John is planning for his retirement. He is currently 37 and plans to retire in 26 years, at age 63. He expects then to live an additional 34 years. He currently earns $100,000 per year, and anticipates needing 80% of his income during retirement. Based on his Social Security benefits statement, a pessimistic estimate of his Social Security pension when he retires is $15,000 per year in today's dollars. Assume withdrawals during retirement are at the beginning of each year. He believes he can earn an inflation-adjusted return on his retirement investments of 4% per year before retirement, and 1% per year after retirement. He plans on accumulating funds in an account that will have no taxes on withdrawal (Roth 401k). Use the Hanna method described in the Journal of Financial Planning article by Hanna and Kim.

How much does he need to accumulate by retirement?