What Results Might I Expect If I Follow The Plan?
After entering your personal situation data, you will be shown what WOULD have happened had you been following The Plan.

Fifty historical market scenarios are used to develop a probability distribution for your chances of success using the initial values you enter.

The simulation uses the historical year end values of the Dow Jones Industrial Average for the years 1900 through 2014.


        Change the default values (in yellow) so they match your situation.        
ACCUMULATION PHASE
AgeThe age at which you will start your monthly investment program.
Initial InvestmentAmount you already have invested (or able to invest) in VTI.$ 
Monthly ContributionAdditional amount you will invest each month into the stock market. $ 

WITHDRAWAL PHASE (Withdrawal assumed to occur at the beginning of the year)

Age @ Retirement Age at which annual withdrawals will begin.years old.
Withdraw AT LEAST... The amount you need from this portfolio EVERY YEAR in order to maintain your retirement lifestyle. $ 
Percentage WithdrawalThe above amount may represent a small percentage of your portfolio.
In that case, withdraw no more than this percentage of your portfolio.
Enter a 4.5% withdrawal rate as 4.5
% 
Withdraw NO MORE THAN No point in withdrawing more than you need, even if you can. No annual withdrawal will exceed this amount. $ 
















After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 50 different years, starting with 1900.
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If you already have some investments, enter the value of the portfolio as of this date. If possible, get all your investments into VTI. This will simplify your life and ensure that your portfolio continues to perform as well as the Dow Jones Average performs.
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After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 50 different years, starting with 1900.
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How To Calculate The "Amount You Need"
Minimum amount per year you need to maintain your retirement lifestyle.
This value will be the result of significant work and analysis on your part.
  $60,000
Minus Amount Provided by Social Security - $18,000
Minus Amount Provided by Other Pensions - $20,000
EQUALS The amount you need from this portfolio in order to maintain your retirement lifestyle.  $22,000
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Conventional wisdom advice is to "withdraw 4-5% of your portfolio per year and you probably will not run out of money".
If your portfolio returns more than "the minimum amount per year you need to maintian your retirement lifestyle", then this percentage put an upper limit on the amount that you should withdraw in this year.
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IF your portfolio is significant, (and it most likely will be), a percentage withdrawal may produce much more than you need this year. This value, in effect, says enough is enough. This is the maximum that you will withdraw - period.
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After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 50 different years, starting with 1900.
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After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 50 different years, starting with 1900.
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After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 85 different years, starting with 1900.
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After entering values for each of the values in the yellow column and clicking on "Show Me The Money", you will see a page which will show you how big your portfolio WOULD HAVE BEEN had you started your investment program in each of 85 different years, starting with 1900.

You will have the opportunity to see all the calculations that produced the results that will be presented to you.
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