Second, how much will you have saved up by the time you retire?

There are five steps to determining your ending nest egg

a.Using your career specified in Project 1 estimate your beginning annual salary. I think you'll find the following sources interesting.You are welcome to us other sources to estimate your first year income.

http://www.studentsreview.com/salary_by_major.php3/

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https://www.bls.gov/oes/current/oes_nat.htm

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https://www.aeaweb.org/resources/students/careers/earnings

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b.Assume that with taxes you'll keep 90% of your income and will save 6% of this take-home salary each year. This likely greatly understates the tax bite, as this article shows, but that's just how it goes!

https://taxfoundation.org/how-much-do-people-pay-taxes/

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c.By how much will your contribution increase annually?

You may use any source you desire to estimate your salary's growth ratethis is a very important rate, but one that is difficult to estimate.Growth in income does vary with major, as these charts from the Hamilton Project shows.You can enter several majors and see how they stack up.

http://www.hamiltonproject.org/charts/career_earnings_by_college_major

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While interesting, the graphs in the Hamilton Project don't translate into a neat annual rate of growth, so please roughly estimate the growth expected in your field.

d.What average rate of return would you expect to earn on your retirement savings if you invest in US stocks?

These sources will give you some information to base your projection.

https://www.fool.com/retirement/2017/10/11/what-returns-should-i-expect-from-my-stock-investm.aspx

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https://trendshare.org/how-to-invest/what-is-a-good-annual-rate-of-return

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e.How many years do you expect to work?Of course, we're assuming that you actually live to enjoy retirement, but let's be optimistic!

While all of this is a lot of data, our course contains a time-value equation that will process all of this to give you the ending value of your nest egg.

I do not know which formula to use to find my nest egg, but i have all of my values: My first year income will be around $65,000. If I keep 90% and save 6% I will keep $58,500 and save $3,900.

A rough estimate of my expected growth rate: Because I plan to attend graduate school around 5 years after working as a Registered Nurse I will calculate a growth rate for the first 5 years of working as a nurse based off of the Hamilton Project. At year 1 my yearly salary would be $65,000 and 5 years later it will be $79,000. $79,000 / $65,000 = 1.22. So after 5 years my salary will be 1.22 times larger. I will raise 1.22 to the 1/5^th power, which equals 1.04057. Then I will subtract 1 from 1.04057 to get .04057 and turn it into a percentage by multiplying by 100. I get an annual growth rate of 4.057%.

If I invest in US stocks, I would expect to earn a 9% average rate of return.

I expect to work until I am around 60 years old. So, if I begin working at 23 I will be working for 37 years.