The formula to calculate lifetime earnings is:
\[ \text{lifetime earnings} = \text{salary} \times \left( \frac{1 - (1 + \text{salary increase})^n}{1 - (1 + \text{salary increase})} \right) \]
where:
This calculator helps you determine your estimated lifetime earnings based on your current salary, expected annual salary increase, and the number of years you plan to work until retirement.
Let's take Candy as an example:
Step 1: Calculate the number of years left to work:
\[ n = 55 - 25 = 30 \text{ years} \]
Step 2: Calculate the lifetime earnings:
\[ \text{lifetime earnings} = 150,000 \times \left( \frac{1 - (1 + 0.05)^{30}}{1 - (1 + 0.05)} \right) = \$9,965,827.13 \]
Thus, Candy's estimated lifetime earnings will be $9,965,827.13.
