Your father, who is 60, plans to retire in 2 years, and he expects to live independently for 3 years.Suppose your father wants to have a real income of R40,000 in today's Rands in each year after he retires.His retirement income will start the day he retires, 2 years from today, and he will receive a total of 3 retirement payments.Inflation is expected to be constant at 5 percent.Your father has R100,000 in savings now, and he can earn 8 percent on savings now and in the future.How much must he save each year, starting today, to meet his retirement goals?

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The Answer of Your father, who is 60, plans to retire in 2 years, and he expects to live independently for 3 years.Suppose your father wants to have a real income of R40,000 in today's Rands in each year after he retires.His retirement income will start the day he retires, 2 years from today, and he will receive a total of 3 retirement payments.Inflation is expected to be constant at 5 percent.Your father has R100,000 in savings now, and he can earn 8 percent on savings now and in the future.How much must he save each year, starting today, to meet his retirement goals?

Your Father, Who Is 60, Plans to Retire in 2