Additional Inputs section- SS and Pension
Posted: Thu Oct 01, 2015 12:27 am
I’m playing around with retirement scenarios and in the first, I retire at 58 (22 years from now) and begin my pension. I delay Social Security until I’m 70. I’m trying to figure out the correct numbers for the additional input section for my pension and social security. Specifically, if I should enter future or today’s dollars for those entries. (I'm entering everything else today's dollars so I assume I should do the same here...but thought I'd ask.)
My pension formula is Final Average Salary x 45%. I’m estimating that my final average salary will be about $115k (which accounts for COLA increases/raises along the way.) The pension for this equals $52,155/yr (4,346/mo). My assumption that that figure is considered “future dollars” since it’s based off of my future “final average salary.”
My Social security, a low estimate (given how far off I am from retirement and the figures are based off my current salary) is $31,524yr (2,627 a month). With all the research I’ve done I believe that’s in today’s dollars.
So…Which do I adjust before entering into the calculator?
Thanks.
My pension formula is Final Average Salary x 45%. I’m estimating that my final average salary will be about $115k (which accounts for COLA increases/raises along the way.) The pension for this equals $52,155/yr (4,346/mo). My assumption that that figure is considered “future dollars” since it’s based off of my future “final average salary.”
My Social security, a low estimate (given how far off I am from retirement and the figures are based off my current salary) is $31,524yr (2,627 a month). With all the research I’ve done I believe that’s in today’s dollars.
So…Which do I adjust before entering into the calculator?
Thanks.