Calculating future value...help!

[FRPJunkie]

FRP shows all future amounts in today's money.

For example, if I plan to retire in 13 years, the planner shows the expected value of my portfolio upon retirement as $1.8m, in current dollars.

How do I see what the actual, inflated amount is?

[jimr]

There isn't a way to do this within the planner.

The best way to convert the amount would be to inflate it manually using excel. The formula is
FV(inflation rate, years, 0, -value)

For example, to get the future value of $10,000 in 20 years assuming 3% inflation, you'd use this formula:
=FV(0.03, 20, 0,-10000)

[FRPJunkie]

Thanks!

And one more question: In the field that says "Income tax rate" I assume this refers to the tax rate during retirement(?) If this is the case, what is this referring to if one has no earned income in retirement? In other words, if the "Annual Retirement Income" field is blank, the income tax rate does not apply?

Or does this assume that your marginal tax rate as you liquidate investments is x percent?

[jimr]

The income tax rate is the average tax rate that you pay on taxable income, such as pensions, IRA withdrawals, etc.

If the annual retirement income field is blank, the other thing that may be taxed are withdrawals from tax deferred savings accounts like IRAs and 401ks that are needed to fund retirement expenses.