Featured Service: Retirement Modelling
One key theme that underpins most questions, concerns and discussions that I continue to handle with clients: is whether or not they will have achieved enough financially to be able to take their planned next steps.
Our retirement modelling service will identify when you are likely to be able to retire, your projected retirement income to life expectancy, and provide an estimate of estate assets.
Retirement modelling techniques allow for the exploration of various scenarios e.g. retiring at 58 versus 63 and can give you the clarity around the choices you need to make.
Financial modelling will provide you with a retirement road map including annual checkpoints to compare against each year to see how you are travelling compared to the projections.
If the road map identifies there is a mismatch between your goals and these projections, then you can take steps sooner rather than later to alter both the road and ultimately the destination.
Below is an example of modelling outcomes you will receive with this service. These two illustrations form one component of the statement of advice that will be prepared to support the projections. This example does not use real client details.
Projected retirement assets
In this infographic we start with a snapshot of your present day position. We then model this forward to retirement, based on a number of pre-agreed assumptions, to provide your retirement position and ultimately your estate assets at life expectancy. Your estate assets are projected after factoring in your required retirement income.
Retirement income sources
This graph highlights your sources of income both entering retirement and post retirement. What we are looking for here is that the income bars always achieve the retirement income line (red line as above). In this example we can see that Christine and Peter are able to achieve their retirement income goals every year to age 90 without exhausting their retirement capital.