In 2023, Nina contributes 10 percent of her $100,000 annual salary to her 401(k) account. She expects to earn a 7 percent before-tax rate of return. Assume she leaves the funds in the account until she retires in 25 years when she receives a distribution of the 2023 contribution and its associated earnings. What would be the after-tax proceeds of the distribution? 1. Assume Nina's marginal tax rate at retirement is 20 percent. After tax proceeds from distribution $______________

In 2023, Nina contributes 10 percent of her $100,000 annual salary to her 401(k) account. She expects to earn a 7 percent before-tax rate of return. Assume she leaves the funds in the account until she retires in 25 years when she receives a distribution of the 2023 contribution and its associated earnings. What would be the after-tax proceeds of the distribution? 1. Assume Nina's marginal tax rate at retirement is 20 percent. After tax proceeds from distribution $______________

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter17: Business Tax Credits And The Alternative Minimum Tax

Section: Chapter Questions

Problem 32P

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