Suppose the after-tax rate of return is 5%. Your current after-tax annual income is $120,000, and you expect 3% per year growth in annual income.

You plan to work for 40 years and then spend 40 years is blissful retirement.

You would like to establish a level of annual spending today that can be expected to grow at a rate of 2% per year for the next 80 years.

You currently have no financial wealth and can expect no other sources of income in retirement.

How much can you spend the first year assuming that you want to increase spending each subsequent year by 2%