Retirement Cash Planning Software

[DINKFIRE]

Does anyone here would recommend a software that could automatically produce a draw-down plan based on the investment account types/balances to minimize overall tax and penalty over the entire retirement period?

A software that factors in federal/state tax rates, RMD, 72t, social security and other tax rules as effective today, and also have a flexibility allowing withdraw each year to be specified instead of a fixed amount/year would be perfect

 

[capjak]

Does anyone here would recommend a software that could automatically produce a draw-down plan based on the investment account types/balances to minimize overall tax and penalty over the entire retirement period?

A software that factors in federal/state tax rates, RMD, 72t, social security and other tax rules as effective today, and also have a flexibility allowing withdraw each year to be specified instead of a fixed amount/year would be perfect

Not really but you can try https://www.i-orp.com/APenalty/extended.html

use the "extended form". Be careful with it as I believe it over estimates Roth conversions if you set it to allow up to highest tax rate

Its only a guide. Also I like this one https://www.bogleheads.org/wiki/Variable_percentage_withdrawal

 

[HI Bill]

I'm not sure that anything exists that will give you all that, but I'm guessing that the extended version of I-ORP is as close as you'll come.

There are so many variables, including sequences of returns, and changes in tax rates, that I'm fairly convinced that judgement will be required, regardless.

 

[whenicandave]

You can try this spreadsheet. Pretty in depth if you want. Free version but also a paid version.
https://pralanaretirementcalculator.com/html/get_prc.html

 

[DINKFIRE]

Not really but you can try https://www.i-orp.com/APenalty/extended.html

use the "extended form". Be careful with it as I believe it over estimates Roth conversions if you set it to allow up to highest tax rate

Its only a guide. Also I like this one https://www.bogleheads.org/wiki/Variable_percentage_withdrawal

Great calculators, thank you for the info! Although it seems to overstate our retirement spending ability (or my own estimate is just too conservative), they do provide me with some assurance!

 

[Dtail]

Great calculators, thank you for the info! Although it seems to overstate our retirement spending ability (or my own estimate is just too conservative), they do provide me with some assurance!

Keep in mind that the Boglehead VPW withdrawal strategy is intended to spend the entire portfolio by age 100 vs. maintaining possibly an inflation adjusted start of retirement portfolio.
Thus typically larger withdrawal %'s.

 

[conversationalphrase]

You can try this spreadsheet. Pretty in depth if you want. Free version but also a paid version.
https://pralanaretirementcalculator.com/html/get_prc.html

+1

 

[bmcgonig]

There's a paid program called MaxiFi that's getting good reviews. Lots of reviews on the net including some people at Bogleheads. Haven't got around to trying it myself.

 

[DINKFIRE]

There's a paid program called MaxiFi that's getting good reviews. Lots of reviews on the net including some people at Bogleheads. Haven't got around to trying it myself.

I checked out MaxiFi, and it seems to have a cost for sign-up and then annual renewal fee. It would be nice if they could provide a trial since it is quite expensive.

 

[Koolau]

I checked out MaxiFi, and it seems to have a cost for sign-up and then annual renewal fee. It would be nice if they could provide a trial since it is quite expensive.

IIRC MaxiFi was developed by Laurence Kotlikoff who has been involved in personal finance for quite some time. I haven't tried the software, but if I were to take a chance on anyone's financial software, I think I'd try this one on the strength of my reading of Kotlikoff's books. As always, YMMV.

 

[ncbill]

Here's a thread from bogleheads discussing a $20/month service that helps with how to take withdrawals most efficiently from tax-deferred accounts:

https://www.bogleheads.org/forum/viewtopic.php?t=236567

 

[DINKFIRE]

IIRC MaxiFi was developed by Laurence Kotlikoff who has been involved in personal finance for quite some time. I haven't tried the software, but if I were to take a chance on anyone's financial software, I think I'd try this one on the strength of my reading of Kotlikoff's books. As always, YMMV.

I'm interested in trying it, but the site doesn't have a customer service phone number. I submitted questions by the webpage, but got zero response. I really want to find out if the software would be able to determine if 72t election is better than RMD later on, and it will convert tIRA to Roth where the yearly distribution exceeds cash need. I also want to find out if the software would accommodate rental income and disposition of rental property taking into the tax impact of capital gain vs. 1250 recapture. These items are crucial to my planning. I read somewhere that the software has 30-day money back guarantee but can't find such language on its website.

 

[Koolau]

I'm interested in trying it, but the site doesn't have a customer service phone number. I submitted questions by the webpage, but got zero response. I really want to find out if the software would be able to determine if 72t election is better than RMD later on, and it will convert tIRA to Roth where the yearly distribution exceeds cash need. I also want to find out if the software would accommodate rental income and disposition of rental property taking into the tax impact of capital gain vs. 1250 recapture. These items are crucial to my planning. I read somewhere that the software has 30-day money back guarantee but can't find such language on its website.

I know nothing about the software personally. I have been impressed with Kotlikoff's writing. What I've seen about the software makes me think it is very complete but YMMV.