Answer:
hello your question lacks some vital information hence I will make valid assumptions to aid the solution
answer : $583333.33
Explanation:
22 yrs old
pre tax income = $35,000 per year
savings = $200/month
Determine how much you will need to retire at 67
lets assume : Interest rate = 6% per annum
annual withdrawable amount per year after retirement = $35,000
∴ amount to be saved up by 67 years = 35,000 / 6% = $583333.33
hence amount needed to retire at age 67
target amount = $583,333.33
interest rate = 6%
number of years = 67 - 22 = 45
savings per year needed = 583,333.33 / 45 = $12962.96
Note : saving $200 per month would not give the required amount needed to retire at age 67
The required monthly savings = 12962.96 / 12 = $1080.25
