The formula to calculate the Rule of 90 is:
\[ \text{Rule of 90} = A + Y \]
Where:
The Rule of 90 is a guideline used in retirement planning, particularly in Canada. According to this rule, a person can retire when their age and years of service total 90. For example, if a person is 60 years old and has worked for 30 years, they meet the Rule of 90 because their age and years of service add up to 90. This rule is used to determine eligibility for full pension benefits.
Let's assume the following values:
Using the formula to calculate the Rule of 90:
\[ \text{Rule of 90} = 60 + 30 = 90 \]
The individual meets the Rule of 90 and is eligible for full retirement benefits.