Applying Time Value - A couple will retire in 50 years
Applying Time Value.
A couple will retire in 50 years; they plan to spend about 30,000 per year in retirement, which should last about 25yrs. They believe that they can earn 8% interest on retirement savings
A) If they make annual payments into a savings plan, how much will they need to save each year? Assume the first payment is made in one year?