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How big should the payout be

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Question - Beth is 35 years old and wants to set up a payout annuity. She plans to retire at age 65 and wants to receive payout for 20 years. She wants the payout to have an annual C.O.L.A. of 42%. If the first payout is to have the same purchasing power of $48,000 today, how big should the payout be, assuming 4.2% inflation?

Reference no: EM132823853

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