Finance Project Scenario 2
Hour 6 PreCalc Finance Project Henry Ouang
Total Income
Annual Income is $70,000.
Tax in Kansas is at a rate of 6.45% for incomes above $30,001.
With tax the income becomes $65,485 per year.
This totals to $5457.08 every month.
Costs of Living Minimally
House
House initially costs $335,000.
The payment rate lasts for 30 years.
The interest rate is 4.2958%
There is an estimated monthly payment of $1657.00 minimally.
You end up paying $596,520.00
Student Loans
There is $35,000 in student loans.
The interest rate is 6.80%.
Minimum payment monthly of $402.79.
The student loans will be paid off in 10 years.
You end up paying $48,334.80.
Life Needs and Wants Per Month
Food: $500 a month.
Gas with the Car: $50 a month.
Car Insurance: $200 a month.
Going out with Friends: $120 a month.
Cell phone payment (already own one): $35 a month.
Water and Electricity bill: $150 a month.
Miscellaneous Items (shopping): $500 a month.
You end up paying around $1555.00 a month.
Total Payment Minimally Monthly
House payment: $1657.00
Student Loans: $402.79
Car Payment: $325.00
Life Payments: $1555.00
Total monthly payment: $3939.79
Total money into the bank (During monthly payments): $1517.29
Cost of Living (Increasing minimal monthly payments by 15%)
House
House initially costs $335,000.
The interest rate is 4.2958%
The payment lasts for 30 years.
There is an estimated monthly payment of $1657.00 minimally.
You end up paying $596,520.00 when paying $1657.00 monthly.
Increasing the monthly payment by 15%, the monthly payment will be $1905.55.
The payment now lasts for 278 months, or 23.16 years.
You end up paying $529,742.90.
You end up saving $66777.10 on the house.
Student Loans
There is $35,000 in student loans.
The interest rate is 6.80%.
The minimum payment monthly would be $402.79.
The student loans will be paid off in 10 years.
You end up paying $48,334.80 minimally.
Increasing the monthly payment by 15%, the monthly payment will be $463.21
The payment now lasts for 99 months, or 8.25 years.
You end up paying $45,857.79.
You end up saving $2477.01 on the student loans.
Life Needs and Wants Per Month (No Change)
Food: $500 a month.
Gas with the Car: $50 a month.
Car Insurance: $200 a month.
Going out with Friends: $120 a month.
Cell phone payment (already own one): $35 a month.
Water and Electricity bill: $150 a month.
Miscellaneous Items (shopping): $500 a month.
You end up paying around $1555.00 a month.
Total Payment Minimally Monthly
House payment: $1905.55
Student Loans: $463.21
Car Payment: $325.00
Life Payments: $1555.00
Total monthly payment: $4248.76
Total money into the bank (During monthly payments): $1208.32