Can I retire at age 40 with 2,080,000?

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 $2,080,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.3%
1 years$171,764$170,234$168,742$167,285$165,862$164,267
2 years$85,032$83,448$81,913$80,425$78,982$77,375
3 years$56,125$54,534$53,003$51,529$50,109$48,540
4 years$41,674$40,089$38,573$37,124$35,738$34,220
5 years$33,006$31,430$29,934$28,515$27,168$25,704
6 years$27,229$25,665$24,191$22,803$21,497$20,089
7 years$23,104$21,553$20,103$18,748$17,483$16,132
8 years$20,012$18,475$17,049$15,727$14,504$13,210
9 years$17,609$16,086$14,684$13,396$12,214$10,977
10 years$15,687$14,179$12,802$11,548$10,407$9,226
11 years$14,115$12,623$11,271$10,050$8,950$7,824
12 years$12,807$11,329$10,003$8,815$7,756$6,684
13 years$11,700$10,239$8,937$7,782$6,764$5,743
14 years$10,753$9,307$8,030$6,908$5,929$4,960
15 years$9,932$8,502$7,250$6,161$5,220$4,301
16 years$9,215$7,800$6,573$5,517$4,614$3,743
17 years$8,583$7,184$5,981$4,957$4,091$3,266
18 years$8,022$6,638$5,460$4,467$3,637$2,858
19 years$7,520$6,152$4,998$4,036$3,242$2,506
20 years$7,069$5,717$4,587$3,656$2,896$2,202
21 years$6,662$5,325$4,219$3,318$2,591$1,938
22 years$6,292$4,971$3,889$3,016$2,323$1,707
23 years$5,955$4,649$3,591$2,747$2,085$1,506
24 years$5,646$4,356$3,321$2,506$1,874$1,331
25 years$5,363$4,088$3,076$2,288$1,686$1,176
26 years$5,101$3,842$2,852$2,092$1,519$1,041
27 years$4,860$3,616$2,649$1,915$1,370$922
28 years$4,636$3,407$2,462$1,755$1,236$817
29 years$4,428$3,214$2,291$1,609$1,116$724
30 years$4,234$3,035$2,134$1,477$1,008$642
31 years$4,053$2,869$1,990$1,356$912$570
32 years$3,884$2,715$1,857$1,246$825$506
33 years$3,725$2,571$1,733$1,146$746$449
34 years$3,576$2,437$1,620$1,055$676$399
35 years$3,436$2,311$1,514$971$612$355
36 years$3,304$2,194$1,417$894$554$315
37 years$3,179$2,084$1,326$824$503$280
38 years$3,061$1,980$1,242$759$456$249
39 years$2,949$1,883$1,163$700$413$222
40 years$2,844$1,791$1,090$646$375$197
41 years$2,743$1,705$1,022$596$340$175
42 years$2,648$1,624$959$550$309$156
43 years$2,558$1,547$900$508$280$139
44 years$2,471$1,475$845$469$254$123
45 years$2,389$1,407$793$433$231$110
46 years$2,311$1,342$745$400$209$98
47 years$2,236$1,280$700$369$190$87
48 years$2,165$1,222$658$341$173$77
49 years$2,096$1,167$618$315$157$69
50 years$2,031$1,115$581$292$143$61

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,080,000, adding $3,802 every year, while hoping to spend $50,878 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: 53/20/27 Blend
39$2,080,000$2,080,000$2,080,000$2,080,000
40$2,296,082$2,185,842$2,153,602$2,400,305
41$2,476,148$2,238,814$2,171,614$2,525,847
42$2,672,876$2,292,677$2,188,524$2,656,891
43$2,887,912$2,347,420$2,204,241$2,798,484
44$3,123,067$2,403,032$2,218,671$2,951,655
45$3,380,336$2,459,496$2,231,713$3,117,537
46$3,661,916$2,516,798$2,243,261$3,297,382
47$3,970,226$2,574,915$2,253,205$3,492,567
48$4,307,929$2,633,827$2,261,428$3,704,610
49$4,677,960$2,693,506$2,267,807$3,935,185
50$5,083,548$2,753,924$2,272,215$4,186,138
51$5,528,252$2,815,049$2,274,517$4,459,503
52$6,015,991$2,876,843$2,274,570$4,757,520
53$6,551,081$2,939,267$2,272,227$5,082,662
54$7,138,275$3,002,276$2,267,331$5,437,652
55$7,782,812$3,065,819$2,259,719$5,825,494
56$8,490,459$3,129,845$2,249,220$6,249,497
57$9,267,570$3,194,292$2,235,653$6,713,310
58$10,121,147$3,259,096$2,218,831$7,220,956
59$11,058,898$3,324,187$2,198,557$7,776,868
60$12,089,321$3,389,487$2,174,624$8,385,935
61$13,221,772$3,454,912$2,146,814$9,053,545
62$14,466,563$3,520,373$2,114,903$9,785,638
63$15,835,052$3,585,771$2,078,652$10,588,761
64$17,339,753$3,651,000$2,037,812$11,470,132
65$18,994,454$3,715,944$1,992,125$12,437,706
66$20,814,345$3,780,482$1,941,317$13,500,256
67$22,816,162$3,844,479$1,885,105$14,667,448
68$25,018,345$3,907,793$1,823,191$15,949,939
69$27,441,211$3,970,270$1,755,262$17,359,478
70$30,107,145$4,031,744$1,680,995$18,909,014
71$33,040,814$4,092,039$1,600,048$20,612,820
72$36,269,392$4,150,965$1,512,065$22,486,630
73$39,822,826$4,208,318$1,416,675$24,547,789
74$43,734,110$4,263,881$1,313,489$26,815,412
75$48,039,600$4,317,422$1,202,101$29,310,573
76$52,779,354$4,368,691$1,082,087$32,056,498
77$57,997,515$4,417,423$953,004$35,078,789
78$63,742,720$4,463,336$814,388$38,405,665
79$70,068,564$4,506,125$665,756$42,068,232
80$77,034,103$4,545,471$506,604$46,100,772
81$84,704,410$4,581,028$336,405$50,541,075
82$93,151,194$4,612,432$154,608$55,430,793
83$102,453,467$4,639,293$0$60,815,831
84$112,698,300$4,661,197$0$66,758,143
85$123,981,634$4,677,704$0$73,350,416
86$136,409,194$4,688,345$0$80,609,713
87$150,097,481$4,692,622$0$88,603,972
88$165,174,870$4,690,007$0$97,408,060
89$181,782,828$4,679,939$0$107,104,481
90$200,077,242$4,661,821$0$117,784,158
91$220,229,892$4,635,021$0$129,547,285
92$242,430,072$4,598,868$0$142,504,280
93$266,886,377$4,552,651$0$156,776,824
94$293,828,672$4,495,615$0$172,499,011
95$323,510,257$4,426,961$0$189,818,615
96$356,210,262$4,345,841$0$208,898,485
97$392,236,279$4,251,357$0$229,918,082
98$431,927,266$4,142,560$0$253,075,178
99$475,656,745$4,018,443$0$278,587,719
100$523,836,326$3,877,941$0$306,695,884