SlideShare a Scribd company logo
Prototype software example of aging model incorporating both portfolio and longevity percentile statistics along with
consumer spending trend line of “Real People” (which is not based here on spending percentile statistics, but on
research averages). Starting balance $500,000 with $36,000 Social Security. Two simple graphs by age answer many
retiree questions about potential future spending and balances. Creates a whole different discussion. Also illustrates
why age 95 is a poor reference for planning since it doesn’t plan or consider aging into future ages from the beginning of
retirement.
Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances
45% of Joint people at age 65 outlive age 94
Balanced allocation 50/50 Indexed stocks/bonds
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
$90,000
66 69 72 75 78 81 84 87 90 93 96 99 102 105 108 111 114
Cash
Flow
Age
75th 50th 25th Conceptual Real People
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
66 69 72 75 78 81 84 87 90 93 96 99 102 105 108 111 114
Account
Balance
Age
75th 50th 25th
Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances
35% of Joint people at age 75 outlive age 96
Conservative allocation 40/60 Indexed stocks/bonds
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
76 79 82 85 88 91 94 97 100 103 106 109 112 115 118 121 124
Cash
Flow
Age
75th 50th 25th Conceptual Real People
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
76 79 82 85 88 91 94 97 100 103 106 109 112 115 118 121 124
Account
Balance
Age
75th 50th 25th
Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances
25% of Joint people at age 85 outlive age 100
Defensive allocation 20/80 Indexed stocks/bonds
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
86 89 92 95 98 101 104 107 110 113 116 119
Cash
Flow
Age
75th 50th 25th Conceptual Real People
$0
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
$400,000
$450,000
86 89 92 95 98 101 104 107 110 113 116 119
Account
Balance
Age
75th 50th 25th
Female Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances
15% of Female people at age 95 outlive age 104
Defensive allocation 20/80 Indexed stocks/bonds
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
96 99 102 105 108 111 114 117 120
Cash
Flow
Age
75th 50th 25th Conceptual Real People
$0
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
96 99 102 105 108 111 114 117 120
Account
Balance
Age
75th 50th 25th

More Related Content

Similar to Prototype software example of aging model incorporating both portfolio and longevity percentile statistics along with consumer spending trend line

Affordable Care Act Subsidies Explained
Affordable Care Act Subsidies ExplainedAffordable Care Act Subsidies Explained
Affordable Care Act Subsidies Explained
Karen Marriner
 
Could Traditional Financial Advice Be Outdated?
Could Traditional Financial Advice Be Outdated?Could Traditional Financial Advice Be Outdated?
Could Traditional Financial Advice Be Outdated?
jimkipp
 
Chase Sapphire Case Study
Chase Sapphire Case StudyChase Sapphire Case Study
Chase Sapphire Case Study
Andrew Marsha Mulia
 
Iul workshop 10102013
Iul workshop 10102013Iul workshop 10102013
Iul workshop 10102013
Bryan Daly
 
Philanthropy Planned Giving Risk
Philanthropy Planned Giving RiskPhilanthropy Planned Giving Risk
Philanthropy Planned Giving Risk
LeadingAge
 
Women's Finance
Women's FinanceWomen's Finance
Women's Finance
Megan Smith
 
Women's Finance - A Roadmap to a Successful Financial Plan
Women's Finance - A Roadmap to a Successful Financial PlanWomen's Finance - A Roadmap to a Successful Financial Plan
Women's Finance - A Roadmap to a Successful Financial Plan
CRR, LLC
 
Investing For The Long Term
Investing For The Long TermInvesting For The Long Term
Investing For The Long Term
MrRed
 
Role Of Immediate Annuities
Role Of Immediate AnnuitiesRole Of Immediate Annuities
Role Of Immediate Annuities
Greg Ferguson
 
Financial Planning 101
Financial Planning 101Financial Planning 101
Financial Planning 101
Brett Cranson
 
Retirement Planning
Retirement PlanningRetirement Planning
Retirement Planning
guest1967a8a
 
NewHGI.BOP.June.2016
NewHGI.BOP.June.2016NewHGI.BOP.June.2016
NewHGI.BOP.June.2016
Jesse (Randy) Hale, Ed.D.
 
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
Mad*Pow
 
Wondering About Retirement Income presentation by KJH Financial Services
Wondering About Retirement Income presentation by KJH Financial ServicesWondering About Retirement Income presentation by KJH Financial Services
Wondering About Retirement Income presentation by KJH Financial Services
Kimberly Howard, CFP
 
Invest In America Final
Invest In America FinalInvest In America Final
Invest In America Final
t w
 
Intro presbluebubble2
Intro presbluebubble2Intro presbluebubble2
Intro presbluebubble2
Leslie Baldwin
 
Retirement Income by KJH Financial Services
Retirement Income by KJH Financial ServicesRetirement Income by KJH Financial Services
Retirement Income by KJH Financial Services
Kimberly Howard, CFP
 
NDK_Revised-10-13
NDK_Revised-10-13NDK_Revised-10-13
NDK_Revised-10-13
Ellen Bajenting, MBA
 
If I were 22
If I were 22If I were 22
If I were 22
Thilina Kandaragama
 
HBW Presentation 2010
HBW Presentation 2010HBW Presentation 2010
HBW Presentation 2010
vandrade30
 

Similar to Prototype software example of aging model incorporating both portfolio and longevity percentile statistics along with consumer spending trend line (20)

Affordable Care Act Subsidies Explained
Affordable Care Act Subsidies ExplainedAffordable Care Act Subsidies Explained
Affordable Care Act Subsidies Explained
 
Could Traditional Financial Advice Be Outdated?
Could Traditional Financial Advice Be Outdated?Could Traditional Financial Advice Be Outdated?
Could Traditional Financial Advice Be Outdated?
 
Chase Sapphire Case Study
Chase Sapphire Case StudyChase Sapphire Case Study
Chase Sapphire Case Study
 
Iul workshop 10102013
Iul workshop 10102013Iul workshop 10102013
Iul workshop 10102013
 
Philanthropy Planned Giving Risk
Philanthropy Planned Giving RiskPhilanthropy Planned Giving Risk
Philanthropy Planned Giving Risk
 
Women's Finance
Women's FinanceWomen's Finance
Women's Finance
 
Women's Finance - A Roadmap to a Successful Financial Plan
Women's Finance - A Roadmap to a Successful Financial PlanWomen's Finance - A Roadmap to a Successful Financial Plan
Women's Finance - A Roadmap to a Successful Financial Plan
 
Investing For The Long Term
Investing For The Long TermInvesting For The Long Term
Investing For The Long Term
 
Role Of Immediate Annuities
Role Of Immediate AnnuitiesRole Of Immediate Annuities
Role Of Immediate Annuities
 
Financial Planning 101
Financial Planning 101Financial Planning 101
Financial Planning 101
 
Retirement Planning
Retirement PlanningRetirement Planning
Retirement Planning
 
NewHGI.BOP.June.2016
NewHGI.BOP.June.2016NewHGI.BOP.June.2016
NewHGI.BOP.June.2016
 
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
FXD 2017: Financial Volatility and Opportunities for User-Centric Design, Mel...
 
Wondering About Retirement Income presentation by KJH Financial Services
Wondering About Retirement Income presentation by KJH Financial ServicesWondering About Retirement Income presentation by KJH Financial Services
Wondering About Retirement Income presentation by KJH Financial Services
 
Invest In America Final
Invest In America FinalInvest In America Final
Invest In America Final
 
Intro presbluebubble2
Intro presbluebubble2Intro presbluebubble2
Intro presbluebubble2
 
Retirement Income by KJH Financial Services
Retirement Income by KJH Financial ServicesRetirement Income by KJH Financial Services
Retirement Income by KJH Financial Services
 
NDK_Revised-10-13
NDK_Revised-10-13NDK_Revised-10-13
NDK_Revised-10-13
 
If I were 22
If I were 22If I were 22
If I were 22
 
HBW Presentation 2010
HBW Presentation 2010HBW Presentation 2010
HBW Presentation 2010
 

More from Better Financial Education

The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
Better Financial Education
 
Skittles_Quilt Chart 2022.pdf
Skittles_Quilt Chart 2022.pdfSkittles_Quilt Chart 2022.pdf
Skittles_Quilt Chart 2022.pdf
Better Financial Education
 
the-rewarding-distribution-of-us-stock-market-returns.pdf
the-rewarding-distribution-of-us-stock-market-returns.pdfthe-rewarding-distribution-of-us-stock-market-returns.pdf
the-rewarding-distribution-of-us-stock-market-returns.pdf
Better Financial Education
 
Bio napfa article june 2021
Bio napfa article june 2021Bio napfa article june 2021
Bio napfa article june 2021
Better Financial Education
 
A question of equilibrium - can there be more buyers than sellers? Or more se...
A question of equilibrium - can there be more buyers than sellers? Or more se...A question of equilibrium - can there be more buyers than sellers? Or more se...
A question of equilibrium - can there be more buyers than sellers? Or more se...
Better Financial Education
 
The happiness equation
The happiness equationThe happiness equation
The happiness equation
Better Financial Education
 
Sailing with the tides and investing metaphor
Sailing with the tides and investing metaphorSailing with the tides and investing metaphor
Sailing with the tides and investing metaphor
Better Financial Education
 
Key questions for the long term investor
Key questions for the long term investorKey questions for the long term investor
Key questions for the long term investor
Better Financial Education
 
The uncommon average
The uncommon averageThe uncommon average
The uncommon average
Better Financial Education
 
Retirement phases plan
Retirement phases planRetirement phases plan
Retirement phases plan
Better Financial Education
 
Portfolio perspectives-january-2017
Portfolio perspectives-january-2017Portfolio perspectives-january-2017
Portfolio perspectives-january-2017
Better Financial Education
 
Robo advisor-whitepaper
Robo advisor-whitepaperRobo advisor-whitepaper
Robo advisor-whitepaper
Better Financial Education
 
Portfolio perspectives-december-2016
Portfolio perspectives-december-2016Portfolio perspectives-december-2016
Portfolio perspectives-december-2016
Better Financial Education
 
Afs 2016-certainty of lifestyle shared
Afs 2016-certainty of lifestyle sharedAfs 2016-certainty of lifestyle shared
Afs 2016-certainty of lifestyle shared
Better Financial Education
 
4 steps-effective-portfolio-trifold-1
4 steps-effective-portfolio-trifold-14 steps-effective-portfolio-trifold-1
4 steps-effective-portfolio-trifold-1
Better Financial Education
 
The mathematics of investing
The mathematics of investingThe mathematics of investing
The mathematics of investing
Better Financial Education
 
Fundamentals of asset class investing
Fundamentals of asset class investingFundamentals of asset class investing
Fundamentals of asset class investing
Better Financial Education
 
Index reconstitution the price of tracking
Index reconstitution  the price of trackingIndex reconstitution  the price of tracking
Index reconstitution the price of tracking
Better Financial Education
 
Social security as longevity insurance
Social security as longevity insuranceSocial security as longevity insurance
Social security as longevity insurance
Better Financial Education
 
Investor discipline
Investor disciplineInvestor discipline
Investor discipline
Better Financial Education
 

More from Better Financial Education (20)

The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
The Dynamic Implications of Sequence Risk on a Distribution Portfolio Journal...
 
Skittles_Quilt Chart 2022.pdf
Skittles_Quilt Chart 2022.pdfSkittles_Quilt Chart 2022.pdf
Skittles_Quilt Chart 2022.pdf
 
the-rewarding-distribution-of-us-stock-market-returns.pdf
the-rewarding-distribution-of-us-stock-market-returns.pdfthe-rewarding-distribution-of-us-stock-market-returns.pdf
the-rewarding-distribution-of-us-stock-market-returns.pdf
 
Bio napfa article june 2021
Bio napfa article june 2021Bio napfa article june 2021
Bio napfa article june 2021
 
A question of equilibrium - can there be more buyers than sellers? Or more se...
A question of equilibrium - can there be more buyers than sellers? Or more se...A question of equilibrium - can there be more buyers than sellers? Or more se...
A question of equilibrium - can there be more buyers than sellers? Or more se...
 
The happiness equation
The happiness equationThe happiness equation
The happiness equation
 
Sailing with the tides and investing metaphor
Sailing with the tides and investing metaphorSailing with the tides and investing metaphor
Sailing with the tides and investing metaphor
 
Key questions for the long term investor
Key questions for the long term investorKey questions for the long term investor
Key questions for the long term investor
 
The uncommon average
The uncommon averageThe uncommon average
The uncommon average
 
Retirement phases plan
Retirement phases planRetirement phases plan
Retirement phases plan
 
Portfolio perspectives-january-2017
Portfolio perspectives-january-2017Portfolio perspectives-january-2017
Portfolio perspectives-january-2017
 
Robo advisor-whitepaper
Robo advisor-whitepaperRobo advisor-whitepaper
Robo advisor-whitepaper
 
Portfolio perspectives-december-2016
Portfolio perspectives-december-2016Portfolio perspectives-december-2016
Portfolio perspectives-december-2016
 
Afs 2016-certainty of lifestyle shared
Afs 2016-certainty of lifestyle sharedAfs 2016-certainty of lifestyle shared
Afs 2016-certainty of lifestyle shared
 
4 steps-effective-portfolio-trifold-1
4 steps-effective-portfolio-trifold-14 steps-effective-portfolio-trifold-1
4 steps-effective-portfolio-trifold-1
 
The mathematics of investing
The mathematics of investingThe mathematics of investing
The mathematics of investing
 
Fundamentals of asset class investing
Fundamentals of asset class investingFundamentals of asset class investing
Fundamentals of asset class investing
 
Index reconstitution the price of tracking
Index reconstitution  the price of trackingIndex reconstitution  the price of tracking
Index reconstitution the price of tracking
 
Social security as longevity insurance
Social security as longevity insuranceSocial security as longevity insurance
Social security as longevity insurance
 
Investor discipline
Investor disciplineInvestor discipline
Investor discipline
 

Recently uploaded

Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
seenaoberoi
 
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
eshikajshani
 
How to File Form 1099 NEC Online | A Complete Guide
How to File Form 1099 NEC Online | A Complete GuideHow to File Form 1099 NEC Online | A Complete Guide
How to File Form 1099 NEC Online | A Complete Guide
fluenttax19
 
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
sharonblush
 
How to Mitigate Transition and Physical Risks in the Financial Sector
How to Mitigate Transition and Physical Risks in the Financial SectorHow to Mitigate Transition and Physical Risks in the Financial Sector
How to Mitigate Transition and Physical Risks in the Financial Sector
rimandani2023
 
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
Dr T AASIF AHMED
 
Lucknow Girls Call Adil Nagar 08630512678 Available full Day
Lucknow Girls Call Adil Nagar 08630512678 Available full DayLucknow Girls Call Adil Nagar 08630512678 Available full Day
Lucknow Girls Call Adil Nagar 08630512678 Available full Day
annarivihqrika
 
University of Southern California degree offer diploma Transcript
University of Southern California degree offer diploma TranscriptUniversity of Southern California degree offer diploma Transcript
University of Southern California degree offer diploma Transcript
oywfdy
 
Typical Scams to Stay Away from When Buying Verified Binance Accounts
Typical Scams to Stay Away from When Buying Verified Binance AccountsTypical Scams to Stay Away from When Buying Verified Binance Accounts
Typical Scams to Stay Away from When Buying Verified Binance Accounts
Any kyc Account
 
https://silverone.com/investors/presentations/
https://silverone.com/investors/presentations/https://silverone.com/investors/presentations/
https://silverone.com/investors/presentations/
Adnet Communications
 
Integration PowerPoint covering various areas
Integration PowerPoint covering various areasIntegration PowerPoint covering various areas
Integration PowerPoint covering various areas
Vaidyanathan11
 
Introduction to Islamic Banking and Finance
Introduction to Islamic Banking and FinanceIntroduction to Islamic Banking and Finance
Introduction to Islamic Banking and Finance
NasrudinMohamedAhmed
 
Introduction to Islamic Banking and Finance.Part4
Introduction to Islamic Banking and Finance.Part4Introduction to Islamic Banking and Finance.Part4
Introduction to Islamic Banking and Finance.Part4
NasrudinMohamedAhmed
 
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptxOAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
hiddenlevers
 
Google Pay: Save, Pay, Manage 17+ - App Store
Google Pay: Save, Pay, Manage 17+ - App StoreGoogle Pay: Save, Pay, Manage 17+ - App Store
Google Pay: Save, Pay, Manage 17+ - App Store
gargtinna79
 
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in CityGirls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
margaretblush
 
Manchester University diploma
 Manchester University diploma Manchester University diploma
Manchester University diploma
ewopzo
 
05 BBA 20 23 Sem IV POM Forecasting Methods.pptx
05 BBA 20 23 Sem IV  POM Forecasting Methods.pptx05 BBA 20 23 Sem IV  POM Forecasting Methods.pptx
05 BBA 20 23 Sem IV POM Forecasting Methods.pptx
drsouravpanda27
 
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
Thailand Appreciative Inquiry Network
 
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.pptSustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
JayanthAdithya1
 

Recently uploaded (20)

Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
 
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
Lucknow Girls Call Kesar Bagh 08630512678 Provide Best And Top Girl Service A...
 
How to File Form 1099 NEC Online | A Complete Guide
How to File Form 1099 NEC Online | A Complete GuideHow to File Form 1099 NEC Online | A Complete Guide
How to File Form 1099 NEC Online | A Complete Guide
 
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
 
How to Mitigate Transition and Physical Risks in the Financial Sector
How to Mitigate Transition and Physical Risks in the Financial SectorHow to Mitigate Transition and Physical Risks in the Financial Sector
How to Mitigate Transition and Physical Risks in the Financial Sector
 
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
Public Expenditure & its Classifications, Canons, Causes, Effects & Theories....
 
Lucknow Girls Call Adil Nagar 08630512678 Available full Day
Lucknow Girls Call Adil Nagar 08630512678 Available full DayLucknow Girls Call Adil Nagar 08630512678 Available full Day
Lucknow Girls Call Adil Nagar 08630512678 Available full Day
 
University of Southern California degree offer diploma Transcript
University of Southern California degree offer diploma TranscriptUniversity of Southern California degree offer diploma Transcript
University of Southern California degree offer diploma Transcript
 
Typical Scams to Stay Away from When Buying Verified Binance Accounts
Typical Scams to Stay Away from When Buying Verified Binance AccountsTypical Scams to Stay Away from When Buying Verified Binance Accounts
Typical Scams to Stay Away from When Buying Verified Binance Accounts
 
https://silverone.com/investors/presentations/
https://silverone.com/investors/presentations/https://silverone.com/investors/presentations/
https://silverone.com/investors/presentations/
 
Integration PowerPoint covering various areas
Integration PowerPoint covering various areasIntegration PowerPoint covering various areas
Integration PowerPoint covering various areas
 
Introduction to Islamic Banking and Finance
Introduction to Islamic Banking and FinanceIntroduction to Islamic Banking and Finance
Introduction to Islamic Banking and Finance
 
Introduction to Islamic Banking and Finance.Part4
Introduction to Islamic Banking and Finance.Part4Introduction to Islamic Banking and Finance.Part4
Introduction to Islamic Banking and Finance.Part4
 
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptxOAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
 
Google Pay: Save, Pay, Manage 17+ - App Store
Google Pay: Save, Pay, Manage 17+ - App StoreGoogle Pay: Save, Pay, Manage 17+ - App Store
Google Pay: Save, Pay, Manage 17+ - App Store
 
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in CityGirls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
Girls Call DN Nagar 9910780858 Provide Best And Top Girl Service And No1 in City
 
Manchester University diploma
 Manchester University diploma Manchester University diploma
Manchester University diploma
 
05 BBA 20 23 Sem IV POM Forecasting Methods.pptx
05 BBA 20 23 Sem IV  POM Forecasting Methods.pptx05 BBA 20 23 Sem IV  POM Forecasting Methods.pptx
05 BBA 20 23 Sem IV POM Forecasting Methods.pptx
 
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
AI.It's simple to believe artificial intelligence (AI) has the solution to ev...
 
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.pptSustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
Sustainable-Development-Goals-presentation-by-Office-of-National-Statistics.ppt
 

Prototype software example of aging model incorporating both portfolio and longevity percentile statistics along with consumer spending trend line

  • 1. Prototype software example of aging model incorporating both portfolio and longevity percentile statistics along with consumer spending trend line of “Real People” (which is not based here on spending percentile statistics, but on research averages). Starting balance $500,000 with $36,000 Social Security. Two simple graphs by age answer many retiree questions about potential future spending and balances. Creates a whole different discussion. Also illustrates why age 95 is a poor reference for planning since it doesn’t plan or consider aging into future ages from the beginning of retirement. Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances 45% of Joint people at age 65 outlive age 94 Balanced allocation 50/50 Indexed stocks/bonds $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,000 $90,000 66 69 72 75 78 81 84 87 90 93 96 99 102 105 108 111 114 Cash Flow Age 75th 50th 25th Conceptual Real People $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 66 69 72 75 78 81 84 87 90 93 96 99 102 105 108 111 114 Account Balance Age 75th 50th 25th Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances 35% of Joint people at age 75 outlive age 96 Conservative allocation 40/60 Indexed stocks/bonds $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,000 76 79 82 85 88 91 94 97 100 103 106 109 112 115 118 121 124 Cash Flow Age 75th 50th 25th Conceptual Real People $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 76 79 82 85 88 91 94 97 100 103 106 109 112 115 118 121 124 Account Balance Age 75th 50th 25th Joint Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances 25% of Joint people at age 85 outlive age 100 Defensive allocation 20/80 Indexed stocks/bonds $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 86 89 92 95 98 101 104 107 110 113 116 119 Cash Flow Age 75th 50th 25th Conceptual Real People $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 86 89 92 95 98 101 104 107 110 113 116 119 Account Balance Age 75th 50th 25th Female Today's Dollars / Real Returns / Cash Flows or Spending Today's Dollars / Real Returns / Retiree or Heir Balances 15% of Female people at age 95 outlive age 104 Defensive allocation 20/80 Indexed stocks/bonds $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 96 99 102 105 108 111 114 117 120 Cash Flow Age 75th 50th 25th Conceptual Real People $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 96 99 102 105 108 111 114 117 120 Account Balance Age 75th 50th 25th