Bob wants to save for his future, but he also wants to find out how much more he will save if he saves now vs later.

Bob is:

- 35 years old

- His future amount needed = $20,000

- The age he wants this money by = 60 years old

The assumptions are:

- before-tax return = 8%

- his marginal tax bracket is 25%

Question:

How much money will Bob need to save per month to reach his goal? And if he waits 5 years to start saving, how much money per month will Bob need to save per month to reach his goal?