AutoSave retire-sp24.xlsx - Read-Only~ Search Automate Home Insert Draw Page Layout Formulas Data Review View A. %" Conditional Formatting Format as Table Paste Font Alignment Number Cells Editing Sensitivit Cell Styles B83 fx E Value of current (existing) retirement funds at the time you retire: G H A B The valdes IT COMIS FOS-TX60 Most be used to compare the answer in cell 100. 67 68 69 73 74 58827227 B. Amount needed in your retirement fund when you retire 71 Years of retirement (how long you expect to be retired): Average annual income during retirement--stated in inflation-adjusted dollars: Weighted average expected rate of return on your retirement fund: Total amount needed at retirement to meet your retirement goals: K $6,154,840 10.22% 25 $642,646 Set up the relationship required to determine the total amount to which your retirement fund must grow during the years you expect to make contributions (when you are working). You can use the PV function built into the spreadsheet for this computation. The values in cells K71 - K73 will automatically be entered by the spreadsheet from the relationships you created earlier. These values must be used to compute the answer in cell K74. 75 76 83 82 18 79 & 8 85 86 87 88 89 C. Value of current "retirement" investments at retirement (If you do not have an existing retirement fund, input either $3,000 or $5,250 in cell K79 and complete the rest of this section. See the instructions in the Word document to determine whether you should input $3,000 or $5,250.) Present (current) value of any retirement funds that you currently have: Expected rate of return on your retirement fund in an average market: Years to retirement: Total amount needed at retirement (in all retirement funds): Value of current (existina) retirement funds at the time you retire; Additional amount needed at retirement to meet your retirement needs: $23,505 10.22% 43 $642,646 ($9,790) Set up the relationship required to determine the value of any funds you currently have invested for retirement will equal at retirement if these funds are invested at the average rate computed in cell H48. The values in cells K80 - K82 will automatically be entered by the spreadsheet from the relationships that you created earlier. The values in cells K79 - K81 must be used to compute the answer in cell K83, and the value in cell K83 must be used to compute the value in cell K84. D. Required annual contributions to your retirement fund Amount greater than existing funds needed at retirement to meet your needs: Use whatever value is given in cell K90 for the computations in the remainder of this section. The value given in K90 will differ from the value in K89 if the value in K89 is less than $450,000.: Years to retirement: 90 91 92 93 Normal, or average, market conditions: 94 95 96 97 98 99 100 01 02 03 104 05 106 07 08 09 10 11 $0 $505,000 Expected rate of return on your retirement fund in an average market: Annual contributions required to accumulate amount needed at retirement: 10.22% Set up the relationship required to determine the amount that must be contributed to your retirement fund each year to accumulate the total amount needed in the fund when you retire. You can use the PMT function built into the spreadsheet for this computation. The values in cells K89 - K91 and K94 will automatically be entered by the spreadsheet. The values in cells K90, K91, and K94 must be used to compute the answer in cell K95. Above-average market conditions Expected rate of return on your retirement fund in an above-average market: Annual contributions required to accumulate amount needed at retirement: Follow the same procedure as above, except enter a rate of return in cell K99 that is 2.5 percent greater than the average expected return computed at the beginning of this section. The values in cells K90, K91, and K99 must now be used to compute the answer in cell K100. Below-average market conditions Expected rate of return on your retirement fund in a below-average market: Annual contributions required to accumulate amount needed at retirement: Follow the same procedure used to compute the contributions in above-market conditions, except enter a rate of return in cell K106 that is 2.0 percent lower than the average expected return computed at the beginning of this section. The values in cells K90, K91, and K106 must now be used to compute the answer in cell K107. E. Recompute the contributions that are needed to accumulate the amount of funds required at retirement (computed in Section B) assuming you wait to begin making contributions to your retirement fund such that the number of payments you make (years) is 50 percent of the years reported in Section II (rounded up to the nearest year). In other words, if you expect that you will work for 40 years before retiring, re-compute the required retirement contributions using 20 yearsthat is, assume you wait 20 years to start contributing to your retirement fund so that you have only 20 years remaining until you retire. For the computations in this portion of the project, follow the instructions given in Part D of this section. Compute the annual contributions that must be made to a retirement fund for the three different markets described in Part D. M N P Q