Can I retire at age 40 with 2,440,000?

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 $2,440,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.5%
1 years$201,493$199,698$197,947$196,238$194,569$190,174
2 years$99,749$97,891$96,091$94,345$92,652$88,248
3 years$65,839$63,973$62,177$60,448$58,782$54,506
4 years$48,887$47,027$45,249$43,549$41,924$37,809
5 years$38,719$36,870$35,115$33,450$31,870$27,928
6 years$31,942$30,107$28,378$26,750$25,218$21,452
7 years$27,103$25,284$23,582$21,993$20,509$16,921
8 years$23,476$21,673$20,000$18,449$17,014$13,602
9 years$20,656$18,870$17,226$15,715$14,328$11,090
10 years$18,402$16,633$15,018$13,546$12,208$9,140
11 years$16,558$14,807$13,221$11,789$10,500$7,598
12 years$15,023$13,290$11,734$10,341$9,099$6,358
13 years$13,725$12,011$10,483$9,129$7,934$5,350
14 years$12,614$10,917$9,419$8,104$6,955$4,522
15 years$11,651$9,973$8,504$7,227$6,124$3,836
16 years$10,810$9,150$7,710$6,471$5,412$3,264
17 years$10,069$8,427$7,016$5,814$4,799$2,785
18 years$9,410$7,787$6,405$5,240$4,267$2,381
19 years$8,822$7,217$5,863$4,735$3,803$2,039
20 years$8,293$6,706$5,381$4,288$3,397$1,749
21 years$7,815$6,247$4,950$3,892$3,040$1,503
22 years$7,381$5,831$4,562$3,539$2,725$1,292
23 years$6,985$5,454$4,212$3,223$2,446$1,112
24 years$6,623$5,110$3,895$2,939$2,199$958
25 years$6,291$4,795$3,608$2,684$1,978$826
26 years$5,984$4,507$3,346$2,454$1,782$712
27 years$5,701$4,241$3,107$2,247$1,607$615
28 years$5,438$3,997$2,889$2,058$1,450$531
29 years$5,194$3,770$2,688$1,888$1,309$458
30 years$4,967$3,561$2,504$1,732$1,183$396
31 years$4,754$3,366$2,334$1,591$1,069$342
32 years$4,556$3,185$2,178$1,462$967$296
33 years$4,370$3,016$2,033$1,345$875$256
34 years$4,195$2,859$1,900$1,237$793$221
35 years$4,030$2,711$1,776$1,139$718$191
36 years$3,875$2,573$1,662$1,049$650$166
37 years$3,729$2,444$1,555$966$590$143
38 years$3,591$2,323$1,457$891$534$124
39 years$3,460$2,209$1,365$821$485$107
40 years$3,336$2,102$1,279$758$440$93
41 years$3,218$2,000$1,199$699$399$80
42 years$3,106$1,905$1,125$645$362$70
43 years$3,000$1,815$1,056$595$328$60
44 years$2,899$1,730$991$550$298$52
45 years$2,803$1,650$930$508$271$45
46 years$2,711$1,574$874$469$246$39
47 years$2,623$1,502$821$433$223$34
48 years$2,539$1,434$772$400$203$29
49 years$2,459$1,369$725$370$184$25
50 years$2,382$1,308$682$342$167$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,440,000, adding $4,842 every year, while hoping to spend $53,549 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: 40/32/28 Blend
39$2,440,000$2,440,000$2,440,000$2,440,000
40$2,693,875$2,564,555$2,526,735$2,779,187
41$2,911,674$2,633,242$2,554,404$2,910,339
42$3,149,894$2,703,500$2,581,207$3,046,805
43$3,410,562$2,775,350$2,607,055$3,193,427
44$3,695,908$2,848,811$2,631,860$3,351,171
45$4,008,389$2,923,902$2,655,527$3,521,098
46$4,350,712$3,000,640$2,677,954$3,704,377
47$4,725,856$3,079,043$2,699,037$3,902,298
48$5,137,103$3,159,125$2,718,664$4,116,280
49$5,588,067$3,240,902$2,736,719$4,347,887
50$6,082,730$3,324,386$2,753,079$4,598,844
51$6,625,475$3,409,588$2,767,614$4,871,049
52$7,221,133$3,496,517$2,780,188$5,166,595
53$7,875,024$3,585,182$2,790,660$5,487,790
54$8,593,008$3,675,587$2,798,878$5,837,174
55$9,381,540$3,767,736$2,804,686$6,217,549
56$10,247,732$3,861,630$2,807,918$6,632,002
57$11,199,417$3,957,267$2,808,400$7,083,936
58$12,245,227$4,054,642$2,805,950$7,577,101
59$13,394,668$4,153,748$2,800,378$8,115,631
60$14,658,216$4,254,573$2,791,482$8,704,080
61$16,047,411$4,357,103$2,779,053$9,347,471
62$17,574,966$4,461,321$2,762,871$10,051,338
63$19,254,889$4,567,202$2,742,704$10,821,781
64$21,102,614$4,674,721$2,718,310$11,665,525
65$23,135,144$4,783,846$2,689,437$12,589,981
66$25,371,214$4,894,540$2,655,819$13,603,319
67$27,831,466$5,006,761$2,617,177$14,714,543
68$30,538,645$5,120,461$2,573,222$15,933,579
69$33,517,809$5,235,586$2,523,647$17,271,367
70$36,796,571$5,352,075$2,468,134$18,739,966
71$40,405,355$5,469,860$2,406,351$20,352,667
72$44,377,684$5,588,867$2,337,946$22,124,123
73$48,750,496$5,709,010$2,262,556$24,070,481
74$53,564,494$5,830,198$2,179,799$26,209,542
75$58,864,525$5,952,331$2,089,275$28,560,926
76$64,700,007$6,075,296$1,990,566$31,146,259
77$71,125,395$6,198,972$1,883,237$33,989,377
78$78,200,690$6,323,227$1,766,831$37,116,552
79$85,992,012$6,447,916$1,640,871$40,556,745
80$94,572,216$6,572,883$1,504,859$44,341,873
81$104,021,586$6,697,958$1,358,275$48,507,117
82$114,428,585$6,822,956$1,200,575$53,091,256
83$125,890,698$6,947,678$1,031,192$58,137,027
84$138,515,344$7,071,908$849,531$63,691,538
85$152,420,893$7,195,416$654,974$69,806,711
86$167,737,783$7,317,950$446,875$76,539,771
87$184,609,749$7,439,242$224,558$83,953,793
88$203,195,182$7,559,003$0$92,118,293
89$223,668,618$7,676,923$0$101,113,684
90$246,222,393$7,792,667$0$111,092,463
91$271,068,449$7,905,880$0$122,080,774
92$298,440,340$8,016,178$0$134,181,438
93$328,595,437$8,123,152$0$147,507,762
94$361,817,350$8,226,365$0$162,184,616
95$398,418,611$8,325,349$0$178,349,603
96$438,743,622$8,419,603$0$196,154,365
97$483,171,902$8,508,595$0$215,766,016
98$532,121,675$8,591,755$0$237,368,712
99$586,053,811$8,668,476$0$261,165,402
100$645,476,180$8,738,111$0$287,379,733