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Use the following information about Jim and Faith, a married couple, to answer the question that follows. Jim and Faith are both 40 and are

Use the following information about Jim and Faith, a married couple, to answer the question that follows. Jim and Faith are both 40 and are planning to retire at 62. They estimate that their annual income need at retirement will be $51,000 in today's dollars. They expect to receive $18,000 (in today's dollars) annually from Social Security starting at 62. They want to include this amount in their retirement needs analysis. Assume that Social Security benefits will be adjusted for inflation. After discussions with their financial planner, they feel confident that they can earn a 6.5% after-tax return on their investments and want to assume that inflation will always average 3.25%. Life expectancy tables are provided in IRS Regulations Section 1.401(a)(9)-9. RMD Single Life TableLife Expectancy indicates a factor of 23.5 years at age 62. RMD Joint Life and Last Survivor TableLife Expectancy indicates a factor of 29.0 years at age 62. Due to a history of longevity in both their families, Jim and Faith would like to assume a retirement period of 35 years. What amount of assets will they need at the beginning of their retirement period to fund an annual

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