Retirement with Inflation Calculator
Present Value =
Nominal Rate =
Inflation Rate =
Calculates a retirement monthly payment when inflation is considered.
- Present Value: present value of all investments at the point of retirement.
- Nominal Rate: nominal interest rate expressed as a percentage. This is the interest rate the existing investments will continue to achieve throughout retirement.
- Inflation Rate: expected inflation rate during inflation.
- Months: how many months the retiree expects to draw on the present value investment amount.
- Payment: monthly payment amount.
A retiree has $100,000 in investments and is getting a market rate of 5%. The retiree would like to draw this amount to 0 over 60 months. Market expects a 3% inflation rate. What is the monthly payment?
- Present Value: $100,000.00
- Nominal Rate: 5.000%
- Inflation Rate: 3.000%
- Months: 60
The monthly payment is $1749.48.