Judy has recently begun an annual investment in her employer-sponsored retirement plan, investing $4,848 per year....
Judy has recently begun an annual investment in her employer-sponsored retirement plan, investing $4,848
per year. Judy believes that another benefit of investing the extra $4,848
in her employer-sponsored retirement plan is the tax savings. Judy is in a 25%
marginal tax bracket. How much will investing in this manner save her in taxes annually? Assuming she remains in a 25%
marginal tax bracket until she retires, how much will it save her in total over the next 10 years, ignoring the time value of the tax savings?
Judy's annual tax savings is $. __________(Round to the nearest dollar.)
Homework Answers
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Judy has recently begun an annual investment in her
employer-sponsored retirement plan, investing $4,848
per year....
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continue to grow until she retires....
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