Need understanding of SS income and spending on 'Start Here' tab

[LeavingOhio]

When using FIRECalc, on the 'Start Here' tab let's say I enter $40,000 as my spending. Is this assuming this is what I will spend just from my portfolio? I realize there is a Social Security section, but I'm not sure how it's calculating that.

Either:

1) When I say I want to spend $40,000 it is taking money from my portfolio AND what I say I will get in Social Security.

OR

2) It is just taking the $40,000 a year from my portfolio, so that if I add Social Security to the tune of ~$30,000, then really I am spending $70,000 a year, but only $40,000 from my portfolio.

Maybe this should be evident to me, but it's not.

Thanks.

 

[REWahoo]

You are over-thinking FIRECalc.

Put your total expected initial annual spending amount, including taxes, into the 'Start Here' box on FIRECalc. When you input SS and/or pensions, it spends that money first before withdrawing $ from your portfolio.

 

[LeavingOhio]

You are over-thinking FIRECalc.

Put your total expected initial annual spending amount, including taxes, into the 'Start Here' box on FIRECalc. When you input SS and/or pensions, it spends that money first before withdrawing $ from your portfolio.

Ok. Thanks.