Project Overview Personal Investment Options Benefit Analysis of Obtaining a PhD EGR 403 Team 5 Jon Estanislao, Fady Mina Muhammad Rahman,Oscar Villa

Team Members & Roles NameResponsibility Fady MinaOrganizer Muhammad RahmanSummarizer Oscar VillaTechie Jon EstanislaoTechie

Scenario  Full time Engineer with Masters Degree  Current Age: 30  Current Salary: $75,000

Decision: Work full time until Retirement or Obtain PhD and retire as a Professor? WORK FULL TIME  Retire at age 65 - Assume 5% salary inc/year  Qualifies for 401(k) OBTAIN PhD  PhD: 4 years to obtain - Stipend of 35,000 during that time - Not eligible for 5% inc  After PhD salary increases -8% salary inc/year  Leave company at 50 and work for a University until retirement at 70. -Assume starting Salary of $85,000 with 3% inc/year

Project Goal  To determine which career path is most economically beneficial to the individual in question.  To obtain a better understanding of the financial analysis techniques learned in class by applying them to real life situations.

Resources  Internet Resources  Literary Resources -Essentials of Engineering Economy Analysis  Additional Resources -Dr. Rosenkrantz