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23 May, 14:31

Utilizing the top-down approach, an individual who earns $75,000 per year as an employee for golf enterprises, llc and saves $13,000 of his earnings per year towards retirement will have a wage replacement ratio equal to 82.67%.

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  1. 23 May, 14:48
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    The given wage replacement ratio is not correct.

    Earnings = $75,000 per year that is 100%

    Savings = $13,000 that will be 17.33%

    Taxes = $5737 which is 7.65%

    So the wage replacement ratio = 100 - 17.33 - 7.65 = 75.02 and the amount will be $56,265
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