Important notice for the 3/31/2011 update:
To view the 3/31/2011 update information click here!
An incorrect link to the most recent update was recently sent to maintenance subscribers. To view the 3/31/2011 update please click here 3/31/2011 Update
Financial Calculator Update 12/31/2010
The quarterly update for 12/31/2010 is a large update, affecting almost every calculator. The majority of the changes affect the functionality of the calculations, updating them to 2011 rules and regulations. The most significant calculation changes in this update were to the retirement, savings, and tax calculators.
If you have not updated your calculators recently you should definitely refresh your existing calculator pages. All updates are cumulative, so if you start fresh with this update, you will have all previous calculator updates as well. If you would like, you can review our 9/30/2010 update: 9/30/2010 Update. (The 12/31/2010 update includes all changes included in previous updates, you do not need to download any other updates to have the most current versions of all of the calculator components.)
Update instructions*:
- Download the latest version of your calculators from your download site, found on your update e-mail notice.
- Execute the Calc.exe file from your download. This is a self-extracting zip file. (Or unzip the Calc.zip file if you are using a non-windows platform.)
- When prompted for a directory, you may use the default of "java" or enter your own. It is recommended that you extract the update to a new directory and then move the required files to your production environment. One directory will be created with no subdirectories.
- If your current deployment has the directories KJEgui, KJEgraph and KJEcalculation, delete the directories and their content from your server. The new version no longer requires these directories or their content.
- Replace your current dinkytown.jar file with the new version.
- Replace all files with the extension "class" with the new version.
- Make required changes to any HTML documents as described in this document or replace all of your existing HTML documents and re-apply your web-site custom changes.
*Please note, if you have a Servlet or other custom deployment (other than the custom formatted delivery described below), installation instructions for your package will found on your download page.
Update for custom formatted delivery**:
**Custom formatted delivery is a special option that you can add to your maintenance update service. With this option we can apply an HTML, JSP, CFM or ASP template to your calculator pages and their reports before the update is sent to you. You will then receive your calculator pages with all of your site formatting in place, without any rework to include changes that have been made to the pages deployed on your server. If you are interested in using custom formatted delivery, please contact us at (612) 331-2291, or for more information.
- Download the latest version of your calculators from your download site, found on your update e-mail notice.
- Execute the Calc.exe file from your download. This is a self-extracting zip file. (Or unzip the Calc.zip file if you are using a non-windows platform.)
- When prompted for a directory, you may use the default of "c:\java" or enter your own. It is recommended that you extract the update to a new directory and then move the required files to your production environment. One directory will be created with no subdirectories.
- If your current deployment has the directories KJEgui, KJEgraph and KJEcalculation, delete the directories and their content from your server. The new version no longer requires these directories or their content.
All pages will be custom formatted to your site, no further integration or modification of the calculators is required. Please note, if your custom delivery uses Active Server Pages (ASP), Java� Server Pages (JSP) or Cold Fusion (CFM) the respective ASP, JSP or CFM pages will be in place of your HTML documents for all calculator main pages. Report templates will remain in HTML documents (these documents are not called by your server, but instead used by the applet in the main calculator page).
To clear your Browser's cache:
When you test the new version of the calculators, make sure that the browser you are using uses the new files instead of any it may have in its cache. You may need to clear the browser's cache manually to ensure the new versions are loaded.
Internet Explorer:
Choose "Internet Options" under the "Tools" menu and on the "General" tab click on the "Delete" button under the Browsing History section. Click the top button "Clear private data now..." Click "Ok" when prompted if you wish to delete all temporary files. Close this dialog box, and all open Internet Explorer windows. Your Cache should then be cleared.
Firefox and Netscape:
Choose "Clear private data..." under the "Tools" menu. Check the box for "Cache" and then click the button "Clear private data now".
Master Changes (no HTML changes required affects all calculators but is limited to java class files.)
-
NONE
Master Changes (HTML Modification required, affects all or most calculators.)
- All U.S. mortgage rates have been normalized
All default interest rates have been made consistent across all mortgage calculators. The following rates are now used:
- 30 Year Fixed rate: 5.00%
- 15 Year Fixed rate: 4.50%
- Adjustable Rate (mortgage): 4.00%
- Equity Line of Credit: 7.5%
- Credit cards: 16.0%
This are the default rates that appear and can be changed by the calculator user. Your specific calculator build can indicate the specific rate for each of the types listed above. If you wish to change your default interest rates, please contact us via email with your required rates of return.
This affects the following 28 calculators:
HTML File Changed Name Biweekly.html Bi-weekly Payment Calculator ExistingBiweekly.html Bi-weekly Payments for an Existing Mortgage FHAMortgageQualifier.html FHA Mortgage Loan Calculator MortgageAdjustable.html Adjustable Rate Mortgage Calculator MortgageApr.html Mortgage APR Calculator MortgageAprAdjustable.html APR Calculator for Adjustable Rate Mortgages MortgageArmvsFixed.html ARM vs. Fixed Rate Mortgage MortgageBalloon.html Balloon Mortgages MortgageBlend.html Blended Rate Mortgage Calculator MortgageLoan.html Mortgage Loan Calculator MortgageCompare.html Mortgage comparison: 15 years vs. 30 years MortgageConsolidate.html Mortgage Debt Consolidation MortgageFixedvsIO.html Fixed Rate Mortgage vs. Interest Only Mortgage MortgageFixedvsLibor.html Fixed Rate Mortgage vs. LIBOR ARM MortgageFixedvsNegAm.html Option ARM vs. Fixed Rate Mortgage MortgageIncome.html Mortgage Required Income MortgageInterestOnly.html Interest Only Mortgage Calculator MortgageIOAdjustable.html Interest Only ARM Calculator MortgageLoan2.html Mortgage Loan Calculator (PITI) MortgageMax.html Maximum Mortgage MortgagePayoff.html Mortgage Payoff MortgagePoints.html Mortgage Points Calculator MortgageQualifier.html Mortgage Qualifier MortgageRefinance.html Refinance Breakeven MortgageRentvsBuy.html Rent vs. Buy MortgageTaxes.html Mortgage Tax Savings Calculator ReverseMortgage.html Reverse Mortgage Calculator ShouldIRefi.html Refinance Interest Savings - All rates of return normalized
All default rates of return have been made consistent across all calculators (Savings, Investment, Retirement and certain Mortgage and Loan calculators where investment rates are required). The following rates are now used:
- Long term market rate: 8% (no change from 2010)
- Conservative/retirement market rate: 6% (no change from 2010)
- Savings/bank rate: 1% (changed from 2% in 2010)
- Federal mid-term rate: 2.34% (Used for 72T calculators only)
Your specific calculator build can indicate the specific rate of return you would like to use for each of the above categories. If you wish to change your default rate of returns please contact us via email with your required rates of return. The calculators affected by these rates are listed in the table under the Rate of Return definition update.
- The definition for Rate of Return has been updated to include the S&P 500 average to December 2010.
New definition:
For example, from December 2000 to December 2010, the annual compounded rate of return for the S&P 500 was 0.899%, including reinvestment of dividends. From January 1970 to December 2010, the average annual compounded rate of return for the S&P 500, including reinvestment of dividends, was approximately 10.05% (source: www.standardandpoors.com). Since 1970, the highest 12-month return was 61% (June 1982 through June 1983). The lowest 12-month return was -43% (March 2008 to March 2009). Savings accounts at a bank may pay as little as 1% or less but carry significantly lower risk of loss of principal balances.It is important to remember that these scenarios are hypothetical and that future rates of return can't be predicted with certainty and that investments that pay higher rates of return are generally subject to higher risk and volatility. The actual rate of return on investments can vary widely over time, especially for long-term investments. This includes the potential loss of principal on your investment. It is not possible to invest directly in an index and the compounded rate of return noted above does not reflect sales charges and other fees that funds and/or investment companies may charge.
This affects the following 66 calculators:
Calculator Type Name HTML File Changed Auto Calculators Lease vs. Buy BuyvsLease.html Business Calculators Equipment Buy vs. Lease BizBuyvsLease.html Business Debt Consolidation Calculator BizConsolidate.html Credit Cards and Debt Management Consolidation Loan Investment Calculator InvestmentDebt.html Insurance Calculators Variable Annuity Calculator Annuity.html Comprehensive Life Insurance Analysis EnhancedLifeIns.html Health Savings Account (HSA) Goal Calculator HSAGoal.html Health Savings Account (HSA) Savings Calculator HSASavings.html Human Life Value HumanLifeValue.html Life Insurance Calculator LifeInsurance.html Investment Calculators Annual Rate of Return Calculator AnnualReturn.html Lump Sum Annual Return Calculator AnnualReturnAmount.html Compare Investment Fees CompareFees.html Mutual Fund Expense Calculator FundExpense.html Future Value Calculator FutureValue.html Lump Sum Future Value Calculator FutureValueAmount.html Taxable vs. Tax Advantaged Investments InvestCompare.html Investment Savings and Distributions InvestmentDistribution.html Investment Distributions InvestmentDistribution2.html Investment Loan InvestmentLoan.html Investment Returns InvestmentReturn.html Investment Goal InvestmentVariables.html IRR Calculator IRRReturn.html Present Value Calculator PresentValue.html Lump Sum Present Value Calculator PresentValueAmount.html Personal Economic Recovery Calculator RecoverTime.html Annual Stock Option Grants StockGrants.html Stock Option Calculator StockOptions.html Mortgage Calculators Rent vs. Buy MortgageRentvsBuy.html Retirement Savings and Planning How Important is Social Security? NoSocial.html Pension Plan Retirement Options PensionOptions.html Traditional IRA Calculator RegularIRA.html 401(k) Savings Calculator Retire401k.html 403(b) Savings Calculator Retire403b.html 457 Savings Calculator Retire457.html 72(t) Distribution Impact Retire72Alt.html Beneficiary Required Minimum Distributions RetireBeneficiary.html Required Minimum Distribution (RMD) RetireDistrib.html How long will my retirement savings last? RetirementDistribution.html Retirement Income RetirementIncome.html Retirement Nestegg Calculator RetirementNestegg.html Retirement Planner RetirementPlan.html Retirement Pension Planner RetirementPlan3.html Retirement Planner with Retirement Earnings RetirementPlan4.html Retirement Shortfall RetireShort.html Individual 401(k) Savings Calculator RetireSolo401k.html 401(k) Spend It or Save It Calculator Rollover401k.html Roth IRA Calculator RothIRA.html Roth IRA Conversion RothTransfer.html Roth vs. Traditional IRA RothvsRegular.html Roth vs. Traditional 401(k) RothvsTraditional401k.html RMD & Stretch IRA Calculator StretchIRA.html Savings Calculators College Savings CollegeSavings.html Compare Savings Rates CompareSavings.html Compound Interest and Your Return CompoundInterest.html Savings Calculator CompoundSavings.html Savings Distribution Calculator DistribSavings.html Emergency Savings Calculator Emergency.html Lunch Savings LunchSaver.html Cool Million Millionaire.html Savings Goals Savings.html Savings, Taxes, and Inflation SavingsVariables.html Benefit of Spending Less SpendLess.html Vice Savings ViceSaver.html Don't Delay Your Savings! WaitCost.html - The definition for Inflation and Expected Inflation Rate has been updated to include CPI data from 2010. The CPI for 2010 was reported by the Minneapolis Federal Reserve as 2.4%. This was not a large enough change from the average to cause a change in the long-term rate of inflation in our definition, however the definition was updated to indicate 2010 data was included. The new definition now reads:
What you expect for the average long-term inflation rate. A common measure of inflation in the U.S. is the Consumer Price Index (CPI). The CPI for 2010 was 2.4%, as reported by the Minneapolis Federal Reserve. From 1925 through 2010 the CPI has long-term average of 3.1% annually. Over the last 30 years highest CPI recorded was 13.5% in 1980.
This affects the following 25 calculators:
Calculator Type Name HTML File Changed Insurance Calculators Disability Insurance Disability.html Health Savings Account (HSA) Goal Calculator HSAGoal.html Health Savings Account (HSA) Savings Calculator HSASavings.html Human Life Value HumanLifeValue.html Life Insurance Calculator LifeInsurance.html Long Term Care Calculator LongtermCare.html Investment Calculators Investment Savings and Distributions InvestmentDistribution.html Investment Distributions InvestmentDistribution2.html Investment Returns InvestmentReturn.html Investment Goal InvestmentVariables.html Personal Economic Recovery Calculator RecoverTime.html Mortgage Calculators Rent vs. Buy MortgageRentvsBuy.html Retirement Savings and Planning How Important is Social Security? NoSocial.html How long will my retirement savings last? RetirementDistribution.html Retirement Income RetirementIncome.html Retirement Nestegg Calculator RetirementNestegg.html Retirement Planner RetirementPlan.html Retirement Pension Planner RetirementPlan3.html Retirement Planner with Retirement Earnings RetirementPlan4.html Retirement Shortfall RetireShort.html Social Security Benefits SocialSecurity.html Company Stock Distribution Analysis Calculator StockRollover401k.html Savings Calculators Cool Million Millionaire.html Savings Goals Savings.html Savings, Taxes, and Inflation SavingsVariables.html
Updates that require modifications to HTML documents
- Health Savings Accounts (HSA)
- Self only coverage 2011 contribution limit $3,050.
- Family coverage 2011 contribution limit $6,150.
- HDHD 2011 required deductible for Self Only coverage $1,200, for Family coverage $2,400.
- HDHP 2011 Maximum out-of-pocket for Self Only coverage $5,950, for Family coverage $11,900.
- Tax table to detemine marginal tax rate updated to 2010 tax rates and income brackets.
Have been finalized for 2011 changes. The limits and amounts were not unchanged from 2010 for all HSA calculations. All calculators were updated to indicate that 2011 amounts remained at 2010 levels. Income tax brackets and rates were updated to 2011. This includes the following:
This affects the following calculators:
HTML File Changed Name HSABusiness.html Employer Benefit HSAContribution.html Health Savings Account (HSA) Contribution Calculator HSASavings.html Health Savings Account (HSA) Savings Calculator HSAvsTraditional.html Health Savings Account (HSA) vs. Traditional Health Plan HSAGoal.html Health Savings Account (HSA) Goal Calculator - Individual 401(k) Contribution Comparison(Individual401kContribution.html): Has been updated for 2011, contribution limits. remain unchanged from 2010. This affects the generated outputs and definitions but no new entry our output fields. Calculator has been updated with the new 2011 Self-Employment tax rules including the 4.2% employee FICA Tax.
- Individual 401(k) Savings Calculator(RetireSolo401k.html): Has been updated for 2010, contributions limits remain unchanged from 2009. This affects the generated outputs and definitions but no new entry fields. Calculator has been updated with the new 2011 Self-Employment tax rules including the 4.2% employee FICA Tax.
- Self-Employment Tax Calculator (TaxSelfEmployment.html): Has been finalized for the 2010. Minor changes have occurred to the definitions and the calculations, but there have been no additional input and output fields. (Note: the 2011 versions of these calculators will be released 3/31/2011 which will include the 2010 FICA rate for employee's portion of the tax at 4.2%). (Note: the 2011 versions of this calculator will be released 3/31/2010 to replace this calculator for all calculator packages. A new calculator for 2011 is available now if you wish to have both versions available immediately).
An additional notice has been added to indicate the 2011 changes that do not impact 2010:
(Please note that the 2010 self-employment tax remains at 12.4% for the FICA portion and 2.9% Medicare. The FICA rate is reduced to 10.4% for 2011, but does not impact 2010 self-employment taxes.)
- 1040EZ Tax Form (TaxEZ1040.html), Marginal and Effective Tax Rates (TaxMargin.html): Have been finalized for the 2010. Minor changes have occurred to the definitions and the calculations, but there have been no additional input and output fields. Refundable child tax credit and make work pay tax credit both calculated automatically in this version. (Note: the 2011 versions of this calculators will be released 3/31/2010).
- 1040 Tax Estimator (Tax1040.html): Has been updated changes in 2010 including changes included in the "Tax Hike Prevention Act of 2010". The final version of the 1040 tax form for 2010, and matching of labels and field namesis also complete. Additional input fields were added. (Note: the 2011 versions of this calculators will be released 3/31/2010).
- Estate Tax Planning (EstatePlan.html, SPEstatePlan.html): This calculator has been updated to the 2011 rates and rules. This includes changes for the "Tax Hike Prevention Act of 2010". This includes a new maximum rate of 35% for 2011 and 2012 with a $5 million dollar exemption amount. The new estate tax rules expire at the end of 2012 and revert back to the original law pre-2001. This has affected the definitions and the calculations. No new input or output fields have been added. A new note has been added that it is likely that some sort of congressional action will take place in the future, although we do assume the resumption of the old rules starting in 2013.
- Long Term Care (LongtermCare.html): The estimated costs have been updated to reflect the cost of 2011 nursing home and home health care costs.
Definition for long term card costs has been updated to:
- This is your current estimated cost of long term care. According to the Genworth Financial 2010 Cost of Care Survey, the estimated average cost for a nursing home stay was $67,525 per year for a semi-private room. This is about $185 per day. The cost for a private room was $75,190 or $206 per day. Assisted living at home can cost more than $38,220 per year or $19.00 per hour for a home healthcare aid. All of these long-term care costs can be considerably higher in larger metropolitan areas.
- Payroll and withholding calculators
Each of these calculators has been updated to the new withholding rates for 2011 as published in IRS Notice 1036 (Rev. December 2010) Income Tax Withholding Tables for 2011. The associated withholding tables have been updated as well as the calculations. In addition, the definitions have been updated to reflect that the calculator is using the 2011 amounts for the following: 401(k)/403(b) limits (remain at $16,500 under 50, $22,000 for 50 and over), FICA OASDI (remains at $106,800 maximum, employee rate 4.2% for 2011), and allowances at $3700.
This affects the following calculators:
HTML File Changed Name Payroll.html Payroll Deductions PayrollHourly.html Hourly Paycheck Calculator Payroll125.html Section 125 Cafeteria Plan PayrollGross.html Net to Gross Paycheck Calculator 457Payroll.html 457 Payroll Calculator IncomeOneorTwo.html Should my spouse work? RetirePayrollSavings.html Retirement Contribution Effects on Your Paycheck RetirePayrollSavings2.html Retirement Contribution Effects on Your Paycheck SPPayroll.html Cheque deducciones y retenciones SPRetirePayrollSavings.html Efectos de sus Aportaciones a su Jubilaci�n sobre su Cheque de Paga The 2011 Withholding tables are as follows:
Single Withholding Rates*
Annual taxable income between these amounts
Annual withholding
Withhold additional % of income over this amount
$0.00
$2,100.00
$0.00
$2,100.00
$10,600.00
$0.00
plus 10% of income over $2,100.00
$10,600.00
$36,600.00
$850.00
plus 15% of income over $10,600.00
$36,600.00
$85,700.00
$4,750.00
plus 25% of income over $36,600.00
$85,700.00
$176,500.00
$17,025.00
plus 28% of income over $85,700.00
$176,500.00
$381,250.00
$42,449.00
plus 33% of income over $176,500.00
$381,250.00
(no limit)
$110,016.50
plus 35% of income over $381,250.00
Married Withholding Rates*
Annual taxable income between these amounts
Annual withholding
Withhold additional % of income over this amount
$0.00
$7,900.00
$0.00
$7,900.00
$24,900.00
$0.00
plus 10% of income over $7,900.00
$24,900.00
$76,900.00
$1,700.00
plus 15% of income over $24,900.00
$76,900.00
$147,250.00
$9,500.00
plus 25% of income over $76,900.00
$147,250.00
$220,200.00
$27,087.50
plus 28% of income over $147,250.00
$220,200.00
$387,050.00
$47,513.50
plus 33% of income over $220,200.00
$387,050.00
(no limit)
102,574.00
plus 35% of income over $387,050.00
- Retirement Contribution Effects on Your Paycheck (RetirePayrollSavings.html, Spanish: SPRetirementPayrollSavings.html, RetirementPayrollSavings2.html): In addition to the Payroll changes described for the calculators above, the contribution limits for retirement plans on this calculator have been updated to reflect that the limit remains at $16,500 for 2011.
- College Savings (CollegeSavings.html, SPCollegeSavings.html (Spanish)), College Planner (CollegePlanner.html): The definition for tuition, room and board, and education cost inflation have been updated to include the average costs for the 2010-11 school year. The defaults have also been changed to reflect the new average cost for the 2010-11 school year and the average cost increases for tuition and room and board. The new information is show below:
U.S. Undergraduate College Costs for 2010-11 School Year
Source: College Board's 2010 Trends in College Pricing, www.collegeboard.comType Tuition and fees Room & Board Total Change from 2009-10 Public 4-Year (in-state tuition) $7,605 $8,535 $16,140 6.1% Public 4-Year (out-of-state tuition) $19,595 $8,535 $28,130 5.6% Private 4-Year $27,293 $9,700 $36,993 4.3% - 401(k) Calculator (Retire401k.html), 401(k) With Profit Sharing (Retire401kProfitShare.html): The definitions and the calculation module have been updated to reflect the 2011 maximum contribution limits of $16,500 annually for those under 50 and $22,000 annually for those 50 and older. These contribution limits remain unchanged from 2010.
- 457 Calculator (Retire457.html): The definitions and the calculation module have been updated to reflect the 2011 maximum contribution limits of $16,500 annually for those under 50 and $22,000 annually for those 50 and older. These contribution limits remain unchanged from 2010.
- 403b Calculator (Retire403b.html): The definitions and the calculation module have been updated to reflect the 2011 maximum contribution limits of $16,500 annually for those under 50 and $22,000 annually for those 50 and older. These contribution limits remain unchanged from 2010.
- Pre-tax or Roth (after tax) Account? (RothvsPreTaxAccount.html): The definitions and the calculation module have been updated to reflect the 2011 maximum contribution limits of $16,500 annually for those under 50 and $22,000 annually for those 50 and older. These contribution limits remain unchanged from 2010. In addition, the tax table has been updated to use the 2011 rates.
- 72(t) Calculator: Early withdrawals from retirement accounts (Retire72T.html, Retire72T2.html), 72(t) Distributions: Impact on retirement fund balances (Retire72TAlt.html): The Federal Mid-Term rate has been updated for January 2011. This change affects the calculators default values and the definition of Reasonable Interest Rate For January 2011. For January 2011, 120% of the Federal Mid-Term rate is 2.34%.
- Roth IRA (RothIRA.html), Traditional IRA (RegularIRA.html): These calculators have been updated to 2011 phase out ranges. The maximum annual contribution of $5,000 per individual under 50 and $6,000 per individual over 50 remain the same as 2010. These changes include updates to the calculation module as well as the definitions and the report.
- Roth vs. Traditional IRA (RothvsRegular.html): This calculators have been updated to 2011 phase out ranges. The maximum annual contribution of $5,000 per individual under 50 and $6,000 per individual over 50 remain the same as 2010. These changes include updates to the calculation module as well as the definitions and the report. A new calculation has also been added which limits the comparison to contributions amounts that are valid for a ROTH IRA. The ROTH IRA contributions are constrained by the following income phase-outs:
If your income falls in a "phase-out" range you are allowed only a prorated Roth IRA contribution. If your income exceeds the phase-out range, you do not qualify for any Roth IRA contribution. The table below summarizes the income "phase-out" ranges for Roth IRAs.
*For the purposes of this calculator, we assume are not Married filing separately and contributing to a Roth IRA.Tax filing status 2011 Income Phase-Out Range Married filing jointly or Head of household $169,000 to $179,000 Single $107,000 to $122,000 Married filing separately* $0 to $10,000 - Roth 401(k) or Traditional 401(k)?, Roth 401(k) vs. Traditional 401(k) and your Paycheck, Roth vs Traditional 401(k) (Compare401k.html, Compare401k2.html, RothvsTraditional401k.html) Tax rate tables updated to 2011, contribution limit notes updated for 2011. No change in actual limits which remain at $16,500 maximum contribution with $5,500 maximum catchup contribution.
- Retirement Planner, Retirement Pension Planner, Retirement Planner with Retirement Earnings (RetirementPlan.html, RetirementPlan3.html,RetirementPlan4.html): Calculations and definitions for Social Security updated. (See Social Security calculator update for details).
- Canadian Retirement Planner (CARetirementPlan.html, FRRetirementPlan.html): The CPP and OAS defaults have been updated to $1,153 and $524 respectively, to reflect the January 2011 maximum OAS and CPP amount. Source: CPP: http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/rates.shtml, OAS: http://www.servicecanada.gc.ca/eng/isp/oas/oasrates.shtml
- Canadian Tax Free Savings Account (TFSA) Comparison (CATFSACompare.html, FRTFSACompare.html): Definitions have been udpated. No changes to the calculations.
- 2011 Federal Tax Rate table has been added to the following calculators (replacing the 2010 Federal Tax Table)
Calculator Name HTML File Changed 401(k) Net Unrealized Appreciation vs. Rollover StockRollover401k.html Municipal Bond Tax Equivalent Yield TaxEquivYeild.html Mortgage Debt Consolidation MortgageConsolidate.html Roth 401(k) or Traditional 401(k)? RothvsTraditional401k.html, Compare401k.html Pre-tax or Roth (after tax) Account? RothvsPreTaxAccount.html 401(k) Spend It or Save It Calculator Rollover401k.html Investment Goal Calculator InvestmentVariables.html Roth IRA Conversion RothTransfer.html Roth IRA Conversion with Distributions RothConversion.html Retirement Plan Withdrawal RetirementWithdrawal.html REIT Tax-Equivalent Distribution REITTaxEquivYield.html Health Savings Account (HSA) Contribution Calculator HSAContribution.html Health Savings Account (HSA) Savings Calculator HSASavings.html Health Savings Account (HSA) vs. Traditional Health Plan HSAvsTraditional.html Taxable vs. Tax Advantaged Investments InvestCompare.html NOTE:The actual tax calculators will be updated at the end of the tax season, in the 3/31/2011 update.
- Social Security Calculations
Calculations and definitions updated for 2011, however there was no change to the income limit of $106,800 for FICA or the annual maximum benefits of $27,876 per year for a single person and 1.5 times this amount for a married couple.
These changes affect the following calculators:
Calculator Name HTML File Changed Social Security Calculator SocialSecurity.html How important is Social Security? NoSocial.html Retirement Planner RetirementPlan.html Retirement Pension Planner RetirementPlan3.html Retirement Nestegg Calculator RetirementNestegg.html Your Number & Retirement Income Plan RetirementNumber.html Retirement Planner with Retirement Earnings RetirementPlan4.html The definitions of Social Security in each of these calculators has been updated to the following:
Social Security is based on a sliding scale depending on your income, how long you work and at what age you retire. Social Security benefits automatically increases each year based on increases in the Consumer Price Index. Including a spouse increases your Social Security benefits by 1.5 times your individual estimated benefit. Please note that this calculator assumes that only one of the spouses work. Benefits could be different if your spouse worked and earned a benefit higher than one half of your benefit. If you are a married couple, and both spouses work, you may need to run the calculation twice - once for each spouse and their respective income. This calculator provides only an estimate of your benefits.
The calculations use the 2011 FICA income limit of $106,800 with an annual maximum Social Security benefit of $27,876 per year for a single person and 1.5 times this amount for a married couple. To receive the maximum benefit would require earning the maximum FICA salary for nearly your entire career. You would also need to begin receiving benefits at your full retirement age of 66 or 67 (depending on your birthdate). Your actual benefit may be lower or higher depending on your work history and the complete compensation rules used by Social Security.
- Mortgage Refinance Breakeven: (MortgageRefinance.html, SPMortgageRefinance.html) A new option has has been added to not include PMI in your results. Check the box "do NOT include PMI" to eliminate the PMI calculation from the results. Normally PMI is required if you have less than 20% equity in your home, however for a refinance for a loan guaranteed by Freddie Mac or Fannie Mae you may not be required to pay PMI if your current mortgage doesn't require it. Check with your lenders for details.
- 72T Calculators (Retire72T.html Retire72T2.html, Retire72Alt.html, SPRetire72T.html, SPRetire72Alt.html): Federal Mid-term rate updated to Jan 2011. New 120% of Federal Mid-Term rate is 2.34%. Definitions have been updated to indicate the new month and rate.
- Tax Free Savings Account (TFSA) Comparison (Canada) : (CATFSACompare.html, FRTFSACompare.html): The description for this calculator has been modified, the line below has been removed (It is no longer allowed to recontribute withdrawals into this type of account.):
- This flexible account even allows you to recontribute withdrawn amounts at a later date without reducing the maximum normal contribution for the year.
Updates that do not require modifications to HTML documents
- 401(k) Savings Calculator (Retire401k.html, SPRetire401k.html): Employer match limit increased from 200% to 400%. No impact on the calculation, this only allows the entry of up to 400% in the employer match field.
- Snowball Debt Elimination Calculator (SnowBall2.html): Credit card maximum interest rate increased from 30% to 50%.