Importance of vehicle

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Importance of vehicle. Over your future investing & retired life, assume you earn 8% [after expenses this time]. You have $10,000. You save an additional $5,500 per year for the next 45 years. You plan to spend your portfolio over a 25-year retirement.

Your savings & future savings is in a Roth IRA, so you ignore taxes. How much can you spend each year in retirement?

Your money is in a taxable account. The 8% return is composed of 2% dividends [taxed at 28%] and 6% gains [taxed at 20%]. How much can you spend each year in retirement?

How big a % increase does a Roth offer?

Reference no: EM131892790

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