Can I retire at age 40 with 2,870,000?

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 $2,870,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.2%
1 years$237,002$234,891$232,831$230,821$228,858$223,962
2 years$117,328$115,143$113,025$110,972$108,980$104,072
3 years$77,441$75,247$73,135$71,101$69,141$64,374
4 years$57,502$55,314$53,223$51,224$49,312$44,722
5 years$45,542$43,367$41,303$39,345$37,486$33,086
6 years$37,571$35,413$33,379$31,464$29,662$25,456
7 years$31,880$29,739$27,738$25,869$24,123$20,113
8 years$27,613$25,492$23,524$21,701$20,012$16,196
9 years$24,296$22,196$20,261$18,484$16,853$13,229
10 years$21,645$19,564$17,664$15,933$14,360$10,923
11 years$19,476$17,417$15,551$13,867$12,350$9,097
12 years$17,671$15,632$13,802$12,163$10,702$7,628
13 years$16,144$14,127$12,331$10,738$9,332$6,431
14 years$14,837$12,841$11,079$9,532$8,181$5,447
15 years$13,705$11,731$10,003$8,501$7,203$4,630
16 years$12,715$10,763$9,069$7,612$6,366$3,949
17 years$11,843$9,912$8,253$6,839$5,645$3,376
18 years$11,068$9,159$7,534$6,163$5,019$2,893
19 years$10,376$8,489$6,897$5,569$4,473$2,483
20 years$9,754$7,888$6,329$5,044$3,996$2,135
21 years$9,192$7,347$5,822$4,578$3,576$1,838
22 years$8,682$6,859$5,366$4,162$3,205$1,584
23 years$8,216$6,415$4,954$3,791$2,877$1,367
24 years$7,791$6,010$4,582$3,457$2,586$1,180
25 years$7,399$5,640$4,244$3,157$2,327$1,020
26 years$7,039$5,301$3,936$2,887$2,096$882
27 years$6,706$4,989$3,655$2,642$1,890$763
28 years$6,397$4,701$3,398$2,421$1,705$660
29 years$6,110$4,435$3,162$2,220$1,540$572
30 years$5,842$4,188$2,945$2,038$1,391$495
31 years$5,592$3,959$2,746$1,871$1,258$429
32 years$5,359$3,746$2,562$1,720$1,138$372
33 years$5,140$3,548$2,392$1,581$1,030$322
34 years$4,934$3,362$2,235$1,455$932$279
35 years$4,741$3,189$2,089$1,340$844$242
36 years$4,558$3,027$1,955$1,234$765$210
37 years$4,386$2,875$1,829$1,137$693$182
38 years$4,224$2,732$1,713$1,048$629$158
39 years$4,070$2,598$1,605$966$570$137
40 years$3,924$2,472$1,504$891$517$119
41 years$3,785$2,353$1,411$822$469$103
42 years$3,654$2,241$1,323$759$426$90
43 years$3,529$2,135$1,242$700$386$78
44 years$3,410$2,035$1,166$647$351$67
45 years$3,297$1,941$1,094$597$318$59
46 years$3,188$1,851$1,028$552$289$51
47 years$3,085$1,767$966$510$262$44
48 years$2,987$1,687$907$471$238$38
49 years$2,892$1,611$853$435$216$33
50 years$2,802$1,539$802$402$197$29

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,870,000, adding $2,781 every year, while hoping to spend $46,326 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: 44/50/6 Blend
39$2,870,000$2,870,000$2,870,000$2,870,000
40$3,165,609$3,013,499$2,969,014$3,299,424
41$3,439,210$3,111,870$3,019,185$3,490,518
42$3,739,166$3,213,508$3,069,485$3,692,500
43$4,068,117$3,318,525$3,119,868$3,910,322
44$4,428,968$3,427,036$3,170,286$4,145,450
45$4,824,922$3,539,160$3,220,690$4,399,496
46$5,259,505$3,655,021$3,271,025$4,674,233
47$5,736,603$3,774,745$3,321,233$4,971,606
48$6,260,495$3,898,466$3,371,252$5,293,757
49$6,835,895$4,026,320$3,421,018$5,643,040
50$7,467,995$4,158,448$3,470,462$6,022,043
51$8,162,517$4,294,999$3,519,509$6,433,611
52$8,925,763$4,436,123$3,568,082$6,880,877
53$9,764,677$4,581,979$3,616,098$7,367,284
54$10,686,907$4,732,729$3,663,470$7,896,622
55$11,700,880$4,888,542$3,710,105$8,473,059
56$12,815,882$5,049,592$3,755,906$9,101,183
57$14,042,142$5,216,062$3,800,769$9,786,044
58$15,390,931$5,388,139$3,844,584$10,533,198
59$16,874,665$5,566,017$3,887,237$11,348,760
60$18,507,026$5,749,897$3,928,605$12,239,464
61$20,303,089$5,939,989$3,968,560$13,212,720
62$22,279,464$6,136,508$4,006,966$14,276,686
63$24,454,451$6,339,679$4,043,681$15,440,346
64$26,848,215$6,549,733$4,078,555$16,713,590
65$29,482,974$6,766,911$4,111,427$18,107,306
66$32,383,210$6,991,463$4,142,133$19,633,487
67$35,575,899$7,223,646$4,170,496$21,305,338
68$39,090,765$7,463,728$4,196,332$23,137,400
69$42,960,560$7,711,988$4,219,445$25,145,687
70$47,221,373$7,968,712$4,239,634$27,347,838
71$51,912,974$8,234,199$4,256,681$29,763,279
72$57,079,180$8,508,758$4,270,363$32,413,405
73$62,768,279$8,792,709$4,280,443$35,321,783
74$69,033,477$9,086,385$4,286,671$38,514,370
75$75,933,404$9,390,131$4,288,788$42,019,761
76$83,532,667$9,704,304$4,286,518$45,869,453
77$91,902,458$10,029,273$4,279,575$50,098,141
78$101,121,226$10,365,424$4,267,657$54,744,048
79$111,275,416$10,713,155$4,250,449$59,849,279
80$122,460,288$11,072,879$4,227,619$65,460,219
81$134,780,813$11,445,026$4,198,819$71,627,972
82$148,352,662$11,830,039$4,163,687$78,408,835
83$163,303,303$12,228,380$4,121,840$85,864,832
84$179,773,198$12,640,529$4,072,879$94,064,298
85$197,917,130$13,066,980$4,016,386$103,082,519
86$217,905,665$13,508,250$3,951,923$113,002,442
87$239,926,762$13,964,874$3,879,032$123,915,459
88$264,187,545$14,437,406$3,797,233$135,922,259
89$290,916,258$14,926,422$3,706,023$149,133,787
90$320,364,419$15,432,519$3,604,878$163,672,278
91$352,809,196$15,956,319$3,493,247$179,672,419
92$388,556,019$16,498,464$3,370,556$197,282,608
93$427,941,468$17,059,623$3,236,205$216,666,361
94$471,336,443$17,640,491$3,089,563$238,003,844
95$519,149,672$18,241,786$2,929,975$261,493,580
96$571,831,563$18,864,258$2,756,754$287,354,311
97$629,878,458$19,508,683$2,569,181$315,827,070
98$693,837,319$20,175,866$2,366,507$347,177,442
99$764,310,889$20,866,647$2,147,947$381,698,077
100$841,963,381$21,581,894$1,912,685$419,711,445