Can I retire at age 40 with 2,940,000?

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 $2,940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.5%
1 years$242,782$240,620$238,510$236,451$234,440$232,962
2 years$120,189$117,951$115,782$113,678$111,638$110,148
3 years$79,330$77,082$74,918$72,835$70,828$69,371
4 years$58,905$56,664$54,521$52,473$50,515$49,102
5 years$46,653$44,425$42,311$40,305$38,401$37,037
6 years$38,487$36,276$34,193$32,232$30,385$29,072
7 years$32,657$30,465$28,415$26,500$24,711$23,449
8 years$28,287$26,114$24,098$22,230$20,500$19,289
9 years$24,889$22,737$20,756$18,935$17,264$16,104
10 years$22,172$20,041$18,095$16,322$14,710$13,600
11 years$19,951$17,842$15,931$14,205$12,651$11,590
12 years$18,102$16,014$14,138$12,460$10,963$9,951
13 years$16,538$14,472$12,632$11,000$9,560$8,595
14 years$15,199$13,154$11,349$9,765$8,380$7,462
15 years$14,039$12,017$10,247$8,708$7,379$6,505
16 years$13,025$11,025$9,290$7,797$6,521$5,692
17 years$12,132$10,154$8,454$7,006$5,782$4,995
18 years$11,338$9,383$7,717$6,314$5,141$4,396
19 years$10,629$8,696$7,065$5,705$4,583$3,877
20 years$9,992$8,080$6,484$5,167$4,093$3,426
21 years$9,416$7,527$5,964$4,689$3,663$3,032
22 years$8,893$7,026$5,497$4,264$3,283$2,688
23 years$8,417$6,571$5,075$3,883$2,947$2,386
24 years$7,981$6,157$4,694$3,542$2,649$2,121
25 years$7,580$5,778$4,347$3,234$2,384$1,887
26 years$7,210$5,430$4,032$2,957$2,147$1,680
27 years$6,869$5,110$3,744$2,707$1,936$1,497
28 years$6,553$4,816$3,480$2,480$1,747$1,335
29 years$6,259$4,543$3,239$2,274$1,577$1,191
30 years$5,985$4,290$3,017$2,087$1,425$1,063
31 years$5,729$4,056$2,813$1,917$1,289$950
32 years$5,489$3,838$2,624$1,762$1,166$849
33 years$5,265$3,634$2,450$1,620$1,055$759
34 years$5,054$3,444$2,289$1,491$955$678
35 years$4,856$3,267$2,140$1,372$865$607
36 years$4,669$3,101$2,002$1,264$784$543
37 years$4,493$2,945$1,874$1,164$710$486
38 years$4,327$2,799$1,755$1,073$644$435
39 years$4,169$2,661$1,644$990$584$390
40 years$4,019$2,532$1,541$913$530$349
41 years$3,878$2,410$1,445$842$481$312
42 years$3,743$2,296$1,356$777$436$280
43 years$3,615$2,187$1,272$717$396$251
44 years$3,493$2,085$1,194$662$359$225
45 years$3,377$1,988$1,121$612$326$201
46 years$3,266$1,897$1,053$565$296$180
47 years$3,161$1,810$989$522$269$162
48 years$3,060$1,728$930$482$244$145
49 years$2,963$1,650$874$446$222$130
50 years$2,870$1,576$821$412$201$116

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,940,000, adding $5,761 every year, while hoping to spend $36,063 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: 83/6/11 Blend
39$2,940,000$2,940,000$2,940,000$2,940,000
40$3,245,822$3,090,002$3,044,432$3,508,873
41$3,538,526$3,203,042$3,108,050$3,794,989
42$3,859,876$3,320,411$3,172,590$4,103,750
43$4,212,757$3,442,285$3,238,046$4,441,742
44$4,600,346$3,568,845$3,304,408$4,811,881
45$5,026,142$3,700,280$3,371,667$5,217,380
46$5,494,002$3,836,787$3,439,811$5,661,776
47$6,008,172$3,978,571$3,508,826$6,148,966
48$6,573,331$4,125,846$3,578,698$6,683,240
49$7,194,634$4,278,837$3,649,408$7,269,326
50$7,877,762$4,437,774$3,720,938$7,912,433
51$8,628,971$4,602,902$3,793,266$8,618,295
52$9,455,155$4,774,473$3,866,370$9,393,232
53$10,363,909$4,952,751$3,940,222$10,244,205
54$11,363,603$5,138,011$4,014,794$11,178,883
55$12,463,457$5,330,540$4,090,056$12,205,715
56$13,673,629$5,530,637$4,165,973$13,334,006
57$15,005,315$5,738,614$4,242,509$14,574,013
58$16,470,848$5,954,796$4,319,623$15,937,031
59$18,083,817$6,179,524$4,397,274$17,435,509
60$19,859,197$6,413,151$4,475,412$19,083,158
61$21,813,486$6,656,047$4,553,990$20,895,088
62$23,964,866$6,908,597$4,632,953$22,887,947
63$26,333,368$7,171,204$4,712,243$25,080,075
64$28,941,066$7,444,287$4,791,797$27,491,682
65$31,812,282$7,728,285$4,871,550$30,145,036
66$34,973,819$8,023,655$4,951,431$33,064,671
67$38,455,207$8,330,873$5,031,363$36,277,621
68$42,288,990$8,650,437$5,111,265$39,813,673
69$46,511,027$8,982,868$5,191,052$43,705,649
70$51,160,831$9,328,708$5,270,631$47,989,716
71$56,281,943$9,688,523$5,349,905$52,705,723
72$61,922,345$10,062,903$5,428,770$57,897,582
73$68,134,906$10,452,468$5,507,116$63,613,678
74$74,977,888$10,857,860$5,584,826$69,907,327
75$82,515,490$11,279,753$5,661,775$76,837,279
76$90,818,458$11,718,849$5,737,833$84,468,272
77$99,964,750$12,175,882$5,812,860$92,871,641
78$110,040,273$12,651,618$5,886,708$102,125,994
79$121,139,690$13,146,857$5,959,223$112,317,949
80$133,367,321$13,662,436$6,030,240$123,542,956
81$146,838,119$14,199,226$6,099,584$135,906,195
82$161,678,759$14,758,140$6,167,072$149,523,567
83$178,028,834$15,340,130$6,232,510$164,522,789
84$196,042,169$15,946,191$6,295,693$181,044,601
85$215,888,279$16,577,362$6,356,407$199,244,091
86$237,753,960$17,234,730$6,414,424$219,292,157
87$261,845,061$17,919,429$6,469,504$241,377,126
88$288,388,420$18,632,644$6,521,396$265,706,523
89$317,634,010$19,375,615$6,569,833$292,509,037
90$349,857,294$20,149,635$6,614,537$322,036,674
91$385,361,828$20,956,057$6,655,215$354,567,137
92$424,482,126$21,796,295$6,691,556$390,406,445
93$467,586,817$22,671,827$6,723,237$429,891,825
94$515,082,122$23,584,197$6,749,915$473,394,892
95$567,415,694$24,535,018$6,771,233$521,325,156
96$625,080,840$25,525,979$6,786,814$574,133,889
97$688,621,175$26,558,842$6,796,262$632,318,383
98$758,635,761$27,635,451$6,799,163$696,426,642
99$835,784,754$28,757,733$6,795,080$767,062,558
100$920,795,641$29,927,704$6,783,557$844,891,611