The Cost of Living By: Devin Grimalda & Pierce Findlay

Mrs. SeagerAp Economics

Welcome to Des Moines Iowa

Jobs: total income & post tax

Devin:Occupation: Business analyst for principal

financial group Initial Income: $ 50,000

◦FICA:$ 3,780◦Post-Federal Tax: $ 36,870◦State income tax:$2,933◦Post-Income Tax: $ 33,937

Jobs: total income & post tax

Pierce-U.S. Department of Homeland Security:Federal Protective Service K9 ProgramThe Des Moines Police Department is located at #25

East First Street, Des Moines, Iowa 50309.The officer adopts the dogs (24 hours a day, seven

days a week) and will be the only one to feed the dog.

Salary-$50,000◦ FICA:$ 3,780◦ Post-Federal Tax: $ 36870◦ State Income tax: $2,933◦ Post-Income Tax: $ 33,937

Savings

Devin:◦ $793.23-retirement

(10% of disposable income)

◦ $793.23-savings (10% of disposable income)

◦ $158.65-stock (2.5% of disposable income)

Bank of America:APY- 0.05%

Pierce:

Disposable Income- Expenses= Savings$33,937-$22,314.60= $11,622.40Keep the $11,622.40 in the bank and only take out for vacations, or emergencies.

Bank of America:APY- 0.05%

Apartment Living

Address:1900 High St. Des Moines, IA 503092 Bedrooms/2 BathModels: B4Price: $825 (Pierce) $825 (Devin) Total: $1650

Deposit: $500Sq. Ft: 1223 sq. ftBath: 2

Unit Details

Heat: ElectricAir Conditioning: Central Air-conditioningRange: ElectricFloors: WoodBathroom Set Up: Combined Shower &

Bathtub, Shower OnlyOutdoor Area: Balcony, Deck, Patio or

PorchUtilities Included: Gas, Water, Trash

Pickup, Electricity

Unit Amenities

Microwave Dishwasher Spacious Closet(s) Disposal Dining Area/Room Separate Kitchen Cable-Ready Washer/Dryer In Unit Loft Layout Alarm System Ceiling Fan(s) Window Coverings Air Conditioning

Healthcare

Devin:1 single male will cost me $93.89/mo

through United Health OneBenefits:

◦ plan-network◦ deductible- 1500◦ coinsurance- 30%◦ office visits- $35 before deductible

Healthcare

Pierce:UnitedHealthOnePlan 100:Description: A high deductible plan that provides

100% for covered expenses after the deductible.◦Estimated Monthly Premium:$43.80/month◦Deductible: $10,000◦Copay: $100◦Coinsurance: 100/0◦Coinsurance Out-of-Pocket Maximum After Deductible: $0

Food-Furniture-Miscellaneous

Devin:◦Food: $500/month◦Furniture-clothing: (couches, chairs, tables,

plates) $1,500

Pierce:◦ Furniture&clothes: $2000◦ Food: $650/month

Transportation

Devin:◦A 2007 scion tc will cost $1200 per years◦Gas will cost on average $100 per month

Transportation

Pierce:Cop Car provided for by the Des Moines Police

Department.Gas, Insurance, and any damages paid for by the

Des Moines Police Department.

Utilities

Utilities Included In Rent: Gas, Water, Trash Pickup, Electricity

Extracurricular Activities

Devin: ◦Our apartment complex comes with a gym and

pool, so not many extra expenditures necessary.

◦I will join a masters swim program in the greater Des Moines area which will cost $100/mo

◦Money left over from my disposable income will go towards nights in the city, movies, small trips ect.

Extracurricular Activities

Central Iowa Lacrosse Association-Play in the 18+ Men's league

Coach a boys youth lacrosse teamPrice- $25 for US Lacrosse Insurance membership

Playing in the Men's league is free for me because I coach one of their boys youth teams. My payment for coaching is getting to play for free.

Money Analysis

Devin:◦ $9900-apartment

$1126.28-healthcare$6000-food$1184-auto Insurance$1200-swimming$94-renters insurance$1500- furniture (one time expense)$5000- possible repairs$793.23-retirement$793.23-savings$158.65-stock$1200-gas$1320-cell phone plan$250-apartment deposit (one time expense)

Money Analysis

Salary after tax- total expenses= disposable income◦$33,937-$30,519.39=$3,417.61

Money Analysis

Pierce: $94.00 Renter’s Insurance $250.00 Apartment Deposit(One time expense) $525.60 Healthcare $7,800 Food $2,000 Furniture (One time expense) $9,900 Apartment $25.00 US Lacrosse Membership $1320 Cell-phone plan $400 Movie tickets+--------------------------=$22,314.60$33,937-$22,314.60= $11,622.40

Written Analysis

Pierce Findlay and Devin Grimalda Mrs. Seager Per5 AP MacroEcon June 7 2011 Analysis In this project we learned how much time and attention goes into gathering a person’s

finances. It showed us that a salary a person gets isn’t the money they get to spend because of the FICA, state income tax, and other deductions. After that there are bills to pay and other such expenses that are needed for daily life. Once all is said and done there is a lot less money left then the amount from which you started and this goes into a person’s savings. Depending on how people manage their money they can get higher savings. Des Moines, Iowa is the city that Devin and I got to live in for this project. We have both learned a great deal more about Iowa, but unfortunately we both agree that it is not our first choice of living arrangement. Des Moines, Iowa; part of the Heartland of America a true blue collar metropolitan for true blue collar people. When you’re in a tough economic position coming out of college you want to make the best possible decision to make sure that you will not be to large in debt. Well with a fifty-thousand dollar salary in Des Moines we will make sure that we do not go in debt. After the federal income tax, state income tax, and FICA reports we finished off with around thirty-three thousand dollars to spend how we please, and having thirty-three thousand dollars each gives us a lot of money especially in Des Monies, Iowa were it is a whole lot cheaper than California. This project gave us a better understanding of the lives we will live once we get out of highschool, and the expenses we will incure if we lived in Des Monies.

Work Cited

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