Calculate the purchasing power of your cash accounts at a guesstimated rate of inflation.
Calculate the purchasing power of your assets using a projected growth rate.
Calculate how your annual expenses will increase to maintain your standard of living.
Calculate how you would cover your annual expenses using income from interest, an additional income stream, and withdrawals for a look into the possible future.
What $ can buy you (in today's dollars)
|Net Loss in Purchasing Power
|Cost of $ of goods and services
|Net against Inflation
|Remaining Purchasing Power
|Additional Income Needed to Maintain Standard of Living
( interest used as income)
( Annual Compounding Growth)
|Retirement Income (Asset Interest + Annual Income)
|Cost of Living
($ increasing by )
|Budget Surplus/Deficit After Cost of Living Expenses