Heather is saving for retirement and has been doing a lot of research on how much she should put aside each month. The newest article says that 1 36 of her salary should be put into a retirement account. If she makes $63,000 a year, how much will she put into her retirement account each month (rounded to the nearest dollar)?
Mathematics · Middle School · Thu Feb 04 2021
Answered on
To calculate how much Heather should put into her retirement account each month, we need to follow these steps:
Step 1: Determine the annual amount to be saved. According to the article, Heather should save 1/36 of her annual salary. We can calculate this amount by dividing her annual salary by 36: Annual savings = $63,000 / 36
Step 2: Calculate the monthly savings. Heather's monthly savings would just be her annual savings divided by 12 (the number of months in a year): Monthly savings = Annual savings / 12
Now, let's do the math:
Annual savings = $63,000 / 36 = $1,750 per year (when rounded to the nearest dollar) Monthly savings = $1,750 / 12 ≈ $145.83 per month
Rounded to the nearest dollar, Heather should put aside $146 per month for her retirement.