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You plan on saving $4,000 a year for retirement and expect to retire in 40 years. You also expect an inheritance of $50,000 in 15
You plan on saving $4,000 a year for retirement and expect to retire in 40 years. You also expect an inheritance of $50,000 in 15 years which you will be able to add to your retirement savings. How much will you be able to spend annually from your retirement savings, if you expect to live for 30 years after you retire? Assume no taxes and an interest rate of 5%. All numbers are in nominal value.
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