Can I retire at age 40 with 2,460,000?

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 $2,460,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.7%
1 years$203,145$201,335$199,570$197,846$196,164$193,153
2 years$100,567$98,694$96,878$95,118$93,411$90,385
3 years$66,378$64,497$62,687$60,943$59,264$56,317
4 years$49,288$47,412$45,620$43,906$42,268$39,422
5 years$39,036$37,172$35,403$33,724$32,131$29,395
6 years$32,204$30,354$28,611$26,970$25,424$22,801
7 years$27,325$25,491$23,776$22,173$20,677$18,168
8 years$23,668$21,850$20,164$18,600$17,153$14,758
9 years$20,825$19,025$17,367$15,843$14,446$12,162
10 years$18,552$16,769$15,141$13,657$12,308$10,136
11 years$16,694$14,929$13,330$11,886$10,586$8,521
12 years$15,146$13,399$11,830$10,426$9,173$7,214
13 years$13,838$12,109$10,569$9,204$7,999$6,143
14 years$12,717$11,007$9,496$8,170$7,012$5,256
15 years$11,747$10,055$8,574$7,287$6,174$4,515
16 years$10,899$9,225$7,774$6,524$5,457$3,891
17 years$10,151$8,496$7,074$5,862$4,838$3,362
18 years$9,487$7,851$6,457$5,283$4,302$2,913
19 years$8,894$7,276$5,911$4,774$3,834$2,528
20 years$8,361$6,761$5,425$4,323$3,425$2,198
21 years$7,879$6,298$4,990$3,924$3,065$1,914
22 years$7,441$5,879$4,599$3,568$2,747$1,669
23 years$7,043$5,498$4,247$3,249$2,466$1,457
24 years$6,678$5,152$3,927$2,963$2,217$1,273
25 years$6,342$4,834$3,637$2,706$1,995$1,113
26 years$6,033$4,544$3,374$2,474$1,797$974
27 years$5,748$4,276$3,133$2,265$1,620$853
28 years$5,483$4,029$2,912$2,075$1,462$747
29 years$5,237$3,801$2,710$1,903$1,320$655
30 years$5,007$3,590$2,524$1,746$1,193$574
31 years$4,793$3,394$2,353$1,604$1,078$504
32 years$4,593$3,211$2,196$1,474$975$442
33 years$4,405$3,041$2,050$1,356$883$388
34 years$4,229$2,882$1,916$1,247$799$341
35 years$4,063$2,734$1,791$1,148$724$299
36 years$3,907$2,595$1,675$1,057$656$263
37 years$3,760$2,464$1,568$974$594$231
38 years$3,620$2,342$1,468$898$539$203
39 years$3,488$2,227$1,376$828$489$178
40 years$3,363$2,119$1,290$764$443$157
41 years$3,245$2,017$1,209$705$402$138
42 years$3,132$1,921$1,134$650$365$121
43 years$3,025$1,830$1,064$600$331$106
44 years$2,923$1,744$999$554$301$93
45 years$2,826$1,664$938$512$273$82
46 years$2,733$1,587$881$473$248$72
47 years$2,645$1,514$828$437$225$64
48 years$2,560$1,446$778$404$204$56
49 years$2,479$1,381$731$373$186$49
50 years$2,402$1,319$687$345$169$43

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,460,000, adding $3,975 every year, while hoping to spend $46,066 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: 57/24/19 Blend
39$2,460,000$2,460,000$2,460,000$2,460,000
40$2,715,020$2,584,640$2,546,510$2,855,855
41$2,942,938$2,662,274$2,582,804$3,029,742
42$3,192,560$2,742,167$2,618,771$3,213,834
43$3,466,051$2,824,383$2,654,349$3,413,431
44$3,765,795$2,908,985$2,689,477$3,630,034
45$4,094,419$2,996,037$2,724,086$3,865,298
46$4,454,814$3,085,608$2,758,108$4,121,040
47$4,850,167$3,177,764$2,791,466$4,399,266
48$5,283,986$3,272,577$2,824,082$4,702,182
49$5,760,136$3,370,117$2,855,873$5,032,216
50$6,282,874$3,470,457$2,886,749$5,392,045
51$6,856,892$3,573,673$2,916,619$5,784,615
52$7,487,353$3,679,842$2,945,384$6,213,171
53$8,179,950$3,789,041$2,972,942$6,681,288
54$8,940,952$3,901,351$2,999,182$7,192,902
55$9,777,265$4,016,853$3,023,991$7,752,351
56$10,696,499$4,135,632$3,047,247$8,364,410
57$11,707,036$4,257,772$3,068,824$9,034,344
58$12,818,112$4,383,361$3,088,588$9,767,948
59$14,039,902$4,512,489$3,106,399$10,571,609
60$15,383,616$4,645,245$3,122,107$11,452,362
61$16,861,606$4,781,723$3,135,559$12,417,961
62$18,487,480$4,922,018$3,146,591$13,476,943
63$20,276,232$5,066,226$3,155,030$14,638,718
64$22,244,382$5,214,445$3,160,698$15,913,654
65$24,410,133$5,366,776$3,163,405$17,313,171
66$26,793,540$5,523,322$3,162,953$18,849,855
67$29,416,702$5,684,186$3,159,133$20,537,573
68$32,303,968$5,849,474$3,151,727$22,391,603
69$35,482,169$6,019,294$3,140,506$24,428,781
70$38,980,867$6,193,756$3,125,229$26,667,656
71$42,832,637$6,372,972$3,105,646$29,128,670
72$47,073,373$6,557,054$3,081,492$31,834,346
73$51,742,625$6,746,118$3,052,491$34,809,502
74$56,883,977$6,940,282$3,018,352$38,081,487
75$62,545,449$7,139,662$2,978,774$41,680,437
76$68,779,960$7,344,381$2,933,438$45,639,558
77$75,645,819$7,554,559$2,882,012$49,995,444
78$83,207,281$7,770,321$2,824,147$54,788,417
79$91,535,148$7,991,791$2,759,480$60,062,914
80$100,707,440$8,219,095$2,687,630$65,867,897
81$110,810,131$8,452,363$2,608,197$72,257,326
82$121,937,958$8,691,722$2,520,766$79,290,659
83$134,195,317$8,937,304$2,424,898$87,033,418
84$147,697,246$9,189,239$2,320,140$95,557,810
85$162,570,514$9,447,660$2,206,013$104,943,401
86$178,954,811$9,712,700$2,082,020$115,277,873
87$197,004,074$9,984,494$1,947,639$126,657,851
88$216,887,931$10,263,176$1,802,326$139,189,814
89$238,793,308$10,548,880$1,645,513$152,991,100
90$262,926,193$10,841,743$1,476,605$168,191,016
91$289,513,575$11,141,899$1,294,981$184,932,055
92$318,805,591$11,449,483$1,099,994$203,371,245
93$351,077,884$11,764,630$890,966$223,681,631
94$386,634,205$12,087,474$667,191$246,053,907
95$425,809,282$12,418,148$427,930$270,698,218
96$468,971,976$12,756,785$172,413$297,846,141
97$516,528,764$13,103,514$0$327,752,879
98$568,927,577$13,458,465$0$360,719,988
99$626,662,025$13,821,764$0$397,075,682
100$690,276,056$14,193,536$0$437,126,677