Author Topic: Best retirement $ tracking spreadsheet??  (Read 1728 times)

Jules13

  • Stubble
  • **
  • Posts: 243
    • January Girl
Best retirement $ tracking spreadsheet??
« on: June 18, 2020, 03:49:17 PM »
I have been using the Early Retirement Spreadsheet from Budgets are Sexy (https://www.budgetsaresexy.com/free-budget-templates-sites/) to track our retirement income (even though we are not likely to retirement too much earlier than what's typical), but I have noticed that all of the calculators I try and this spreadsheet all seem to give me something different. 

What is your favorite way to track or make sure you are on track?

For a reference, we are age 47, have about $627k in retirement funds, add about $32k each year.  I use 6% to be really conservative and this spreadsheet has us reaching $1.5 mil at age 57.  Does that sound right? 

Thanks for any input/advice.
Jules

MDM

  • Senior Mustachian
  • ********
  • Posts: 11477
Re: Best retirement $ tracking spreadsheet??
« Reply #1 on: June 18, 2020, 07:14:45 PM »
For a reference, we are age 47, have about $627k in retirement funds, add about $32k each year.  I use 6% to be really conservative and this spreadsheet has us reaching $1.5 mil at age 57.  Does that sound right?
That is an accurate Future Value (spreadsheet function FV) calculation using those inputs.

If you are using real (i.e., assuming no inflation) returns, however, not many would suggest that 6% is "really conservative."  But nobody know for sure.

bacchi

  • Walrus Stache
  • *******
  • Posts: 7056
Re: Best retirement $ tracking spreadsheet??
« Reply #2 on: June 18, 2020, 07:36:02 PM »
I always used a YMOYL spreadsheet: a line graph of Expenses and 4% of current investments vs time. When the lines cross, you know it's time.

This has the added benefit of showing you how important both sides of the equation are.

LibrarianFuzz

  • 5 O'Clock Shadow
  • *
  • Posts: 82
Re: Best retirement $ tracking spreadsheet??
« Reply #3 on: June 19, 2020, 03:24:42 PM »
I have been using this spreadsheet for 7 years: https://wherewebe.com/early_retirement.html

Scroll down a little, look on the right hand size of the page, and you will see "Free Investment Spreadsheet (Excel)"

It really is free, no email signup or weird bait-and-switch issues.

I also think their book is amazing. They use tons of real life data and numbers. Their free spreadsheet is used extensively in their book to show how they planned for and hit their retirement goals. Check it out here: https://www.amazon.com/How-Retire-Early-Getting-Retiring/dp/1482653729

Jules13

  • Stubble
  • **
  • Posts: 243
    • January Girl
Re: Best retirement $ tracking spreadsheet??
« Reply #4 on: June 22, 2020, 11:20:42 AM »
Thanks LibrarianFuzz.  I think I have read that book, but will give it a second look.  I just plugged our numbers into that spreadsheet, changed the rate of return, and come out even better than the Budgets are Sexy spreadsheet, by several years.  Hmmm. 

MDM, I only say 6% is conservative because it seems like all the spreadsheets and calculators automatically put it 8-9%, so I feel like using 6% is conservative by those standards.  I realize there is no guarantee, either way. 

Bacchi, one thing I don't get about using the YMOYL spreadsheet is how that would work if the majority of our investments are in retirement vehicles like a   401k?  I guess one would need to begin putting money away in savings/investments where they could access prior to that age?

Thanks for the advice!
J.

fell-like-rain

  • Stubble
  • **
  • Posts: 187
  • Location: Massachusetts
Re: Best retirement $ tracking spreadsheet??
« Reply #5 on: June 22, 2020, 01:37:17 PM »


MDM, I only say 6% is conservative because it seems like all the spreadsheets and calculators automatically put it 8-9%, so I feel like using 6% is conservative by those standards.  I realize there is no guarantee, either way. 

Bacchi, one thing I don't get about using the YMOYL spreadsheet is how that would work if the majority of our investments are in retirement vehicles like a   401k?  I guess one would need to begin putting money away in savings/investments where they could access prior to that age?

Probably they assume 8-9% nominal growth, which would be about 6% real growth. Even that could be over-optimistic, considering GDP growth has averaged around 2% in recent years (though there are also dividends to consider).

In terms of 401(k)s, there are multiple options to get the money out early- either a SEPP plan or converting to Roths in what’s called a conversion ladder. There’s been plenty written about those that you could search up.

MDM

  • Senior Mustachian
  • ********
  • Posts: 11477
Re: Best retirement $ tracking spreadsheet??
« Reply #6 on: June 22, 2020, 02:01:58 PM »
In terms of 401(k)s, there are multiple options to get the money out early- either a SEPP plan or converting to Roths in what’s called a conversion ladder. There’s been plenty written about those that you could search up.
E.g., How to withdraw funds from your IRA and 401k without penalty before age 59.5.

simmias

  • Stubble
  • **
  • Posts: 126
Re: Best retirement $ tracking spreadsheet??
« Reply #7 on: June 22, 2020, 02:57:42 PM »
I've used MadFientist's spreadsheet for years: https://www.madfientist.com/resources/

He also has a good section about accessing retirement funds early: https://www.madfientist.com/how-to-access-retirement-funds-early/

 

Wow, a phone plan for fifteen bucks!