A nest egg is a special account or investment that has been put aside to save up for a special purpose. The special purposes can range from a vacation or car to a person’s retirement. This is why the investments tend to be on the conservative side. These types of investments typically invest in value stocks or in a special retirement account.
Chris is trying to save up for a new set of tires. The tires cost $800 plus the installation. Chris decides to create a nest egg account that he donates 10% of his paycheck. If Chris is making $2,000 every two weeks on his paycheck, how long will it take for him to save the money for his new tires?
Given the former information it will take Chris 8 weeks where he invest $200 every 2 weeks with his paycheck.