Can I retire at age 40 with 2,800,000?

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 $2,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.2%
1 years$231,221$229,162$227,152$225,191$223,276$219,397
2 years$114,466$112,334$110,268$108,265$106,322$102,426
3 years$75,553$73,412$71,351$69,366$67,455$63,664
4 years$56,100$53,965$51,925$49,975$48,109$44,453
5 years$44,431$42,309$40,296$38,385$36,572$33,060
6 years$36,655$34,549$32,565$30,697$28,938$25,574
7 years$31,102$29,014$27,062$25,238$23,535$20,320
8 years$26,940$24,870$22,951$21,171$19,524$16,459
9 years$23,704$21,654$19,767$18,033$16,442$13,524
10 years$21,117$19,087$17,234$15,545$14,010$11,236
11 years$19,001$16,992$15,172$13,529$12,049$9,416
12 years$17,240$15,251$13,465$11,866$10,441$7,947
13 years$15,750$13,783$12,030$10,476$9,105$6,745
14 years$14,475$12,528$10,809$9,300$7,981$5,751
15 years$13,370$11,445$9,759$8,294$7,027$4,923
16 years$12,405$10,500$8,848$7,426$6,211$4,228
17 years$11,554$9,670$8,051$6,672$5,507$3,641
18 years$10,799$8,936$7,350$6,013$4,896$3,142
19 years$10,123$8,282$6,728$5,433$4,364$2,718
20 years$9,516$7,696$6,175$4,921$3,898$2,354
21 years$8,968$7,168$5,680$4,466$3,489$2,042
22 years$8,470$6,691$5,235$4,061$3,127$1,774
23 years$8,016$6,258$4,833$3,698$2,807$1,542
24 years$7,601$5,864$4,470$3,373$2,523$1,342
25 years$7,219$5,503$4,140$3,080$2,270$1,169
26 years$6,867$5,172$3,840$2,816$2,045$1,019
27 years$6,542$4,867$3,566$2,578$1,844$889
28 years$6,241$4,586$3,315$2,362$1,664$775
29 years$5,961$4,327$3,085$2,166$1,502$677
30 years$5,700$4,086$2,873$1,988$1,357$591
31 years$5,456$3,863$2,679$1,826$1,227$516
32 years$5,228$3,655$2,499$1,678$1,110$451
33 years$5,014$3,461$2,334$1,543$1,005$394
34 years$4,814$3,280$2,180$1,420$910$345
35 years$4,625$3,111$2,038$1,307$824$302
36 years$4,447$2,953$1,907$1,204$746$264
37 years$4,279$2,805$1,785$1,109$677$231
38 years$4,120$2,666$1,671$1,022$613$202
39 years$3,970$2,535$1,566$942$556$177
40 years$3,828$2,412$1,468$869$504$155
41 years$3,693$2,296$1,376$802$458$135
42 years$3,565$2,186$1,291$740$415$118
43 years$3,443$2,083$1,211$683$377$104
44 years$3,327$1,986$1,137$631$342$91
45 years$3,216$1,893$1,068$583$311$79
46 years$3,111$1,806$1,003$538$282$69
47 years$3,010$1,724$942$497$256$61
48 years$2,914$1,646$885$459$233$53
49 years$2,822$1,571$832$425$211$47
50 years$2,734$1,501$782$392$192$41

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,800,000, adding $2,272 every year, while hoping to spend $32,634 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: 61/20/19 Blend
39$2,800,000$2,800,000$2,800,000$2,800,000
40$3,087,944$2,939,544$2,896,144$3,261,011
41$3,368,191$3,048,859$2,958,442$3,487,472
42$3,675,931$3,162,437$3,021,734$3,730,684
43$4,013,932$3,280,452$3,086,018$3,995,366
44$4,385,245$3,403,086$3,151,291$4,283,607
45$4,793,231$3,530,529$3,217,551$4,597,706
46$5,241,594$3,662,978$3,284,792$4,940,194
47$5,734,413$3,800,640$3,353,009$5,313,853
48$6,276,182$3,943,730$3,422,193$5,721,750
49$6,871,852$4,092,473$3,492,337$6,167,258
50$7,526,879$4,247,102$3,563,428$6,654,091
51$8,247,272$4,407,862$3,635,455$7,186,338
52$9,039,655$4,575,008$3,708,403$7,768,502
53$9,911,322$4,748,805$3,782,257$8,405,540
54$10,870,312$4,929,532$3,856,998$9,102,909
55$11,925,482$5,117,478$3,932,605$9,866,622
56$13,086,591$5,312,944$4,009,058$10,703,296
57$14,364,392$5,516,246$4,086,329$11,620,222
58$15,770,731$5,727,714$4,164,393$12,625,428
59$17,318,665$5,947,691$4,243,219$13,727,754
60$19,022,576$6,176,535$4,322,774$14,936,941
61$20,898,314$6,414,621$4,403,023$16,263,712
62$22,963,344$6,662,339$4,483,926$17,719,884
63$25,236,909$6,920,098$4,565,441$19,318,469
64$27,740,213$7,188,322$4,647,523$21,073,802
65$30,496,623$7,467,458$4,730,123$23,001,673
66$33,531,884$7,757,969$4,813,188$25,119,476
67$36,874,367$8,060,340$4,896,660$27,446,375
68$40,555,333$8,375,078$4,980,479$30,003,477
69$44,609,231$8,702,710$5,064,579$32,814,038
70$49,074,020$9,043,791$5,148,890$35,903,677
71$53,991,529$9,398,895$5,233,337$39,300,619
72$59,407,850$9,768,627$5,317,839$43,035,959
73$65,373,776$10,153,614$5,402,312$47,143,956
74$71,945,275$10,554,515$5,486,663$51,662,353
75$79,184,024$10,972,017$5,570,797$56,632,736
76$87,157,985$11,406,837$5,654,609$62,100,921
77$95,942,052$11,859,724$5,737,991$68,117,389
78$105,618,753$12,331,462$5,820,826$74,737,760
79$116,279,032$12,822,870$5,902,989$82,023,314
80$128,023,105$13,334,803$5,984,351$90,041,573
81$140,961,407$13,868,154$6,064,773$98,866,935
82$155,215,635$14,423,857$6,144,106$108,581,373
83$170,919,892$15,002,889$6,222,197$119,275,211
84$188,221,961$15,606,270$6,298,880$131,047,970
85$207,284,690$16,235,066$6,373,981$144,009,311
86$228,287,536$16,890,392$6,447,317$158,280,068
87$251,428,256$17,573,413$6,518,694$173,993,383
88$276,924,775$18,285,346$6,587,907$191,295,964
89$305,017,239$19,027,466$6,654,740$210,349,470
90$335,970,289$19,801,103$6,718,965$231,332,029
91$370,075,550$20,607,649$6,780,342$254,439,925
92$407,654,391$21,448,559$6,838,618$279,889,444
93$449,060,955$22,325,354$6,893,528$307,918,915
94$494,685,501$23,239,625$6,944,790$338,790,958
95$544,958,092$24,193,036$6,992,109$372,794,960
96$600,352,649$25,187,326$7,035,177$410,249,806
97$661,391,429$26,224,315$7,073,665$451,506,884
98$728,649,952$27,305,905$7,107,230$496,953,405
99$802,762,438$28,434,085$7,135,514$547,016,048
100$884,427,789$29,610,937$7,158,135$602,164,994