Can I retire at age 40 with 2,700,000?

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 $2,700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$222,963$220,977$219,040$217,149$215,302$210,782
2 years$110,378$108,322$106,330$104,398$102,525$97,993
3 years$72,854$70,790$68,803$66,889$65,046$60,643
4 years$54,096$52,038$50,071$48,190$46,391$42,151
5 years$42,844$40,798$38,857$37,014$35,266$31,200
6 years$35,345$33,315$31,402$29,601$27,905$24,018
7 years$29,991$27,978$26,095$24,336$22,694$18,988
8 years$25,977$23,982$22,131$20,415$18,827$15,299
9 years$22,857$20,881$19,061$17,389$15,855$12,504
10 years$20,362$18,405$16,618$14,990$13,509$10,331
11 years$18,323$16,385$14,630$13,045$11,618$8,609
12 years$16,624$14,707$12,984$11,443$10,068$7,223
13 years$15,188$13,290$11,600$10,102$8,780$6,094
14 years$13,958$12,081$10,423$8,968$7,696$5,165
15 years$12,893$11,036$9,411$7,997$6,776$4,394
16 years$11,962$10,125$8,532$7,161$5,989$3,749
17 years$11,141$9,325$7,764$6,434$5,310$3,208
18 years$10,413$8,617$7,087$5,798$4,722$2,751
19 years$9,762$7,986$6,488$5,239$4,208$2,363
20 years$9,176$7,421$5,954$4,745$3,759$2,033
21 years$8,648$6,912$5,477$4,307$3,364$1,752
22 years$8,167$6,452$5,048$3,916$3,015$1,511
23 years$7,730$6,035$4,661$3,566$2,707$1,305
24 years$7,329$5,654$4,310$3,252$2,433$1,128
25 years$6,961$5,306$3,992$2,970$2,189$975
26 years$6,622$4,987$3,703$2,716$1,972$844
27 years$6,308$4,693$3,438$2,486$1,778$731
28 years$6,018$4,422$3,196$2,278$1,604$633
29 years$5,748$4,172$2,974$2,089$1,449$548
30 years$5,496$3,940$2,771$1,917$1,309$475
31 years$5,261$3,725$2,583$1,760$1,183$412
32 years$5,041$3,524$2,410$1,618$1,070$357
33 years$4,835$3,338$2,250$1,488$969$310
34 years$4,642$3,163$2,102$1,369$877$269
35 years$4,460$3,000$1,966$1,260$794$234
36 years$4,288$2,848$1,839$1,161$720$203
37 years$4,126$2,705$1,721$1,069$652$176
38 years$3,973$2,570$1,612$986$591$153
39 years$3,829$2,444$1,510$909$536$133
40 years$3,691$2,325$1,415$838$486$115
41 years$3,561$2,214$1,327$773$441$100
42 years$3,437$2,108$1,245$714$400$87
43 years$3,320$2,009$1,168$659$363$75
44 years$3,208$1,915$1,097$608$330$66
45 years$3,101$1,826$1,030$562$299$57
46 years$3,000$1,742$967$519$272$49
47 years$2,903$1,662$909$479$247$43
48 years$2,810$1,587$854$443$224$37
49 years$2,721$1,515$802$409$204$32
50 years$2,636$1,447$754$378$185$28

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,700,000, adding $4,014 every year, while hoping to spend $42,742 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: 30/50/20 Blend
39$2,700,000$2,700,000$2,700,000$2,700,000
40$2,979,540$2,836,440$2,794,590$3,050,135
41$3,237,976$2,929,949$2,842,732$3,197,636
42$3,521,340$3,026,607$2,891,054$3,352,090
43$3,832,130$3,126,523$2,939,517$3,517,352
44$4,173,095$3,229,811$2,988,079$3,694,382
45$4,547,267$3,336,588$3,036,696$3,884,234
46$4,957,983$3,446,975$3,085,320$4,088,065
47$5,408,919$3,561,099$3,133,900$4,307,147
48$5,904,125$3,679,089$3,182,382$4,542,876
49$6,448,062$3,801,081$3,230,708$4,796,785
50$7,045,645$3,927,214$3,278,817$5,070,561
51$7,702,287$4,057,634$3,326,644$5,366,055
52$8,423,953$4,192,491$3,374,119$5,685,304
53$9,217,215$4,331,941$3,421,171$6,030,548
54$10,089,311$4,476,146$3,467,720$6,404,249
55$11,048,216$4,625,273$3,513,684$6,809,113
56$12,102,719$4,779,496$3,558,977$7,248,120
57$13,262,499$4,938,995$3,603,506$7,724,546
58$14,538,225$5,103,956$3,647,174$8,241,995
59$15,941,647$5,274,573$3,689,878$8,804,432
60$17,485,715$5,451,047$3,731,508$9,416,221
61$19,184,695$5,633,586$3,771,951$10,082,165
62$21,054,308$5,822,406$3,811,085$10,807,548
63$23,111,874$6,017,730$3,848,783$11,598,188
64$25,376,477$6,219,790$3,884,909$12,460,489
65$27,869,146$6,428,829$3,919,322$13,401,500
66$30,613,052$6,645,094$3,951,872$14,428,981
67$33,633,725$6,868,846$3,982,402$15,551,477
68$36,959,299$7,100,353$4,010,747$16,778,394
69$40,620,772$7,339,895$4,036,731$18,120,092
70$44,652,301$7,587,760$4,060,172$19,587,977
71$49,091,525$7,844,250$4,080,877$21,194,611
72$53,979,917$8,109,675$4,098,643$22,953,825
73$59,363,179$8,384,359$4,113,258$24,880,856
74$65,291,669$8,668,638$4,124,498$26,992,481
75$71,820,878$8,962,860$4,132,127$29,307,181
76$79,011,954$9,267,387$4,135,900$31,845,309
77$86,932,279$9,582,595$4,135,558$34,629,286
78$95,656,102$9,908,872$4,130,830$37,683,807
79$105,265,241$10,246,624$4,121,429$41,036,075
80$115,849,858$10,596,270$4,107,059$44,716,057
81$127,509,303$10,958,248$4,087,406$48,756,761
82$140,353,059$11,333,009$4,062,141$53,194,553
83$154,501,769$11,721,024$4,030,921$58,069,493
84$170,088,378$12,122,783$3,993,385$63,425,715
85$187,259,385$12,538,791$3,949,155$69,311,840
86$206,176,226$12,969,576$3,897,837$75,781,434
87$227,016,802$13,415,687$3,839,015$82,893,512
88$249,977,151$13,877,690$3,772,257$90,713,094
89$275,273,301$14,356,178$3,697,108$99,311,815
90$303,143,311$14,851,763$3,613,094$108,768,601
91$333,849,514$15,365,085$3,519,718$119,170,413
92$367,680,995$15,896,805$3,416,460$130,613,062
93$404,956,321$16,447,613$3,302,775$143,202,115
94$446,026,544$17,018,224$3,178,096$157,053,889
95$491,278,516$17,609,382$3,041,828$172,296,545
96$541,138,544$18,221,861$2,893,348$189,071,297
97$596,076,408$18,856,464$2,732,007$207,533,743
98$656,609,798$19,514,027$2,557,126$227,855,328
99$723,309,203$20,195,420$2,367,995$250,224,967
100$796,803,290$20,901,544$2,163,872$274,850,817