I'm trying to determine what the monthly payouts would be based on the following information.
Starting Amount: $\$500,000$
Interest Rate: $3.5%$ monthly
Deplete over $20$ years ($240$ months)
How much will be disbursed from this account each month? Can this be distributed evenly over each month?
I've tried the following with the accompanying table:
Check Amount = Amount / Months Remaining
Amount = (Prior Month Amount - Prior Month Check Amount) + (Prior Month Amount * Interest Rate)
| Months Remaining | Amount | Interest | Check Amount |
|---|---|---|---|
| 240 | 500000.00 | 0.035 | 2083.34 |
| 239 | 515416.67 | 0.035 | 2156.56 |
| 238 | 531299.69 | 0.035 | 2232.35 |
With each month, the Amount Remaining continues to grow. This is wrong as I am looking to deplete the account to 0 over 20 years.