You are retiring with a pension plan that currently pays $$45,000$ a year. The pension plan is adjusted for inflation and thus you expect the pension to grow by $3\%$ a year. The pension plan can be given upon your passing to your heirs who can do the same. Your friend brags that she has a retirement account with $$750,000$ which is way better than a pension. Retirement accounts and pension plans require a rate of return of $8\%$ in competitive markets. Is she correct? How big would a retirement account have to be before it represented more wealth than your pension?