FAQ: How Do I Add Multiple Pensions To My Plan?

Step 1: Check Pension Module Activation

  1. Navigate to Profile Section
  2. Confirm that the Defined Benefit Pension Module is activated:
    • If the module is highlighted in blue, it is active.

Step 2: Enter a Base Pension

  1. Go to Tax and Benefits > Defined Benefit Pension Module.
  2. Input details of your existing pension:

Step 3: Add Additional Pensions

Option 1: Deferred Pension Starting at 65

  1. Add the deferred pension directly to the current pension entry:
  2. Ensure both pensions have similar characteristics, such as inflation adjustments.
  3. Verify in Projection Section that the total annual pension reflects the combined amount

Option 2: Pension Starting at a Different Age

  1. Navigate to Projections Section
  2. Open the Income Columns by clicking the arrow.
  3. Scroll to Other Taxable Income and manually input the additional pension:
    • Example: A $7,000 pension starting at 67.
  4. Set the following parameters:
    • Start Year: Input the pension's starting age (e.g., 67).
    • Inflation Adjustment:
      • Enable if the pension is indexed.
      • Leave off if it’s not indexed.
    • End Year: To extend to the end of the plan, input an age well beyond life expectancy (e.g., 110).
  5. Clear income entries for years before the pension starts (e.g., clear amounts before age 67).
  6. Recalculate to verify the additional pension appears in the chart.

Step 4: Review Projections

  1. Navigate back to Projections to verify:
    • The combined total of all pensions.
    • Any inflation adjustments or purchasing power declines over time.