1. Considering retirement in 27 years
2. Currently earning salary of $45,000
3. Average historical inflation rate is 4.25%
4. Prior to retirement, I expect to earn 11% on all investments
5. After retirement I plan on earning 6% rate of return
6. At retirement I wish to earn 100% of current salary (adjusted for inflation)
7. Amount above is to be a growing annuity during retirement
8. Expect to live for a total of 46 years after retirement
9. I just started placing $10,000 annually in a mutual fund available for retirement.
10. I also received $15,000 from my great aunt, that was placed in retirement fund 12 years ago.
11. My Great Uncle also set up a fund that will pay an annuity of $8,000 every six months.
Calculate annual payment amounts that I will either, (a) need to start making now, or, (b) be able to withdraw starting now so that I will have enough funds for retirement.
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