After graduating high school Estella plan to work for 2 years while living at home she will work 50 weeks of the year develop a a plan that will enable her to save $26,000 for a 2 year program Community College
To develop a plan for Estella to save $26,000 for a 2-year program at Community College while working for 2 years, we need to consider her income and expenses.
1. Determine Estella's income:
- Let's assume Estella's annual income is $25,000.
- As she plans to work for 2 years, her total income for the period would be $50,000 ($25,000/year x 2 years).
2. Determine Estella's expenses:
- Living at home means she may have limited expenses. Let's assume her yearly expenses are $10,000.
- Over two years, her total expenses would be $20,000 ($10,000/year x 2 years).
3. Calculate Estella's savings potential:
- By subtracting her expenses from her income, we can determine Estella's potential savings.
- Estella's savings potential is $30,000 ($50,000 - $20,000).
4. Adjust for taxes and other deductions:
- Depending on her income and jurisdiction, Estella may have to pay taxes. Let's assume she has to pay 20% in taxes.
- 20% of Estella's income would be $10,000 ($50,000 x 0.20), reducing her potential savings to $20,000.
Based on this plan, Estella could potentially save $20,000 over the 2-year period. However, this calculation does not account for any additional expenses, fluctuations in income, or unexpected costs that may arise. It's important for Estella to manage her finances carefully and track her expenses to stay on track with her savings goal.