FAQ: How Do I Model Different Retirement Dates?

To test the impact of retiring later, you can extend employment income for one or both individuals using overrides.

Steps:

  1. Start with the Early Retirement Scenario
    • Begin with the original plan showing your earliest desired retirement dates.
  2. Make a Copy of the Scenario
    • Use the duplicate scenario feature so you can test alternatives without changing the base plan.
  3. Extend Employment Income
    • Use the override table to extend employment income by 6 to 12 months.
    • Adjust the income for inflation to maintain consistency.
  4. Adjust Pension Contributions
    • Extend pension contributions for the same period, if applicable.
  5. Recalculate the Plan
    • Review how the extension affects plan outcomes such as success rate or retirement income levels.

What Happens Automatically

When you extend employment income in the plan:

  • The platform will automatically adjust CPP benefits to reflect delayed contributions and retirement.
  • Pension amounts may increase based on additional service years or income levels.

Tips for Using This Approach

  • Small Changes Matter: Even a 6-month extension can meaningfully improve plan projections.
  • Base Scenario First: Always start from the more conservative (earlier retirement) scenario.
  • Override Use: Apply changes using overrides in the copied scenario for flexibility and comparison.