Complete the investment chart based on the facts given for each situation. Assume each person is...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Complete the investment chart based on the facts given for each situation. Assume each person is following Dave's advice of investing 15% of their annual household income. Remember to follow the sequence of contributions recommended in the lesson. Joe INVESTMENT Melissa Tyler & Megan Adrian David & Britney Brandon Chelsea ANNUAL SALARY $40,000 $55,000 $105,000 $111,000 $150,000 $35,000 $28,000 COMPANY MATCH 1:1 up to 5% 1:2 up to 6% No Match 1:1: up to 3% No Match. 2:1 up to 6% No Match 401(K) ROTH IRA TOTAL ANNUAL INVESTMENT > Joe will take advantage of the company match [5% of salary) then put the rest in a Roth IRA. ▸ Melissa will fund the 401(k) up to the match and put the remainder in her Roth. ▸ Tyler & Megan can each fund a Roth, then put the remainder in the 401(k). With no match, fund the Roth first (based on 2011 contribution of $5,000 per individual). ▸ Adrian is not eligible to open a Roth IRA because he makes too much money. He will put his entire 15% into his 401(k). ▸ David and Britney are still within the guidelines for a married couple [based on 2011 contribution of $5,000 per individual). After maxing out the IRA, they will fund the 401(k). ▸ Brandon will fund his 401(k) up to the match, then put the remainder in his Roth. ▸ Chelsea will fund her Roth IRA. Complete the investment chart based on the facts given for each situation. Assume each person is following Dave's advice of investing 15% of their annual household income. Remember to follow the sequence of contributions recommended in the lesson. Joe INVESTMENT Melissa Tyler & Megan Adrian David & Britney Brandon Chelsea ANNUAL SALARY $40,000 $55,000 $105,000 $111,000 $150,000 $35,000 $28,000 COMPANY MATCH 1:1 up to 5% 1:2 up to 6% No Match 1:1: up to 3% No Match. 2:1 up to 6% No Match 401(K) ROTH IRA TOTAL ANNUAL INVESTMENT > Joe will take advantage of the company match [5% of salary) then put the rest in a Roth IRA. ▸ Melissa will fund the 401(k) up to the match and put the remainder in her Roth. ▸ Tyler & Megan can each fund a Roth, then put the remainder in the 401(k). With no match, fund the Roth first (based on 2011 contribution of $5,000 per individual). ▸ Adrian is not eligible to open a Roth IRA because he makes too much money. He will put his entire 15% into his 401(k). ▸ David and Britney are still within the guidelines for a married couple [based on 2011 contribution of $5,000 per individual). After maxing out the IRA, they will fund the 401(k). ▸ Brandon will fund his 401(k) up to the match, then put the remainder in his Roth. ▸ Chelsea will fund her Roth IRA.
Expert Answer:
Answer rating: 100% (QA)
To complete the investment chart for each person follow these steps Calculate the total annual inves... 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 accounting questions
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
Businesses use budgets to plan for the future. Thats what you will be doing for this assignment. Rather than budgeting for your current financial situation, I want you to put together a budget for...
-
List three specific parts of the Case Guide, Objectives and Strategy Section (See below) that you had the most difficulty understanding. Describe your current understanding of these parts. Provide...
-
Find the mass and center of mass of the lamina that occupies the region D and has the given density function p. D is the triangular region with vertices (0, 0), (2, 1), (0, 3); (x, y) = x + y
-
The market and Stock J have the following probability distributions: a. Calculate the expected rates of return for the market and Stock J.b. Calculate the standard deviations for the market and Stock...
-
A small heat pump unit is used to heat water for a hot-water supply. Assume that the unit uses R-22 and operates on the ideal refrigeration cycle. The evaporator temperature is 15C and the condenser...
-
Why is the anterior pituitary sometimes called the master gland?
-
Suppose that the nominal interest rate on three-month Treasury bills is 8 percent in the United States and 6 percent in the United Kingdom, and the rate of inflation is 10 percent in the United...
-
Journalize the following business transactions in general journal form. ( Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries...
-
Restful Sleep Mattress Company is planning to expand into selling bedroom furniture. This expansion will require a loan from the bank. The bank has requested financial information. Discuss, in a...
-
Apple sells an electrical law mower and offers a two-year warranty to its customers. Apple uses the service-type approach for the warranty. 810 units of the lawnmower were sold in 2018 at an average...
-
How does the use of paradoxical or oxymoronic imagery serve as a rhetorical device, creating cognitive dissonance and prompting readers to contemplate the complexities and contradictions inherent in...
-
While constructing a space platform, a 130kg robot is standing on a 23.0 m long, 255 kg steel beam that is floating in space, initially motionless relative to the platform and pointing South. Using...
-
Why do you think GAAP supports use of estimates in accounting, rather than requiring exact dollar amounts, for tracking AR?
-
Provide citations for any generated assets created with the AI tool and Canva.
-
What are the Partner Deployment options in Central Partner Dashboard?
-
To evaluate the integral C. x-5 (x + 7)(x + 9) I we first apply the method of partial fractions to express the integrand as a sum of simple rational functions of x: x-5 = A. +B. (x+7)-(x+9) +D. dx...
-
The process of collaborative goal setting by a manager and subordinate, the extent to which goals are accomplished is a major factor in evaluating and rewarding the subordinate's performance. It is...
-
Jason and Mary are married taxpayers in 2012. They are both under age 65 and in good health. For this tax year, they have a total of $41,000 in wages and $500 in interest income. Jason and Mary's...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1 and 2. On September 1, Irene opened a retail store that specializes in sports car...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-6. On December 12, Irene purchased the building where her store is located. She paid...
-
Show that under the assumptions of Proposition 23.5 we can interchange integration and differentiation: \(\frac{\partial^{2}}{\partial x_{j} \partial x_{k}} \int p(t, x, y) u(y) d y=\int...
-
Complete the proof of Proposition 23.6 (Kolmogorov's forward equation). Data From 23.6 Proposition 23.6 Proposition (forward equation. Kolmogorov 1931). Let (X+) to denote a diffusion Ex. 23.5...
-
Let \(\left(N_{t}, \mathscr{F}_{t} ight)_{t \geqslant 0}\) be a continuous, real-valued local martingale and \(u \in \mathcal{C}^{2}(\mathbb{R})\). Show the following It formula \(d u\left(N_{t}...
Study smarter with the SolutionInn App