Why is it important for someone twenty five years old to start planning for retirement?
What will be an ideal response?
Answer: When you are young your best friend is time. With the time-value-of-money working for you, you can start saving a relatively small amount of money when you are young and accumulate a fairly large amount of money by the time you retire. If you wait until later in life to start saving for retirement, you would need to save a dramatically larger amount to even come close to the younger saver. This represents an opportunity cost of a lower standard of living for the older saver. Starting early, consistently investing in the stock market, and taking advantage of the tax deferred retirement accounts is the smartest thing a young person can do.
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In the market capitalism model, the "market" acts as a buffer between business and non-market forces
a. true b. false
Normative commitment from employees can result from all of these except:
A. the personal work principles of employees. B. organizational socialization. C. creating a feeling that the employee is in the organization's debt. D. increasing the organization's charitable activities. E. implementing a matrix structure in the organization.