The problem you must solve is: 1. Consider the retirement plan you developed for yourself in the discussion board. Copy the numbers you used there here: (You do not need to repeat the calculations again, but simply restate your conclusions) a) How much did you want to live on each year? b) How many years until you retire? c) How much did you determine you will need to save each month?

2. With the savings plan you developed in the discussion, the monthly payments might be difficult to maintain or to pay at all. Suppose you decide to work for 5 more years until you retire. a. What are your monthly payments with this plan? b. How much more or less will you need to save compared to your discussion example? c. How much interest will you earn? (Hintinterest = the difference between what you put in and the total you have)

3. Now, suppose you can find a retirement account that earns 6.5% interest instead. a. Using your retirement age from the discussion, and this new interest rate, re-calculate your savings need. b. How much interest will you earn in this case? (Hintinterest = the difference between what you put in and the total you have)

4. What if you had been able to work for 40 years to save for retirement? Using the amount you want to live on each year, assuming you could work for 40 years and are earning 6.5% interest a How much would you have to save each month? b How much interest would you earn?

5. Based on your answers here, what one piece of advice would you give a recent college graduate regarding saving for retirement?

**Reminder: Be sure to talk through the steps you are taking when working through the formulas. Show all the steps you takenot just the values and answer but all those intermediate steps Show your steps mathematically but explain them in words as well. For example, if you had the formula: Y = mx + b and were given that m = 5 x = 2 and b = -3 you might say something like: To solve for y I first inputted the values I was given. The formula asks me to multiply m and x so I did 5 times 2 and got 10. Lastly I had to add b, which was -3. Since b was negative I subtracted 10 3 to get an answer of 7. Theres a lot of steps in this equationtalk through them. Tell what you did first, second, etc.