You recently turned 38 and have started looking for a new job. You currently make $70,000 a
Question:
You recently turned 38 and have started looking for a new job. You currently make $70,000 a year and are paid every two weeks, and they provide a 100% match on your 401K up 3%. Yesterday, you received an offer with a salary of $68,750. The new offer includes a 100% match on your 401K up 6%. They also pay every two weeks. Both 401K funds have two options:
low risk, which is 4% annually, and High risk, which is 9% annually.
You contribute 3% to your 401K to receive the full 100% match. If you choose the new company, you can afford to increase your 401K contribution to receive a 100% match. Your current 401K has a balance of $25,750. Both employers contribute to your 401 every two weeks. You plan to retire at age 70.
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw