Question

Assume a home mortgage of $200,000, with an interest rate of 5.5% for 30 years (monthly payments). If you pay an extra $300 per month towards the principle of the loan, how many months will it be until you pay off the loan?

Question

Assume that you will retire in 30 years. You plan to be retired for a total of 30 years. You wish to withdraw the equivalent of $50,000 per year (in TODAY'S dollars) from your retirement fund each year that you are retired (ASSUME that there will NOT be any adjustments for inflation DURING your retirement - You will withdraw the same dollar amount every year that you are retired). The expected inflation rate for the next 30 years is 3%. You can earn 10% on your investments prior to retirement and you plan to earn 7% on your investments during retirement. How much do you need to invest each month (beginning right now) in order to be able to afford to retire?

Question

Your goal is to have $2,000,000. You have a total of $40,000 today. You invest the $40,000 and want to add to it each month. At 10% annual interest, how much do you need to invest each month in order to bring the total up to $2,000,000 30 years from now?