Can I retire at age 40 with 5,800,000?

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 $5,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$478,959$474,692$470,530$466,467$462,500$450,042
2 years$237,108$232,692$228,413$224,263$220,238$207,776
3 years$156,502$152,067$147,798$143,688$139,728$127,651
4 years$116,207$111,785$107,559$103,519$99,655$88,057
5 years$92,036$87,641$83,470$79,512$75,756$64,669
6 years$75,927$71,566$67,456$63,587$59,943$49,377
7 years$64,426$60,101$56,057$52,278$48,750$38,705
8 years$55,803$51,517$47,540$43,855$40,443$30,915
9 years$49,101$44,855$40,947$37,355$34,059$25,038
10 years$43,742$39,538$35,698$32,200$29,020$20,496
11 years$39,360$35,198$31,428$28,024$24,958$16,917
12 years$35,711$31,592$27,892$24,580$21,628$14,056
13 years$32,626$28,550$24,919$21,701$18,860$11,740
14 years$29,984$25,951$22,390$19,264$16,533$9,848
15 years$27,696$23,707$20,215$17,180$14,557$8,291
16 years$25,696$21,750$18,328$15,383$12,865$7,000
17 years$23,933$20,031$16,678$13,821$11,407$5,924
18 years$22,368$18,510$15,225$12,456$10,143$5,024
19 years$20,970$17,155$13,938$11,255$9,040$4,268
20 years$19,712$15,941$12,791$10,193$8,075$3,631
21 years$18,576$14,848$11,765$9,251$7,226$3,092
22 years$17,545$13,860$10,844$8,411$6,477$2,637
23 years$16,605$12,963$10,012$7,660$5,814$2,250
24 years$15,744$12,146$9,260$6,987$5,226$1,921
25 years$14,953$11,398$8,576$6,381$4,703$1,642
26 years$14,225$10,713$7,954$5,834$4,236$1,404
27 years$13,551$10,082$7,386$5,340$3,819$1,201
28 years$12,927$9,500$6,866$4,893$3,446$1,027
29 years$12,347$8,962$6,390$4,487$3,112$879
30 years$11,806$8,464$5,952$4,118$2,812$753
31 years$11,302$8,001$5,549$3,782$2,542$645
32 years$10,830$7,571$5,177$3,476$2,299$552
33 years$10,387$7,170$4,834$3,196$2,081$473
34 years$9,971$6,795$4,516$2,941$1,884$405
35 years$9,580$6,445$4,222$2,707$1,706$347
36 years$9,212$6,117$3,950$2,493$1,546$298
37 years$8,864$5,810$3,697$2,297$1,401$255
38 years$8,535$5,522$3,462$2,117$1,270$219
39 years$8,224$5,250$3,244$1,952$1,152$188
40 years$7,930$4,995$3,040$1,801$1,045$161
41 years$7,650$4,755$2,851$1,661$948$138
42 years$7,384$4,529$2,674$1,533$860$118
43 years$7,132$4,315$2,509$1,415$781$101
44 years$6,891$4,113$2,355$1,307$709$87
45 years$6,662$3,922$2,212$1,207$643$75
46 years$6,444$3,742$2,077$1,115$584$64
47 years$6,235$3,571$1,952$1,030$530$55
48 years$6,036$3,409$1,834$952$482$47
49 years$5,845$3,255$1,724$880$437$40
50 years$5,663$3,109$1,621$813$397$35

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $5,800,000, adding $2,456 every year, while hoping to spend $46,416 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: 33/45/22 Blend
39$5,800,000$5,800,000$5,800,000$5,800,000
40$6,394,133$6,086,733$5,996,833$6,561,873
41$6,996,949$6,335,597$6,148,341$6,936,293
42$7,659,696$6,595,099$6,303,369$7,335,152
43$8,388,438$6,865,713$6,461,985$7,764,075
44$9,189,857$7,147,931$6,624,259$8,225,741
45$10,071,313$7,442,270$6,790,263$8,723,086
46$11,040,917$7,749,271$6,960,066$9,259,331
47$12,107,603$8,069,498$7,133,742$9,838,009
48$13,281,218$8,403,543$7,311,361$10,462,995
49$14,572,608$8,752,023$7,492,998$11,138,543
50$15,993,727$9,115,585$7,678,726$11,869,321
51$17,557,743$9,494,905$7,868,620$12,660,455
52$19,279,168$9,890,690$8,062,753$13,517,572
53$21,173,990$10,303,680$8,261,202$14,446,855
54$23,259,826$10,734,650$8,464,042$15,455,091
55$25,556,090$11,184,409$8,671,348$16,549,741
56$28,084,170$11,653,805$8,883,198$17,739,001
57$30,867,638$12,143,724$9,099,668$19,031,879
58$33,932,465$12,655,094$9,320,835$20,438,273
59$37,307,268$13,188,885$9,546,774$21,969,069
60$41,023,583$13,746,113$9,777,564$23,636,229
61$45,116,157$14,327,842$10,013,281$25,452,912
62$49,623,281$14,935,182$10,254,002$27,433,583
63$54,587,148$15,569,298$10,499,803$29,594,153
64$60,054,251$16,231,408$10,750,761$31,952,123
65$66,075,824$16,922,787$11,006,951$34,526,744
66$72,708,323$17,644,768$11,268,449$37,339,193
67$80,013,959$18,398,749$11,535,329$40,412,771
68$88,061,286$19,186,190$11,807,665$43,773,114
69$96,925,845$20,008,622$12,085,531$47,448,434
70$106,690,883$20,867,646$12,368,997$51,469,775
71$117,448,130$21,764,938$12,658,136$55,871,305
72$129,298,672$22,702,252$12,953,016$60,690,629
73$142,353,901$23,681,427$13,253,706$65,969,137
74$156,736,566$24,704,384$13,560,273$71,752,392
75$172,581,933$25,773,136$13,872,780$78,090,551
76$190,039,063$26,889,792$14,191,290$85,038,830
77$209,272,214$28,056,559$14,515,865$92,658,018
78$230,462,395$29,275,745$14,846,561$101,015,047
79$253,809,073$30,549,770$15,183,435$110,183,608
80$279,532,057$31,881,168$15,526,539$120,244,845
81$307,873,571$33,272,589$15,875,922$131,288,108
82$339,100,541$34,726,812$16,231,631$143,411,791
83$373,507,113$36,246,743$16,593,708$156,724,243
84$411,417,433$37,835,427$16,962,191$171,344,792
85$453,188,702$39,496,054$17,337,115$187,404,849
86$499,214,551$41,231,962$17,718,510$205,049,147
87$549,928,756$43,046,649$18,106,401$224,437,089
88$605,809,330$44,943,776$18,500,807$245,744,242
89$667,383,041$46,927,180$18,901,743$269,163,986
90$735,230,376$49,000,877$19,309,216$294,909,318
91$809,991,029$51,169,075$19,723,230$323,214,858
92$892,369,934$53,436,179$20,143,778$354,339,040
93$983,143,921$55,806,806$20,570,849$388,566,543
94$1,083,169,051$58,285,790$21,004,422$426,210,960
95$1,193,388,695$60,878,194$21,444,471$467,617,741
96$1,314,842,439$63,589,323$21,890,958$513,167,440
97$1,448,675,900$66,424,731$22,343,837$563,279,282
98$1,596,151,539$69,390,241$22,803,053$618,415,111
99$1,758,660,580$72,491,947$23,268,539$679,083,722
100$1,937,736,144$75,736,236$23,740,219$745,845,647