Can I retire at age 40 with 2,990,000?

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 $2,990,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.4%
1 years$246,911$244,712$242,566$240,472$238,427$231,258
2 years$122,233$119,957$117,751$115,611$113,537$106,374
3 years$80,679$78,393$76,192$74,073$72,032$65,101
4 years$59,907$57,627$55,449$53,366$51,374$44,727
5 years$47,446$45,180$43,030$40,990$39,054$32,710
6 years$39,142$36,893$34,775$32,780$30,902$24,866
7 years$33,213$30,983$28,898$26,950$25,131$19,403
8 years$28,768$26,558$24,508$22,608$20,849$15,425
9 years$25,312$23,124$21,109$19,257$17,558$12,433
10 years$22,550$20,382$18,403$16,600$14,960$10,126
11 years$20,291$18,145$16,202$14,447$12,866$8,315
12 years$18,410$16,286$14,379$12,672$11,150$6,872
13 years$16,819$14,718$12,846$11,187$9,723$5,709
14 years$15,457$13,378$11,542$9,931$8,523$4,763
15 years$14,278$12,221$10,421$8,856$7,504$3,987
16 years$13,247$11,213$9,448$7,930$6,632$3,347
17 years$12,338$10,326$8,598$7,125$5,881$2,816
18 years$11,531$9,542$7,849$6,421$5,229$2,374
19 years$10,810$8,844$7,185$5,802$4,660$2,005
20 years$10,162$8,218$6,594$5,255$4,163$1,695
21 years$9,576$7,655$6,065$4,769$3,725$1,435
22 years$9,045$7,145$5,590$4,336$3,339$1,216
23 years$8,560$6,683$5,161$3,949$2,997$1,031
24 years$8,116$6,261$4,773$3,602$2,694$875
25 years$7,709$5,876$4,421$3,289$2,424$743
26 years$7,333$5,523$4,100$3,008$2,184$631
27 years$6,986$5,197$3,808$2,753$1,969$536
28 years$6,664$4,897$3,540$2,522$1,777$456
29 years$6,365$4,620$3,294$2,313$1,604$388
30 years$6,086$4,363$3,068$2,123$1,449$330
31 years$5,826$4,125$2,860$1,950$1,310$281
32 years$5,583$3,903$2,669$1,792$1,185$239
33 years$5,355$3,696$2,492$1,648$1,073$203
34 years$5,140$3,503$2,328$1,516$971$173
35 years$4,939$3,323$2,177$1,396$880$147
36 years$4,749$3,154$2,036$1,285$797$125
37 years$4,570$2,995$1,906$1,184$722$107
38 years$4,400$2,846$1,785$1,091$655$91
39 years$4,240$2,707$1,672$1,006$594$77
40 years$4,088$2,575$1,567$928$539$66
41 years$3,944$2,451$1,470$856$489$56
42 years$3,807$2,335$1,379$790$443$48
43 years$3,676$2,224$1,294$730$402$41
44 years$3,553$2,120$1,214$674$365$35
45 years$3,434$2,022$1,140$622$332$30
46 years$3,322$1,929$1,071$575$301$25
47 years$3,214$1,841$1,006$531$273$21
48 years$3,112$1,757$945$491$248$18
49 years$3,013$1,678$889$453$226$16
50 years$2,919$1,603$835$419$205$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,990,000, adding $6,955 every year, while hoping to spend $25,491 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: 74/20/6 Blend
39$2,990,000$2,990,000$2,990,000$2,990,000
40$3,302,154$3,143,684$3,097,339$3,543,825
41$3,611,852$3,270,602$3,173,978$3,830,751
42$3,952,284$3,402,885$3,252,329$4,141,053
43$4,326,559$3,540,769$3,332,425$4,480,238
44$4,738,101$3,684,500$3,414,294$4,851,153
45$5,190,683$3,834,336$3,497,968$5,256,931
46$5,688,461$3,990,546$3,583,479$5,701,019
47$6,236,015$4,153,414$3,670,856$6,187,213
48$6,838,390$4,323,233$3,760,131$6,719,691
49$7,501,145$4,500,311$3,851,335$7,303,055
50$8,230,407$4,684,971$3,944,500$7,942,368
51$9,032,924$4,877,551$4,039,657$8,643,207
52$9,916,133$5,078,401$4,136,836$9,411,712
53$10,888,228$5,287,892$4,236,069$10,254,645
54$11,958,237$5,506,408$4,337,386$11,179,452
55$13,136,108$5,734,353$4,440,820$12,194,330
56$14,432,803$5,972,148$4,546,399$13,308,311
57$15,860,400$6,220,235$4,654,155$14,531,337
58$17,432,209$6,479,075$4,764,117$15,874,362
59$19,162,895$6,749,150$4,876,316$17,349,447
60$21,068,618$7,030,966$4,990,780$18,969,879
61$23,167,185$7,325,051$5,107,539$20,750,292
62$25,478,216$7,631,957$5,226,620$22,706,804
63$28,023,335$7,952,264$5,348,053$24,857,170
64$30,826,365$8,286,574$5,471,862$27,220,949
65$33,913,560$8,635,523$5,598,076$29,819,683
66$37,313,852$8,999,772$5,726,720$32,677,106
67$41,059,117$9,380,013$5,857,818$35,819,362
68$45,184,487$9,776,973$5,991,394$39,275,250
69$49,728,670$10,191,411$6,127,471$43,076,500
70$54,734,324$10,624,119$6,266,071$47,258,065
71$60,248,454$11,075,931$6,407,214$51,858,454
72$66,322,860$11,547,715$6,550,919$56,920,091
73$73,014,620$12,040,381$6,697,203$62,489,715
74$80,386,635$12,554,884$6,846,084$68,618,822
75$88,508,219$13,092,219$6,997,574$75,364,145
76$97,455,751$13,653,432$7,151,686$82,788,192
77$107,313,402$14,239,615$7,308,432$90,959,830
78$118,173,924$14,851,911$7,467,819$99,954,940
79$130,139,527$15,491,518$7,629,855$109,857,123
80$143,322,846$16,159,689$7,794,542$120,758,493
81$157,848,000$16,857,737$7,961,883$132,760,542
82$173,851,765$17,587,036$8,131,875$145,975,099
83$191,484,868$18,349,023$8,304,515$160,525,377
84$210,913,403$19,145,204$8,479,796$176,547,142
85$232,320,408$19,977,157$8,657,707$194,189,985
86$255,907,583$20,846,531$8,838,233$213,618,735
87$281,897,200$21,755,055$9,021,358$235,015,014
88$310,534,200$22,704,538$9,207,059$258,578,942
89$342,088,504$23,696,876$9,395,311$284,531,032
90$376,857,561$24,734,053$9,586,083$313,114,263
91$415,169,157$25,818,146$9,779,342$344,596,370
92$457,384,508$26,951,331$9,975,046$379,272,374
93$503,901,669$28,135,888$10,173,152$417,467,356
94$555,159,295$29,374,202$10,373,608$459,539,528
95$611,640,778$30,668,773$10,576,359$505,883,607
96$673,878,812$32,022,218$10,781,342$556,934,541
97$742,460,422$33,437,278$10,988,488$613,171,607
98$818,032,504$34,916,823$11,197,721$675,122,935
99$901,307,934$36,463,862$11,408,959$743,370,487
100$993,072,295$38,081,543$11,622,111$818,555,546