Your pension is reduced by 0.6% of the monthly payment for every month before age 65 that you receive pension payments. You are currently 60 years old and plan to die at 85. Retirement options: Option 1: Make $1364.6 per month if you start your CPP at age 65. If you take CPP starting at age 60, Option 2: Delay taking your CPP benefits until after 65, your monthly income will increase by 0.7% for each month that you delay, up until age 70. Discount rate is .04 per month Question: what is the present value at age 60 of your CPP payments if you begin taking them at age 65? What is the present value at age 60 of your CPP payments if you begin taking them at age 70?
Hi there, how do i calculate this without using excel?
Information:
Your pension is reduced by 0.6% of the monthly payment for every month before age 65 that you receive pension payments. You are currently 60 years old and plan to die at 85.
Retirement options:
Option 1: Make $1364.6 per month if you start your CPP at age 65. If you take CPP starting at age 60,
Option 2: Delay taking your CPP benefits until after 65, your monthly income will increase by
0.7% for each month that you delay, up until age 70.
Discount rate is .04 per month
Question:
what is the
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