Can I retire at age 40 with 2,000,000?

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 $2,000,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.6%
1 years$165,158$163,687$162,252$160,851$159,483$154,563
2 years$81,761$80,239$78,763$77,332$75,944$71,031
3 years$53,966$52,437$50,965$49,547$48,182$43,429
4 years$40,071$38,547$37,089$35,696$34,364$29,808
5 years$31,737$30,221$28,783$27,418$26,123$21,776
6 years$26,182$24,678$23,261$21,926$20,670$16,536
7 years$22,216$20,724$19,330$18,027$16,810$12,889
8 years$19,243$17,765$16,393$15,122$13,946$10,234
9 years$16,931$15,467$14,120$12,881$11,744$8,238
10 years$15,083$13,634$12,310$11,103$10,007$6,702
11 years$13,572$12,137$10,837$9,663$8,606$5,496
12 years$12,314$10,894$9,618$8,476$7,458$4,536
13 years$11,250$9,845$8,593$7,483$6,503$3,764
14 years$10,339$8,949$7,721$6,643$5,701$3,135
15 years$9,550$8,175$6,971$5,924$5,020$2,621
16 years$8,861$7,500$6,320$5,304$4,436$2,197
17 years$8,253$6,907$5,751$4,766$3,934$1,846
18 years$7,713$6,383$5,250$4,295$3,497$1,554
19 years$7,231$5,915$4,806$3,881$3,117$1,310
20 years$6,797$5,497$4,411$3,515$2,785$1,106
21 years$6,406$5,120$4,057$3,190$2,492$935
22 years$6,050$4,779$3,739$2,900$2,234$791
23 years$5,726$4,470$3,452$2,642$2,005$670
24 years$5,429$4,188$3,193$2,409$1,802$567
25 years$5,156$3,930$2,957$2,200$1,622$481
26 years$4,905$3,694$2,743$2,012$1,461$408
27 years$4,673$3,476$2,547$1,841$1,317$346
28 years$4,458$3,276$2,368$1,687$1,188$294
29 years$4,258$3,090$2,203$1,547$1,073$249
30 years$4,071$2,919$2,052$1,420$970$212
31 years$3,897$2,759$1,913$1,304$877$180
32 years$3,734$2,611$1,785$1,198$793$153
33 years$3,582$2,472$1,667$1,102$718$130
34 years$3,438$2,343$1,557$1,014$650$110
35 years$3,304$2,222$1,456$933$588$94
36 years$3,176$2,109$1,362$860$533$80
37 years$3,057$2,003$1,275$792$483$68
38 years$2,943$1,904$1,194$730$438$58
39 years$2,836$1,811$1,119$673$397$49
40 years$2,734$1,723$1,048$621$360$42
41 years$2,638$1,640$983$573$327$35
42 years$2,546$1,562$922$529$297$30
43 years$2,459$1,488$865$488$269$26
44 years$2,376$1,418$812$451$244$22
45 years$2,297$1,352$763$416$222$18
46 years$2,222$1,290$716$384$201$16
47 years$2,150$1,231$673$355$183$13
48 years$2,081$1,175$632$328$166$11
49 years$2,016$1,122$594$303$151$10
50 years$1,953$1,072$559$280$137$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,000,000, adding $6,658 every year, while hoping to spend $21,776 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: 86/8/6 Blend
39$2,000,000$2,000,000$2,000,000$2,000,000
40$2,210,868$2,104,868$2,073,868$2,399,881
41$2,413,207$2,184,837$2,120,173$2,604,038
42$2,635,454$2,267,994$2,167,299$2,824,635
43$2,879,619$2,354,474$2,215,252$3,066,336
44$3,147,911$2,444,414$2,264,034$3,331,248
45$3,442,768$2,537,961$2,313,649$3,621,692
46$3,766,875$2,635,265$2,364,101$3,940,226
47$4,123,188$2,736,485$2,415,390$4,289,665
48$4,514,966$2,841,785$2,467,518$4,673,113
49$4,945,798$2,951,339$2,520,486$5,093,984
50$5,419,640$3,065,325$2,574,292$5,556,043
51$5,940,849$3,183,932$2,628,937$6,063,436
52$6,514,226$3,307,355$2,684,417$6,620,728
53$7,145,061$3,435,799$2,740,729$7,232,950
54$7,839,182$3,569,478$2,797,868$7,905,643
55$8,603,011$3,708,615$2,855,829$8,644,912
56$9,443,624$3,853,443$2,914,606$9,457,483
57$10,368,818$4,004,206$2,974,189$10,350,763
58$11,387,183$4,161,157$3,034,569$11,332,915
59$12,508,184$4,324,563$3,095,736$12,412,932
60$13,742,252$4,494,699$3,157,676$13,600,721
61$15,100,879$4,671,857$3,220,376$14,907,197
62$16,596,729$4,856,338$3,283,819$16,344,387
63$18,243,756$5,048,460$3,347,987$17,925,541
64$20,057,335$5,248,551$3,412,862$19,665,256
65$22,054,411$5,456,957$3,478,420$21,579,618
66$24,253,652$5,674,038$3,544,637$23,686,350
67$26,675,630$5,900,172$3,611,489$26,004,979
68$29,343,016$6,135,752$3,678,945$28,557,020
69$32,280,789$6,381,189$3,746,975$31,366,179
70$35,516,475$6,636,914$3,815,545$34,458,579
71$39,080,407$6,903,374$3,884,617$37,863,002
72$43,006,010$7,181,041$3,954,153$41,611,161
73$47,330,116$7,470,405$4,024,110$45,738,003
74$52,093,311$7,771,978$4,094,441$50,282,032
75$57,340,322$8,086,297$4,165,098$55,285,678
76$63,120,432$8,413,924$4,236,026$60,795,693
77$69,487,952$8,755,442$4,307,169$66,863,594
78$76,502,731$9,111,467$4,378,467$73,546,147
79$84,230,718$9,482,637$4,449,854$80,905,905
80$92,744,588$9,869,622$4,521,261$89,011,796
81$102,124,426$10,273,124$4,592,613$97,939,772
82$112,458,484$10,693,874$4,663,832$107,773,527
83$123,844,013$11,132,637$4,734,834$118,605,288
84$136,388,181$11,590,215$4,805,530$130,536,683
85$150,209,085$12,067,445$4,875,825$143,679,697
86$165,436,864$12,565,203$4,945,617$158,157,735
87$182,214,930$13,084,403$5,014,801$174,106,781
88$200,701,319$13,626,005$5,083,263$191,676,683
89$221,070,185$14,191,011$5,150,884$211,032,566
90$243,513,440$14,780,467$5,217,535$232,356,392
91$268,242,572$15,395,471$5,283,083$255,848,673
92$295,490,634$16,037,169$5,347,386$281,730,367
93$325,514,449$16,706,760$5,410,294$310,244,963
94$358,597,033$17,405,501$5,471,648$341,660,774
95$395,050,262$18,134,703$5,531,281$376,273,475
96$435,217,826$18,895,740$5,589,016$414,408,890
97$479,478,464$19,690,051$5,644,667$456,426,067
98$528,249,541$20,519,137$5,698,038$502,720,667
99$581,990,993$21,384,573$5,748,921$553,728,699
100$641,209,663$22,288,006$5,797,098$609,930,633