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Investing - Theory, News & General • Re: Total Portfolio Allocation and Withdrawal (TPAW)

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Appreciate the tool Ben. Listened the RR episode a couple different times already.
Glad to hear you're finding the tool and the discussion useful.
If this hasn't come up already, as I'm working my way back through this thread, a question, if I may? Every year, like clockwork, at the beginning of each year, I lump sum into the Roth and the HSA, maxing both out. In 2025, that's $7000 and $4300, respectively. Using your tool, under Future savings, monthly amount, I imputed a rough $1000 for a monthly approximation. I expect to continue doing this until I hit retirement. Lump sum investing, on average, is more efficient than dollar cost averaging and should favor higher expected returns? Does the tool take this into account or should I look at your number and expect a small deviation "higher" than the stated total amount that's displayed?
This is not modeled yet, but is on the to-do list. You will eventually be able to enter savings, income and expenses as

- lump sum, or
- occurring every x months and increasing/decreasing at a growth rate of y%.

When that's implemented, you'll be able to enter your IRA contributions as $7,000 and $4,300 real dollars being saved every January.

Keep in mind though that if the IRA contributions are just a transfer from a taxable account to the IRA, the savings may be more spread out over the course of the year anyway.
Gotcha. Thank you for the detailed response!

Statistics: Posted by bmstrong — Wed Jan 22, 2025 6:23 pm



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