Calculate work life expectancy

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Reference no: EM13883162

Juan, married and a father of 4 is 45 and expects to work until 65. he earns 70,000$ a year and expects an increase annually of 5%. Juan expects inflation to be 4% over his working life. His personal consumption is earl to 10% after tax earning and his combined federal and state marginal tax bracket is 20%.

Human life approach

A) Calculate family’s share of earnings

b) Calculate work life expectancy

c) Calculate the future value of family share of earning over juan's work life expectancy

d) Determine the human life value

Reference no: EM13883162

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