newguy wrote:Hi guys
I don't think AiY table was quite right and to be honest I am not sure if mine is right either but using AiY as a basis here is what i have come up with.
Firstly, I am really not sure if it is a great idea adding the growth rate on the contributions. I think it maybe sensible to only do the growth rate on the opening balance. Does anybody have a view?
Now according to my table the growth rate should be around £19K this year. Well given that my assets only went up by about £17K last year that does seem like a bit of a stretch. However, looking at my pension contributions in the last year I didn't contribute as much as I am planning to do this year. Hopefully this will be the turning point.
Please can I ask does my table look right?
Thanks
Newguy
Yup. Sorry I added 2.1K incorrectly.
Newguy
Year Age No Op Bal Contr Total Draw Growth Total Tax Free Cash
1980 25.20 4.00% 6.00% 25.00%
2022 42 1 295.7 25.2 320.9 0 19.3 340.2 0.0
2023 43 2 340.2 25.2 365.4 0 21.9 387.3 0.0
2024 44 3 387.3 25.2 412.5 0 24.7 437.2 0.0
2025 45 4 437.2 25.2 462.4 0 27.7 490.2 0.0
2026 46 5 490.2 25.2 515.4 0 30.9 546.3 0.0
2027 47 6 546.3 25.2 571.5 0 34.3 605.8 0.0
2028 48 7 605.8 25.2 631.0 0 37.9 668.8 0.0
2029 49 8 668.8 25.2 694.0 0 41.6 735.7 0.0
2030 50 9 735.7 25.2 760.9 0 45.7 806.5 0.0
2031 51 10 806.5 25.2 831.7 0 49.9 881.6 0.0
2032 52 11 881.6 25.2 906.8 0 54.4 961.2 0.0
2033 53 12 961.2 25.2 986.4 0 59.2 1,045.6 0.0
2034 54 13 1,045.6 25.2 1,070.8 0 64.3 1,135.1 0.0
2035 55 14 1,135.1 25.2 1,160.3 0 69.6 1,229.9 0.0
2036 56 15 1,229.9 25.2 1,255.1 0 75.3 1,330.4 0.0
2037 57 16 1,330.4 25.2 1,355.6 (54.2) 78.1 1,379.5 344.9
2038 58 17 1,034.6 0.0 1,034.6 (41.4) 59.6 1,052.8 0.0
2039 59 18 1,052.8 0.0 1,052.8 (42.1) 60.6 1,071.3 0.0
2040 60 19 1,071.3 0.0 1,071.3 (42.9) 61.7 1,090.2 0.0
2041 61 20 1,090.2 0.0 1,090.2 (43.6) 62.8 1,109.4 0.0
2042 62 21 1,109.4 0.0 1,109.4 (44.4) 63.9 1,128.9 0.0
2043 63 22 1,128.9 0.0 1,128.9 (45.2) 65.0 1,148.8 0.0
2044 64 23 1,148.8 0.0 1,148.8 (46.0) 66.2 1,169.0 0.0
2045 65 24 1,169.0 0.0 1,169.0 (46.8) 67.3 1,189.6 0.0
2046 66 25 1,189.6 0.0 1,189.6 (47.6) 68.5 1,210.5 0.0
2047 67 26 1,210.5 0.0 1,210.5 (48.4) 69.7 1,231.8 0.0
2048 68 27 1,231.8 0.0 1,231.8 (49.3) 71.0 1,253.5 0.0
2049 69 28 1,253.5 0.0 1,253.5 (50.1) 72.2 1,275.6 0.0
403.2 1,253.5 (601.8) 1,523.4 1,275.6
Noting that this is a small part of my spreadsheet and I can model variables at the press of a button (that is assuming I put the right figures in first
). If I change the retirement date it will rework the rest of the sheet.
Other areas model the impact of inflation, draw down, tax allowances and future expenses.
It's constantly evolving and is a work-in-progress.
I can fill in my anticipated expenses now and project them forward. The spreadsheet works for up to two people as my good lady has both a private pension and a DB pension.
AIY(D)
Sorry forgot to mention the growth rate for each year works on the money going in up front not monthly. I am self employed so I tend not to buy monthly. I think the constant to use for monthly input would be 0.541.