According to Northwestern Mutual, 56% of adults in the US don't know how much money they will need to save to retire. This can be problematic when setting up your long-term financial goals. In this activity, we will explore a financial instrument, called a payout annuity, that can be used to invest after retirement and maintain a steady income. Suppose you want to have an after retirement annual income of $50,000 for 20 years 1. Suppose you plan to place your retirement fund into an account that does not cam interest. How much money would you need in the account by the time you retiro?
