This capstone project will allow students to further demonstrate their knowledge and application of personal finance planning. Personal finance planning includes finance management, risk management, investment, and retirement planning. In the final project, we continue working with Hanji and Jane and help them plan their retirement. Hanji just turned 55, whereas Jane turned 54. Both have been active and do daily exercise. Hanji and Jane are both non-smokers and rarely drink. Hanji's parents are healthy, and they are in their 80s. Jane's father passed away 20 years ago due to a car accident, and her mother is in her 80s and healthy. When Jane's father died, they sold their townhouse in Yaletown

18 years ago. They bought Jane parent's house in West Vancouver. Jane's mother has been living with them and helps Jane take care of her granddaughter, Emma. Emma is already 24 years old and went to UBC and finished her degree in computer science. Emma currently works for Amazon as a senior developer and lives independently. Emma is also smart with her money and bought her apartment in Yaletown. Hanji and Jane have been thinking about their retirement, and they come to you for further advice. During the meeting, you were informed that they would not move out of their current house as they plan to take care of Jane's mom. Once they pass away, they want to leave this house to their daughter Emma as a heritage in the family. Both Hanji and Jane are considering early retirement at age 60 but are unsure about their financial situation after retirement. Jane's mom is healthy but needs assistance. They plan to find a nursing home for Jane's mom this year. When Jane's dad passed away, her mom received the life insurance payout. She has been financially independent, and she will be able to cover her nursing home expenses. For the last 35 years, both have lived in Canada and made the full amount of CPP contribution. However, they both work for medium size firm that did not provide employees with pension plans. Hanji and Jane are both wise with their savings. The house and car have been fully paid off, and they have $750,000 savings in GIC, $250,000 in RRSP, and $100,000 in TFSA. As they plan to leave the house as an estate to their daughter, they prefer using their savings for their retirement. There are only five years away from their retirement, and they want to know whether they can retire at age 60. They want to maintain the same lifestyle and have a budget of $6000 per year for travel and leisure during the first five years of retirement. To plan their retirement, they have been thinking about purchasing a Sunlife annuity, which needs a lump sum investment of $600,000 and receives $50,000 per year for the rest of their life. Please help Hanji analyze their retirement plan and find how much they need to retire at 60. Currently, Hanji generates $100,000 in after-tax earnings, and Jane has been working independently as a financial accountant. Jane's after-tax earnings are $65,000 per year. Required: Calculate their life expectancy (10%) Calculate their federal support earnings (25%) Calculate after expense net cash flow after retirement (10%) Calculate the amount they need to retire (25%) Prepare retirement plan table (30%)