Can I retire at age 40 with 2,580,000?

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 $2,580,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.9%
1 years$213,054$211,156$209,305$207,497$205,733$198,354
2 years$105,472$103,508$101,604$99,758$97,968$90,614
3 years$69,616$67,644$65,745$63,916$62,155$55,057
4 years$51,692$49,725$47,845$46,048$44,329$37,541
5 years$40,940$38,985$37,130$35,369$33,699$27,238
6 years$33,775$31,834$30,006$28,285$26,664$20,537
7 years$28,658$26,734$24,936$23,255$21,685$15,889
8 years$24,823$22,916$21,147$19,508$17,990$12,520
9 years$21,841$19,953$18,214$16,616$15,150$9,999
10 years$19,457$17,587$15,880$14,323$12,909$8,067
11 years$17,508$15,657$13,980$12,466$11,102$6,561
12 years$15,885$14,053$12,407$10,934$9,621$5,368
13 years$14,513$12,700$11,085$9,653$8,389$4,415
14 years$13,338$11,544$9,960$8,569$7,354$3,645
15 years$12,320$10,545$8,992$7,642$6,475$3,019
16 years$11,430$9,675$8,153$6,843$5,723$2,507
17 years$10,646$8,910$7,419$6,148$5,074$2,086
18 years$9,950$8,234$6,772$5,541$4,512$1,739
19 years$9,328$7,631$6,200$5,006$4,021$1,452
20 years$8,769$7,091$5,690$4,534$3,592$1,214
21 years$8,263$6,605$5,234$4,115$3,214$1,016
22 years$7,804$6,166$4,824$3,742$2,881$850
23 years$7,386$5,766$4,454$3,408$2,586$713
24 years$7,003$5,403$4,119$3,108$2,325$598
25 years$6,652$5,070$3,815$2,838$2,092$501
26 years$6,328$4,765$3,538$2,595$1,884$421
27 years$6,028$4,485$3,285$2,375$1,699$353
28 years$5,750$4,226$3,054$2,176$1,533$297
29 years$5,492$3,987$2,842$1,996$1,384$249
30 years$5,252$3,765$2,647$1,832$1,251$209
31 years$5,027$3,559$2,468$1,682$1,131$176
32 years$4,817$3,368$2,303$1,546$1,023$148
33 years$4,620$3,189$2,150$1,422$926$124
34 years$4,436$3,023$2,009$1,308$838$104
35 years$4,262$2,867$1,878$1,204$759$88
36 years$4,098$2,721$1,757$1,109$688$74
37 years$3,943$2,584$1,645$1,022$623$62
38 years$3,797$2,456$1,540$942$565$52
39 years$3,658$2,336$1,443$868$512$44
40 years$3,527$2,222$1,352$801$465$37
41 years$3,403$2,115$1,268$739$422$31
42 years$3,285$2,014$1,190$682$383$26
43 years$3,172$1,919$1,116$630$347$22
44 years$3,065$1,830$1,048$581$315$18
45 years$2,963$1,745$984$537$286$16
46 years$2,866$1,664$924$496$260$13
47 years$2,774$1,588$868$458$236$11
48 years$2,685$1,516$816$423$214$9
49 years$2,600$1,448$767$391$195$8
50 years$2,519$1,383$721$362$177$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,580,000, adding $4,381 every year, while hoping to spend $35,645 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: 58/20/22 Blend
39$2,580,000$2,580,000$2,580,000$2,580,000
40$2,847,679$2,710,939$2,670,949$2,995,826
41$3,100,216$2,805,849$2,722,500$3,192,111
42$3,377,318$2,904,215$2,774,583$3,401,794
43$3,681,451$3,006,168$2,827,178$3,629,626
44$4,015,335$3,111,847$2,880,265$3,877,370
45$4,381,964$3,221,392$2,933,818$4,146,964
46$4,784,637$3,334,952$2,987,814$4,440,541
47$5,226,987$3,452,682$3,042,223$4,760,451
48$5,713,018$3,574,742$3,097,015$5,109,278
49$6,247,139$3,701,298$3,152,159$5,489,870
50$6,834,210$3,832,525$3,207,619$5,905,361
51$7,479,583$3,968,602$3,263,358$6,359,200
52$8,189,155$4,109,718$3,319,335$6,855,188
53$8,969,423$4,256,068$3,375,507$7,397,508
54$9,827,545$4,407,856$3,431,827$7,990,768
55$10,771,407$4,565,293$3,488,246$8,640,042
56$11,809,699$4,728,601$3,544,711$9,350,918
57$12,951,994$4,898,009$3,601,165$10,129,551
58$14,208,842$5,073,755$3,657,547$10,982,718
59$15,591,864$5,256,089$3,713,795$11,917,888
60$17,113,866$5,445,270$3,769,839$12,943,283
61$18,788,958$5,641,567$3,825,607$14,067,963
62$20,632,689$5,845,260$3,881,022$15,301,906
63$22,662,189$6,056,644$3,936,002$16,656,105
64$24,896,335$6,276,021$3,990,460$18,142,669
65$27,355,925$6,503,710$4,044,305$19,774,939
66$30,063,878$6,740,041$4,097,438$21,567,609
67$33,045,449$6,985,359$4,149,758$23,536,872
68$36,328,464$7,240,020$4,201,154$25,700,562
69$39,943,587$7,504,401$4,251,512$28,078,331
70$43,924,605$7,778,889$4,300,710$30,691,830
71$48,308,750$8,063,890$4,348,619$33,564,911
72$53,137,049$8,359,827$4,395,104$36,723,854
73$58,454,710$8,667,140$4,440,022$40,197,616
74$64,311,549$8,986,289$4,483,222$44,018,100
75$70,762,462$9,317,752$4,524,544$48,220,455
76$77,867,938$9,662,027$4,563,821$52,843,412
77$85,694,635$10,019,634$4,600,877$57,929,645
78$94,316,007$10,391,115$4,635,526$63,526,175
79$103,812,995$10,777,035$4,667,571$69,684,809
80$114,274,794$11,177,983$4,696,808$76,462,635
81$125,799,692$11,594,573$4,723,020$83,922,555
82$138,495,998$12,027,445$4,745,979$92,133,878
83$152,483,068$12,477,267$4,765,447$101,172,977
84$167,892,423$12,944,735$4,781,171$111,124,007
85$184,868,999$13,430,576$4,792,890$122,079,695
86$203,572,509$13,935,547$4,800,324$134,142,221
87$224,178,955$14,460,438$4,803,184$147,424,177
88$246,882,282$15,006,073$4,801,165$162,049,630
89$271,896,216$15,573,313$4,793,945$178,155,294
90$299,456,278$16,163,053$4,781,190$195,891,814
91$329,822,005$16,776,229$4,762,547$215,425,195
92$363,279,405$17,413,819$4,737,647$236,938,361
93$400,143,648$18,076,841$4,706,103$260,632,884
94$440,762,052$18,766,358$4,667,509$286,730,886
95$485,517,351$19,483,479$4,621,440$315,477,132
96$534,831,314$20,229,362$4,567,451$347,141,342
97$589,168,723$21,005,217$4,505,077$382,020,735
98$649,041,764$21,812,303$4,433,828$420,442,833
99$715,014,857$22,651,939$4,353,194$462,768,551
100$787,709,986$23,525,498$4,262,640$509,395,604