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An employee entered the plan when he just turned 25, on January 1, 2024. You are given that: (i) The contribution from the employee and
An employee entered the plan when he just turned 25, on January 1, 2024. You are given that: (i) The contribution from the employee and the employer is 14% of the annual salary in total, paid at the end of each year. (ii) The salary scale is sx = 1.05x. Salary is increased at the end of each calendar year. (iii) The retirement age is 65. (iv) His annual salary is $60,000 in 2024. (v) The investment return on the contribution account is 7% per year. (vi) a (12) = 13.5. What is the value of this employee's pension plan upon retirement at age 65
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