An employee is considering two job offers. First offer: $57,000 yearly salary with a 9% matching...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
An employee is considering two job offers. First offer: $57,000 yearly salary with a 9% matching 401k Second offer: $63,000 yearly salary with a 5% matching 401k The employee plans to stay at either job for at least 4 years, assumes there are no salary increases, and will make 401k contributions at the same rate the company matches. After 4 years, the total value of the first offer, including gross income and total 401k contributions, is $279,120. Which job has the better overall pay structure, and by how much? An employee is considering two job offers. First offer: $57,000 yearly salary with a 9% matching 401k Second offer: $63,000 yearly salary with a 5% matching 401k The employee plans to stay at either job for at least 4 years, assumes there are no salary increases, and will make 401k contributions at the same rate the company matches. After 4 years, the total value of the first offer, including gross income and total 401k contributions, is $279,120. Which job has the better overall pay structure, and by how much?
Expert Answer:
Answer rating: 100% (QA)
To determine which job offer has the better overall pay structure w... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these finance questions
-
Compensation System Change Introduction As Melanie Griffith gazed through the window of her office, she could see some employees walking to the parking lot to get to their cars; others were on their...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
The balance sheet for the Heir Jordan Corporation follows. Based on this information and the income statement in the previous problem, supply the missing information using the percentage of sales...
-
Information pertaining to Hedlund Corporation's property, plant, and equipment for 2013 follows. The salvage value s of the depreciable assets are immaterial. Depreciation is computed to the nearest...
-
Find A B if A = (1.00,1.00,1.00) and B = (2.00,2.00,2.00).
-
Founded in 1966 as a trader of oil and oil products, Vitol is a company with no external shareholders. All shareholders are also employees. It is a conglomerate company of energy companies that work...
-
Colaw Stores accepts both its own and national credit cards. During the year, the following selected summary transactions occurred. Jan. 15 Made Colaw credit card sales totaling $18,000. (There were...
-
Show that the two drawings represent the same graph by labeling the vertices and edges of the right-hand drawing to correspond to those of the left-hand drawing. 5 el 06 Veq 5 e2 V2 ez 3 U5 (a) es 1...
-
Refer to Figure 11.45. A square footing, 2 x 2 m in size, supports a column load of 300 kN. The soil characteristics are given in the figure. Field monitoring indicated that the foundation settlement...
-
In a random sample of 1,000 people, it is found that 8.3% have a liver ailment. Of those who have a liver ailment, 8% are heavy drinkers, 70% are moderate drinkers, and 22% are nondrinkers. Of those...
-
Assume the following information from a schedule of cost of goods manufactured: Cost of goods manufactured $ 158,000 Beginning work in process inventory $ 30,000 Direct materials used in production $...
-
which forecasting methods are most suitable (out of holts exponential smoothing method, simple exponential smoothing and holts winter exponential smoothing) for the graphs seen below? graph 1...
-
Design and assign proper IP addresses per the topology to all NIC cards on the routers, switches, and PCs. Use efficient subnets. IPv4 or IPv6 can be used. Label the NIC cards in Packet Tracer with...
-
A $1,300 investment was purchased one year ago and its value changes to $1,482 today. Over the holding period, $325 of income was generated. Note: Please make sure your final answer(s) are in...
-
LaBella Inc.'s direct materials cost is $154,300, direct labor cost is $888,700, indirect materials cost is $1,250, indirect labor cost is $1,000, and other factory overhead costs are $15,700. What...
-
What acceleration does a rocket need to reach a speed of 200 m/s at a height of 1.3 km?
-
For the following exercises, write the first four terms of the sequence. a n = 2 n 2
-
John Williams (age 42) is a single taxpayer, and he lives at 1324 Forest Dr., Reno, NV 89501. His Social Security number is 555-94-9358. John's earnings and withholdings as the manager of a local...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family. Ivan and Irene have the following investment income, in addition to that reported in Chapter 1: Dividends...
-
Teresa is a civil engineer who uses her automobile for business. Teresa drove her automobile a total of 21,732 miles during 2012, of which 95 percent was business mileage. The actual cost of...
-
You are studying survival times for mice given a drug at one of three doses (Low, Medium, or High). You define two dummy variables: (a) With these definitions, write the expressions for the mean...
-
The data in Table 8.25 were collected in order to study factors affecting the supply and demand for commercial air travel. Data on various aspects of commercial air travel for an arbitrarily chosen...
-
It is beneficial to be able to estimate the yield of useful product of a tree based on measurements of the tree taken before it is harvested. Measurements on four such variables were taken on a...
Study smarter with the SolutionInn App