Answered

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Tyler and Megan have a combined income of [tex][tex]$105,000[/tex] per year. Neither Tyler's nor Megan's employers have a matching plan.

How much should they contribute to the [tex]$[/tex]401(k)$[/tex]?

[tex]\boxed{}[/tex]

Sagot :

GinnyAnswer
To determine how much Tyler and Megan should contribute to their 401(k) plan, follow these steps:

1. Identify the combined income:
- Tyler and Megan have a combined annual income of 105000.

2. Determine the contribution rate:
- We assume that they decide to contribute 6% of their combined income to their 401(k) plan.

3. Calculate the amount to contribute:
- To find out how much they should contribute, multiply their combined income by the contribution rate (6% or 0.06).

[tex]\[ \text{Contribution} = 105000 \times 0.06 \][/tex]

4. Perform the calculation:
- [tex]\(105000 \times 0.06 = 6300\)[/tex]

Therefore, Tyler and Megan should contribute 6300 to their 401(k) plan.
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