- Current age
- Your current age.
- Age of retirement
- Age you desire to retire.
- Gross annual income
- Your total household income. If you are married, this should include your spouse's income.
- Current retirement savings
- Total amount that you currently have saved toward your retirement. Include all sources of retirement savings except for your pension income.
- Pre-retirement rate of return
- The annual percent you expect to earn on your investments before you retire.
- Post-retirement rate of return
- The annual percent you expect to earn on your investments after you retire.
- Percent of income to contribute
- The percentage of your annual income you will save for your retirement goals.
- Expected salary increase
- Annual percent increase you expect in your household income.
- Years until retirement
- Number of years before retirement.
- Years of retirement income
- Total number of years you expect to use your retirement income.
- Percent of income at retirement
- The percent of your working year's household income you think you will need to have in retirement. This amount is based on your income earned during the last year you will work. You can change this amount to be as low as 50% and as high as 150%.
- Monthly Company Pension
- This is your current monthly figure as provided by your employer on your pension statement. By checking the "Monthly Company Pension adjusted for inflation" box, the inflation rate will automatically be applied. This means you do not have to estimate what your monthly pension will be at retirement.
- CPP (Canada Pension Plan) or QPP (Quebec Pension Plan)
- The CPP/QPP ensures a basic income for retired workers. If you have paid into the CPP/QPP, you are entitled to receive a monthly payment when you retire at age 65 (or as early as age 60 or as late as age 70). The CPP retirement pension is based on how much, and for how long, you contributed to the Plan and the age at which you choose to retire. As of January 2005, the maximum retirement pension is $828 per month. Should you choose to retire early, your monthly CPP income will be reduced by 0.5% per month for every month before 65. If you choose to delay retirement, your monthly CPP income will be increased by 0.5% per month for every month after age 65 up to age 70. This calculator assumes a retirement age of 65. Click here for more details.
- RRSP (Registered Retirement Savings Plan)
- This government sponsored financial planning program allows Canadian residents to contribute 18% of their previous years earned income into a tax sheltered retirement account. Please note however, that this calculator allows you to save more than 18% of your earned income up to an annual maximum contribution limit. In addition, if you have a company pension plan this may reduce your maximum annual contributions by what is called a "pension adjustment".
- Monthly OAS (Old Age Security)
- The Old Age Security pension is a monthly benefit available, if applied for, to most Canadians 65 years of age or over who have lived in Canada for at least 10 year after reaching age 18. If your net income exceeds certain thresholds you must repay part or all of the maximum pension amount. The repayment amounts are normally deducted from the monthly payments before they are issued. For additional information, click here.
- Expected Rate of Inflation
- What you expect for the average long term inflation rate.
|
