Discuss advantages and disadvantages to using simple iras
Discuss the below:
1. Discuss differences between qualified profit sharing and SIMPLE plans.
2. Discuss advantages and disadvantages to using SIMPLE IRAs
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The following retirement problem is often used to illustrate important aspects of savings and compound interest - see what you can learn by working the problem.
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Discuss differences between qualified profit sharing and SIMPLE plans.
First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City Bank pays 8 percent interest compounded annually.
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Using the time value of money, you will need to calculate how much you will need to save up in a lump sum so you can retire at ages 62
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