Question: Thomas currently earns $ 7 8 , 0 0 0 per year and wants to replace 8 0 % of his annual income at the
Thomas currently earns $ per year and wants to replace of his annual income at the beginning of each year during retirement. He expects to receive $ in today's dollar terms from Social Security at the the beginning of each year during retirement. Thomas is currently wants to retire at and expects to live till Assume that Thomas can earn return on his investments and inflation to be Thomas expects his salary to increase with inflation every year. Calculate the amount he should save at the end of every year to accumulate the capital needed at Assume Thomas presently has $ in current retirement savings.
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