- Retirement Calculator How Much Money Can You Save For Retirement In This Project We Will Consider Three Variables Ann 1 (76.29 KiB) Viewed 39 times
- Retirement Calculator How Much Money Can You Save For Retirement In This Project We Will Consider Three Variables Ann 2 (76.41 KiB) Viewed 39 times
- Retirement Calculator How Much Money Can You Save For Retirement In This Project We Will Consider Three Variables Ann 3 (76.41 KiB) Viewed 39 times
RETIREMENT CALCULATOR How much money can you save for retirement? In this project, we will consider three variables: annual salary, savings rate, and interest rate. 1. Wolfram Alpha can provide an employment summary for many career fields. For this project, we will select "private investigator." Type this into the Wolfram | Alpha search bar. What is the median annual wage? 37,640 2. Assume that a private investigator make the median annual wage. 5% of the monthly salary is put aside for a retirement account. How much is deposited into the retirement account each month? $156.33 Balance 3. Assume that the investment earns 3.3 % annual interest, compounded monthly. Use the table to complete the calculations for the first year's investment. Month Deposit Balance Interest End of Month $0.43 $156.83 $156.83 Jan $157.26 Feb $314.95 9473.01 Mar 4. How much total interest was earned during the first year of investments? $33.92 $156.83 SN.0 30.86 $156.83 $47.13 $1.29 $156.83 3629-405 1.73 $631-63 $156.83118-963 2.16 $790.62 Apr May June $156.83 3447.45 3 2.60950-05 $156.83 51106-1893.04 51109.92 July Aug $156.83 1266.15 3.48 1270-23 Sep $156.83 $1427.0693.92 1430.98 Oct S. A retirement account is also called an annuity. Type "Annuity" into the Wolfram Alpha search bar and i calculate the future value of the account after 1 year, 10 years, 20 years, and 30 years. Use 3.3/12% for the interest rate, 12 for the number of interest periods, and $156.83 for the annual payment. 1 year 1910.69, 10 years: 22,26 0.64, 20 years: 53,210.45 30 years: B 96, 241. 17 Nov $156.83 F1517.81 $4.36 $1592.17 $156.83 1749 $34.80 $1753.80 $156.83 31910-45.25 $1915.88 Dec 6. The private investigator wants to retire with at least $1 million dollars in his retirement account. If the retirement date is 30 years from now, how much must be invested each month at the rate of interest shown above? $ 1630 Future Number of Interest Payment per Present Years Rate Month Value Value 7. Fill the values into the table for each investment type. Use the Wolfram | Alpha annuity calculator. 10 5% $300 $0 37,800 20 5% $300 30 5% $300 20 3% $300 20 6% $300 8. Wolfram Alpha also provides the annuity formula. Use the annuity future value formula in order to find the future value of an account after 20 years if monthly payments of $300 are made at 4% annual interest, compounded monthly. 30 5% $600 30 5% $1000 30 6% 30 6% $0 $600,000 $0 $1,000,000 $1,000,000 30 8% $500 Suggestions: Search for your prospective career. Use the Wolfram | Alpha (growing) annuity calculator to determine how much you should be saving each month in order to secure a comfortable retirement. Exponential and Logarithmic Functions 21 Activities Using Wolfram Alpha $0 88888888 $0 $0 $0 $0 $0