|
|
|
|
|
You can quickly visualize
the impact of time left before withdrawal, yield on the IRAs and your
tax bracket may have on the three types of IRAs. The graph shows the
amount available for distribution for various times to retirement.
The bars at the bottom show the exact amount you will have available
at any given time to retirement. Answers to the following questions
can be found by entering different amounts for each of the items:
|
|
|
|
-
'What if my tax bracket is 15%?'
-
'What if my IRA can 15%?',
-
'What if I can wait 25 years
to retire?',
-
and more..
|
|
Annual Yield
|
|
Slide this diamond to the annual yield
you would expect to get on your investment until you begin withdrawing
from it.
|
|
For example, you may want to
know, 'How much more money will I be able to withdraw if I can
get just one more point in interest?'
|
|
|
Or, 'Is it better to get one
more point in interest, or to drop to the next lower tax bracket?'
|
|
|
Or, 'How much sooner will I
be able to meet my investment goal if I can get one more point
in interest?'
|
|
|
Current Tax Bracket
|
|
Click on the appropriate radio button to tell the
calculator your current tax bracket.
|
|
For example, you may want to
know, 'How much less money will I be able to withdraw from a
my account if my tax bracket goes up a notch?'
|
|
|
Or, 'What happens if my current
tax bracket changes, but my retirement tax bracket stays the
same?'
|
|
|
Tax Bracket at Retirement
|
|
Click on the appropriate radio button to tell
the calculator the tax bracket in which you expect to be at retirement.
Typically, your tax rate at retirement will be lower than your current
tax rate. To see how each of the IRA options compares, increase
and decrease your retirement tax rate to be above and below your
current rate.
|
|
For example, you
may want to know, 'How much more money will I be able to withdraw
from a my account if my retirement tax bracket goes down a notch?'
|
|
|
Or, 'What happens if my retirement
investments do really well and I bump up to the top tax bracket?'
|
|
|
Or, 'What happens if my investments
do poorly and I wind up making so little that I drop to the
bottom tax bracket in retirement?'
|
|
|
|
|
|
|
Click the diamond-shaped
sliders and drag them to the left or to the right to an appropriate
value. You will get immediate answers for any number of "what if"
questions. If you want to enter an exact value that the sliders are
unable to provide, click in the edit field and type in the exact value.
|
|
|
|
|
|
A
Answers
are a mouse click away and appear in the graph curves and in the numerical
readout windows in the graph.
|
|
|
|
|
