This is the initial assumptions input screen. Enter the data and click calculate. You many enter either a lump sum (initial amount), annual contributions, or both. |
Let's illustrate the impact that compounding interest can have on your Circle of Wealth. We can use your numbers if you like. |
This calculator assumes that taxes are being paid from lifestyle. Paying taxes from lifestyle is paying the tax from earnings or salary, as opposed to taking funds from the investment to pay the investment taxes and expenses. The Net Opportunity Rate is a calculated value. You cannot change it. It is simply the investment interest rate (of return) times one minus the tax bracket. For example, if the investment interest rate is 10% and the tax bracket is 40%, the net opportunity interest rate will be 10% X (1 – 40%) = .1 X (1.00 - .40) = .06 = 6.00%. |