The bank expert advised you to save at least 6% of your income before tax deduction. Accordingly, this will allow you to maintain a similar lifestyle at your retirement age. Your gross income (income before tax) is R800 000 per annum. Likewise, you save the recommended amount into an annuity by way of yearly payments. The saved amount earns 12% interest, compounded annually. Calculate how much you will receive in your retirement annuity when you retire in 40 years' time.