Hey! So I have an assignment for my class, it is a Retirement Plan assignment. I am not sure I have done it right and need help to confirm I got my calculations right. Please Help!
Retirement Age = 68 (My age is 23 so in 45 years I will retire)
Standard Living Salary = $90,000
Projected Inflation = 3%
Years until I retire = 45 years
Now the following below are the ones I need to have and confirm my answers (?):
Standard Living in Retirement (Future Value of current standard of living using your forecasted inflation rate) = ?
Projected Retirement Earnings = 8%
Required Living Sum at Retirement (Perpetuity) = ?
Expected Earnings in retirement fund (5% 8% 12%) = ?
Payment Calculations (Years 1-10 = 1000)
(Years 11-20 = 2000)
(Years 21-30 = 3000)
(Years 31-40 = 4000)
(Years 41-50 = 5000)
*I understand if this does not make sense or is clear, but I hope someone can understand this