Your current salary is $100000 per year. It grows 6% per year. Every year you save 10 % of your salary and invest it in a 401K plan which provides you a guaranteed return of 5% per year. Assume the deposits will be made at the end of each year for the next 40 years.
How much will you have at the end of 40 years?
What annual fixed amount will you be able to withdraw every year for 20 years following retirement?