Can I retire at age 40 with 2,920,000?

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 $2,920,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$241,131$238,983$236,887$234,842$232,845$230,126
2 years$119,372$117,149$114,994$112,905$110,879$108,142
3 years$78,791$76,558$74,409$72,339$70,346$67,677
4 years$58,504$56,278$54,150$52,116$50,171$47,590
5 years$46,335$44,123$42,023$40,030$38,139$35,653
6 years$38,225$36,030$33,961$32,013$30,178$27,790
7 years$32,435$30,258$28,222$26,319$24,543$22,254
8 years$28,094$25,936$23,934$22,079$20,361$18,171
9 years$24,720$22,582$20,614$18,806$17,147$15,055
10 years$22,022$19,905$17,972$16,211$14,610$12,615
11 years$19,816$17,720$15,822$14,108$12,565$10,665
12 years$17,979$15,905$14,042$12,375$10,889$9,082
13 years$16,425$14,373$12,546$10,925$9,495$7,779
14 years$15,095$13,065$11,272$9,698$8,323$6,696
15 years$13,944$11,935$10,177$8,649$7,329$5,787
16 years$12,937$10,950$9,227$7,744$6,477$5,018
17 years$12,049$10,085$8,396$6,958$5,743$4,364
18 years$11,261$9,319$7,665$6,271$5,106$3,805
19 years$10,557$8,637$7,017$5,666$4,551$3,325
20 years$9,924$8,025$6,440$5,132$4,065$2,910
21 years$9,352$7,475$5,923$4,657$3,638$2,551
22 years$8,833$6,978$5,459$4,235$3,261$2,240
23 years$8,360$6,526$5,041$3,857$2,927$1,969
24 years$7,926$6,115$4,662$3,517$2,631$1,732
25 years$7,528$5,738$4,318$3,212$2,368$1,525
26 years$7,161$5,393$4,004$2,937$2,133$1,344
27 years$6,822$5,076$3,718$2,688$1,923$1,186
28 years$6,508$4,783$3,457$2,463$1,735$1,046
29 years$6,216$4,512$3,217$2,259$1,567$924
30 years$5,944$4,261$2,996$2,073$1,416$816
31 years$5,690$4,028$2,793$1,904$1,280$721
32 years$5,452$3,811$2,606$1,750$1,158$638
33 years$5,229$3,609$2,434$1,609$1,048$564
34 years$5,020$3,421$2,274$1,480$949$499
35 years$4,823$3,245$2,126$1,363$859$441
36 years$4,638$3,080$1,989$1,255$778$391
37 years$4,463$2,925$1,861$1,156$706$346
38 years$4,297$2,780$1,743$1,066$640$306
39 years$4,140$2,643$1,633$983$580$271
40 years$3,992$2,515$1,531$907$526$240
41 years$3,851$2,394$1,435$836$477$213
42 years$3,718$2,280$1,346$772$433$188
43 years$3,590$2,172$1,263$713$393$167
44 years$3,469$2,071$1,186$658$357$148
45 years$3,354$1,975$1,113$608$324$131
46 years$3,244$1,884$1,046$561$294$116
47 years$3,139$1,798$983$519$267$103
48 years$3,039$1,716$923$479$243$91
49 years$2,943$1,639$868$443$220$81
50 years$2,851$1,565$816$409$200$72

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,920,000, adding $3,087 every year, while hoping to spend $23,614 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: 78/16/6 Blend
39$2,920,000$2,920,000$2,920,000$2,920,000
40$3,221,024$3,066,264$3,021,004$3,470,353
41$3,524,444$3,191,386$3,097,083$3,759,410
42$3,858,020$3,321,847$3,174,918$4,072,933
43$4,224,805$3,457,885$3,254,545$4,416,050
44$4,628,161$3,599,746$3,335,998$4,791,694
45$5,071,789$3,747,690$3,419,310$5,203,094
46$5,559,772$3,901,988$3,504,517$5,653,806
47$6,096,605$4,062,921$3,591,655$6,147,743
48$6,687,242$4,230,787$3,680,758$6,689,216
49$7,337,140$4,405,895$3,771,863$7,282,970
50$8,052,314$4,588,569$3,865,006$7,934,231
51$8,839,389$4,779,148$3,960,222$8,648,754
52$9,705,666$4,977,986$4,057,549$9,432,876
53$10,659,190$5,185,454$4,157,024$10,293,577
54$11,708,826$5,401,940$4,258,682$11,238,543
55$12,864,340$5,627,849$4,362,562$12,276,241
56$14,136,495$5,863,605$4,468,700$13,415,994
57$15,537,149$6,109,654$4,577,133$14,668,074
58$17,079,370$6,366,458$4,687,899$16,043,792
59$18,777,557$6,634,506$4,801,035$17,555,610
60$20,647,575$6,914,304$4,916,577$19,217,253
61$22,706,909$7,206,386$5,034,563$21,043,841
62$24,974,823$7,511,309$5,155,031$23,052,029
63$27,472,547$7,829,654$5,278,016$25,260,166
64$30,223,472$8,162,033$5,403,555$27,688,462
65$33,253,377$8,509,083$5,531,684$30,359,186
66$36,590,666$8,871,473$5,662,440$33,296,866
67$40,266,640$9,249,901$5,795,858$36,528,529
68$44,315,790$9,645,099$5,931,973$40,083,946
69$48,776,126$10,057,834$6,070,819$43,995,918
70$53,689,529$10,488,907$6,212,430$48,300,585
71$59,102,155$10,939,156$6,356,840$53,037,760
72$65,064,861$11,409,462$6,504,080$58,251,309
73$71,633,693$11,900,742$6,654,183$63,989,564
74$78,870,412$12,413,960$6,807,180$70,305,775
75$86,843,072$12,950,123$6,963,100$77,258,610
76$95,626,673$13,510,286$7,121,971$84,912,714
77$105,303,857$14,095,554$7,283,820$93,339,312
78$115,965,697$14,707,082$7,448,675$102,616,881
79$127,712,552$15,346,083$7,616,559$112,831,890
80$140,655,014$16,013,822$7,787,495$124,079,616
81$154,914,953$16,711,628$7,961,504$136,465,037
82$170,626,671$17,440,890$8,138,607$150,103,827
83$187,938,161$18,203,063$8,318,820$165,123,442
84$207,012,511$18,999,671$8,502,158$181,664,322
85$228,029,441$19,832,309$8,688,635$199,881,217
86$251,187,001$20,702,649$8,878,261$219,944,642
87$276,703,436$21,612,440$9,071,044$242,042,489
88$304,819,252$22,563,514$9,266,989$266,381,793
89$335,799,481$23,557,792$9,466,098$293,190,689
90$369,936,186$24,597,282$9,668,370$322,720,559
91$407,551,218$25,684,089$9,873,801$355,248,408
92$448,999,251$26,820,418$10,082,383$391,079,469
93$494,671,135$28,008,579$10,294,103$430,550,087
94$544,997,580$29,250,989$10,508,945$474,030,890
95$600,453,228$30,550,182$10,726,889$521,930,284
96$661,561,127$31,908,811$10,947,910$574,698,305
97$728,897,675$33,329,656$11,171,978$632,830,867
98$803,098,056$34,815,627$11,399,057$696,874,435
99$884,862,240$36,369,775$11,629,108$767,431,185
100$974,961,588$37,995,293$11,862,082$845,164,682