How to solve: Suppose that you are now $30$ and that you would like $$2$ million at age $65$ to fund your retirement. You would like to save each year an amount that grows by $5\%$ each year $($that is$,$ if you save $$1$ this year, you will save $$1\mathrm{.}05$ next year$).$ Assume that the discount rate is $8\%.$ How much should you start saving at the end of this year? $($Hint: first calculate the present value of the $$2$ million, then use the growing annuity formula to calculate the amount you must save at the end of this year$).$