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The Lifetime Planner performs the following calculations to determine your cash flow in a given year:

Start:

  • Start the year with $0 cash flow.

Add:

  • Any salary
  • Any other income.
  • Any income from a home or asset.
  • Any proceeds from the sale of a home or assets.
  • Any college-related income.
  • Any income from a future loan.
  • Social Security benefits (usually after retirement).
  • Pension benefits (usually after retirement).
  • The minimum required withdrawal from tax-deferred savings (begins when savings holder has reached or surpassed age 70-1/2). The Life Event Planners use the “Term Certain” method to calculate the minimum required withdrawal.

Subtract:

  • Income taxes on all taxable income.
  •  
  • Social Security and Medicare taxes.
  • Loan payments, including balloon payments on loans.
  • Debt reduction payments.
  • Living expenses.
  • Property taxes and expenses associated with a home or asset.
  • Any planned downpayment on a home or asset.
  • Taxes on gains from sale of home or assets
  • Special expenses.
  • Any planned college expenses.
  • Your planned savings and investments contributions.