Withdrawing From a Retirement Account

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Description

Jason deposited $300,000 into a savings account which pays 5% interest compounded annually. He plans to withdraw money from the account once per year until it is all gone. Let's assume that Jason starts by withdrawing $25,000 on the first year of retirement and then each subsequent year, increases the withdrawal amount to coincide with inflation adjustments. Calculate the number of years the money will last assuming inflation increases at a constant 2% per year.

 

Additional Information

Keywords

fund, retirement, interest, withdrawals, finance

Categories

GoldSim Library, Models, GoldSim Applications, GoldSim Modules, Financial Modeling

Experience Level
Beginner
Contact

GoldSim Technology Group

 

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