Your assistance with Jim retirement planning is requested. Let's say Jim is 25 years old and earns 8.5% (APR) annually in his retirement account. He intends to make a fixed monthly commitment of $ into his retirement account for the next 35 years (monthly contributions end when he is 60 years old). He'll start making withdrawals after that. According to his calculations, he will require a monthly withdrawal of $6,250 to live comfortably in retirement. Let's say He believes he will live to 97 years old, which would mean that his withdrawals would last 37 years. What monthly amount do you believe Jim should be making to fund his retirement?

Answer rating: 100% (QA)

To determine the monthly amount Jim should contribute to his retirement account we can use the conce... View the full answer