Question: John is a software engineer and contributes 10% of his salary to his 401(k). His employer makes matching contribution of 3% of salary. Last year,

John is a software engineer and contributes 10% of his salary to his 401(k). His employer makes matching contribution of 3% of salary. Last year, John earned $50,000, but he received a raise and will earn $65,000 this year. Also, John contributes $2,000 to an IRA at the end of each year.

What is his total savings rate this year?

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