Taylor and Joe have hired you to deliver some financial expertise and advice. They are 32 years old and have two children, ages 6 and 7, and live in Denver, Colorado. They work as engineers at a transportation company and currently earn $110,000 each (after-tax). In your initial meeting with them, they stated the following financial goals: 1 Establish an adequate emergency fund 2 Pay off current debts 3 Purchase a 4 bedroom, 3 bathroom home in the Highlands Ranch area of Denver, where this type of home averages about $375,000 (they want to put down 20% as a down payment and finance the rest using a 4%, 30-year fixed rate mortgage) 4 Create a college fund for their two children (they plan for each child to enroll at the University of Colorado when they turn 18 and have estimated the total cost of college at $45,000 for each child) 5 Establish an investment plan that will grow to $3,000,000 when they retire at age 65. Family Financial Information Assets Checking $7,000 Savings $20,000 Cars $45,000 Liabilities Student Loans $30,000 Car Loans $25,000 Credit Cards $6,000 Monthly Outflow: Rent $2,500 Insurance $200 Utilities $300 Food $450 Daycare $400 Kid Essentials $150 Gas/Maintenance $225 Credit Card Payments $500 Student Loan Payments $275 Car Payments $500 Entertainment $200