Question
You woke up one morning in a cold sweat, because you havent been saving anything for retirement. You plan to retire in 30 years (at
You woke up one morning in a cold sweat, because you havent been saving anything for retirement. You plan to retire in 30 years (at the end of year 30) and would like to have $1.5 million on the day that you retire. How much do you need to save monthly from your paycheck if you plan to earn 8% on your investments to achieve your lump sum goal? What if instead of having a lump sum goal, you would like to retire and receive a monthly payment of $6,000 (starting one month after you retire). You estimate your life expectancy in retirement to be 25 years, and can earn 5% on your investments during retirement. How much do you need to save monthly from your paycheck to generate the retirement monthly income you require?
(PLEASE NO ANSWERS USING EXCEL) I need to know n, pv, fv, pmt, and i. Thank you!
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