Question
Sarah is 25 years old and has just commenced her first job. She expects her employer to pay superannuation into a superannuation account throughout her
Sarah is 25 years old and has just commenced her first job. She expects her employer to pay superannuation into a superannuation account throughout her working life. However, she would like to retire 10 years early, at 55 instead of 65. She doesn't need to live a lavish lifestyle and she wants to have saved enough money on her 55th birthday to withdraw $2000 every fortnight until she turns 65. How much does she need to save every fortnight, with the first deposit occurring 2 weeks after her 25th birthday, if her account earns 5.3% per year, compounded fortnightly? Enter your answer to the nearest cent (two decimal places).
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