Outline a program for your own retirement. In the process
of writing this paper answer the following questions.
You will need to state your assumptions about interest
and inflation rates.
a. What monthly amount of money today would provide
you a comfortable living?
b. Using the answer to part a project that amount
to your retirement, calculating the
effects of inflation. Use your
own age and assume that you will retire at age 65.
c. How much money would you need to have accumulated
to provide the amount you
found in part b if you decide to live
on the interest only?
d. If you set up a sinking fund to provide the
amount you found in part c, how much
would you need to deposit each month?
e. Offer some alternatives to a sinking fund.
f. Draw some conclusions about your retirement.
There are a multitude of sites to help
with retirement planning. Here is a sample:
http://www.troweprice.com
