Pension Related Question - FireCalc

wheel9 · 02-23-2007, 12:28 PM

I have a Pension that will be indexed 2% max per year. If I want to include that, the only choice is to use inflation rate, which I have set conservatively at 3.5%. This causes a problem in that the pension is actually increasing at a faster rate - is there a way around this?

JD_Bugs · 06-23-2007, 02:08 PM

wheel9,

I have the same situation (max 2% indexed pension). I found no exact way to handle the calculation but to get a rough estimate I simply split the pension into two amounts and allowed an inflation adjustment on one but not the other. It is not an exact solution but is better than setting the whole amount to either adjusted or not adjusted.

JD

02-23-2007, 12:28 PM	#1
wheel9 Recycles dryer sheets Join Date: Nov 2006 Posts: 53	Pension Related Question - FireCalc I have a Pension that will be indexed 2% max per year. If I want to include that, the only choice is to use inflation rate, which I have set conservatively at 3.5%. This causes a problem in that the pension is actually increasing at a faster rate - is there a way around this?

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06-23-2007, 02:08 PM	#2
JD_Bugs Confused about dryer sheets Join Date: Jun 2007 Posts: 1	wheel9, I have the same situation (max 2% indexed pension). I found no exact way to handle the calculation but to get a rough estimate I simply split the pension into two amounts and allowed an inflation adjustment on one but not the other. It is not an exact solution but is better than setting the whole amount to either adjusted or not adjusted. JD

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