four logical steps in the procedure to determine the investment amount ($C): 1. Determine Vt, your investment goal for time t; 2. Determine the r, or expected rate of return, that you reasonably expect to get on average, after taxes; 3. Use the annuity formula or a financial calculator or computer to calculate the required ($C) fixed-dollar per-period investment to achieve your goal in step 1 at the rate in step 2 in t periods; 4. After several periods, recalculate the new amount required, using your actual value today as the starting point for the remainder of your investment time available.
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