FP120 r9 Retirement Estate Planning Worksheet PDF

Preview

Summary

Download FP120 r9 Retirement Estate Planning Worksheet PDF

Description

Retirement and Estate Planning FP/120 Version 9

1

University of Phoenix Material Retirement and Estate Planning Worksheet Retirement Planning Step 1: Estimate your retirement income at: http://www.bankrate.com/calculators/retirement/retirement-plan-income-calculator.aspx You will be asked to answer six questions. If you are unsure of what the fields are, the definitions are below on the same page. There are some assumptions about how much your investments will earn, inflation rates, and tax rate; you can edit these to see how they impact the calculation. 

Based on your inputs, what is your estimated monthly retirement income before tax/inflation? My monthly income before tax/ inflation is $844.



Based on your inputs, what is your estimated monthly retirement income after tax/inflation? My estimated income after inflation is $403.

Step 2: Determine how your current retirement strategy will provide for retirement income: http://www.bankrate.com/calculators/retirement/retirement-plan-calculator.aspx You will be asked to answer eight questions. If you are unsure of what the fields are, the definitions are below on the same page. There are some assumptions about how much your investments will earn, inflation rates, and if Social Security income is considered; you can edit these to see how they impact the calculation. 

Based on your inputs, how much monthly income is your current strategy estimated to provide? It is estimated to provide about 90% of my income.



Assume that monthly income will not be sufficient. In at least 100 words, what steps can you take now and/or in retirement to live comfortably in retirement? The steps I can take now is have a savings account at home and increase my 401K this way let’s say I contribute with $250 the company contributes with another $250 and this is every pay check at this rate I should have at least 12,000 at the end of my work year.

Step 3: Calculate how savings can grow My savings can grow by finding a better pay job and keeping my 401k with the same company, this way I can contribute a lot more to my retirement savings.

Retirement and Estate Planning FP/120 Version 9

2

How long will it take you to reach $1 million in savings? Answer the four questions in this calculator to calculate when you could become a millionaire: http://www.igrad.com/schools/universityofphoenix/?TargetURL=%2FResources%2Fmillionairecalculator 

How many years will it be before you reach $1 million in savings? It will take approximately 9 years and 6 months to become a millionaire.



Thinking of what your life might be like in retirement, would $1 million be sufficient to support yourself? (Some things to consider would be your health, where you live, and how much money you owe.) In at least 100 words explain why or why not? I believe that $1million would be enough to support myself, I plan on living a basic lifestyle, no traveling, or at least very minimum traveling. I plan on living in a farm, or away from the city. I am also hoping that by then all my debt will be paid off. So, I think $1 million is enough.

Estate Planning Answer each of the following questions in at least 50 words.

1. What is a Will and a Living Will? How are these two documents different? A will is a document stating who can make decisions after you are gone, a living will be a document that lets somebody act in case you are unable to talk or communicate but your condition is not that bad.

2. Define a Trust and a Power of Attorney. A trust is a legal arrangement through which one’s assets are held by a trustee. A power of attorney is a legal document that authorizes someone to act on your behalf if you become seriously ill or injured....