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Retire Early Savings Calculator _savings

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Retire Early Savings Calculator _savings Powered By Docstoc
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                                                                                                                                           Retirement Assets
You can retire when the red and black lines cross on the chart at right.
                                                                                                                         $2,000,000
Annual Spending Model                                  2 1=Spending increases with salary
                                                         2=Spending increases limited to inflation                       $1,800,000
 If "2" selected, increase Annual Spending          0.0% more than inflation
Annual Income and Savings                                                                                                $1,600,000
Gross Annual Income                             $40,000
Percent of Gross Saved                            50.0% of Initial Salary                                                $1,400,000




                                                                                                       Portfolio Value
Present Age                                          25 Years Old
Age at Death                                         95 Years Old
                                                                                                                         $1,200,000
Max Annual IRA Contrib.                          $4,000
                                                                                                                         $1,000,000
Max 401k Contrib. (%)                             10.0%
IRS 401k Limit                             $     15,000                                                                   $800,000
Max Company 401k Contrib.                          3.0%
Starting Account Balances                                                                                                 $600,000
401k & IRA accounts                                   $0
Taxable accounts                                      $0                                                                  $400,000
Income Tax Assumptions
Itemized Deductions                                 0.0% as a percent of Gross Income                                     $200,000
No. of Exemptions                                      1 Federal Tax Return
Filing Status                                          1 1=Single, 2=Married                                                    $-
FICA Wages                                             1 1=Single or Married w/1 income,                                              1      4      7      10    13    16   19     22    25
                                                         2=Married both working                                                                         Years to Retirement
State Income Tax                                    0.0% as a percent of Federal Income Tax
Adjust Retirement Taxes for Cap Gains               1.00 1.00 = all ordinary income
                                                                                                                               Current Portfolio Balance        Retirement Assets Required
Living Expenses in Retirement
Ratio to Current Living Expenses                    1.00
Safe Withdrawal Risk                                   1 1 = 100% Safe, 2=98%, 3=95%, 4=90%
Assumptions                                                                                              You can retire in                              15          years
(Assumes no Social Security or pension benefits.)                                                           when you are                                40          years old,
Annual Inflation Rate (Exp.)                        4.0%                                      with Retirement Assets of $                                735,780    and an
Annual Salary Increase                              5.0%                                    annual pre-tax withdrawal of $                                26,129    with
Annual Investment Return                            5.0%                                     after-tax living expenses of $                               25,386    per year.
Investment Expenses (% of assets)                   0.20%




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