Initial Value =

Years = 20

Interest/Year =

Withdrawal Timing = 12

Withdrawal Amount =

Future Value =

Begin Period = 1

End Period = 1

Interest Paid = 0

Principal Paid = 0

Payment Paid = 0

End Balance = 0

Amortization Table =

- ++Validations++: not available, removed 'if(years<=0;"Years must be > 0";"")'

Calculate the value of an account or net worth when taking regular withdrawals. This calculation is important for retirees living on a fixed income.

- Initial Value: Initial value of the account (i.e., the amount in savings).

- Years: Number of years of withdrawals.

- Withdrawal Timing: How often the withdrawals occur. Options include Bi-Weekly (payments every two weeks; 26 payments per year); 2x/Month (payments on 15th and 30th); 24 payments per year); Monthly (12 per year); Quarterly (4 per year); 2x/Year (2 per year); Yearly (1 per year). Payments are always made at the end of the period.

- Interest/Year: Average, annual interest rate earned on the remaining funds, expressed as a percentage.

- Withdrawal Amount: Amount withdrawn at each withdrawal period as indicated by Withdrawal Timing. It is assumed that withdrawals occur at the beginning of each month.

- Future Value: Value of account after withdrawals.

- Begin Period: Starting period to calculate the amortization information.

- End Period: Ending period to calculate the amortization information.

- Interest Paid: Total interest paid over the amortization period.

- Principal Paid: Total principal paid over the amortization period.

- Payment Paid: Total payments made over the amortization period.

- End Balance: Balance at the end of the amortization period.

Amortizations always round to 2 decimal places.

A client is set to retire and wants to maintain his current lifestyle. If the client has saved $6 million, how many years could the client live while withdrawing $100,000 per quarter and still maintaining $1 million for his children's inheritance?

- Initial Value: $6,000,000.00

- Withdrawal Timing: Quarterly

- Interest/Year: 5.000%

- Withdrawal Amount: $100,000.00

- Future Value: $1,000,000.00

Select ? on Years row. The money will last 25.3 years when $100,000 is withdrawn each quarter.

Initial Value

Years

Interest/Year

Withdrawal Timing

Withdrawal Amount

Future Value

Begin Period

End Period

Interest Paid

Principal Paid

Payment Paid

End Balance

Amortization Table

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Amortizations