retirement calculator

[daneosporin]

Hi all,
I'm certainly not near retirement, but I have been forcing myself to start saving. It took me few hours to figure out how much I should save and I ended up busting out my old finance textbooks to find the equation for an annuity, but I think I finally got it right. I made an online retirement calculator that I think is better than a lot of others. Hope you guys find it useful. Also please tell me if there is something dramatically wrong with this one.

- Danny

 

[Cut-Throat]

Danny,

Most of us here use FireCalc which is much more sophisticated calculator that compares against historical models.

Is this your website that lists the products you are selling? First posts like this are always suspect.

 

[daneosporin]

Hi,
Cutt-throat, thanks for the response. I took a look at the firecalc and it looks like I have plenty of work to do to get anywhere near that one! I think the next step is to add ira/roth ira, 401k and SS. Is there anything else that a basic retirement calculator should have first? Also, yes I was promoting my site on the last post, good burn . However I would like to actually create something useful so I figured the two cancel out.
- Danny

 

[retire@40]

Is there anything else that a basic retirement calculator should have first?

Why reinvent the wheel?  If you can take FIRECalc as it is, update it through 12/31/2005, add an optional checkbox to use 4% of the previous year balance (as opposed to 4% of the original balance adjusted for inflation), and maybe a few more options for additional yearly withdrawals or additions, you may have something worth looking at.

 

[SteveR]

Take a look at this one too. I have found it agrees very close to FIRECalc. at least for me.

http://www.i-orp.com/
Click on Run ORP to run your numbers.

 

[daneosporin]

Thanks guys,
I think I have a few ideas. I'm gonna work on this one and hopefully get back to you soon.

 

[MasterBlaster]

Regarding the ORP calculator:

Is the ORP calculator up to date ? It is my understanding that it relects tax rates and other data from the 2001 period ?

Someone help me out here please.

 

[SteveR]

Regarding the ORP calculator:

Is the ORP calculator up to date ? It is my understanding that it relects tax rates and other data from the 2001 period ?

Someone help me out here please.

You put in your own tax rate.

 

[cute fuzzy bunny]

I like ORP a lot, not only for its forecasting tools, but also for the nice tables it prints out showing the most tax efficient places to take your withdrawals from each year after full retirement...

 

[unclemick]

FireCalc and ORP are my favorites - putz wise.

Still rely on my no 2 pencil and Norwegian widow divies/interest though.

And and - still glance at Wellesley from time to time to see what they own as well as Dodge and Cox.

 

[Mr._johngalt]

as well as Dodge and Cox.

My daughters had a lot of experience with Dodge'n Cox while
they were in high school.

JG

 

[wstu32]

they both stink!!!

 

[cute fuzzy bunny]

Wow, theres so many witty things to say here that I cant choose.

I cant help it.

"they both stink? The daughters or the dodge and cox?"

"Yes, but at least they could get some relief by leaving the house"

Ok, thats sufficiently relieved the backpressure.

 

[Cut-Throat]

My daughters had a lot of experience with Dodge'n Cox while
they were in high school.

JG

John,

This is the best one you've come up with in quite awhile!

 

[cute fuzzy bunny]

But is that much of a challenge?

 

[MasterBlaster]

Is the ORP calculator up to date ? It is my understanding that it relects tax rates and other data from the 2001 period ?

I recently was playing around with the ORP calculator. The tax brackets that it uses are not current. ORP uses 0, 10, 15, 28, 31, 36 percent income tax brackets.

Current (2005-2006) law uses [0, 10, 15, 25, 28, 33, 35 ] percent income tax brackets.

Therefore, I believe that ORP has not been updated recently to account for current tax law. There may be other differences also. Use it as a guide for rough planning but do not use it for a detailed analysis. Or use it at your own peril.

 

[SteveR]

I recently was playing around with the ORP calculator. The tax brackets that it uses are not current. ORP uses 0, 10, 15, 28, 31, 36 percent income tax brackets.

Current (2005-2006) law uses [0, 10, 15, 25, 28, 33, 35 ] percent income tax brackets.

Therefore, I believe that ORP has not been updated recently to account for current tax law. There may be other differences also. Use it as a guide for rough planning but do not use it for a detailed analysis. Or use it at your own peril.

Thanks MB, I just noticed that too. The rates are the old ones. In my case it doesn't make much of a difference but for the sharp pencil types it might. Good catch!