Estimate portfolio from 1977???

[moosejaw]

Long story short my grandfather is nearly 100, and he was an original Mr. Money Mustache.

Can any math wizards out there figure out an estimated portfolio based on:

$400,000 saved in 1977 at retirement.
$75,000 in retirement per year adjusted for inflation each year since 1977.

No debt likely and more than likely invested 50%+ of his retirement earnings.

Any help is appreciated.

[SwordGuy]

check out cfiresim.com    I believe there's an option to check a specific starting year.

[zolotiyeruki]

So he had $400k in cash/investments in '77, and had an income of $75k/year for the last 40 years, and saved half of it?

How much it's worth probably depends on how he saved it.  A savings account vs and index fund would give wildly varying results.  A simple spreadsheet would give you a pretty decent idea.  I just ran it though excel, and it looks like a value of $12.7-$13.5million, assuming somewhere between 1% and 7% after-inflation returns

[moosejaw]

Thank you.  Those are the conservative numbers I figured as well with a potential of a greater upside.  Crazy to think someone who simply saved(and had a great pension) could possibly accumulate so much.

[bugbaby]

If he saved roughly half (I'll say 36k i.e 3k a month: my financial calculator says:

With 5% return over 40 yrs (480 months): 8.28m
With 7% return : 13.44m

Wow, does that inspire me!

Sent from my KIW-L24 using Tapatalk

[KungfuRabbit]

.....

Are you trying to figure out your inheritance?

[Heroes821]

I know a lot of people find discussing or calculating inheritances to be rude or inappropriate, but one side of my family has always discussed such things openly.  "When I die you get this, so and so gets that. There's this much to go to this." Of course there are wills and POAs in place, but it was never a secret or anything.  Then on the other side of the family it was, Don't ask don't talk about money or finances etc.

Maybe the OP is calculating an inheritance, but if Grandpa @ 100 is still mentally sound I would be asking the questions about, is the right paperwork in place to handle his medical and financial wishes should something happen to his ability to make those decisions.  In the process of making sure that hospice nurse Sandy who flirts with Grandpa doesn't abscond with millions of dollars, the OP should get actual answers to the question.  (as far as my example goes with Sandy, my wife watches too much True Crime TV).

[moosejaw]

I never jumped mentally to inheritance since I have zero control, am a grandchild and I don't believe he likes me very much.  I just have a curiosity for numbers and had a small understanding of what he retired with and his potential pension.

[KungfuRabbit]

I'll admit my reply sounded judgemental, it wasn't.  I'm actually really curious about the same thing....i actually might start my own thread for my grandpa....