07 Annuity-Calculator

Annuity Calculator
Withdrawal Plan
Starting Principal (P) 250,000.00
Annual Interest Rate (i) 7.00%
Years to Pay Out (n) 30 rate per period #NAME?
Payment Frequency Annually payments per year 1
Payment Type End of Period type 0
Annual Inflation Rate (g) 2.00% inflation rate per period #NAME?
Results
Initial Payout #NAME?
Final Payout #NAME?
Total Interest Earned #NAME?
Payout Schedule
Interest Payout Cumulative
# Earned (Withdrawal) Balance Interest
0 0.00 0.00 250,000.00 0.00
### #N/A #NAME? #N/A #N/A
Basic Annuity Calculator
Annuity Payment Type Beginning of Period

Annual Inflation Rate (g) 2.000%
type 1
Solve for Annual PAYMENT Fixed Inflation-Adjusted

Years to Pay Out (n) 20
First Annual Payment 20,562.40 17,578.55
Last Annual Payment 20,562.40 25,608.63
First Monthly Payment 1,782.17 1,499.74
Last Monthly Payment 1,782.17 2,232.88
Solve for Starting PRINCIPAL Fixed Inflation-Adjusted

First Annual Payment 20,562.40
Years to Pay Out (n) 20
Starting PRINCIPAL 250,000.00 292,435.85
Solve for YEARS to PAY OUT Fixed Inflation-Adjusted

First Annual Payment 20,562.40
YEARS to PAY OUT 20.00 15.96
Caution: Results are only estimates. Please consult a qualified professional regarding financial decisions.
[42]
Notes about Inflation-Adjusted Payments
If type = 1 (Beginning of Period), first annual payment = Eo at time t=0
If type = 0 (End of Period), first annual payment = Eo*(1+g) at time t=1
HELP
This annuity calculator is based on general finance theory. It is designed to simulate a
About Thiscase
Template
where a person makes regular withdrawals from an account that is earning
Taxes:
interest.This spreadsheet
It also allows youdoes not an
to enter account
annual forinflation
taxes. Iinterest is assumed
rate to simulate to bewhere
the case earned
tax free. To get around that, you could try entering a tax-adjusted interest
the person increases the amount that they withdraw each period (to keep up with rising rate (e.g. if
you're in a 25% tax
expenses for example). bracket, subtract 25% from the expected Annual Interest Rate).
Payouts represent pre-tax withdrawals. So, if you are receiving payments from a Roth
IRA, Use
TIP: you wouldn't pay tax,
Excel's built-in but Seek
Goal if youutility
are receiving payments
(Data > What-If from a>Traditional
Analysis Goal Seek)IRA,
to you
would. the following question:
answer
What does the Starting Principal need to be if I want a payout of 2000 per Month?

07 Annuity-Calculator

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07 Annuity-Calculator

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Annuity Calculator

Annuity Payment Type Beginning of Period

Solve for Annual PAYMENT Fixed Inflation-Adjusted

Solve for Starting PRINCIPAL Fixed Inflation-Adjusted

Solve for YEARS to PAY OUT Fixed Inflation-Adjusted

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