By the time Mark and Jeannine retire at age 60, they have accumulated $348,000 in RRSPs. They will withdraw the same amount from their registered savings at the beginning of each year over the next 30 years. Their effective tax rates during retirement will be 32% and their registered investments will earn a return of 7.8% before tax. How much will Mark and Jeannine be able to spend each year?

How much do you think you can accumulate in RRSPs when you retire? at what age? for how long? Estimated rate of return? Estimated tax rate? State your own assumptions, and calculation for your own projected situation.