Can I retire at age 40 with 5,600,000?

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 $5,600,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%20%
1 years$462,443$458,324$454,305$450,382$446,552$428,665
2 years$228,932$224,668$220,536$216,530$212,644$194,848
3 years$151,105$146,823$142,702$138,733$134,910$117,765
4 years$112,200$107,931$103,850$99,949$96,219$79,856
5 years$88,862$84,619$80,592$76,771$73,144$57,604
6 years$73,309$69,098$65,130$61,394$57,876$43,169
7 years$62,204$58,028$54,124$50,475$47,069$33,189
8 years$53,879$49,741$45,901$42,343$39,048$25,981
9 years$47,408$43,308$39,535$36,066$32,884$20,610
10 years$42,233$38,174$34,467$31,090$28,019$16,513
11 years$38,003$33,984$30,344$27,057$24,097$13,333
12 years$34,480$30,502$26,930$23,733$20,882$10,830
13 years$31,501$27,565$24,060$20,953$18,210$8,839
14 years$28,950$25,056$21,618$18,599$15,963$7,241
15 years$26,741$22,889$19,518$16,587$14,055$5,951
16 years$24,810$21,000$17,696$14,852$12,422$4,902
17 years$23,108$19,341$16,103$13,345$11,014$4,047
18 years$21,597$17,872$14,700$12,026$9,793$3,346
19 years$20,247$16,563$13,457$10,867$8,729$2,770
20 years$19,033$15,391$12,350$9,842$7,797$2,296
21 years$17,936$14,336$11,360$8,932$6,977$1,905
22 years$16,940$13,383$10,470$8,121$6,254$1,582
23 years$16,032$12,516$9,667$7,396$5,614$1,314
24 years$15,201$11,727$8,940$6,746$5,046$1,092
25 years$14,438$11,005$8,280$6,161$4,541$908
26 years$13,734$10,343$7,680$5,633$4,090$756
27 years$13,084$9,734$7,131$5,156$3,687$629
28 years$12,481$9,172$6,629$4,724$3,327$523
29 years$11,921$8,653$6,169$4,332$3,004$436
30 years$11,399$8,172$5,746$3,976$2,715$363
31 years$10,912$7,725$5,357$3,651$2,454$302
32 years$10,456$7,310$4,998$3,356$2,220$252
33 years$10,029$6,922$4,667$3,086$2,009$210
34 years$9,627$6,561$4,361$2,839$1,819$175
35 years$9,250$6,223$4,077$2,614$1,648$145
36 years$8,894$5,906$3,814$2,407$1,493$121
37 years$8,558$5,610$3,570$2,218$1,353$101
38 years$8,241$5,331$3,343$2,044$1,227$84
39 years$7,941$5,069$3,132$1,885$1,112$70
40 years$7,656$4,823$2,936$1,739$1,009$58
41 years$7,386$4,591$2,753$1,604$915$49
42 years$7,130$4,372$2,582$1,480$831$41
43 years$6,886$4,166$2,423$1,367$754$34
44 years$6,654$3,971$2,274$1,262$684$28
45 years$6,432$3,787$2,135$1,165$621$23
46 years$6,221$3,613$2,006$1,076$564$20
47 years$6,020$3,447$1,884$994$512$16
48 years$5,828$3,291$1,771$919$465$14
49 years$5,644$3,143$1,664$849$422$11
50 years$5,468$3,002$1,565$785$384$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $5,600,000, adding $6,570 every year, while hoping to spend $53,767 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: 53/37/10 Blend
39$5,600,000$5,600,000$5,600,000$5,600,000
40$6,177,977$5,881,177$5,794,377$6,489,307
41$6,750,923$6,112,147$5,931,281$6,932,571
42$7,380,507$6,352,632$6,070,969$7,408,199
43$8,072,451$6,603,043$6,213,478$7,924,396
44$8,833,055$6,863,806$6,358,844$8,485,012
45$9,669,263$7,135,369$6,507,101$9,094,281
46$10,588,724$7,418,198$6,658,286$9,756,855
47$11,599,866$7,712,782$6,812,430$10,477,850
48$12,711,973$8,019,630$6,969,568$11,262,888
49$13,935,277$8,339,274$7,129,731$12,118,156
50$15,281,048$8,672,271$7,292,950$13,050,457
51$16,761,706$9,019,203$7,459,254$14,067,272
52$18,390,933$9,380,678$7,628,673$15,176,833
53$20,183,807$9,757,330$7,801,232$16,388,194
54$22,156,939$10,149,823$7,976,957$17,711,319
55$24,328,634$10,558,851$8,155,872$19,157,170
56$26,719,060$10,985,141$8,338,000$20,737,811
57$29,350,440$11,429,448$8,523,358$22,466,517
58$32,247,261$11,892,567$8,711,967$24,357,901
59$35,436,505$12,375,326$8,903,841$26,428,045
60$38,947,902$12,878,591$9,098,993$28,694,650
61$42,814,213$13,403,267$9,297,435$31,177,205
62$47,071,537$13,950,301$9,499,173$33,897,161
63$51,759,652$14,520,684$9,704,213$36,878,136
64$56,922,389$15,115,450$9,912,557$40,146,132
65$62,608,048$15,735,683$10,124,203$43,729,780
66$68,869,851$16,382,513$10,339,146$47,660,604
67$75,766,445$17,057,125$10,557,376$51,973,315
68$83,362,455$17,760,757$10,778,881$56,706,139
69$91,729,095$18,494,704$11,003,643$61,901,169
70$100,944,838$19,260,319$11,231,640$67,604,763
71$111,096,157$20,059,020$11,462,846$73,867,971
72$122,278,341$20,892,289$11,697,227$80,747,023
73$134,596,395$21,761,674$11,934,748$88,303,844
74$148,166,029$22,668,797$12,175,363$96,606,641
75$163,114,751$23,615,355$12,419,025$105,730,540
76$179,583,069$24,603,122$12,665,676$115,758,290
77$197,725,821$25,633,953$12,915,254$126,781,039
78$217,713,629$26,709,791$13,167,690$138,899,188
79$239,734,517$27,832,669$13,422,905$152,223,336
80$263,995,679$29,004,711$13,680,814$166,875,312
81$290,725,440$30,228,143$13,941,323$182,989,327
82$320,175,405$31,505,293$14,204,328$200,713,226
83$352,622,840$32,838,596$14,469,716$220,209,883
84$388,373,284$34,230,601$14,737,366$241,658,729
85$427,763,435$35,683,977$15,007,144$265,257,437
86$471,164,328$37,201,514$15,278,906$291,223,784
87$518,984,836$38,786,135$15,552,496$319,797,694
88$571,675,531$40,440,897$15,827,746$351,243,498
89$629,732,935$42,169,002$16,104,476$385,852,420
90$693,704,210$43,973,798$16,382,491$423,945,314
91$764,192,317$45,858,792$16,661,583$465,875,687
92$841,861,716$47,827,655$16,941,528$512,033,025
93$927,444,629$49,884,228$17,222,087$562,846,457
94$1,021,747,959$52,032,534$17,503,005$618,788,798
95$1,125,660,905$54,276,782$17,784,010$680,380,999
96$1,240,163,352$56,621,379$18,064,809$748,197,054
97$1,366,335,128$59,070,940$18,345,094$822,869,406
98$1,505,366,191$61,630,296$18,624,535$905,094,905
99$1,658,567,866$64,304,505$18,902,780$995,641,370
100$1,827,385,223$67,098,860$19,179,458$1,095,354,826