![]() There is one amazing retirement calculator that is powerful, easy to use, AND FREE! Honestly, it’s so superior to other retirement calculators I’ve found, they could charge for it and I would still recommend it over other retirement calculators. Notice I said most retirement tools don’t take these things into account. ![]() There is one AMAZING retirement calculator. Other significant income or expense events.Selling a business or partnership interest.If you think your investment portfolio will grow approximately 4% after inflation, you withdraw less than that, so you’re only withdrawing gains, not principal.Īnd most retirement calculators don’t account for important one-time events such as: (Don’t freak out about this too much–retirement planners can help you figure out a Safe Withdrawal Rateso you don’t run out of money in your lifetime). How long we’ll live after retirement–We want a long life, but we also don’t want our money to run out.Investment return rate (which no one knows for sure–for retirement planning, people often use 7%–not adjusted for inflation).Inflation (most people assume between 3-3.5% for this but no one knows what inflation will be).Your savings rate (and, conversely, your annual expenses).Planning for retirement can be complicated because it involves a lot of assumptions including: Honestly, the hardest thing about the whole process is digging up your investment account logins, but that’s something you need to do anyway! I promise– you’ll be SO GLAD you finally figured out how to get on track for retirement, you’ll want to break out a dance to celebrate making such a Money Fit Move. ![]() Option 3: Use a retirement calculator ( go to retirement calculator) Option 2: Use a rule of thumb ( go to rule of thumb) Option 1: Use Personal Capital‘s awesome retirement planner (recommended) and FREE. If you use anyone other them, You will have a retirement plan by the end of the day. Honestly–getting your retirement savings on track isn’t rocket science, it’s just complicated enough that people get intimidated out of starting the process. You’ve already done the hardest part of calculating if your retirement savings are on track: You’ve decided to actually do it and are STARTING the process.
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