SA Zak and Kim are twins in high school, both having started new jobs this January. Their parents have asked each of them to create a savings account and a budget that will cover their expenses (as shown below) and allow for 15% of gross income to be put into an RESP, and 5% of gross income to go towards a technology fund to buy a new laptop when they start University. Zak and Kim are in Grade 11 and are planning to start University in the January term. They have 24 months to save for University Create and justify a Budget based on the information given. How much will they have in each savings account in 24 months assuming their jobs stay the same? Will they have enough money to purchase a new laptop for University? Will they have extra savings? WORK PROFILES FOR EACH TWIN: Zak Kim 17 hours per week at McDuffy's Fast Food 15 hours per week delivering newspapers restaurant Minimum wage plus $0.50/hr Minimum wage plus $0.25/paper she delivers Eligible for a $1/hr raise after 1 year Delivers 30 papers/hour Paid every 2 weeks Paid every two weeks $200 bonus annually (in December) Assume minimum wage for BC for Sept 2019 was $14.50 The following is a list of possible other expenses (these are not deductible for income tax): Lunch (at school); Restaurant meals; Clothing; Cell Phone; Movies/Entertainment; Gifts; Magazine or App Subscriptions; Transportation; other. You choose which expenses Zak and Kim have and how much you want to put aside each month for those expenses. Be Realistic. You must have a minimum of 4 monthly expenses. Create a budget and Write a detailed account of how much each twin will have after 24 months. Be specific, demonstrate your understanding and clearly communicate your projected budget - you can include graphs, charts, tables, spreadsheets, etc.! The following are mandatory deductions on a typical income: 1. Graduated Income Tax deductions are as follows: For annual Income: 1. On the first $9,000, no income tax is paid, ii. On the first $9,000 to $25,000,8% of the gross income is deducted, ili. On the first $25,000 to $50,000, 12% of the gross income is deducted, iv. On the first $50,000 to $100,000,15% of the gross income is deducted, V. And on the rest of the income, 20% of that gross income is deducted. **Note that RESP's are not tax deductible. Work Area: January 2020 - Dec 2020 Zak: Kim: 2 week pay Annually 2 week pay Annually Earnings: Gross Salary: Taxes: Net Income: Expenses: RESP (15% of Gross Technology fund (5% of Gross) Other Expenses: Total Expenses: Income after expenses: Working Area for Annual Income Tax 2020 Zak Kim Annual Gross Salarya 8% tax 12% tax 15% tax 20% tax Total Income Tax: Net Income Work Area: January 2021 - Dec 2021 zake Kim: 2 week pay Annually 2 week pay Annually Earnings: Gross Salary: Taxes: Net Incomes Expenses: RESP (15% of Gross) Technology fund (5% of Gross) Other Expenses: Total Expenses Income after expenses: Working Area for Annual Income Tax 2021 Zak Kim Annual Gross Salary: 8% tax 12% tax 15% tax 20% tax Total Income Tax: Net Income: Budget: Budget Items Zak Kim ZAK: RESP after 24 months: Tech fund after 24 months: Savings after 24 months: KIM: RESP after 24 months: Tech fund after 24 months: Savings after 24 months: Conclusions / Assumptions / Justifications