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Author: Ripper14 Two stars, 250 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75540  
Subject: FV calculation help Date: 12/6/2010 1:08 PM
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I'm having trouble trying to calculate the future value of an increasing investment. Here's my inputs:

Current investment account value: $40,000
Current salary: $80,000
Yearly salary increase (est): 2%
Current investment as % of salary: 5%
Current employer match as % of salary: 5%
Estimated investment acct yearly return: 7%

What will be the value of the account be in 30 years?

The part I'm having trouble with is the fact that the amount invested increases each year because the salary goes up. I can do the math on a constant investment, but can't figure out the math for an increasing investment. Any help out there?

Thanks,
ripper
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