Cashback Offer from 20th to 31st January 2021. Get Flat 10% Cashback credited to your account for a minimum transaction of $80. Post Your Question Today!

Question DetailsNormal
$ 20.00

Jason is 37 years old and would like to establish a retirement plan.

Question posted by
Online Tutor Profile
request

Retirement Planning 

Jason is 37 years old and would like to establish a retirement plan. Develop a spreadsheet model that could be used to assist Jason with retirement planning. 

Your model should include the following input parameters: 

Jason’s current age = 37 years
Jason’s current total retirement savings = $259,000
Annual rate of return on retirement savings = 4 percent
Jason’s current annual salary = $145,000
Jason’s expected annual percentage increase in salary = 2 percent
Jason’s percentage of annual salary contributed to retirement = 6 percent Jason’s expected age of retirement = 65
Jason’s expected annual expenses after retirement (current dollars) = $90,000 Rate of return on retirement savings after retirement = 3 percent
Income tax rate postretirement = 15 percent 

Assume that Jason's employer contributes 6% of Jason’s salary to his retirement fund. Jason can make an additional annual contribution to his retirement fund before taxes (tax free) up to a contribution of $16,000. Assume he contributes $6,000 per year. Also, assume an inflation rate of 2%. 

Managerial Report 

Your spreadsheet model should provide the accumulated savings at the onset of retirement as well as the age at which funds will be depleted (given assumptions on the input parameters). As a feature of your spreadsheet model, build a data table to demonstrate the sensitivity of the age at which funds will be depleted to the retirement age and additional pre-tax contributions. Similarly, consider other factors you think might be important. 

Develop a report for Jason outlining the factors that will have the greatest impact on his retirement.

Available Answer
$ 20.00

[Solved] Jason is 37 years old and would like to establish a retirement plan.

  • This solution is not purchased yet.
  • Submitted On 08 Dec, 2017 08:32:20
Answer posted by
Online Tutor Profile
solution
Jason is 37 years ...
Buy now to view the complete solution
Other Similar Questions

The benefits of buying study notes from CourseMerit

homeworkhelptime
Assurance Of Timely Delivery
We value your patience, and to ensure you always receive your homework help within the promised time, our dedicated team of tutors begins their work as soon as the request arrives.
tutoring
Best Price In The Market
All the services that are available on our page cost only a nominal amount of money. In fact, the prices are lower than the industry standards. You can always expect value for money from us.
tutorsupport
Uninterrupted 24/7 Support
Our customer support wing remains online 24x7 to provide you seamless assistance. Also, when you post a query or a request here, you can expect an immediate response from our side.
closebutton

$ 629.35