Real World Examples

43 Year Old
Current Salary $40,000
Spouse works making $60,000
Marginal Tax Rate 25%
Saved 6% of Salary for last 8 years
Invested Match in YUM stock
Should not, would cost them $7,500

55 Years Old
Current Salary of $44,000
Spouse works making $30,000
Marginal Tax Rate of 15%
Saved 6% for last 10 years
Invested Match in YUM stock
Would benefit them $7,800

48 Year Old
Current Salary of $125,000
Spouse does not work
Marginal Tax Rate of 25%
Saved max amount for last 10 years
Invested 50% in YUM stock
Should not, would cost them $25,000

57 Years Old
Current Salary of $175,000
Spouse does not work
Marginal Tax Rate of 25%
Saved max amount for last 15 years
Invested 50% in YUM stock
Would benefit them $47,000