### basic calculation question

Posted:

**Fri Feb 20, 2015 7:30 pm**Thank you for providing such a flexible tool. I experimented with a number of scenarios to get a feel for the output and am now back to basics to make sure I understand how the planner works. My approach was to start simple and add complexity/variables one at a time to see the effects.

Unfortunately, I am stuck at square one and do not understand the output. I have read the documentation as well as this forum, but am obviously misinterpreting something and could use your help.

I tried to create something I could easily duplicate with a hand calculation. Below are the inputs I used:

Investing style is set to custom with a 10% return and a standard deviation of 0. Inflation is set to 0 as well. My taxable portfolio is $1,000,000 with zero entered for all other other portfolios or income. Annual retirement spending is $50,000 and the investment tax rate is set at 15%. Income tax rate is 20%, but I do not believe it matters since retirement income is zero. (changing this parameter yielded no change, confirming my expectation).

Using the above inputs yields a portfolio value at retirement of $1,030,750.

What I expected to see was $1,035,000. i.e. the result of $1,000,000 + 10% return ($1,100,000), less the 15% investment tax on the 10% of growth ($15,000), less $50,000 of annual retirement spending, giving a final total of $1,035,000.

What am I missing? I tried a number of variations on he above, but try as I may, cannot come up with $1,030,750 as a result.

Thanks for any and all help.

Unfortunately, I am stuck at square one and do not understand the output. I have read the documentation as well as this forum, but am obviously misinterpreting something and could use your help.

I tried to create something I could easily duplicate with a hand calculation. Below are the inputs I used:

Investing style is set to custom with a 10% return and a standard deviation of 0. Inflation is set to 0 as well. My taxable portfolio is $1,000,000 with zero entered for all other other portfolios or income. Annual retirement spending is $50,000 and the investment tax rate is set at 15%. Income tax rate is 20%, but I do not believe it matters since retirement income is zero. (changing this parameter yielded no change, confirming my expectation).

Using the above inputs yields a portfolio value at retirement of $1,030,750.

What I expected to see was $1,035,000. i.e. the result of $1,000,000 + 10% return ($1,100,000), less the 15% investment tax on the 10% of growth ($15,000), less $50,000 of annual retirement spending, giving a final total of $1,035,000.

What am I missing? I tried a number of variations on he above, but try as I may, cannot come up with $1,030,750 as a result.

Thanks for any and all help.