How It Works
Payout=balance×monthly rate/[1−(1+monthly rate)^−n]. At zero return, payout=balance/n.
Constant returns, month-end withdrawals and full depletion at term-end are assumed. This is not a lifetime insurance-annuity quote and does not model mortality.
Reference Sources
FAQs
How does this calculator work?
Payout=balance×monthly rate/[1−(1+monthly rate)^−n]. At zero return, payout=balance/n.
What assumptions should I check?
Constant returns, month-end withdrawals and full depletion at term-end are assumed. This is not a lifetime insurance-annuity quote and does not model mortality.