en TUI come as retirement approaches? 2. Jamie Lee and Ross estimate that they will have $1 million in liquid assets to withdraw from at the start of their retirement. They plan to be in retirement for 30 years. Using Exhibit 14-5 how much do you think Jamie Lee and Ross can withdraw each month and still leave their next egg intact? How much can they withdraw each month that will reduce their nest egg to zero? be EXAMPLE: Dipping into Your Nest Egg If you have $10,000 in savings that earns 5.5 percent interest, compounded quarterly, you could take out every month for 20 years before reducing those savings to zero. If you have $40.000. you could withdraw $224 every month for 30 years If you dip into your retirement nest egg, you should consider one important question: How long will your savings last if you make regular withdrawals? Whatever your situation is, once your nest egg is gone, it's gone. As shown in Exhibit 14-5. dipping into your nest cee is not wrong, but do so with caution. Exhibit 14-5 Dipping into Your Nest E99 YOU CAN REDUCE YOUR NEST EGG TO ZERO BY WITHDRAWING THIS MUCH EACH MONTH FOR THE STATED NUMBER OF YEARS... Starting Amount of Nest Egg Or You Can Withdraw This Much Each Month and Leave Your Nest Egg Intact 25 Years 30 Years Years $ 10,000 $ 68 $ 61 $ 56 $ 46 15,000 91 69 102 136 20,000 121 112 25,000 10 15 Years Years $ 107 $ 81 161 121 215 162 269202 322 243 430 323 537 404 645 485 30,000 40,000 204 272 340 408 182 243 304 50,000 168 224 281 337 60,000 276 80,000 859647 544 486 100,000 1,074 808 680 607 561 460 NOTE: Based on an interest rate of 5.5 percent per year, compounded quarterly SOURCE: Select Committee on Aging, U.S. House of Representatives