Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Financial modeling
Old 06-25-2002, 08:36 PM   #1
Recycles dryer sheets
 
Join Date: Jun 2002
Posts: 98
Send a message via Yahoo to RedOscar
Financial modeling

I am curious as to what methods or computer software the members are using to evaluate their early retirement planning.

For me personally, I have primarily relied on Quicken Financial Planner (version which came with Q99 Deluxe Edition), and the Financial Engines web site. These two systems seem to be relatively complete in their ability to incorporate such things as pensions, Social Security benefits, taxable and tax-deferred assets.

I particularly like the way QFP can show you computed expenses, income, and account balances for each year of the model. Probably the biggest drawback is its use of "average annual values" for returns and inflation. Nonetheless, I find this program a great aid in helping me see where I might find myself in 10, 25, 40, or 50 years from now.

So what methods do you all use in your early retirement studies?

Red
__________________

__________________
RedOscar is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: Financial modeling
Old 06-28-2002, 02:16 AM   #2
Recycles dryer sheets
 
Join Date: Jun 2002
Posts: 88
Re: Financial modeling

Excel, mostly. Thanks to intercst and gummy for providing alot of the raw material. I did try porting over gummy's sensible-withdrawals.xls sheet to OpenOffice (just trying to LBMM), but fell down in the home straight
__________________

__________________
TheFIREman is offline   Reply With Quote
Re: Financial modeling
Old 09-27-2003, 12:48 PM   #3
Dryer sheet wannabe
 
Join Date: Sep 2003
Posts: 10
Re: Financial modeling

I have used over 20 different tools in the past several years to model my retirement and financial plans. Most are either too simplified or at the other end of the scale unfathomable. I have found that I need tool(s) to look at the retirement plan from three different angles.
1. a way to understand expenses and develop a budget. Just about any of the common products (Quicken, Money, or just an EXCEL spreadsheet) is OK for this. You just have to be disciplined enough (and honest enough) to keep track of where you spend your money.

2. A tool with some level of flexibility to lay out a reasonable cash flow and financial analysis. The absolute best piece of software I have ever found for this (hands down) is the Retirement Planning Analyzer from T. Rowe Price that I bought on line over 2 years ago for less than $8. Unfortunately it is no longer available from them and has not been updated with the latest tax rates, RMD formulas, etc. But even without these updates it still produces excellent, easy to use and understand analysis. Nothing else comes close for ease of use and sophistication.

3. A simulation tool to check survival rates of your investments under different scenarios. There's a number available for free at different Financial web sites (e.g. T. Rowe Price) but a cheap tool that is fairly easy to use and run without being on line (or entering all your financial info at some unknown web site) is Portfolio Survival Simulator at portfoliosurvival.com

That's my two cents

retiredtwice
__________________
Retiredtwice is offline   Reply With Quote
Re: Financial modeling
Old 09-27-2003, 12:50 PM   #4
Dryer sheet wannabe
 
Join Date: Sep 2003
Posts: 10
Re: Financial modeling

I have used over 20 different tools in the past several years to model my retirement and financial plans. Most are either too simplified or at the other end of the scale unfathomable. I have found that I need tool(s) to look at the retirement plan from three different angles.
1. a way to understand expenses and develop a budget. Just about any of the common products (Quicken, Money, or just an EXCEL spreadsheet) is OK for this. You just have to be disciplined enough (and honest enough) to keep track of where you spend your money.

2. A tool with some level of flexibility to lay out a reasonable cash flow and financial analysis. The absolute best piece of software I have ever found for this (hands down) is the Retirement Planning Analyzer from T. Rowe Price that I bought on line over 2 years ago for less than $8. Unfortunately it is no longer available from them and has not been updated with the latest tax rates, RMD formulas, etc. But even without these updates it still produces excellent, easy to use and understand analysis. Nothing else comes close for ease of use and sophistication.

3. A simulation tool to check survival rates of your investments under different scenarios. There's a number available for free at different Financial web sites (e.g. T. Rowe Price) but a cheap tool that is fairly easy to use and run without being on line (or entering all your financial info at some unknown web site) is Portfolio Survival Simulator at portfoliosurvival.com

That's my two cents

retiredtwice
__________________
Retiredtwice is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Changing the balance of quality of life and financial independence cute fuzzy bunny Life after FIRE 229 06-14-2013 03:17 PM
Does your spouse share your financial goals? JustCurious FIRE and Money 41 02-17-2007 07:20 PM
Positive Financial Planner stories Empty Pockets FIRE and Money 30 01-12-2007 12:57 PM
How hard to switch functions within financial services? soupcxan Young Dreamers 11 09-11-2006 08:11 PM
College financial aid planning farmerEd Other topics 38 05-05-2005 08:32 PM

 

 
All times are GMT -6. The time now is 10:19 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.