The calculator uses advanced Monte Carlo simulations to project the probability of your retirement savings lasting throughout your lifetime, accounting for market volatility.
It incorporates tax considerations, allowing users to see the impact of different income sources (e.g., pensions, Social Security) on their net retirement income.
The tool can factor in changes in annual expenses during different stages of retirement, such as higher healthcare costs in later years.
It provides personalized recommendations on savings rates and investment allocations to improve the chances of achieving retirement income goals.
The calculator enables users to model different retirement ages and compare the tradeoffs, like lower monthly income from an earlier retirement.
It can account for the impact of inflation on purchasing power, helping users understand the real value of their projected retirement income.
The tool allows users to input their anticipated Social Security benefits, which can significantly affect overall retirement readiness.
It can model the impact of potential job changes, inheritances, or other major life events on retirement planning.
The calculator provides insights into the probability of depleting retirement savings at different spending levels, helping users find the right balance.
It allows users to adjust their risk tolerance and see how that affects the sustainability of their retirement income.
The tool can help users understand the tradeoffs between taking lump-sum pension payouts versus annuity payments.
It incorporates the latest research and assumptions from T.
Rowe Price's team of retirement planning experts.
The calculator is updated regularly to reflect changes in market conditions, tax laws, and other factors that can impact retirement planning.
It provides users with the ability to save and compare multiple retirement planning scenarios, facilitating informed decision-making.
The tool's intuitive interface and step-by-step guidance make it accessible for users with varying levels of financial knowledge.
It can be linked to a user's existing T.
Rowe Price account, allowing for automatic updates to their retirement savings and investment information.
The calculator's results can be exported or shared with financial advisors to aid in comprehensive retirement planning discussions.
It offers customizable inputs for factors like healthcare costs, long-term care expenses, and legacy planning goals.
The tool's outputs can be used to create a personalized retirement income plan, including withdrawal strategies and portfolio allocation.
The calculator is available at no cost to the public, making it a valuable resource for individuals seeking to better understand their retirement readiness.