As an Ivy Tech student, I am looking at how my investments in my education will pay off utilizing this project. With a much desired job as a Clinical Psychologist, I will be comparing the salary and my overall lifestyle as a Clinical Psychologist with the median annual income for a high school graduate, which is $25,000. Compared to the median annual income for a high school graduate, the median annual income for a Clinical Psychologist is much higher at $70,580. Seeing as a Clinical Psychologist is a doctor of sorts, it is expected to be much higher than someone who only graduated high school. Doctors seem to get paid large amounts of money in general depending on what type of degree the doctor has. The daily life of my desired job seems
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For instance, if both of our future employers match out 401k investments 50%( even though the high school graduate does not receive help with their retirement plan) and we both are able to invest 5% of our salary in a 401k investment that earns 7% annual return then the outcomes would still be quite different from one another. As a Clinical Psychologist, after 40 years, I will have $479,658.40 in my account while a high school graduate will have $273,400.56 in his or her account. Using Excel to calculate, the formula =FV (0.07/12/, 12*40, ___401K contribution (by employers) ____ I was able to get these results.
This project also shows us how long it would take to reach our investment goals (ten times our annual salary). For a Clinical Psychologist, it would take ten years or less to reach this goal which would be up to $1,196,600 while for a high school graduate the goal would be up to $250,000 ten years or more. Perhaps I calculated wrong but in a ten year time frame, wouldn’t $250,000 be too little even for an annual $25,000 salary? I believe that would be below expectations for me as it doesn’t seem as if a high school graduate earns much even after ten years of
For instance, if both of our future employers match out 401k investments 50%( even though the high school graduate does not receive help with their retirement plan) and we both are able to invest 5% of our salary in a 401k investment that earns 7% annual return then the outcomes would still be quite different from one another. As a Clinical Psychologist, after 40 years, I will have $479,658.40 in my account while a high school graduate will have $273,400.56 in his or her account. Using Excel to calculate, the formula =FV (0.07/12/, 12*40, ___401K contribution (by employers) ____ I was able to get these results.
This project also shows us how long it would take to reach our investment goals (ten times our annual salary). For a Clinical Psychologist, it would take ten years or less to reach this goal which would be up to $1,196,600 while for a high school graduate the goal would be up to $250,000 ten years or more. Perhaps I calculated wrong but in a ten year time frame, wouldn’t $250,000 be too little even for an annual $25,000 salary? I believe that would be below expectations for me as it doesn’t seem as if a high school graduate earns much even after ten years of