FAQ: How to Model a Cash Wedge Strategy?

There are two ways to incorporate a cash wedge strategy into your plan.

The first is to increase the cash allocation in your entire portfolio using the Foundation > Investment Plan Section.

The second, and more straightforward way, is to integrate a cash wedge into the platform is to use the "Saving" account or "TFSA Savings" account and add a manual override on the build up and then drawdown of the wedge.

Both of these accounts are manual accounts, so you need to add overrides in Planning > Projections > Table. Go to the right to find the Savings/TFSA Savings accounts, open up the account using the ">" arrow, then manually add contributions (+ve) to build up the wedge and then manually add withdrawals (-ve) to draw down the wedge. Then recalculate the plan to integrate those changes.

Here is an example...

The platform will fund your cash wedge either through employment/pension income or by drawing down investments starting with the non-registered account.