Question

You are currently 30 years old. You would like to retire at 65 and be able to withdraw $85,000 for 25 years after the retirement at the beginning of each year. The first withdrawal will occur the day your retire. You have managed to save $50,000 that you will invest in an IRA. In addition to your initial $50,000 investment, how much will you have to deposit into the IRA every year starting one year from now in order to achieve your retirement goal? The IRA is expected to generate 8% (compounded annually) before the retirement and 5% (compounded annually) after the retirement. The last deposit will occur at the same time when the first withdrawal is made

Answer #1

Happy birthday! You are 30 years old today. You want to retire
at age 60. You want to have
$1,800,000 at retirement. Realistically, you know that the
most that you can save from your 31st birthday until your 50th is
$5,500 per year (you only save on your birthdays!). How much do
you have to save each year from your 51st to your 60th birthday in
order to achieve your retirement goal if you can earn 6% on your...

You just turned 25 years old and want to retire when you turn
65. You expect to withdraw $90,000 per year for 25 years during
retirement, starting first withdrawal one year after your 65th
birthday. You expect to earn a return of 8% on your investments
every year. part 1 How much retirement saving do you need to have
by 65th birthday to support the withdrawals in the next 25 years?
Or the same question can be asked differently, what...

Assume you are 40 years old and wish to retire at age 65. You
expect to be able to average a 6% annual rate of interest on your
savings over your lifetime (both prior to and after retirement).
You would like to save enough money to provide $8,000 per year
beginning at age 66 in retirement income to supplement other
sources (Social Security, pension plans, etc.) Suppose you decide
to that the extra income needs to be provided for only...

You just turned 20 years old and want to retire when you turn
65. You plan to put $3,500 every year into a ROTH IRA, a retirement
account from which you can withdraw money after retirement without
having to pay any taxes. You expect to earn a return of 4% on your
investments every year.
1. How much money can you expect to have at age 65 if you make
your first annual deposit now and your last one on...

You expect to retire in 20 years. After you retire, you want to
be able to withdraw $3,000 from your account each month for 15
years. If your account earns 8% interest compounded monthly, how
much will you need to deposit each month until retirement to
achieve your retirement goals? (Round to the nearest cent.)

You expect to retire in 25 years. After you retire, you want to
be able to withdraw $4,500 from your account each month for 30
years.
If your account earns 9% interest compounded monthly, how much will
you need to deposit each month until retirement to achieve your
retirement goals? (Round to the nearest cent.)

Intro
You just turned 23 years old and want to retire when you turn
65. You expect to live for 25 years after retirement and want to
withdraw $80,000 per year in retirement, starting on your
65th birthday. You expect to earn a return of 5% on your
investments every year.
Pt 1. What is the present value (as of your
65th birthday) of the withdrawals you expect to make in
retirement?
Attempted answer: 1127515.56 (WRONG)
80000* [ 1 -...

You are 30 years old today. You want to retire at the age of 60.
You expect to live until age 85. You would like to have a monthly
income of $13,000 per month in retirement. How much do you have to
save per month during your working years in order to achieve your
retirement goal? Assume end of period payments. Assume an annual
interest rate of 3.5% in retirement and 5% during your working
life. How much do you...

You are 35 years old today and want to plan for retirement at
age 65. You want to set aside an equal amount every year from now
to retirement. You expect to live to age 85 and want to withdraw a
fixed amount each year during retirement that at age 65 will have
the same purchasing power as $83,697 has today. You plan on
withdrawing the money starting the day you retire. You have not
saved any money for retirement....

You just celebrated your 40th birthday. You plan to
retire when you turn 65. Today you have $105,736.62 accumulated in
your retirement plan and plan to continue adding money each month
to your retirement plan for exactly 25 years, starting one month
from now. When you retire you will receive a $40,000 retirement
bonus from your employer and will immediately deposit the money
into your retirement plan. You will then use the accumulated funds
to purchase an annuity that will...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 3 seconds ago

asked 3 seconds ago

asked 3 seconds ago

asked 2 minutes ago

asked 2 minutes ago

asked 3 minutes ago

asked 5 minutes ago

asked 6 minutes ago

asked 7 minutes ago

asked 7 minutes ago

asked 8 minutes ago

asked 8 minutes ago