Retirement Expenses: Why do they appear higher than expected?
When you select retirement as one of the client's goals you are asked to select an amount for retirement expenses. These can be a percentage of today's expenses or a dollar value.
To maintain the client's current standard of living choose 100% of today's expenses.
Remember that the amount you choose is in today's dollars so if you enter retirement goal expenses of $100,000 a year but retirement is not for 20 years you will not see $100,000 as expenses in year 1 of retirement because of inflation.