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Drawdown calculator

Is there a really good detailed drawdown calculator on the web/ excel that allows parameters such as fees, inflation, returns, growth, lump sum withdrawals  etc etc that allows easy change of parameters? The prudential tool is quite good, and there is a more basic aviva tool. I am sure there must be one that is reliable and proven to be accurate in its calculations?

Any good pointers appreciated!

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Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    NeilC1965 said:
    I am sure there must be one that is reliable and proven to be accurate in its calculations?

    Called an Excel spreadsheet. That's what you'll need if you wish to to model every possible permutation. 
  • 1813
    1813 Posts: 140 Forumite
    Fourth Anniversary 100 Posts
    I would say build your own too as you get what you want in it.
  • tacpot12
    tacpot12 Posts: 9,216 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper
    Following NickEMR's suggesting, I have tried EvolveMyRetirement and found it very interesting and useful. It certainly supports my assessment that my Safe Withdrawal Rate is above 6%. My current discretionary spending is c£8K pa on top of essential spending of £12Kpa. The EvolveMyRetirement tool recommended increasing my discretionary spending to £15K per annum, but doing so fails in 4.5% of the simulations, so I will not be increasing my discretionary spending to this level, although I do see that the tool is correct and that I am not getting the most use out of my retirement fund with my discretionary spending at its current level.
      
    You can try the tool for free, but some of the more advanced features and repeating optimisations (if you change any assumptions or strategies) is charged for.
    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • jamesd
    jamesd Posts: 26,103 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 22 May 2021 at 3:48PM
    NickEMR said:
    ,consider xxxxx.com, 
    ...
    Disclosure: I founded the company that created this unique tool.
    I suggest not bothering. It makes you take a lot of time entering data and only after doing that it tells you that it won't do anything unless you create an account.

    There are assorted issues along the way but I'm not willing to assist such conduct.

    When you try to use it as a guest it makes this claim, which appears to contain at least two inaccurate claims:

    "You can start using xxxxxxxxx® right away. To keep the information you've entered though, you'll need to sign up for free before you log out."

    1. No meaningful use is possible right away, since no plan can be generated unless you're willing to create an account.
    2. All or much of the initially enterable information does seem to be saved until cookies are deleted.
  • Albermarle
    Albermarle Posts: 27,537 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    JamesD - Out of interest , can you also comment on this retirement planning website ? Plan for Retirement | Retirement Planner | Planning a Retirement | RetireEasy
  • jamesd
    jamesd Posts: 26,103 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    NeilC1965 said:
    Is there a really good detailed drawdown calculator on the web/ excel that allows parameters such as fees, inflation, returns, growth, lump sum withdrawals  etc etc that allows easy change of parameters? 

    The classic free to use ones that do a good job are Firecalc and cFiresim.

    Key to both is that they account for variability in investment returns - called sequence of returns risk - that can make seemingly safe things like drawing no more than average expected investment returns fail. To do this they let you use a range of drawdown strategies, notably 4% rule (start at a safe percentage, 3.2% or so in the UK, of your pot and increase with uncapped inflation) and Guyton-Klinger (start at a safe percentage, 5% or so in the UK and usually increase with inflation but cut by up to 10% a year or increase depending on the conditions you live through). Just using average returns gives an answer that is 1-2% too high if you increase with inflation each year.

    Pru and Which use average investment returns, ignoring sequence of returns.

    Boggleheads variable percentage withdrawal is very volatile because the income is directly related to that year's pot value, no smoothing.
  • jamesd
    jamesd Posts: 26,103 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    tacpot12 said:
    Following NickEMR's suggesting ... It certainly supports my assessment that my Safe Withdrawal Rate is above 6%. 
    The documentation says that it'll automatically do these things:

    1. Equity release
    2. Immediate annuity buying if a set percentage of total, not essential, spending can be achieved.

    I'm wondering how it got to 6% since that's well above what is expected for high success rate, smoothed UK safe withdrawal rates. Maybe it got there using equity release?

    If it did equity release did it then immediately buy an annuity?
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