- 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 save
- 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 last year's salary. The default is 70%. You can change this amount to be as low as 50% and as high as 150%.
- 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. CPP/QPP is payable at age 65 (it can be as early as age 60 or as
late as age 70). This is based on a final average calculation of your
salary. A maximum pensionable earnings of $775 applies to those who earned
$37,600 or more in 2001. 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. This calculator assumes a
retirement age of 65. For additional information, click here.
- RRSP (Registered Retirement Savings Plan)
-
This government sponsored financial planning program allows citizens to
contribute 18% of their previous years gross income into a tax sheltered
retirement account. This calculator allows you to save more than 18% of
your income but it should be noted that tax has not been incorporated into
the calculator. 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. If your net income in
2001 exceeds $55,309, you must repay 15% of the excess net income up to the
full OAS payment. OAS benefits are reduced at the time of payment to
reflect this deduction. For additional information, click here.
- Expected Rate of Inflation
- What you expect for the average long term inflation rate.
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