Dan and Kate McGlovin are both 60 years old and have just retired. They each have exactly $500,000 in RRSP savings and both of them will receive 85% of their CPP and 100% of their OAS at age 65. They own a house worth $700,000 that is mortgage free. They have no other savings, no pensions, no debt, and no kids. Their RRSPs are invested in a low cost balanced asset allocation ETF which consists of 60% globally diversified equities (stocks) and 40% bonds. The expected return on this ETF is 5.22% less management expense fees of 0.25% for a total annual return of 4.97%. Inflation is assumed to run at 2.2% per year and we have set their life expectancy at 95. They plan to take OAS at age 65. Also, Dan and Kate want to live in their house until they die and want to pass the proceeds of their estate to their favourite charity upon their death. In other words, they do not want to use their home equity to fund their retirement. How Much can Dan and Kate Spend Each Month? They want to kno