Question
I. Estimate Nest Egg: 1. Determine the monthly income you want in retirement ($2000-6000): _______4000____ 2. Choose your anticipated retirement age (between 60-70): __65______ 3.
I. Estimate Nest Egg: 1. Determine the monthly income you want in retirement ($2000-6000): _______4000____ 2. Choose your anticipated retirement age (between 60-70): __65______ 3. Assuming you will live to 90, determine the number of years in retirement: ___25____ 4. Assuming a 3% interest rate, use the Payout Annuity formula to determine your required nest egg: ____________ II. Calculate Investment Requirements: 1. Based on your anticipated retirement age above, determine the number of years you have to save: _____35_________ 2. Select an MYGA from the resource sheet and note the rate: ____3.6%______ 3. Using the given rate to determine your required monthly investment: _________ III. Analysis: 1. Determine the amount of your initial nest egg that is earned interest: __________ 2. Value of a little extra... a. Calculate 105% of your required monthly investment (105% of II.3 above): _________ b. Calculate the nest egg you would have if you made that (a) monthly investment: ________ c. Calculate the percent increase in the nest egg over the original one: _________
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