Problem: You wish to retire after 30 years, at which time you want to have accumulated enough money to receive an annuity of $60,000 a year for 22 years of retirement. During the period before retirement, you can earn 8% annually, and after retirement, you can earn 6% on your money.
Q1. What annual contributions to the retirement fund will allow you to receive the $60,000 annually?
Q2. What annual contributions are required if the contributions are made at the beginning of each year?