JM is a 25yo male who recently graduated from the University of Kentucky College of Pharmacy (Big basketball fan, so there was really no other school better to attend). JM had to pay for all costs of college obtaining PharmD and MBA degrees (including costs of living and probably more bourbon than JM needed), putting him in a total student debt of $220,000. He will have a total of $5,000 cash in all accounts (checking and savings) as of December 31, 2020. His student loans are financed at a 6% interest rate but he hasnt decided whether to set them for a 10-year or 25-year term for payment.
JM Job Opportunity:
Given his love for leadership & management (and his tendency to be a work-a-holic), he is excited to accept a management position at a pharmacy within a large grocery store chain in Louisville, Kentucky to kick off his new career. The new position comes with a whopping starting salary of $125,000/year, a 5% 401k retirement match program, and full health and life insurance benefits for a monthly premium of only $300/month.
JMs preferences:
He wants to set aside some long-term savings, but also likes to enjoy life
He has an old car with a lot of mileage that may need to be replaced soon
He is thinking of renting or buying a house, but is not able to make a down payment
He wants to have a cell phone, cable with high speed internet, and a gym membership
He is not very picky when it comes to groceries, but enjoys going out to eat with friends
He likes to play golf in his free time
He just met a really nice girl named Ashlee that hasnt finished pharmacy school yet, but he hopes to budget some money for a diamond ring one day (No rush!)
He will start the new pharmacy manager position on January 1, 2021 and needs your help building a Personal Finance Plan for 2021!
Your Task:
1. Develop a full Annual Budget using the Personal Finance Plan Excel Sheet (Worth 8 points) that includes a recommended budget for the following variables:
a. Housing
b. Student Loan Payments
c. Cable/Utilities/Cell
d. Gym Membership
e. Insurance Premiums
f. Food
g. Auto
h. Personal Goals (What can JM budget for each paycheck to save for things that he really wants? E.g. New golf clubs, an engagement ring)
2. Develop a Personal Balance Sheet (2 points):
a. January 1, 2021 Where JM is at the start
b. December 31, 2021 Where he could be at the end of the year (#goals)
Last Completed Projects
| topic title | academic level | Writer | delivered |
|---|