,728,277$10,009,792$2,642,031$180,670,472
90$208,939,880$10,359,591$2,589,858$198,895,797
91$230,106,636$10,722,099$2,531,507$218,974,360
92$253,427,830$11,097,798$2,466,629$241,095,031
93$279,123,070$11,487,192$2,394,863$265,465,939
94$307,434,362$11,890,803$2,315,829$292,316,439
95$338,628,388$12,309,174$2,229,131$321,899,274
96$372,999,031$12,742,871$2,134,354$354,492,963
97$410,870,141$13,192,480$2,031,064$390,404,428
98$452,598,599$13,658,615$1,918,808$429,971,893
99$498,577,679$14,141,911$1,797,111$473,568,074
100$549,240,768$14,643,030$1,665,480$521,603,701