How much do you need to invest in a IRA if you wish to retire in 30 years and need 30,000 per year to live off of if you wish to draw only the 30,000 and leave the principle amount intact?
The IRA garuntess a 8% return
2006-10-26 10:20:59 · 3 answers · asked by dontknow 2 in Business & Finance ➔ Investing
Not sure how old you are, but a lot of that would depend on how long you "plan" to live after you retire. I think the math is something like the total value of your IRA needs to be 25x the amount you want to draw each year at retirement. So 30k * 25 and then the rest is compound interest for 30 years.
Please keep in mind the max contribution each year is governed by the IRS - I think 4k for a single person.
How is 8% gauranteed?
2006-10-26 10:32:07 · answer #1 · answered by cmc1217 2 · 0⤊ 0⤋
If the IRA guarantees an 8% return you're dealing with a rip off. These people are attempting to steal your money. Run away.
Call Schwab, Fidelity, Vanguard or Edward Jones. They'll be closer to reality in what they show you. No one in today's market guarantees 8% return. No one that's legit!
2006-10-26 15:29:39 · answer #2 · answered by Common Sense 7 · 0⤊ 0⤋
i agree with common sense. no one ever guarentees 8%, that is ridiculous. must not be 8% annually
2006-10-27 02:24:49 · answer #3 · answered by 12 November 3 · 0⤊ 0⤋