Can I retire at age 40 with 2,640,000?

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 $2,640,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.3%
1 years$218,009$216,067$214,172$212,323$210,517$203,453
2 years$107,925$105,915$103,967$102,078$100,246$93,199
3 years$71,235$69,217$67,274$65,403$63,600$56,791
4 years$52,894$50,882$48,958$47,119$45,360$38,841
5 years$41,892$39,892$37,993$36,192$34,482$28,270
6 years$34,560$32,575$30,704$28,943$27,285$21,385
7 years$29,325$27,356$25,515$23,796$22,190$16,602
8 years$25,400$23,449$21,639$19,961$18,408$13,128
9 years$22,349$20,417$18,638$17,003$15,503$10,523
10 years$19,910$17,996$16,249$14,657$13,209$8,523
11 years$17,916$16,021$14,305$12,756$11,360$6,958
12 years$16,255$14,380$12,695$11,188$9,844$5,716
13 years$14,850$12,995$11,343$9,878$8,585$4,720
14 years$13,648$11,812$10,191$8,768$7,525$3,913
15 years$12,606$10,791$9,201$7,820$6,626$3,255
16 years$11,696$9,900$8,342$7,002$5,856$2,715
17 years$10,894$9,118$7,591$6,291$5,192$2,269
18 years$10,181$8,425$6,930$5,669$4,617$1,900
19 years$9,545$7,808$6,344$5,123$4,115$1,594
20 years$8,973$7,256$5,822$4,640$3,676$1,338
21 years$8,455$6,759$5,355$4,211$3,289$1,125
22 years$7,986$6,309$4,936$3,829$2,948$947
23 years$7,558$5,901$4,557$3,487$2,647$797
24 years$7,166$5,528$4,215$3,180$2,379$671
25 years$6,806$5,188$3,904$2,904$2,141$566
26 years$6,475$4,876$3,620$2,656$1,928$477
27 years$6,168$4,589$3,362$2,431$1,738$403
28 years$5,884$4,324$3,125$2,227$1,569$340
29 years$5,620$4,079$2,908$2,042$1,416$287
30 years$5,374$3,852$2,709$1,874$1,280$242
31 years$5,144$3,642$2,526$1,721$1,157$205
32 years$4,929$3,446$2,356$1,582$1,047$173
33 years$4,728$3,263$2,200$1,455$947$146
34 years$4,539$3,093$2,056$1,339$858$123
35 years$4,361$2,934$1,922$1,232$777$104
36 years$4,193$2,784$1,798$1,135$704$88
37 years$4,035$2,645$1,683$1,046$638$74
38 years$3,885$2,513$1,576$964$578$63
39 years$3,743$2,390$1,476$889$524$53
40 years$3,609$2,274$1,384$820$476$45
41 years$3,482$2,164$1,298$756$432$38
42 years$3,361$2,061$1,217$698$392$32
43 years$3,246$1,964$1,142$644$355$27
44 years$3,137$1,872$1,072$595$323$23
45 years$3,032$1,785$1,007$549$293$19
46 years$2,933$1,703$946$507$266$16
47 years$2,838$1,625$888$469$241$14
48 years$2,747$1,551$835$433$219$12
49 years$2,661$1,482$785$400$199$10
50 years$2,578$1,415$738$370$181$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,640,000, adding $2,709 every year, while hoping to spend $47,881 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: 48/44/8 Blend
39$2,640,000$2,640,000$2,640,000$2,640,000
40$2,912,074$2,772,154$2,731,234$3,045,500
41$3,158,161$2,857,045$2,771,786$3,222,139
42$3,427,744$2,944,490$2,812,091$3,408,548
43$3,723,168$3,034,565$2,852,091$3,609,820
44$4,047,019$3,127,346$2,891,723$3,827,350
45$4,402,141$3,222,913$2,930,922$4,062,674
46$4,791,669$3,321,345$2,969,617$4,317,484
47$5,219,055$3,422,726$3,007,735$4,593,636
48$5,688,101$3,527,142$3,045,197$4,893,176
49$6,202,996$3,634,681$3,081,920$5,218,352
50$6,768,353$3,745,432$3,117,816$5,571,641
51$7,389,256$3,859,489$3,152,793$5,955,765
52$8,071,302$3,976,946$3,186,754$6,373,721
53$8,820,660$4,097,902$3,219,595$6,828,810
54$9,644,124$4,222,455$3,251,208$7,324,663
55$10,549,180$4,350,711$3,281,479$7,865,278
56$11,544,074$4,482,773$3,310,286$8,455,055
57$12,637,891$4,618,752$3,337,503$9,098,840
58$13,840,643$4,758,757$3,362,996$9,801,969
59$15,163,356$4,902,904$3,386,624$10,570,316
60$16,618,182$5,051,309$3,408,239$11,410,351
61$18,218,506$5,204,093$3,427,685$12,329,198
62$19,979,080$5,361,380$3,444,799$13,334,702
63$21,916,155$5,523,296$3,459,408$14,435,504
64$24,047,636$5,689,971$3,471,332$15,641,121
65$26,393,253$5,861,538$3,480,380$16,962,035
66$28,974,745$6,038,134$3,486,353$18,409,791
67$31,816,065$6,219,898$3,489,041$19,997,108
68$34,943,605$6,406,975$3,488,226$21,737,995
69$38,386,447$6,599,510$3,483,675$23,647,882
70$42,176,634$6,797,656$3,475,148$25,743,771
71$46,349,476$7,001,566$3,462,390$28,044,388
72$50,943,878$7,211,399$3,445,136$30,570,365
73$56,002,713$7,427,316$3,423,107$33,344,430
74$61,573,219$7,649,484$3,396,011$36,391,625
75$67,707,451$7,878,072$3,363,541$39,739,538
76$74,462,768$8,113,255$3,325,376$43,418,563
77$81,902,376$8,355,210$3,281,182$47,462,189
78$90,095,922$8,604,120$3,230,606$51,907,311
79$99,120,155$8,860,170$3,173,280$56,794,583
80$109,059,645$9,123,552$3,108,819$62,168,794
81$120,007,583$9,394,461$3,036,819$68,079,297
82$132,066,663$9,673,096$2,956,859$74,580,469
83$145,350,046$9,959,660$2,868,496$81,732,227
84$159,982,429$10,254,363$2,771,270$89,600,589
85$176,101,227$10,557,416$2,664,697$98,258,300
86$193,857,860$10,869,038$2,548,272$107,785,515
87$213,419,191$11,189,449$2,421,468$118,270,555
88$234,969,094$11,518,878$2,283,733$129,810,744
89$258,710,193$11,857,554$2,134,490$142,513,321
90$284,865,773$12,205,715$1,973,136$156,496,453
91$313,681,887$12,563,601$1,799,041$171,890,353
92$345,429,679$12,931,456$1,611,548$188,838,505
93$380,407,941$13,309,532$1,409,970$207,499,016
94$418,945,935$13,698,084$1,193,588$228,046,112
95$461,406,501$14,097,371$961,654$250,671,779
96$508,189,479$14,507,657$713,384$275,587,575
97$559,735,486$14,929,212$447,963$303,026,625
98$616,530,072$15,362,309$164,536$333,245,823
99$679,108,305$15,807,228$0$366,528,254
100$748,059,820$16,264,251$0$403,197,640