Can I retire at age 40 with 4,800,000?

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 $4,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19%
1 years$396,380$392,849$389,404$386,042$382,759$368,885
2 years$196,227$192,573$189,031$185,597$182,266$168,441
3 years$129,519$125,849$122,316$118,914$115,637$102,295
4 years$96,171$92,512$89,014$85,671$82,473$69,716
5 years$76,168$72,531$69,079$65,803$62,695$50,556
6 years$62,836$59,227$55,826$52,623$49,608$38,096
7 years$53,318$49,738$46,392$43,265$40,345$29,457
8 years$46,182$42,635$39,344$36,294$33,470$23,197
9 years$40,635$37,121$33,887$30,914$28,187$18,515
10 years$36,200$32,721$29,543$26,648$24,016$14,929
11 years$32,574$29,129$26,009$23,192$20,655$12,133
12 years$29,554$26,145$23,083$20,342$17,899$9,922
13 years$27,001$23,627$20,623$17,959$15,608$8,153
14 years$24,814$21,477$18,530$15,942$13,682$6,726
15 years$22,921$19,619$16,730$14,218$12,047$5,567
16 years$21,266$18,000$15,168$12,730$10,647$4,620
17 years$19,807$16,578$13,802$11,438$9,440$3,842
18 years$18,512$15,318$12,600$10,308$8,394$3,200
19 years$17,354$14,197$11,534$9,314$7,482$2,670
20 years$16,314$13,193$10,586$8,436$6,683$2,230
21 years$15,373$12,288$9,737$7,656$5,980$1,864
22 years$14,520$11,471$8,974$6,961$5,361$1,560
23 years$13,742$10,728$8,286$6,340$4,812$1,306
24 years$13,029$10,052$7,663$5,782$4,325$1,095
25 years$12,375$9,433$7,098$5,281$3,892$918
26 years$11,772$8,866$6,583$4,828$3,506$769
27 years$11,215$8,344$6,113$4,419$3,161$645
28 years$10,698$7,862$5,682$4,049$2,852$542
29 years$10,218$7,417$5,288$3,713$2,575$455
30 years$9,771$7,005$4,926$3,408$2,327$382
31 years$9,353$6,622$4,592$3,130$2,104$320
32 years$8,962$6,265$4,284$2,876$1,903$269
33 years$8,596$5,933$4,000$2,645$1,722$226
34 years$8,252$5,624$3,738$2,434$1,559$190
35 years$7,928$5,334$3,494$2,240$1,412$159
36 years$7,624$5,063$3,269$2,063$1,280$134
37 years$7,336$4,808$3,060$1,901$1,160$112
38 years$7,064$4,570$2,865$1,752$1,051$95
39 years$6,806$4,345$2,684$1,616$953$79
40 years$6,562$4,134$2,516$1,490$865$67
41 years$6,331$3,935$2,359$1,375$785$56
42 years$6,111$3,748$2,213$1,269$712$47
43 years$5,902$3,571$2,077$1,171$646$40
44 years$5,703$3,404$1,949$1,082$586$33
45 years$5,513$3,246$1,830$999$532$28
46 years$5,333$3,096$1,719$923$483$23
47 years$5,160$2,955$1,615$852$439$20
48 years$4,995$2,821$1,518$788$399$17
49 years$4,837$2,694$1,427$728$362$14
50 years$4,686$2,573$1,341$673$329$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $4,800,000, adding $3,431 every year, while hoping to spend $21,538 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: 63/28/9 Blend
39$4,800,000$4,800,000$4,800,000$4,800,000
40$5,293,139$5,038,739$4,964,339$5,616,265
41$5,810,123$5,262,721$5,107,728$6,056,454
42$6,379,117$5,496,956$5,255,199$6,534,059
43$7,005,405$5,741,924$5,406,865$7,054,985
44$7,694,805$5,998,128$5,562,845$7,623,431
45$8,453,732$6,266,093$5,723,257$8,244,015
46$9,289,253$6,546,371$5,888,226$8,921,818
47$10,209,153$6,839,540$6,057,878$9,662,426
48$11,222,014$7,146,205$6,232,344$10,471,987
49$12,337,290$7,467,000$6,411,758$11,357,263
50$13,565,399$7,802,588$6,596,257$12,325,695
51$14,917,821$8,153,666$6,785,983$13,385,470
52$16,407,205$8,520,962$6,981,080$14,545,599
53$18,047,491$8,905,240$7,181,698$15,815,997
54$19,854,039$9,307,301$7,387,988$17,207,577
55$21,843,775$9,727,983$7,600,110$18,732,352
56$24,035,349$10,168,163$7,818,223$20,403,542
57$26,449,315$10,628,763$8,042,493$22,235,703
58$29,108,319$11,110,746$8,273,091$24,244,856
59$32,037,319$11,615,124$8,510,190$26,448,642
60$35,263,815$12,142,955$8,753,971$28,866,481
61$38,818,112$12,695,348$9,004,618$31,519,756
62$42,733,606$13,273,466$9,262,319$34,432,010
63$47,047,095$13,878,528$9,527,268$37,629,168
64$51,799,132$14,511,809$9,799,665$41,139,778
65$57,034,404$15,174,648$10,079,713$44,995,274
66$62,802,154$15,868,446$10,367,625$49,230,278
67$69,156,647$16,594,673$10,663,613$53,882,914
68$76,157,681$17,354,868$10,967,901$58,995,171
69$83,871,153$18,150,646$11,280,714$64,613,293
70$92,369,679$18,983,696$11,602,286$70,788,214
71$101,733,281$19,855,791$11,932,857$77,576,031
72$112,050,139$20,768,788$12,272,671$85,038,535
73$123,417,429$21,724,635$12,621,982$93,243,785
74$135,942,235$22,725,370$12,981,046$102,266,749
75$149,742,562$23,773,133$13,350,131$112,190,006
76$164,948,451$24,870,163$13,729,507$123,104,522
77$181,703,203$26,018,811$14,119,456$135,110,501
78$200,164,735$27,221,538$14,520,263$148,318,329
79$220,507,069$28,480,925$14,932,223$162,849,607
80$242,921,976$29,799,676$15,355,638$178,838,298
81$267,620,783$31,180,625$15,790,817$196,431,978
82$294,836,372$32,626,746$16,238,080$215,793,232
83$324,825,378$34,141,152$16,697,751$237,101,175
84$357,870,606$35,727,108$17,170,165$260,553,139
85$394,283,708$37,388,037$17,655,666$286,366,528
86$434,408,122$39,127,526$18,154,606$314,780,864
87$478,622,310$40,949,335$18,667,345$346,060,037
88$527,343,340$42,857,406$19,194,256$380,494,792
89$581,030,814$44,855,872$19,735,716$418,405,462
90$640,191,211$46,949,064$20,292,117$460,144,984
91$705,382,669$49,141,523$20,863,858$506,102,223
92$777,220,253$51,438,009$21,451,348$556,705,629
93$856,381,760$53,843,512$22,055,009$612,427,275
94$943,614,119$56,363,264$22,675,272$673,787,301
95$1,039,740,443$59,002,748$23,312,577$741,358,814
96$1,145,667,799$61,767,714$23,967,380$815,773,284
97$1,262,395,772$64,664,189$24,640,144$897,726,498
98$1,391,025,898$67,698,492$25,331,347$987,985,109
99$1,532,772,069$70,877,247$26,041,476$1,087,393,865
100$1,688,971,987$74,207,399$26,771,032$1,196,883,565