23. You get married at age 22, Immediately you and your spouse begin contributing a combined $4000 per year into your traditional IRAs. You continue this for 8 years, until you reach age 30, at which point you buy a house, have a child, and stop making IRA contributions. You receive an average annual return of 8%.

a. How much will you and your better half have at age 60?

b. What was your total amount actually invested?

c. Suppose that upon your marriage, your lovely spouse convinces you to delay making IRA contributions until you both reach age 30. Then, starting at age 30, you begin contributing a combined $4000 into your traditional IRAs. You make these contributions until age 60. If your average annual return is 8%, how much will you have at age 60?

d. What was your total amount actually invested?

e. What critical lesson do you draw from this?