Search found 853 matches

by jimr
Sat Nov 02, 2024 4:26 pm
Forum: General questions and comments
Topic: Annual Retirement Spending/Inflation
Replies: 7
Views: 11820

Re: Annual Retirement Spending/Inflation

The amounts in the detailed view table are all shown in present value dollars (adjusted for inflation). That means that if an amount stays the same from year to year, it is exactly keeping up with inflation. If the amount decreases from year to year, it isn't keeping up with inflation and is losing ...
by jimr
Sat Nov 02, 2024 6:51 am
Forum: General questions and comments
Topic: Annual Retirement Spending/Inflation
Replies: 7
Views: 11820

Re: Annual Retirement Spending/Inflation

As long as you enter the COLA type (in additional inputs) as track inflation, it will adjust the value for inflation between now and when it starts. I'm not positive exactly what that SS estimate reflects in terms of inflation. My guess is that the $4000 amount represents today's value dollars and t...
by jimr
Sun Oct 20, 2024 6:16 pm
Forum: General questions and comments
Topic: When To Adjust Inputs
Replies: 1
Views: 1741

Re: When To Adjust Inputs

I'm not in the financial advising business, so I can't really say what exactly you should do. What I usually do personally is to check things out at the start of each new year. That's basically good enough for me unless some change comes up mid year that I want to explore (say like a bad market cras...
by jimr
Sat Oct 19, 2024 7:44 pm
Forum: General questions and comments
Topic: Goal Seek Question
Replies: 2
Views: 1809

Re: Goal Seek Question

I have to admit this one threw me for a loop. I was able to reproduce what you're seeing on my end and at first I thought you'd uncovered a bug in a feature that's been in the code base for over 15 years. It's been so long since I've looked at that code that I had basically forgot what it was trying...
by jimr
Thu Oct 17, 2024 7:58 pm
Forum: General questions and comments
Topic: Version Upgrade Question
Replies: 1
Views: 1518

Re: Version Upgrade Question

The upgrade replaces the old version. Your plan data is stored in a file (or multiple files) on your computer which isn't impacted by the upgrade, The first time you saved your inputs, the program would have brought up a file browser so you could save the file where you want it with the name you cho...
by jimr
Wed Sep 25, 2024 6:11 pm
Forum: General questions and comments
Topic: Adjusted Cost Basis
Replies: 4
Views: 2853

Re: Adjusted Cost Basis

It might be interesting to use sensitivity analysis to vary the investment tax rate, perhaps between an unrealistically low rate and an unrealistically high rate. This would give you at least a rough idea of how much the imprecision in investment tax handling might impact the plan's overall results.
by jimr
Wed Sep 25, 2024 4:59 pm
Forum: General questions and comments
Topic: Adjusted Cost Basis
Replies: 4
Views: 2853

Re: Adjusted Cost Basis

But when I will model my retirement, most of the money in the taxable account is not taxable since it was the original investment. Only the gains are taxed, and they are only taxed at a %, and then basically taxed as income. The model carries the taxable portfolio at a 100% cost basis throughout th...
by jimr
Wed Sep 25, 2024 7:57 am
Forum: General questions and comments
Topic: Is Pension plan the same as retirement plan?
Replies: 1
Views: 1909

Re: Is Pension plan the same as retirement plan?

The cash flow names in the additional inputs window are mostly just labels to make it easier to track what each cash flow is for if you've created a bunch of them. The Misc Income, Pension, and Annuity cash flows all work the same way inside the simulation. Social Security is mostly the same, but th...
by jimr
Thu Sep 05, 2024 4:48 pm
Forum: General questions and comments
Topic: Spend to Zero
Replies: 1
Views: 6622

Re: Spend to Zero

FRP isn't really "trying" to have a positive portfolio value at the end of the plan. It just works out that a plan with a high probability of success is very likely to have a large portfolio balance at the end. In a sense, the large ending portfolio value gives the plan the cushion that al...
by jimr
Sun Aug 25, 2024 3:00 pm
Forum: General questions and comments
Topic: Spouse's Death Simulation
Replies: 1
Views: 9220

Re: Spouse's Death Simulation

The first step would be to list all the changes in cash flows that you expect (both income and expense cash flows). Next, identify if there would be any changes in assets that would need to be accounted for. Once you know what the cash flows would look like, you can use the lower table in additional...