Most retirement calculators work with averages but I bumped into this very different calculator while researching the other day.
I’m not getting paid to tell you about this so don’t worry on that score. It is simple curiosity and fascination.
FIRECalc can tell you how much you need to insure that you won’t deplete your portfolio if things are as bad as 1973, or 1929, or any of many other years in the past that they draw on to make the calculation.
FIRECalc shows you the results of every starting point, since 1871 so you get a sense of just how safe or risky your retirement plan is, based on how it would have withstood every market condition we have ever faced. Kind of a retrospective look to work out the future but if you think about it it makes some sense.
In all things they tell you to look at history so as to learn from it and not make the mistakes of the past. This is exactly what this calculator is doing. It’s just not the same as the rest!
Seeing the results illustrated very well how my investments were likely to pan out regardless of what the future throws at me. It was rather reassuring. Why not give it a spin?
Go well till the next time