Can I retire at age 40 with 2,120,000?

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 $2,120,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.9%
1 years$175,068$173,508$171,987$170,502$169,052$162,344
2 years$86,667$85,053$83,489$81,972$80,501$73,826
3 years$57,204$55,583$54,023$52,520$51,073$44,642
4 years$42,476$40,859$39,315$37,838$36,426$30,287
5 years$33,641$32,034$30,510$29,063$27,690$21,859
6 years$27,753$26,158$24,656$23,242$21,910$16,390
7 years$23,549$21,968$20,490$19,109$17,819$12,608
8 years$20,397$18,830$17,377$16,030$14,783$9,876
9 years$17,947$16,395$14,967$13,654$12,449$7,839
10 years$15,988$14,452$13,048$11,770$10,607$6,285
11 years$14,387$12,865$11,488$10,243$9,123$5,078
12 years$13,053$11,547$10,195$8,985$7,905$4,127
13 years$11,925$10,435$9,108$7,932$6,894$3,371
14 years$10,960$9,486$8,184$7,041$6,043$2,764
15 years$10,123$8,665$7,389$6,280$5,321$2,273
16 years$9,392$7,950$6,699$5,623$4,702$1,874
17 years$8,748$7,322$6,096$5,052$4,170$1,548
18 years$8,176$6,766$5,565$4,553$3,707$1,281
19 years$7,665$6,270$5,094$4,114$3,304$1,061
20 years$7,205$5,827$4,675$3,726$2,952$880
21 years$6,790$5,427$4,300$3,381$2,641$731
22 years$6,413$5,066$3,964$3,075$2,368$607
23 years$6,069$4,738$3,660$2,800$2,125$505
24 years$5,755$4,440$3,385$2,554$1,910$420
25 years$5,466$4,166$3,135$2,332$1,719$350
26 years$5,199$3,916$2,907$2,132$1,548$291
27 years$4,953$3,685$2,700$1,952$1,396$242
28 years$4,725$3,472$2,510$1,788$1,260$202
29 years$4,513$3,276$2,336$1,640$1,137$168
30 years$4,315$3,094$2,175$1,505$1,028$140
31 years$4,131$2,925$2,028$1,382$929$117
32 years$3,958$2,767$1,892$1,270$840$97
33 years$3,797$2,621$1,767$1,168$761$81
34 years$3,645$2,484$1,651$1,075$689$68
35 years$3,502$2,356$1,543$989$624$56
36 years$3,367$2,236$1,444$911$565$47
37 years$3,240$2,124$1,351$840$512$39
38 years$3,120$2,018$1,266$774$464$33
39 years$3,006$1,919$1,186$714$421$27
40 years$2,898$1,826$1,111$658$382$23
41 years$2,796$1,738$1,042$607$347$19
42 years$2,699$1,655$977$560$314$16
43 years$2,607$1,577$917$517$285$13
44 years$2,519$1,503$861$478$259$11
45 years$2,435$1,434$808$441$235$9
46 years$2,355$1,368$759$407$214$8
47 years$2,279$1,305$713$376$194$6
48 years$2,206$1,246$670$348$176$5
49 years$2,137$1,190$630$321$160$4
50 years$2,070$1,137$592$297$145$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,120,000, adding $2,707 every year, while hoping to spend $55,291 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: 68/18/14 Blend
39$2,120,000$2,120,000$2,120,000$2,120,000
40$2,339,032$2,226,672$2,193,812$2,490,409
41$2,518,784$2,276,950$2,208,476$2,641,829
42$2,715,018$2,327,838$2,221,777$2,800,566
43$2,929,356$2,379,309$2,233,613$2,972,772
44$3,163,585$2,431,329$2,243,874$3,159,764
45$3,419,671$2,483,865$2,252,444$3,362,993
46$3,699,780$2,536,877$2,259,204$3,584,058
47$4,006,297$2,590,323$2,264,026$3,824,718
48$4,341,846$2,644,155$2,266,778$4,086,912
49$4,709,318$2,698,323$2,267,319$4,372,779
50$5,111,898$2,752,770$2,265,503$4,684,671
51$5,553,091$2,807,436$2,261,177$5,025,182
52$6,036,759$2,862,253$2,254,179$5,397,171
53$6,567,155$2,917,149$2,244,340$5,803,786
54$7,148,962$2,972,047$2,231,483$6,248,497
55$7,787,340$3,026,861$2,215,422$6,735,128
56$8,487,972$3,081,501$2,195,962$7,267,892
57$9,257,118$3,135,867$2,172,899$7,851,432
58$10,101,673$3,189,853$2,146,020$8,490,865
59$11,029,232$3,243,345$2,115,101$9,191,828
60$12,048,165$3,296,219$2,079,907$9,960,535
61$13,167,687$3,348,344$2,040,194$10,803,833
62$14,397,956$3,399,577$1,995,705$11,729,270
63$15,750,157$3,449,766$1,946,171$12,745,159
64$17,236,617$3,498,749$1,891,311$13,860,668
65$18,870,914$3,546,349$1,830,832$15,085,895
66$20,668,008$3,592,381$1,764,426$16,431,972
67$22,644,382$3,636,645$1,691,771$17,911,167
68$24,818,195$3,678,927$1,612,532$19,536,998
69$27,209,457$3,719,000$1,526,357$21,324,366
70$29,840,210$3,756,620$1,432,879$23,289,692
71$32,734,746$3,791,529$1,331,715$25,451,073
72$35,919,825$3,823,449$1,222,463$27,828,453
73$39,424,936$3,852,086$1,104,704$30,443,813
74$43,282,568$3,877,128$978,000$33,321,378
75$47,528,523$3,898,239$841,895$36,487,847
76$52,202,245$3,915,066$695,912$39,972,643
77$57,347,200$3,927,230$539,551$43,808,194
78$63,011,280$3,934,330$372,292$48,030,239
79$69,247,259$3,935,941$193,592$52,678,164
80$76,113,286$3,931,608$2,884$57,795,377
81$83,673,436$3,920,852$0$63,429,718
82$91,998,314$3,903,161$0$69,663,881
83$101,165,720$3,877,994$0$76,528,408
84$111,261,385$3,844,777$0$84,087,001
85$122,379,775$3,802,900$0$92,410,336
86$134,624,987$3,751,718$0$101,576,296
87$148,111,730$3,690,545$0$111,670,708
88$162,966,402$3,618,658$0$122,788,155
89$179,328,290$3,535,287$0$135,032,865
90$197,350,879$3,439,620$0$148,519,700
91$217,203,302$3,330,794$0$163,375,240
92$239,071,935$3,207,899$0$179,738,974
93$263,162,156$3,069,970$0$197,764,621
94$289,700,283$2,915,986$0$217,621,582
95$318,935,711$2,744,868$0$239,496,539
96$351,143,261$2,555,475$0$263,595,216
97$386,625,779$2,346,598$0$290,144,324
98$425,716,989$2,116,962$0$319,393,704
99$468,784,648$1,865,219$0$351,618,679
100$516,234,010$1,589,943$0$387,122,663