Post on 11-Sep-2021
IMPORTANT: The illustrations or other information generated by this report regarding the likelihood of various investmentoutcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results.
No Roth Conversion
Personal
Retirement
Analysis
Stuart & Sandy Samplefor
A Registered Investment Advisor
2430 NW Professional Drive
Corvallis, OR 97330
www.moneytree.com
877-421-9815
Asset Advisors Example, LLC
Prepared By
John Smith
3/1/2015
Table of ContentsIntroduction 2
Introduction (text) 3
Cash Flow Planning (text) - A1 4
Personal Statistics 5
Assumptions - A2 6
Assumptions Continued - A2a 7
Net Worth - A3 8
Net Worth Graph - A3a 9
Asset Details - A4 10
Personal Property Detail - A5 11
Liability Detail - A6 12
Insurance Detail - A7 13
Miscellaneous Insurance - A8 14
Personal Expense - A9 15
Affordable Care Act - A10 16
Notes - Audit Trail (text) - A11 17
Cash Flow 18
Cash Flow Management (text) - B1 19
Cash Flow Needed vs Available Graph - B2 20
Sources of Funds Graph - B3 21
Annual Expenses Graph - B4 22
Cash Flow Chart (text) - B5 23
Current Year Cash Flow - B6 24
Future Year Cash Flow - B6a 25
Cash Flow Illustration - B7 26
Annual Expense Illustration - B8 27
Earned Income - B9 28
Pension and SS - B10 29
Other Income/Expense Detail - B11 30
Other Income/Expense - B12 31
Financial Goals - B13 32
Life Insurance Summary - B16 33
Other Ins Premiums - B17 34
Loans 1 - B18 35
Loans 3 - B18b 36
Loans By Owner - B18c 37
Allocation of Cash Flow - B19 38
Assets 39
Asset Accounts (text) - C1 40
Investment Returns (text) - C1a 41
Account Summary Graph - C2 42
Account Summary - C3 43
Total Assets - C3a 44
Taxable Account - C4 45
Equity and Other Accounts - C5 46
Capital Gains Worksheet - C6 47
Capital Gain/Loss Carryforward - C6a 48
Tax-Free Account - C7 49
Tax-Deferred Account - C8 50
Retirement Account 1 - C10 51
Retirement Account 2 - C10a 52
Roth Indiv. 1 - C11 53
Roth Indiv. 2 - C11a 54
Retirement Plan Summary - C13 55
Asset Allocation - C18 56
Asset Allocation Graph - C19 57
Allocation Worksheet - C20 58
Risk (text) - C21 59
Liquidity Graph - C22 60
Liquidity - C23 61
Income Tax 62
Income Tax Calculation (text) - D1 63
Income Tax Planning (text) - D1a 64
Income Tax Chart (text) - D2 65
Income Tax - Current Year - D3 66
Tax vs Income Graph - D4 67
Tax vs Expense Graph - D5 68
Tax Summary - D6 69
Taxable Income Analysis - D7 70
Dividend, Capital Gain Sources - D7a 71
Federal Income Tax Worksheet - D8 72
Adjustments to Income - D9 73
Itemized Deduction and Exemption - D10 74
Itemized Deduction Phaseout - D11 75
Alternative Minimum Tax - D12 76
Early Distribution Taxes - D13 77
Additional Tax/Credit Worksheet - D14 78
FICA Worksheet- D15 79
Taxable Social Security - D16 80
State Tax Worksheet - D17 81
Taxable Earned Income - D18 82
Summary 83
Retirement Summary - F1 84
Retirement Estimate Graph - F2 85
Retirement Capital Estimate - F3 86
Monte Carlo - F4 87
Monte Carlo Details (text) - F5 88
Standard Deviation (text) - F5a 89
Net Worth - F6 90
Personal Assets - F7 91
Withdrawal Rates - F8 92
Withdrawal Rate Graph - F8a 93
Input Data 94
Personal, Assets 95
Ret Acct, Residence, Debts, Expenses 96
SS, Income, Pensions 97
Tax, Insurance 98
Other Income / Expenses 99
Personal Expense Detail 100
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Introduction
A summary of the assumptions used in this analysis, a description of thepurpose of the reports and a listing of assets, insurance and other details.
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Income required annually:
Introduction
Planning for your retirement years requires consideration of many variables. This report will help you visualize thepotential future changes in your income and assets by projecting your needs and resources ahead on a year byyear basis.
No Roth Conversion
Living expensesInsurance premiumsDebt paymentsSaving and investment contributionsInflationary effects
This report is not intended to predict what will actually happen, but is only an illustration based on theassumptions contained in the report. No guarantee of future performance is implied or intended and no specificinvestments or financial products are represented in the reports.
Among the areas considered in the report are:
Earned incomeInterest and dividendsSocial SecurityPension and other retirement plansOther income (inheritances, gifts, stock options, etc.)
Income sources:
TaxableTax-DeferredTax-FreeEquity or Other accountsQualified plans (IRA, Profit sharing, etc.)
Asset accounts:
Using actual tax ratesIndexing of tax brackets and exemptionsAlternate minimum taxState Tax estimates
Income taxes:
Although this report should prove helpful in visualizing the possibilities for your financial future, you should keepin mind that your actual results will undoubtedly differ from those shown.
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No Roth Conversion
Cash Flow Planning
Cash Flow Planning
This financial analysis has been prepared with the objective of illustrating your present and future cash flows,integrated with your assets and income taxes.
Cash flow planning is designed to account for all sources of income and expense, and to illustrate the impact thatany surpluses or shortages might have on the ability of your assets to last through your life expectancy. Thismethod of planning is sometimes referred to as an "optimized" approach.
A1
Each year your income sources are compared to your annual expenses. Any surplus of spendableincome is automatically added to your savings and investments starting in the first year. If there isa shortage of spendable income, the amount needed to make up the shortage is withdrawn fromyour asset accounts. This approach is intended to reflect what would happen if you are managingyour funds in an optimal manner.
What do we mean by "Optimized" planning?
Cash Flow
Every year your savings and investment accounts will have potential interest, dividends, capitalgains or appreciation. The cash flow analysis makes the assumption that, unless otherwiseindicated, the entire rate of return is reinvested into the account. This approach optimizes thepotential growth of each asset account. Taxes are not charged to the earnings on the account, butinstead are added to your personal expenses.
Assets
Since income and FICA (Social Security) taxes can represent a substantial part of your annualexpenses, the "optimized" planning approach carefully computes your tax burden every year. Theanalysis uses the actual IRS tax rate tables including annual adjustments for "indexing" the ratebreakpoints and standard deductions. For high income taxpayers, itemized deductions andexemptions are phased out. Separate tax treatment is provided for dividends, capital gains,alternate minimum tax, the taxable portion of social security income and other areas wherespecial treatment is required. The result is that, instead of showing a "guesstimate" of your annualtaxes, the analysis provides a more accurate yearly indication of future potential taxes.
Taxes
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Personal Statistics
Stuart Sample and Sandy Sample
3/1/2015
Birth DateFamily Member Age
No Roth Conversion
10/5/1954Stuart Sample 60
6/8/1957Sandy Sample 57
Employment
SandyStuart
This presentation provides a general overview of some aspects of your personal financial position. It is designed toprovide educational and/or general information and is not intended for specific legal, accounting, investment, income tax
or other professional advice. For specific advice on these aspects of your overall financial plan, consult with yourprofessional advisors. Asset or portfolio earnings and/or returns shown, or used in the presentation, are not intended to
predict nor guarantee the actual results of an investment product.
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Assumptions A2
No Roth Conversion
01-Mar-15Prepared for Stuart & Sandy Sample
The following basic information was used in preparing the reports. Other assumptions may havebeen used in preparation of this projection which are not shown here.
Basic Plan Assumptions:
SandyStuart
5760Current Age
6065Retirement Age
$122,000$165,000Annual Salary
Self employed income
6567Age to start Soc. Sec. benefits
$200Monthly Pension benefits
Personal Savings and Investment Accounts
This section includes amounts in your current savings and investment accounts.
Amount Additions RateAsset Accounts
Monthly Interest
Rate
Dividend
Rate
Cap Gain
Rate
Appr.
Taxable (at ordinary rates) 6.00
Equity & other 565,000 75 1.88 1.881.881.88
Tax-deferred 6.00
Tax-free 5.75
Retirement Accounts:
This group includes tax deductible retirement plans like IRA, 401(k), profit sharing, etc.
AdditionsPers./Comp.Amount Rate of Ret.
693,500Stuart 7.502,000 / 1,100
477,300Sandy 7.502,000 / 610
Roth IRA and Roth 401(k) Accounts:
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Assumptions Cont.No Roth Conversion
Current Living Expenses:
$50,000
Average Per year Per month
$4,167Personal expenses*
4,160 347Insurance premiums
45,600 3,800Debt payments
33,160 2,763Asset account
48,000 4,000Ret. account deposits
Other exp. & stock opt.
42,943 3,579Itemized deductions
Mortgages & Loans:
Basic personal monthly expenseamounts at selected ages *
Age InflationAmount
Income tax and FICA 6,71880,621
70 4,167
75
4,167
4,16760
65
4,167
80 4,167
3.60%
3.60%
3.60%
3.60%
3.60%
$304,484 $25,374Total expenses * In today's dollars, does not includeinsurance, debts, taxes, etc.
Investment Loans
Investment Real Estate
Per monthAmount
Credit Cards
Auto Loans
$3,800Totals $472,000
Personal Loans
Other Liabilities
Residence Mortgage
RV and Boat Loans472,000 3,800
Assumed cost of living increase factor for Social Security benefits = 2.00%
Life expectancy for Stuart is age 91.
Other Assumptions:
State income tax estimate is based on OR state tax tables.
Life expectancy for Sandy is age 90.
Joint income tax filing status.
Inflation (index) rate for income tax table breakpoints = 2.00%
A2a
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Net Worth Statement A3
No Roth Conversion
ASSETS
Stuart Sandy Joint / CP Trust/Oth. TotalOrdinary Interest Accounts:
$12,450 $2,850Insurance Cash Value, Dividends $15,300
Total $12,450 $2,850 $15,300
Equity (Investment) Accounts:
565,000Exchange Traded Fund 565,000
Total $565,000 $565,000
Retirement Accounts:
693,500 477,300401(k) accounts 1,170,800
Total $693,500 $477,300 $1,170,800
Personal Use Assets:
85,000Autos 85,000
Total $85,000 $85,000
Real Estate Assets:
1,632,000Residence 1,632,000
Total $1,632,000 $1,632,000
$650,000 $3,468,100Total Assets $2,337,950 $480,150
Stuart Sandy Joint / CP Trust/Other TotalLIABILITIES($472,000)Residence mortgage ($472,000)
(2,500)Life insurance loans (2,500)
($2,500) ($472,000) ($474,500)Total Liabilities
NET WORTH $2,335,450 $480,150 $178,000 $2,993,600
Note: Assets held in a Revocable Trust are included in the grantors assets.
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Net WorthNo Roth Conversion
A3a
The Net Worth graph illustrates the amount of your assets, including savings, investments, retirement accounts,and personal assets, less liabilities such as mortgages, loans, credit card balances, etc.
Your objective should be to measure your net worth on a regular schedule in order to assure that you areimproving your financial strength.
A3
Investment accounts 565,000
Retirement accounts 1,170,800
$3,468,100Assets:
$15,300Ordinary income accounts
Net Worth $2,993,600
1,632,000Real estate
Personal assets 85,000
Less Debts ($474,500)
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Asset Detail
Rate of Return %
RetAppr.NameMonthly
AdditionsAccount
Value OwnerInter. Div. CapG. GroupLiquid TypeClass
A4
No Roth Conversion
Joint$565,000 75 / 0 1.88 Liquid ETF1.88Joint Investments 1.881.88 Inc EqOther Yes
Sandy477,300 0 / 610 7.50 Liquid MF-StockSandy's 401k Gr Retire Yes
Stuart693,500 0 / 1,100 7.50 Liquid MF-StockStuart's 401k Gr Retire Yes
Stuart is maximizing retirement plan or Roth IRA deposits. Sandy is maximizing retirement plan or Roth IRA deposits.
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Personal Property DetailsNo Roth Conversion
A5
ValueDescription Rate %Owner
Appreciation
JointCars (5.00)$85,000
StuartPrimary Home 2.001,307,000
StuartVacation Home 2.00325,000
$1,717,000Total
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Liability DetailNo Roth Conversion
A6
BalanceOwed toDescription RatePayment
Interest
Mortgage BofA $472,000 4.37$3,800
Totals $3,800$472,000
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Insurance Detail
Insured Description Company Owner Beneficiary Amount Premium Value Amount
A7
No Roth Conversion
LoanCashAnnualFace
Sandy 5 year term ANLIC Sandy Stuart $75,000 $375
Stuart Whole Life Met Life Stuart Sandy 100,000 1,900 12,450 2,500
Sandy Whole Life NWML Sandy Stuart 60,000 650 2,850
$1,900$100,000 $2,500$12,450
PremiumAmount AmountValue
$1,025$135,000 $2,850
Stuart
Sandy
TotalsLoanCashAnnualFace
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Miscellaneous Insurance
Insured DescriptionCompany Type Premium
No Roth Conversion
A8
Annual
Indiv1 Auto PremiumStuart $200Auto
Indiv1 Disability PremiumStuart 450Disability
Indiv1 Other PremiumStuart 385Homeowners, P&C, Other
Indiv2 Auto PremiumSandy 200Auto
$1,235 Total
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Personal Expense Detail
Description Rate
No Roth Conversion
Current Amounts
A9
Increase
AnnualMonthlyExpenses $4,167 $50,000 3.60
$50,000
Note: Dollar amounts and increase rates are for the current year.
$4,167Totals
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Affordable Care Act A10
No Roth Conversion
The Affordable Care Act (ACA) was signed into law in 2010 and significantly changes the health insurance industrythat Americans have known for the past several years. Health insurance is now available at state exchanges which alsohelp determine eligibility for the Advanced Premium Tax Credit. The ACA introduces two new taxes and two newcredits. The ones that impact individuals are discussed in detail below. Not discussed below are the new EmployerShared Responsibility Tax and the Small Business Health Insurance Tax Credit.
Advanced Premium Tax Credit (APTC)
The ACA includes a new advance credit for families that meet certain requirements including buying their healthinsurance through the official health exchange. The amount of credit depends on the Modified Adjusted GrossIncome of the family. For this purpose MAGI includes non-taxable municipal bond income, non-taxable foreignearned income, and non-taxable Social Security Income. The credit sets a maximum for the cost of the benchmarksilver plan as a percent of MAGI, it is then compared to the actual cost of the benchmark silver plan and thedifference is the credit. This credit is paid directly to the health insurance exchanges to lower the monthly premiumcosts. If the credit is over/under paid, annual taxes are adjusted accordingly.
100%
FamilySize 133% 150% 200% 250% 300% 400%
Percent of Federal Poverty Level and related APTC benchmark
1 17,50515,52111,670 23,340 46,68035,01029,175
2 23,59520,92115,730 31,460 62,92047,19039,325
3 29,68526,32119,790 39,580 79,16059,37049,475
4 35,77531,72123,850 47,700 95,40071,55059,625
5 41,86537,12027,910 55,820 111,64083,73069,775
6 47,95542,52031,970 63,940 127,88095,91079,925
7 54,04547,92036,030 72,060 144,120108,09090,075
8 60,13553,32040,090 80,180 160,360120,270100,225
Each add'l 6,0905,4004,060 8,120 16,24012,18010,150
Benchmark Premium Limit 4%3%2% 6.30% 9.50%9.50%8.05%
Your Modified Adjusted Gross Income is too high to qualify for the Advanced Premium Tax Credit
Individual Shared Responsibility Tax (ISRT)
In order to make sure that not only the sick who sign up for health insurance under ACA the law includes a new taxapplicable to those who do not own health insurance. This is commonly called the Individual Mandate as the attemptis to mandate or command that all Americans buy health insurance. The idea is that if only the sick buy insurancethen companies will raise rates to cover the cost of health care spending by the sick, which will spiral into fewerhealthy people buying insurance and higher costs for insurance. There are some exemptions from ISRT including anearnings threshold.
Per PersonYear % of Income
Phase-In of Penalty Tax
$952014 1%
$3252015 2%
$6952016 2.50%
*2017 2.50%
Under 65Filing Status 65 and Over
9,750Single 11,200
12,500Head of Household 13,950
19,500Married Filing Jointly 21,800
15,700Qualifying widow(er) 16,850
3,800Married Filing Separate 3,800
To calculate ISRT add any tax-exempt municipal bond income as well as any amount excluded from income forforeign earned income or housing assistance to Adjusted Gross Income then subtract the applicable filing thresholdamount. This amount is then multiplied by the penalty percent. The tax due is the higher of this number or the perperson penalty amount ($95 for 2014).
Your potential Individual Shared Responsibility Tax is: $2,713
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Audit Trail Notes
The Audit Trail is used to help you find the source of all the numbers used in preparing your financial report. Thisreport consists of multiple pages covering three primary sections:
No Roth Conversion
The page numbers appear at the top right of each page. The summary page for each section has a singleletter - A, B, C, etc. Each following page in that section is identified by a letter/number combination - A1,A2, etc.
Graphs:
Cash Flow
Each of the sections includes a "summary" page, where you can visualize the results of your plan each year andsee what might happen under the assumptions of inflation, taxes and changes to your assets and income sources.
Each section includes one or more graphs that will give you a quick way to visualize the flow of income, assetsand taxes through the years.
Tracking Numbers:
In developing this plan, care has been taken to provide full documentation of the internal calculations and allowyou to track the source of each number. At the bottom of many columns you will find, in small type, a code thatwill indicate the source of the value in the column. The following notes will assist in understanding the meaningof the codes.
Page numbering:
On each page the columns are numbered consecutively from left to right (excluding age columns) at thetop of each column.
Column numbering:
Source Notes:
Columns where the source of the data is not obvious will include a legend at the bottom of the columnspecifying the source of the data. Examples of the source notes are shown:
A10
Asset Accounts
Income Taxes
An illustration of the sources of income and expenditures.
Savings, investments, life insurance and retirement accounts.
Estimates of income taxes each year.
A1 From report page A1
C5 From report page C5
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Cash Flow
An analysis of all cash income sources, expenses, and liabilities. Includes anestimate of social security, pensions, miscellaneous income or expense items,special financial goals or education funding requirements.
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Cash Flow Management
The management of your annual cash inflows and outflows is based on the following details.The various report pages will provide more specifics about the annual amounts and results.
No Roth Conversion
Cash Flow Surplus
In any year when there is a cash flow surplus, this surplus will be reinvested into your savings andinvestment accounts divided as shown below:
Cash Flow Shortage
If in any year the amount of expenses exceeds the spendable income available, the analysis will draw fundsfrom your savings and investment accounts to make up the shortfall. These funds may result in a taxableevent if money is taken from your equity and other accounts which have a cost basis less than the currentmarket value, or if it is necessary to take money from your retirement accounts because all other accountshave been depleted.
In case of a shortage, funds are drawn from accounts in the following order - taxable, equity and other, taxfree, tax deferred, tax deductible retirement accounts, and finally Roth IRA accounts. In some cases assetsmay be periodically rebalanced between accounts.
B1
– Taxable accounts (savings, CD, money market)
age 65 age 65
Each year the interest and dividends earned is computed on the various accounts, and these amounts areautomatically assumed to be reinvested into the account unless an option is elected to take the amounts incash and added to your spendable cash flow. On the following reports, the cash option will be indicated by acash distributions in the "Cash Withdrawal" column.
Interest and dividends
The amount you are required to pay for income taxes can vary every year, depending on the sources andamount of your income, and the adjustments and deductions available. In the analysis we have estimated allthe various income and deduction items to determine the taxable income each year, including considerationof ordinary taxable income, capital gains, AMT and other significant items.
Income Taxes
0% 0%
– Equity and other (stocks, mutual funds, real estate, etc.) 100% 100%
– Tax-Free accounts (municipal bonds and funds) 0% 0%
– Tax-Deferred accounts (annuities, non deductible IRAs, etc.) 0% 0%
The taxes are computed using real IRS tax rate tables, including indexing of the tax breakpoints using anassumed index rate of 2.00% per year. The amount of federal and state income tax and FICA (Social Security)tax is added to your annual expenses each year.
Before After
– Equity and other (stocks, mutual funds, real estate, etc.)
– Taxable accounts (savings, CD, money market)
– Tax-Deferred accounts (annuities, non deductible IRAs, etc.)
– Tax-Free accounts (municipal bonds and funds)
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Cash FlowNo Roth Conversion
B2
The bars in the above graph represent the amounts available from...
The line illustrates the annual expenses including ...
Earned income (wages & self employment)
Pension plans and Social Security
Misc - (inheritances, sale of residence, investment account systematic withdrawal plansor interest/dividends taken in cash, scheduled retirement account distributions orrequired minimum distribution amounts.)
If income from various sources exceeds expenses, the excess is reinvested in savings and investmentaccounts. If expenses are greater than income, it is assumed that funds required to meet such excessexpenses will be drawn from savings and investment accounts to make up the shortage.
– Personal living expenses– Life insurance and other premiums– Mortgage and debt repayment– Planned deposits to investments and retirement accounts– Miscellaneous expense items– Taxes
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Sources of FundsNo Roth Conversion
B3
Each year your spendable money will come from several different sources, as shown above. When your incomeneeded exceeds the funds available from earnings, pensions and Social Security, then withdrawals are made fromyour asset accounts or qualified retirement plans.
Salaries and self employment income.
Defined benefit pension plans and the total income from Social Security benefits.
Interest or dividends paid in cash or withdrawals from your investment accounts tomeet spending requirements.
Distributions from your qualified retirement accounts either to meet your spendingneeds, scheduled distributions, or distributions made to meet the IRS minimum distributionrequirements.
Other single year or multiple year sources of funds, excess proceeds from sale of yourresidence, or life insurance death benefits.
Earned
Pen/SS
Invest
Retire
Other
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Annual ExpensesNo Roth Conversion
B4
Your annual expenses represent a number of different items, including personal needs, life insurance premiums,debt repayment, additions to savings and investments, other miscellaneous expenditures and taxes of varioustypes.
The graph should help you visualize the proportionate amount of your total outlay for each of these types ofexpenditures, and the changing mix over the future years.
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Cash Flow Chart
The following flow chart illustrates the logic used in your cash flow report, indicating the methods used toallocate annual surplus and shortages.
No Roth Conversion
SURPLUS - If there is a surplus of income after deducting expenses, then the surplus is divided between theTaxable, Equity/Other, Tax-Deferred, and Tax-Free accounts in the percentages shown.
SHORTAGE - if there is a cash flow shortage, funds are drawn from the accounts in order starting from the topdown. As each account is depleted, then the next account is used.
Earned IncomeInterest and Dividends
Pensions & Social SecurityMiscellaneous Income
Taxable
PersonalInsurance
Debt PaymentsSavings and investment additions
Income Taxes
Equity & Other
Tax-Free
Tax-Deferred
Qualified Plans *
Income
is drawn fromaccounts in the
order shown below
Shortage
Surplus
is divided asshown below
(Until age 65) (After age 65)
>>>>>
<<<<<
<<<<<
<<<<<
<<<<<
<<<<<
<<<<<
<<<<<
<<<<<
<<<<<
>>>>>
100% 100%
* Mandatory distributions start at age 70.5.
B5
Less Expenses
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No Roth Conversion
Current Year Cash Flow B6
MonthlyAmount
AnnualAmount
Percent ofIncomeINCOME
$23,916 $287,000Salaries & Wages 89.90 B9
896 10,754Interest 3.37 D3
896 10,753Dividends 3.37 C6a
896 10,753Capital Gains / Losses (Sch D) 3.37 C6a
Total income available $26,604 $319,260 100.00
MonthlyAmount
AnnualAmount
Percent ofIncomeEXPENDITURES
$5,052 $60,625Federal and State Income Tax 18.99 D3
1,666 19,996FICA Taxes 6.26 D6
3,800 45,600Residence Mortgage 14.28 B 18
243 2,925Life Insurance Premiums 0.92 A7
32 385Homeowners & Other Insurance 0.12 A8
33 400Auto Insurance 0.13 A8
37 450Disability Insurance 0.14 A8
75 900Saving and Investment Additions 0.28 B8
4,000 48,000Retirement Account Additions (IRA, 401(k), TSA, etc.) 15.03 B8
2,688 32,260Reinvestment of Interest, Dividends and Capital Gains 10.10 C4...C8
1,330 15,963Charitable Contributions 5.00 D 10
2,040 24,480Property Taxes 7.67 D 10
208 2,500Medical Expenses 0.78 D 10
4,166 50,000Expenses 15.66 A9
Total spending and savings $25,370 $304,484 95.37
Cash flow surplus (Income less Spending) $1,234 $14,776
Note - Some income items may differ from amounts on the Cash Flow Projection report (depending on the cash/reinvestment options.)
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No Roth Conversion
Future Year Cash Flow at Stuart's Age 65 B6a
MonthlyAmount
AnnualAmount
Percent ofIncomeINCOME
$928 $11,144Interest 34.67 C4,C5,C7
928 11,144Dividends 34.67 C6a
821 9,857Capital Gains / Losses (Sch D) 30.66 C6a
Total income available $2,677 $32,145 100.00
MonthlyAmount
AnnualAmount
Percent ofIncomeEXPENDITURES
$152 $1,828Federal and State Income Tax 0.57 D6
3,800 45,600Residence Mortgage 14.28 B 18
305 3,670Life Insurance Premiums 1.15 B 16
38 459Homeowners & Other Insurance 0.14 B 17
39 477Auto Insurance 0.15 B 17
2,678 32,145Reinvestment of Interest, Dividends and Capital Gains 10.07 C4...C8
355 4,266Charitable Contributions 1.34 D 10
2,252 27,027Property Taxes 8.47 D 10
531 6,381Medical Expenses 2.00 D 10
2,027 24,333Other Expense (Stock Options, Educations Costs, etc.) 7.62 B 12
4,972 59,671Expenses 18.69
Total spending and savings $17,149 $205,857 64.48
Cash flow surplus (Income less Spending) ($14,472) ($173,712)
Note - Some income items may differ from amounts on the Cash Flow Projection report (depending on the cash/reinvestment options.)
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Cash Flow IllustrationNo Roth Conversion
Ages Total Sources
Scheduled Cash flow sources and Required Minimum Distributions
B7
Retire/RothAccounts *
EarnedIncome
Less LivingExpense &
TaxesSurplus
(Shortage)InvestmentAccounts *
Pension/SocSec Other Income
1 2 3 4 5 6 7 8
$287,00060 57 $287,000 ($272,224) $14,776
295,61061 58 295,610 (296,464) (854)
304,47962 59 304,479 (290,388) 14,091
180,30063 60 180,300 (213,874) (33,574)
185,70964 61 185,709 (219,339) (33,630)
65 62 (173,716) (173,716)
66 63 (151,193) (151,193)
67 64 34,038 34,038 (158,308) (124,270)
68 65 62,795 23,433 86,228 (158,662) (72,434)
69 66 64,051 23,902 87,953 (162,069) (74,116)
70 63,48967 67,732 131,221 (186,656) (55,435)
71 67,42468 69,087 136,511 (191,697) (55,186)
72 117,44669 70,469 187,915 (209,348) (21,433)
73 124,71370 71,878 196,591 (206,625) (10,034)
74 132,41571 73,316 205,731 (177,381) 28,350
75 140,57672 74,782 215,358 (185,095) 30,263
76 148,79273 76,278 225,070 (193,044) 32,026
77 157,92174 77,803 235,724 (201,896) 33,828
78 167,06375 79,359 246,422 (211,806) 34,616
79 176,35576 80,946 257,301 (222,170) 35,131
80 186,45477 82,566 269,020 (232,918) 36,102
81 196,66678 84,216 280,882 (243,853) 37,029
82 207,34379 85,901 293,244 (255,525) 37,719
83 218,49080 87,619 306,109 (267,718) 38,391
84 229,17281 89,371 318,543 (280,029) 38,514
85 240,19882 91,159 331,357 (292,840) 38,517
86 251,54783 92,982 344,529 (306,136) 38,393
87 262,47484 94,842 357,316 (319,597) 37,719
88 273,56485 96,738 370,302 (333,484) 36,818
89 283,27486 98,673 381,947 (347,075) 34,872
90 292,87687 100,646 393,522 (361,003) 32,519
91 302,28488 102,660 404,944 (375,202) 29,742
92 310,25189 59,553 369,804 (359,559) 10,245
93 315,64790 60,745 376,392 (376,173) 219
94 91
* Scheduled distributions, interest or dividends taken in cash or amounts taken to meet the IRS minimum distribution requirements.
B9 C10..C11a C4..C8 B10 B12, B12a B8
Page 263/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Annual Expense IllustrationNo Roth Conversion
Ages
OtherExpense &Stock Opt.
B8
Life &Misc. Ins.
PremiumsPersonal
Expenses *Itemized
Deductions**Total
ExpensesDebt
Payments
AssetAccountDeposits
RetirementAccountDeposits
1 2 3 4 5 6 7 98
Income Tax
$80,621$50,00060 $45,600$4,16057 $900 $48,000 $42,943 $272,224
85,45051,80061 45,6004,18858 900 48,000 15,900 44,625 296,464
89,85353,66562 45,6004,96359 900 49,000 46,408 290,388
40,86855,59763 45,6004,99360 900 25,000 40,917 213,874
42,90357,59864 45,6005,02461 900 25,000 42,314 219,339
1,82859,67265 45,6004,60762 24,333 37,676 173,716
1,12061,82066 45,6004,64163 38,013 151,193
2,81064,04667 45,6005,87164 39,983 158,308
1,08266,35168 45,6005,90765 39,722 158,662
1,12868,74069 45,6005,94466 40,657 162,069
17,14771,21470 45,6005,98367 46,711 186,656
18,32873,77871 45,6006,02368 47,968 191,697
32,31776,43472 45,6003,75069 51,246 209,348
34,38479,18673 36,6333,79370 52,630 206,625
37,15882,03774 3,83871 54,348 177,381
40,04984,99075 3,88472 56,172 185,095
43,01088,04976 3,93273 58,053 193,044
46,65391,21977 3,98274 60,042 201,896
51,18294,50378 4,03475 62,088 211,806
55,97897,90579 4,08776 64,199 222,170
60,927101,43080 4,14277 66,419 232,918
65,864105,08181 4,20078 68,708 243,853
71,311108,86482 4,25979 71,091 255,525
77,045112,78383 4,32180 73,569 267,718
82,709116,84484 4,38481 76,092 280,029
88,632121,05085 4,45082 78,708 292,840
94,789125,40886 4,51983 81,420 306,136
100,898129,92287 4,59084 84,187 319,597
107,177134,60088 4,66385 87,045 333,484
112,984139,44589 4,73986 89,906 347,075
118,872144,46590 4,81887 92,847 361,003
124,771149,66691 4,90088 95,866 375,202
136,417124,04392 2,46489 96,635 359,559
145,632128,50993 2,52990 99,502 376,173
94 91
D6
Note - it is assumed that the various tax reduction act changes are extended past 2010. See Income Tax Calculations report for details.* Personal expenses include education fund deposits.
** Itemized deductions do not include mortgage interest, state tax, and medical insurance premiums are adjusted for phaseouts.
B12B16 B18b C4..C8 C10..C11a D10
Page 273/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Earned Income ScheduleNo Roth Conversion
AgeAnnualSalary
B9
AnnualSalary
TotalEarnedIncome
SelfEmployment
1 2 3 4 65
SelfEmploymentAge
Stuart Sandy
57$165,00060 $122,000 $287,000
58169,95061 125,660 295,610
59175,04962 129,430 304,479
60180,30063 180,300
61185,70964 185,709
6265
6366
6467
6568
6669
6770
6871
6972
7073
7174
7275
7376
7477
7578
7679
7780
7881
7982
8083
8184
8285
8386
8487
8588
8689
8790
8891
8992
9093
9194
Page 283/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Pension and Social SecurityNo Roth Conversion
Age
Spouse Pension 1
B10
Client Pension 2 Spouse Pension 2
TotalPension &
SocialSecurity
Client Pension 1 SocSec*
Age
1 2 3 4 5 6 7 8
SocSec *
$29,632 $2,400 $23,963
Stuart Sandy
60 5761 5862 5963 6064 6165 6266 6367 34,038 34,03864
28,07668 34,719 62,7956528,63869 35,413 64,0516629,21170 36,122 2,400 67,7326729,79571 36,844 2,448 69,0876830,39172 37,581 2,497 70,4696930,99973 38,332 2,547 71,8787031,61974 39,099 2,598 73,3167132,25175 39,881 2,650 74,7827232,89676 40,679 2,703 76,2787333,55477 41,492 2,757 77,8037434,22578 42,322 2,812 79,3597534,90979 43,169 2,868 80,9467635,60880 44,032 2,926 82,5667736,32081 44,913 2,984 84,2167837,04682 45,811 3,044 85,9017937,78783 46,727 3,105 87,6198038,54384 47,662 3,167 89,3718139,31485 48,615 3,230 91,1598240,10086 49,587 3,295 92,9828340,90287 50,579 3,361 94,8428441,72088 51,590 3,428 96,7388542,55489 52,622 3,496 98,6738643,40590 53,675 3,566 100,6468744,27491 54,748 3,638 102,6608855,84392 3,710 59,5538956,96093 3,785 60,74590
94 91
* Less earned income reduction if applicable
Page 293/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Other Income/Expense Detail B11
No Roth Conversion
Amount(future $)*
Amount(today's $)*
StartAge
IncreaseRate
(prior)
IncreaseRate
(after)StopAge
PercentTaxable
DollarAmountDescription
Ordinary TaxableSingle Year
Amount(future $)*
Amount(today's $)*
StartAge
IncreaseRate
(prior)
IncreaseRate
(after)StopAge
PercentTaxable
DollarAmountDescription
Ordinary TaxableMultiple Year
68 70Sale of equipment 20,000 23,433 02.00% 2.00% 0.00%
* Negative numbers indicate cash outflow, positive numbers represent income.
Page 303/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Other Income (Expense)No Roth Conversion
AgesStock
Options
B12
IncomeAmount
LifeInsurance
Residencesale
OtherExpenses
Tax-able %
ExpenseAmount
Tax-able %
1 2 3 4 5 6 7 98
EducationOther goals
OtherIncome
10
TaxableAmounts
Other Income and Expense Totals
60 57
61 58 (15,900) (15,900)
62 59
63 60
64 61
65 62 (24,333) (24,333)
66 63
67 64
23,43368 23,43365
23,90269 23,90266
70 67
71 68
72 69
73 70
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88 C
92 89
93 90 S
94 91
Note - c = Stuart's life expectancy age. s = Sandy's life expectancy age.
B11 B15 B13, B14aC12B11 B11 B11
*Residence sale = Sale price less sale cost less down payment on new home.
Page 313/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Financial Goals B13
No Roth Conversion
It is important to plan ahead for financial goals like purchasing a home, a business opportunity or other specialneeds. If you indicated any special goals, the following table shows the amount of money needed for those items.The costs shown below are included in your projection of Other Income and Expense.
Funding methods at 8.00%after tax
MonthlyDeposit
Lump SumDeposit
InflatedAmountNeeded
AmountNeeded
InflationRate %
AgeNeededDescription:
6.00% $15,000 $15,900Retirement trip $14,722 $1,26961
4.00% 20,000 24,333Sail boat 16,561 32965
In order to achieve a future financial goal, such as a major purchase or investment, you should plan to have fundsavailable at the right time. Two methods are illustrated: pre-funding with a lump sum of money dedicated to thefuture goal, or pre-funded with an accumulation account where funds are deposited each month.
Lump Sum
Using this method, a calculation is done to determine what amount of money would need to be set aside now atan after-tax rate of return that would grow to the required amount at the time the funds are needed. The initiallump sum deposit would be held in a separate account and then used to pay for the expense.
Monthly Deposits
If a lump sum amount is not available to set aside for the future expense, you might consider using a separateaccount where monthly deposits are contributed to accumulate the funds required. The amount shown above as"Monthly Deposit" would be anticipated to grow at the after-tax rate shown, and when needed would be used topay for the goal specified.
The above funding amounts and rates are used for illustration only and do not represent any particular investmentprogram. Results are not guaranteed.
Note: The expenses for these goals are included in the projection of personal expenses.
Page 323/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Life Insurance SummaryNo Roth Conversion
Age
B16
Group orTerm
Permanent(Net of Loans) Premiums
1 2 3 4 5 6 7 8
Stuart Sandy
CashValues
Group orTerm
CashValues
Permanent(Net of Loans)Age Premiums
$2,85060 $97,500 $1,900 $60,000 $1,02557$12,450 $75,000
2,01361 97,500 1,900 60,000 1,0255820,960 75,000
1,17562 97,500 1,900 60,000 1,7705929,470 75,000
2,61063 97,500 1,900 60,000 1,7706037,980 75,000
4,04564 97,500 1,900 60,000 1,7706146,490 75,000
5,47965 97,500 1,900 60,000 1,7706255,000 75,000
6,91466 97,500 1,900 60,000 1,7706356,286 75,000
8,34967 97,500 1,900 60,000 2,9656457,571 75,000
9,78468 97,500 1,900 60,000 2,9656558,857 75,000
11,21869 97,500 1,900 60,000 2,9656660,143 75,000
12,65370 97,500 1,900 60,000 2,9656761,429 75,000
14,08871 97,500 1,900 60,000 2,9656862,714 75,000
15,52372 97,500 1,900 60,000 6506964,000
16,95773 97,500 1,900 60,000 6507065,286
18,39274 97,500 1,900 60,000 6507166,571
19,82775 97,500 1,900 60,000 6507267,857
21,26276 97,500 1,900 60,000 6507369,143
22,69677 97,500 1,900 60,000 6507470,429
24,13178 97,500 1,900 60,000 6507571,714
25,56679 97,500 1,900 60,000 6507673,000
27,00180 97,500 1,900 60,000 6507774,286
28,43581 97,500 1,900 60,000 6507875,571
29,87082 97,500 1,900 60,000 6507976,857
31,30583 97,500 1,900 60,000 6508078,143
32,74084 97,500 1,900 60,000 6508179,428
34,17485 97,500 1,900 60,000 6508280,714
35,60986 97,500 1,900 60,000 6508382,000
37,04487 97,500 1,900 60,000 6508483,286
38,47988 97,500 1,900 60,000 6508584,571
39,91489 97,500 1,900 60,000 6508685,857
41,34890 97,500 1,900 60,000 6508787,143
42,78391 97,500 1,900 60,000 6508888,428
44,21892 60,000 65089
45,65393 60,000 65090
94 91
Page 333/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Stuart
Misc. Insurance PremiumsNo Roth Conversion
Ages
B17
Auto Disability Medical LTC
1 2 3 4 5 6 7 98
HomeownersProp & Casualty
TotalMisc
Premiums
Sandy
Disability Medical LTCAuto
10
$1,235$20060 $45057 $200 $385
1,26320761 45058 207 399
1,29321562 45059 215 413
1,32322263 45060 222 428
1,35423064 45061 230 444
93723965 62 239 459
97124766 63 247 476
1,00625667 64 256 493
1,04226568 65 265 511
1,07927569 66 275 529
1,11828570 67 285 548
1,15829571 68 295 568
1,20030672 69 306 589
1,24331773 70 317 610
1,28832874 71 328 632
1,33434075 72 340 654
1,38235276 73 352 678
1,43236577 74 365 702
1,48437878 75 378 728
1,53739279 76 392 754
1,59240680 77 406 781
1,65042081 78 420 809
1,70943582 79 435 838
1,77145183 80 451 868
1,83446784 81 467 900
1,90048485 82 484 932
1,96950286 83 502 966
2,04052087 84 520 1,000
2,11353888 85 538 1,036
2,18955889 86 558 1,074
2,26857890 87 578 1,112
2,35059991 88 599 1,152
1,81492 89 620 1,194
1,87993 90 643 1,237
94 91
Page 343/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Residence Mortgage
Loans - Mortgage, Auto, Credit CardNo Roth Conversion
Ages
B18
Balance Interest Principal
1 2 3 4 5 6 8 97
Interest Principal
Auto
Balance
Credit Card
InterestBalance Principal
$25,478$472,00060 $20,12257
26,614446,52261 18,98658
27,801419,90862 17,79959
29,041392,10763 16,56060
30,335363,06664 15,26561
31,688332,73165 13,91262
33,101301,04366 12,49963
34,577267,94267 11,02364
36,119233,36568 9,48165
37,729197,24669 7,87166
39,412159,51770 6,18867
41,169120,10571 4,43168
43,00578,93672 2,59569
35,93135,93173 70170
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88
92 89
93 90
94 91
95 92
Page 353/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Investment Real Estate
Loans - RE, Other, TotalsNo Roth Conversion
Ages
B18b
Balance Interest Principal
1 2 3 4 5 6 9 118
Principal Annualpayments
Other Liabilities
LoanBalances
Interest
Total of all liabilities
10
InterestBalance Principal
$25,478$472,000 $45,60060 57 $20,122
26,614446,522 45,60061 58 18,986
27,801419,908 45,60062 59 17,799
29,041392,107 45,60063 60 16,560
30,335363,066 45,60064 61 15,265
31,688332,731 45,60065 62 13,912
33,101301,043 45,60066 63 12,499
34,577267,942 45,60067 64 11,023
36,119233,365 45,60068 65 9,481
37,729197,246 45,60069 66 7,871
39,412159,517 45,60070 67 6,188
41,169120,105 45,60071 68 4,431
43,00578,936 45,60072 69 2,595
35,93135,931 36,63373 70 701
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88
92 89
93 90
94 91
95 92A6
Page 363/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Loan Balances(by owner)
Loans By OwnerNo Roth Conversion
Ages
B18c
TotalBalances Stuart Sandy Sandy Joint
TotalPayments Stuart
Loan Payments(by owner)
C. Prop.JointTrust &
OtherTrust &
OtherC. Prop.
$45,600$45,600$472,00060 57 $472,000
45,60045,600446,52261 58 446,522
45,60045,600419,90862 59 419,908
45,60045,600392,10763 60 392,107
45,60045,600363,06664 61 363,066
45,60045,600332,73165 62 332,731
45,60045,600301,04366 63 301,043
45,60045,600267,94267 64 267,942
45,60045,600233,36568 65 233,365
45,60045,600197,24669 66 197,246
45,60045,600159,51770 67 159,517
45,60045,600120,10571 68 120,105
45,60045,60078,93672 69 78,936
36,63336,63335,93173 70 35,931
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88
92 89
93 90
94 91
Page 373/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Allocation of Cash Flow Surplus or (Shortage)No Roth Conversion
Ages
B19
% Amount
Taxable Equity/Other
1 2 3 4 5 6 7 98
RetirementAccounts
RothAccountsTax-DeferredTax-Free
10
Amount% Amount% Amount% Amount Amount
60 57 $14,776100
na61 58 (854)na na na
62 59 14,091100
na63 60 (33,574)na na na
na64 61 (33,630)na na na
na65 62 (173,716)na na na
na66 63 (151,193)na na na
na67 64 (124,270)na na na
na68 65 (72,434)na na na
na69 66 (74,116)na na na
na70 67 (55,435)na na na
na71 68 (55,186)na na na
na72 69 (21,432)na na na
na73 70 (10,034)na na na
74 71 28,350100
75 72 30,263100
76 73 32,026100
77 74 33,828100
78 75 34,616100
79 76 35,131100
80 77 36,102100
81 78 37,029100
82 79 37,719100
83 80 38,391100
84 81 38,514100
85 82 38,517100
86 83 38,394100
87 84 37,719100
88 85 36,818100
89 86 34,873100
90 87 32,519100
91 88 29,742100
92 89 10,245100
93 90 219100
94 91 100
C4 C5 C7 C8 C10..C10e C11, C11a
Page 383/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Assets
Details of your existing assets, changes due to additions or withdrawals, rate ofreturn and, where appropriate, stock options.
Assets are divided into taxable, tax free, tax deferred, equity, retirementaccounts, IRA and Roth IRA accounts.
Page 393/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Asset AccountsNo Roth Conversion
C1
Your assets are illustrated in this plan based on two major groups, Personal Accounts and Tax DeductibleRetirement accounts. Within these groups, the assets are further divided as described below.
This includes any account that is treated by the IRS as qualified for special tax-deferral or deduction.
Personal Accounts:
Fully Taxable:
These are savings and investments that earn interest or dividends which are fully taxable at ordinaryincome rates. Included in this category are savings accounts, certificates of deposit, money marketfunds and accounts, bonds, notes and mortgages, etc.
Tax-Deferred:
Some assets allow you to accumulate money without current taxation on interest or other returns. Themost common are fixed or variable annuities issued by insurance companies. Any illustration of anannuity account is hypothetical, and does not represent any specific product or underlying investmentaccounts and is not intended to project or predict investment results. The variable nature of a variableannuity will affect not only the investment returns, but will also affect the cash value and deathbenefits of the annuity. The annuity could result in zero or negative return, depending on theperformance of the underlying investments and the terms of the annuity contract.
Tax-Free:
Equity and Other:
Tax Deductible Retirement Accounts:
Interest earned on certain bonds issued by federal, state or local municipalities are exempt fromfederal and in some cases state income tax. These are referred to as "tax exempt" securities and maybe purchased individually or as muni bond investment trusts or mutual funds.
Assets which receive part or all of their return in the form of appreciation and qualify for special capitalgains treatment on the profits would be included in this category. Such assets include: stocks, equitymutual funds, real estate, business interest, etc.
Not an Investment Offer:
IMPORTANT:
Individual Retirement Accounts.Corporate thrift or savings plans.Retirement plans for self employed individuals.Tax sheltered annuity plans for employees of 403(b) taxexempt organizations.Employer sponsored plans.Corporate plans for employee profit sharing.(Tax-free growth).Tax-free after-tax personal contributions, pre-tax company additions.
These accounts generally allow for pre-tax contributions and tax deferred earnings. When funds are withdrawnfrom these accounts the entire amount is taxable at the ordinary tax rate. (Roth accounts use after taxcontributions and tax free accumulation and withdrawal.)
This is not an offer to sell or a solicitation of an offer to buy any security. Such offer would be accompanied by aprospectus or other offering materials.
The projections or other information generated by Money Tree regarding the likelihood of various investmentoutcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of futureresults.
IRA401(k)Keogh or SEPTSA
SIMPLE 401(k) and SIMPLE IRAProfit SharingRoth IRA accountsRoth 401(k)
Page 403/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Investment Returns
This chart illustrates the variable nature of stock investing. The scale does not represent any specific value orpercent change, but rather shows relative increases or decreases in the indexes. Be aware that stock pricesincrease or decrease at various times and there is no assurance that profits will be realized in any particulartime frame. The above chart does not represent any particular investment portfolio or asset class.
Historical Stock Market Changes
These rates of return do not include adjustment for annual fees, commissions, taxes or other expenses thatmight be incurred in any investment plan. These costs could range from 0% to as much as 2% per year or moredepending on the type of investment activity and method of managing the accounts. In addition to annual feesand expenses, some investments may include an initial commission, sales charge or set up expense. If fees andexpenses are taken into account, the above rates of return would be lower. The rates used in the analysis areassumed to be net of any potential fees and expenses. If we assist you in selecting assets for your investmentportfolio, a complete description of any fees, expenses, commissions or other costs will be provided for eachinvestment selected.
Historical Asset Class Returns
This table shows the wide range of returns realized on various asset classes for different time periods.
Your financial analysis includes hypothetical portfolio illustrations. To help you understand the potential risksand rewards of investing, the following information shows some historical investment results. While theanalysis has used annual rates to illustrate possible scenarios, it does not attempt to specify which assetclasses, investment vehicles or combinations of classes you will actually use in your portfolio, as the portfoliomix will generally change several times in the future.
Asset Class
Treasury Bills
Bonds - Intermediate Govt.
Bonds - Long Term Govt.
Bonds - Long Term Corporate
Stocks - Small Companies
Stocks - Large Companies
Inflation
5 Year Return**
11.12%
16.98%
0.07%
0.96%
21.62%
22.51%
-2.14%
-2.22%
45.90%
28.60%
-27.54%
-12.47%
10.06% -5.42%
Return
3.54%
5.35%
5.54%
6.02%
12.43%
10.20%
2.99%
Annual*
Maximum
20 Year Return***
Minimum
7.72%
9.97%
0.42%
1.58%
12.09%
12.13%
0.69%
1.34%
21.13%
17.88%
5.74%
3.11%
6.36% 0.07%
* Annual return is the average compounded rate from 1926 through 2013.
** 5 year return is the highest and lowest average rolling return for all the 5 year periods from 1926 through 2013.
*** 20 year return is the highest and lowest average rolling return for all the 20 year periods from 1926 through 2013.
In any report that illustrates an annuity product, it is assumed that the product is a fixed annuity earninginterest as paid by the issuing company. With a fixed annuity you are generally protected against a loss ofprincipal. If a variable annuity should be selected by you for any portion of your portfolio, please be aware thatthe annual return and corresponding asset value, death benefit and cash values will be based on the underlyinginvestment choice, and could result in a zero or negative rate unless the product has specific terms limiting theloss of principal. The terms for annuity products will be spelled out in the annuity contract. The fees andcharges on any annuity contract will vary based on the company and features provided in the contract. Theycould range from a minimal amount to as much as 2.5% or more.
C1a
MinimumMaximum
Page 413/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Account SummaryNo Roth Conversion
In years when there is a surplus of spendable income, the surplus is reinvested into the asset accounts in theproportions shown below. Period 1 covers the years up to age 65.
In years when there is a shortage of spendable income from earnings, pensions, social security, interest anddividends taken in cash, and miscellaneous income sources, the shortage is made up by withdrawals from asset andretirement accounts. It is assumed that funds are taken in the following order - from taxable, equity and other non-qualified, tax-free, tax-deferred and then qualified retirement accounts.
Allocation of Surplus Cash Flow
C2
Page 423/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Account SummaryNo Roth Conversion
Ages
C3
TaxableAccount
Equity& Other
TaxFree
1 2 3 4 5 6 7 98
Retirement accounts Roth IRAs
SandyStuart
TaxDeferred
Begin. YearAccount
Totals
SandyStuart5.75% 6.00%7.50%6.00% 7.50% 7.50%7.50% 7.50%
$693,500 $1,735,80060 $565,00057 $477,300
784,259 1,953,68161 623,70358 545,719
882,237 2,172,26562 670,52959 619,499
988,509 2,424,51163 736,43360 699,569
1,103,710 2,613,38064 757,63361 752,037
1,228,002 2,816,80765 780,36562 808,440
1,307,822 2,819,94466 651,13363 860,989
1,392,830 2,846,61667 536,83364 916,953
1,483,364 2,902,91368 442,99465 976,555
1,579,783 3,016,56769 396,75366 1,040,031
1,682,469 3,135,86670 345,76467 1,107,633
1,726,060 3,216,50271 310,81368 1,179,629
1,768,408 3,298,56172 273,84869 1,256,305
1,809,188 3,369,10173 269,44670 1,290,467
1,848,039 3,448,50674 276,56671 1,323,901
1,884,563 3,564,85675 323,91172 1,356,382
1,918,321 3,682,29676 376,31573 1,387,660
1,949,275 3,800,68677 433,95274 1,417,459
1,976,506 3,919,18178 497,20275 1,445,473
1,999,979 4,036,72479 565,37976 1,471,366
2,019,186 4,152,81580 638,52177 1,495,108
2,033,578 4,266,99681 717,42478 1,515,994
2,042,567 4,378,98182 802,41679 1,533,998
2,045,522 4,487,89983 893,64780 1,548,730
2,041,772 4,593,04584 991,50481 1,559,769
2,031,575 4,694,08785 1,095,84982 1,566,663
2,014,369 4,790,27986 1,206,98083 1,568,930
1,989,578 4,880,83987 1,325,20784 1,566,054
1,956,614 4,965,26588 1,450,41985 1,558,232
1,914,886 5,042,75889 1,582,83786 1,545,035
1,865,348 5,113,21590 1,721,84787 1,526,020
1,807,675 5,175,86591 1,867,45488 1,500,736
1,741,585 5,229,96592 2,019,64989 1,468,731
1,666,857 5,259,13193 2,161,53990 1,430,735
1,585,453 5,274,21894 2,302,26691 1,386,499
C4 C5 C7 C8 C10,C10b...e C10a, C10b...e C11 C11a
Note: Rates shown above are for first year only. Refer to account reports for future year rates.
Page 433/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Total Working AssetsNo Roth Conversion
Ages
C3a
AccountBalances
PersonalDeposits
CompanyDeposits
1 2 3 4 5 6 7
Contributions Withdrawals
PersonalScheduled
Surplus or(Shortage)
AnnualReturn
RequiredMin. Distr*
$133,68560 $1,735,80057 $48,900 $20,520 $14,776
149,40261 1,953,68158 48,900 21,136 (854)
166,48562 2,172,26559 49,900 21,770 14,091
182,11963 2,424,51160 25,900 14,424 (33,574)
196,30064 2,613,38061 25,900 14,857 (33,630)
176,85365 2,816,80762 (173,716)
177,86666 2,819,94463 (151,193)
180,56767 2,846,61664 (124,270)
186,08868 2,902,91365 (72,434)
193,41569 3,016,56766 (74,116)
199,56070 3,135,86667 (55,435) (63,489)
204,66971 3,216,50268 (55,186) (67,424)
209,41872 3,298,56169 (21,432) (117,446)
214,15273 3,369,10170 (10,034) (124,713)
220,41574 3,448,50671 28,350 (132,415)
227,75375 3,564,85672 30,263 (140,576)
235,15676 3,682,29673 32,026 (148,792)
242,58877 3,800,68674 33,828 (157,921)
249,98978 3,919,18175 34,616 (167,063)
257,31479 4,036,72476 35,131 (176,355)
264,53380 4,152,81577 36,102 (186,454)
271,62181 4,266,99678 37,029 (196,666)
278,54282 4,378,98179 37,719 (207,343)
285,24583 4,487,89980 38,391 (218,490)
291,70084 4,593,04581 38,514 (229,172)
297,87285 4,694,08782 38,517 (240,198)
303,71386 4,790,27983 38,394 (251,547)
309,18287 4,880,83984 37,719 (262,474)
314,23988 4,965,26585 36,818 (273,564)
318,85789 5,042,75886 34,873 (283,274)
323,00890 5,113,21587 32,519 (292,876)
326,64391 5,175,86588 29,742 (302,284)
329,17292 5,229,96589 10,245 (310,251)
330,51493 5,259,13190 219 (315,647)
94 5,274,21891
C3
This report summarizes all the asset reports including savings and investments and retirement accounts.
Page 443/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Taxable AccountNo Roth Conversion
Ages
C4
Begin YearAccountBalance
AnnualDeposit
Cash Flow Surplus(short)
1 2 3 4 5 6 7
Annual Additions or Withdrawals Annual Interest
Cashwithdrawal
TaxableIncome
%Rate
$Amount
60 57 6.00
61 58 6.00
62 59 6.00
63 60 6.00
64 61 6.00
65 62 6.00
66 63 6.00
67 64 6.00
68 65 6.00
69 66 6.00
70 67 6.00
71 68 6.00
72 69 6.00
73 70 6.00
74 71 6.00
75 72 6.00
76 73 6.00
77 74 6.00
78 75 6.00
79 76 6.00
80 77 6.00
81 78 6.00
82 79 6.00
83 80 6.00
84 81 6.00
85 82 6.00
86 83 6.00
87 84 6.00
88 85 6.00
89 86 6.00
90 87 6.00
91 88 6.00
92 89 6.00
93 90 6.00
94 91B 19
Page 453/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Annual Additions or Withdrawals
Equity and Other AccountsNo Roth Conversion
Ages
C5
Begin YearAccountBalance
AnnualDeposit
Cash FlowSurplus (Short)
1 2 3 4 5 8 107
OrdinaryRate
At Div CGRate
Annual Rate of Return
Apprec
TotalAnnualReturn
Taxable Income
9
DividendInterest Capital Gain
6 11
CashWithdrawal
$43,0271.881.881.881.88$14,776 $21,510$565,00060 $90057 $10,754
46,7801.881.881.881.88(854) 23,390623,70361 90058 11,695
50,9131.881.881.881.8814,091 25,453670,52962 90059 12,726
53,8741.881.881.881.88(33,574) 26,945736,43363 90060 13,474
55,4621.881.881.881.88(33,630) 27,739757,63364 90061 13,871
44,4841.631.631.631.63(173,716) 22,273780,36565 62 11,144
36,8931.631.631.631.63(151,193) 18,474651,13366 63 9,243
30,4311.631.631.631.63(124,270) 15,238536,83367 64 7,624
26,1931.631.631.631.63(72,434) 13,109442,99468 65 6,558
23,1271.631.631.631.63(74,116) 11,577396,75369 66 5,792
20,4841.631.631.631.63(55,435) 10,252345,76470 67 5,128
18,2211.631.631.631.63(55,186) 9,120310,81371 68 4,563
17,0301.631.631.631.63(21,432) 8,519273,84872 69 4,260
17,1541.631.631.631.63(10,034) 8,579269,44673 70 4,290
18,9951.631.631.631.6328,350 9,492276,56674 71 4,745
22,1411.631.631.631.6330,263 11,065323,91175 72 5,531
25,6111.631.631.631.6332,026 12,800376,31576 73 6,398
29,4221.631.631.631.6333,828 14,705433,95277 74 7,351
33,5611.631.631.631.6334,616 16,775497,20278 75 8,386
38,0111.631.631.631.6335,131 18,999565,37979 76 9,498
42,8011.631.631.631.6336,102 21,394638,52180 77 10,695
47,9631.631.631.631.6337,029 23,975717,42481 78 11,986
53,5121.631.631.631.6337,719 26,749802,41682 79 13,373
59,4661.631.631.631.6338,391 29,726893,64783 80 14,861
65,8311.631.631.631.6338,514 32,909991,50484 81 16,453
72,6141.631.631.631.6338,517 36,3001,095,84985 82 18,148
79,8331.631.631.631.6338,394 39,9101,206,98086 83 19,953
87,4931.631.631.631.6337,719 43,7401,325,20787 84 21,868
95,6001.631.631.631.6336,818 47,7931,450,41988 85 23,895
104,1371.631.631.631.6334,873 52,0621,582,83789 86 26,030
113,0881.631.631.631.6332,519 56,5381,721,84790 87 28,268
122,4531.631.631.631.6329,742 61,2211,867,45491 88 30,609
131,6451.631.631.631.6310,245 65,8212,019,64992 89 32,910
140,5081.631.631.631.63219 70,2542,161,53993 90 35,127
2,302,26694 91
B19
Page 463/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
RatioCost/
Balance
Capital Gains WorksheetNo Roth Conversion
Ages
C6
Equity & OtherAccountBalance
CostBasis
1 2 3 4 5 6 7 98 10
AnnualAdditions
Withdrawalfor Cash
Flow
InterestDividend,
Capital Gain
NetAdditions/
WithdrawalsCash
Withdrawal
Annual CapitalGain (loss)
Change toBasis
60 $565,00057 $15,6760.70 $32,267 $47,943 $47,943$396,900
(854)61 623,70358 9000.71 35,085 35,131 35,131444,843
62 670,52959 14,9910.72 38,182 53,173 53,173479,974
(33,574)63 736,43360 9000.72 40,412 7,738 7,738533,147
(33,630)64 757,63361 9000.71 41,602 8,872 8,872540,884
(173,716)65 780,36562 0.70 33,387 (140,329) 41,469 (98,860)549,757
(151,193)66 651,13363 0.69 27,690 (123,503) 37,980 (85,523)450,896
(124,270)67 536,83364 0.68 22,840 (101,430) 32,396 (69,034)365,373
(72,434)68 442,99465 0.67 19,654 (52,780) 17,473 (35,307)296,339
(74,116)69 396,75366 0.66 17,355 (56,761) 19,417 (37,344)261,032
(55,435)70 345,76467 0.65 15,370 (40,065) 14,145 (25,920)223,688
(55,186)71 310,81368 0.64 13,673 (41,513) 15,099 (26,415)197,769
(21,432)72 273,84869 0.63 12,776 (8,656) 3,240 (5,417)171,354
(10,034)73 269,44670 0.62 12,867 2,833 2,833165,938
74 276,56671 28,3500.61 14,242 42,592 42,592168,770
75 323,91172 30,2630.65 16,602 46,865 46,865211,363
76 376,31573 32,0260.69 19,204 51,230 51,230258,227
77 433,95274 33,8280.71 22,062 55,890 55,890309,457
78 497,20275 34,6160.73 25,166 59,782 59,782365,347
79 565,37976 35,1310.75 28,504 63,635 63,635425,129
80 638,52177 36,1020.77 32,096 68,198 68,198488,764
81 717,42478 37,0290.78 35,967 72,996 72,996556,962
82 802,41679 37,7190.79 40,129 77,848 77,848629,958
83 893,64780 38,3910.79 44,594 82,985 82,985707,806
84 991,50481 38,5140.80 49,368 87,882 87,882790,791
85 1,095,84982 38,5170.80 54,455 92,972 92,972878,673
86 1,206,98083 38,3940.81 59,869 98,263 98,263971,645
87 1,325,20784 37,7190.81 65,615 103,334 103,3341,069,908
88 1,450,41985 36,8180.81 71,695 108,513 108,5131,173,242
89 1,582,83786 34,8730.81 78,098 112,971 112,9711,281,755
90 1,721,84787 32,5190.81 84,812 117,331 117,3311,394,726
91 1,867,45488 29,7420.81 91,836 121,578 121,5781,512,057
92 2,019,64989 10,2450.81 98,732 108,977 108,9771,633,634
93 2,161,53990 2190.81 105,381 105,600 105,6001,742,612
94 2,302,26691 0.801,848,212
C5C5C5C5 C5
Page 473/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Capital Gain or Capital Loss CarryforwardNo Roth Conversion
Ages
C6a
Annual CGDistributions
G/L on Sale ofAssets
Other Gain &Stock Option
1 2 3 4 5 6 98
Gain or Loss SourcesTaxableCapital
Gain (loss)Net
Gain/LossOther Loss &Stock Option
Net CapitalGain andDividend
AnnualDividend
AmountCarried
Forward7
$10,753 $10,753 $21,506$10,75360 57 $10,75311,695 11,694 23,38911,69561 58 11,69512,853 12,725 25,57812,85362 59 12,85313,195 13,474 26,66913,19563 60 13,19513,591 13,871 27,46213,59164 61 13,59151,327 11,144 62,4719,85865 41,46962 51,32746,103 9,243 55,3468,12466 37,98063 46,10339,099 7,624 46,7236,70467 32,39664 39,09923,493 6,557 30,0506,02168 17,47365 23,49324,658 5,791 30,4495,24269 19,41766 24,65818,862 5,128 23,9904,71770 14,14567 18,86219,251 4,562 23,8134,15371 15,09968 19,251
7,340 4,260 11,6004,10172 3,24069 7,3404,215 4,289 8,5044,21573 70 4,2154,954 4,744 9,6984,95474 71 4,9545,755 5,531 11,2865,75575 72 5,7556,635 6,398 13,0336,63576 73 6,6357,601 7,350 14,9517,60177 74 7,6018,642 8,385 17,0278,64278 75 8,6429,758 9,498 19,2569,75879 76 9,758
10,962 10,695 21,65710,96280 77 10,96212,259 11,985 24,24412,25981 78 12,25913,652 13,372 27,02413,65282 79 13,65215,145 14,861 30,00615,14583 80 15,14516,737 16,452 33,18916,73784 81 16,73718,433 18,148 36,58118,43385 82 18,43320,237 19,953 40,19020,23786 83 20,23722,147 21,868 44,01522,14787 84 22,14724,167 23,894 48,06124,16788 85 24,16726,287 26,029 52,31626,28789 86 26,28728,508 28,267 56,77528,50890 87 28,50830,829 30,609 61,43830,82991 88 30,82932,985 32,909 65,89432,98592 89 32,98535,128 35,126 70,25435,12893 90 35,128
94 91C5 C6 D7a D7a
Page 483/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Tax-Free AccountNo Roth Conversion
AgesCash
withdrawal
C7
Begin yearAccountBalance
AnnualInterest
AnnualDeposit
1 2 3 4 6
Cash FlowSurplus (short)
Annual Additions or Withdrawals Annual Interest
% Rate5
5.7560 57
5.7561 58
5.7562 59
5.7563 60
5.7564 61
5.7565 62
5.7566 63
5.7567 64
5.7568 65
5.7569 66
5.7570 67
5.7571 68
5.7572 69
5.7573 70
5.7574 71
5.7575 72
5.7576 73
5.7577 74
5.7578 75
5.7579 76
5.7580 77
5.7581 78
5.7582 79
5.7583 80
5.7584 81
5.7585 82
5.7586 83
5.7587 84
5.7588 85
5.7589 86
5.7590 87
5.7591 88
5.7592 89
5.7593 90
94 91B19
Page 493/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Tax-Deferred AccountNo Roth Conversion
Ages
C8
Begin YearAccountBalance
AnnualDeposit
Cash FlowSurplus (short)
1 2 3 4 5 6 87
Annual Additions or Withdrawals Annual Interest
%Rate
Cashwithdrawal
Taxable AccruedInterestTaxable
IncomeAnnual
Interest
60 57 6.00
61 58 6.00
62 59 6.00
63 60 6.00
64 61 6.00
65 62 6.00
66 63 6.00
67 64 6.00
68 65 6.00
69 66 6.00
70 67 6.00
71 68 6.00
72 69 6.00
73 70 6.00
74 71 6.00
75 72 6.00
76 73 6.00
77 74 6.00
78 75 6.00
79 76 6.00
80 77 6.00
81 78 6.00
82 79 6.00
83 80 6.00
84 81 6.00
85 82 6.00
86 83 6.00
87 84 6.00
88 85 6.00
89 86 6.00
90 87 6.00
91 88 6.00
92 89 6.00
93 90 6.00
94 91B19
Page 503/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
ByCompany
Retirement Accounts - StuartNo Roth Conversion
Age
C10
BalanceBy
Participant
1 2 3 4 5 6 7 98 10
PlansRequired
Min. Distr *Scheduled%
RateFor SpendShortage
AnnualInterest
Gross **Minimum
Distribution
Contributions Withdrawals Rate of Return
Roth
$13,20060 $693,500 7.50 $53,559$24,000
13,59661 784,259 7.50 60,38224,000
14,00462 882,237 7.50 67,76824,500
14,42463 988,509 7.50 75,77725,000
14,85764 1,103,710 7.50 84,43525,000
65 1,228,002 6.50 79,820
66 1,307,822 6.50 85,008
67 1,392,830 6.50 90,534
68 1,483,364 6.50 96,419
69 1,579,783 6.50 102,686
(63,489)70 1,682,469 6.50 107,080 63,489
(67,424)71 1,726,060 6.50 109,772 67,424
(71,595)72 1,768,408 6.50 112,375 71,595
(76,016)73 1,809,188 6.50 114,867 76,016
(80,700)74 1,848,039 6.50 117,224 80,700
(85,662)75 1,884,563 6.50 119,420 85,662
(90,487)76 1,918,321 6.50 121,441 90,487
(96,023)77 1,949,275 6.50 123,254 96,023
(101,359)78 1,976,506 6.50 124,832 101,359
(106,951)79 1,999,979 6.50 126,157 106,951
(112,804)80 2,019,186 6.50 127,196 112,804
(118,923)81 2,033,578 6.50 127,911 118,923
(125,311)82 2,042,567 6.50 128,266 125,311
(131,969)83 2,045,522 6.50 128,219 131,969
(137,958)84 2,041,772 6.50 127,760 137,958
(144,083)85 2,031,575 6.50 126,877 144,083
(150,326)86 2,014,369 6.50 125,535 150,326
(156,660)87 1,989,578 6.50 123,696 156,660
(163,051)88 1,956,614 6.50 121,324 163,051
(167,972)89 1,914,886 6.50 118,434 167,972
(172,717)90 1,865,348 6.50 115,044 172,717
(177,223)91 1,807,675 6.50 111,134 177,223
(181,415)92 1,741,585 6.50 106,687 181,415
(183,171)93 1,666,857 6.50 101,767 183,171
94 1,585,453
** Gross Required Minimum Distributions - using either IRS uniform Life Table, or Joint Life Table. IRAs are not subject to delayed starting age.
B19
* Remaining Required Minimum Distribution after adjustment for scheduled withdrawals (columns 4)
Page 513/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
ByCompany
Retirement Accounts - SandyNo Roth Conversion
Age
C10a
BalanceBy
Participant
1 2 3 4 5 6 7 98 10
PlansRequired
Min. Distr *Scheduled%
RateFor SpendShortage
AnnualInterest
Gross **Minimum
Distribution
Contributions Withdrawals Rate of Return
Roth
$7,32057 $477,300 7.50 $37,099$24,000
7,54058 545,719 7.50 42,24024,000
7,76659 619,499 7.50 47,80424,500
60 699,569 7.50 52,468
61 752,037 7.50 56,403
62 808,440 6.50 52,549
63 860,989 6.50 55,964
64 916,953 6.50 59,602
65 976,555 6.50 63,476
66 1,040,031 6.50 67,602
67 1,107,633 6.50 71,996
68 1,179,629 6.50 76,676
(45,851)69 1,256,305 6.50 80,013 45,851
(48,697)70 1,290,467 6.50 82,131 48,697
(51,715)71 1,323,901 6.50 84,196 51,715
(54,914)72 1,356,382 6.50 86,192 54,914
(58,305)73 1,387,660 6.50 88,104 58,305
(61,898)74 1,417,459 6.50 89,912 61,898
(65,703)75 1,445,473 6.50 91,596 65,703
(69,404)76 1,471,366 6.50 93,146 69,404
(73,651)77 1,495,108 6.50 94,537 73,651
(77,743)78 1,515,994 6.50 95,747 77,743
(82,032)79 1,533,998 6.50 96,764 82,032
(86,521)80 1,548,730 6.50 97,560 86,521
(91,215)81 1,559,769 6.50 98,109 91,215
(96,114)82 1,566,663 6.50 98,381 96,114
(101,221)83 1,568,930 6.50 98,345 101,221
(105,814)84 1,566,054 6.50 97,993 105,814
(110,513)85 1,558,232 6.50 97,316 110,513
(115,301)86 1,545,035 6.50 96,286 115,301
(120,159)87 1,526,020 6.50 94,876 120,159
(125,061)88 1,500,736 6.50 93,056 125,061
(128,836)89 1,468,731 6.50 90,840 128,836
(132,475)90 1,430,735 6.50 88,240 132,475
91 1,386,499
** Gross Required Minimum Distributions - using either IRS uniform Life Table, or Joint Life Table. IRAs are not subject to delayed starting age.
B19
* Remaining Required Minimum Distribution after adjustment for scheduled withdrawals (columns 4)
Page 523/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Roth Accounts - StuartNo Roth Conversion
Age
C11
Begin YearAccountBalance
Annual Deposit
1 2 3 4 5 6 7
CashWithdrawal401(k)
Cash Flow(shortage)
AnnualInterest
%Rate
Annual Additions or Withdrawals Annual Interest
Roth
7.5060
7.5061
7.5062
7.5063
7.5064
6.5065
6.5066
6.5067
6.5068
6.5069
6.5070
6.5071
6.5072
6.5073
6.5074
6.5075
6.5076
6.5077
6.5078
6.5079
6.5080
6.5081
6.5082
6.5083
6.5084
6.5085
6.5086
6.5087
6.5088
6.5089
6.5090
6.5091
6.5092
6.5093
94B19
Page 533/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Roth Accounts - SandyNo Roth Conversion
Age
C11a
Begin YearAccountBalance
Annual Deposit
1 2 3 4 5 6 7
CashWithdrawal401(k)
Cash Flow(shortage)
AnnualInterest
%Rate
Annual Additions or Withdrawals Annual Interest
Roth
7.5057
7.5058
7.5059
7.5060
7.5061
6.5062
6.5063
6.5064
6.5065
6.5066
6.5067
6.5068
6.5069
6.5070
6.5071
6.5072
6.5073
6.5074
6.5075
6.5076
6.5077
6.5078
6.5079
6.5080
6.5081
6.5082
6.5083
6.5084
6.5085
6.5086
6.5087
6.5088
6.5089
6.5090
91B19
Page 543/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Retirement Plan SummaryNo Roth Conversion
Ages
C13
BalanceBy
participantBy
company1 2 3 4 5 6 7
Contributions
For spendshortage
RequiredMin. Distr*Scheduled
Gross **Minimum
distributionAnnual
Withdrawals Return
8
$90,658$20,520$1,170,80060 $48,00057
102,62221,1361,329,97861 48,00058
115,57221,7701,501,73662 49,00059
128,24514,4241,688,07863 25,00060
140,83814,8571,855,74764 25,00061
132,3692,036,44265 62
140,9732,168,81166 63
150,1362,309,78367 64
159,8952,459,91968 65
170,2882,619,81469 66
(63,489) 179,076 63,4892,790,10270 67
(67,424) 186,448 67,4242,905,68971 68
(117,446) 192,388 117,4463,024,71372 69
(124,713) 196,998 124,7133,099,65573 70
(132,415) 201,420 132,4153,171,94074 71
(140,576) 205,612 140,5763,240,94575 72
(148,792) 209,545 148,7923,305,98176 73
(157,921) 213,166 157,9213,366,73477 74
(167,063) 216,428 167,0633,421,97978 75
(176,355) 219,303 176,3553,471,34579 76
(186,454) 221,732 186,4543,514,29480 77
(196,666) 223,658 196,6663,549,57281 78
(207,343) 225,030 207,3433,576,56582 79
(218,490) 225,779 218,4903,594,25283 80
(229,172) 225,869 229,1723,601,54184 81
(240,198) 225,258 240,1983,598,23885 82
(251,547) 223,880 251,5473,583,29986 83
(262,474) 221,689 262,4743,555,63287 84
(273,564) 218,639 273,5643,514,84688 85
(283,274) 214,720 283,2743,459,92189 86
(292,876) 209,920 292,8763,391,36890 87
(302,284) 204,190 302,2843,308,41191 88
(310,251) 197,527 310,2513,210,31692 89
(315,647) 190,006 315,6473,097,59293 90
2,971,95294 91
Summary of retirement and Roth accounts
Page 553/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Asset Allocation
As you manage your portfolio of savings and investment assets, it is important that you consider how thecharacteristics of each asset matches your overall level of risk tolerance and your current financial goals. Thechart below illustrates a suggested percentage of assets for various risk tolerance levels.
C18
No Roth Conversion
VeryConservativeAsset Class Conservative Moderate Aggressive Very Aggressive
YourCustom
Allocation
At your age 60 we have prepared this plan for a Conservative investor.*
Typical percentage (%) of assets allocated for various risk levels.
520Reserves 5 201520
1025Income 10 252030
2025Growth and income 15 252040
3525Growth 25 253010
305Aggressive Growth 45 515
Misc
The allocation percentages illustrated above are only suggestions for your consideration, and are not intendedto be a permanent allocation. As time passes and your goals change, it will be important that you review yourportfolio to assure that the current mix of your assets is appropriate for your goals and for current economicand market conditions.
This Asset Allocation does not guarantee a profit or protect against loss in declining markets.
100 100 100 100 100
*After consideration of your personal goals and risk level, your suggested asset allocation has been customizedto reflect a suggested amount for the various asset classes, shown in the last column on the right.
Page 563/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Asset Allocation Graph C19
No Roth Conversion
The following graph is provided to help you more easily visualize your present and suggested asset allocation. Thissuggested mix is intended only for the current period, and you are encouraged to return regularly to review yourpersonal goals and resources, the financial environment and to determine whether changes to the suggested mixis appropriate. The percentages shown on the label area indicate the "Present / Suggested" percent for each assetclass.
C18
Present Suggested
Res 0.00% 20.00%
Inc 32.55% 25.00%
Inc/Gr 0.00% 25.00%
Gr 67.45% 25.00%
AgGr 0.00% 5.00%
Misc 0.00% 0.00%
Asset Allocation does not guarantee a profit or protect against loss in declining markets.
Page 573/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Allocation Worksheet
The following worksheet compares your present assets to the percentages suggested for your particular goalsand risk tolerance level. If the amount in a class is too large or small, then the amount you might considermoving into or out of a category is shown in the "Amount To Move" column.
C20
Suggested
Amount
Present
Percent PercentAmount (or out)
Amount toMove In
Asset Class
No Roth Conversion
Reserves $347,16020.00%$347,160
32.55%565,000Income (131,050)25.00%433,950
Growth and income 433,95025.00%433,950
67.45%1,170,800Growth (736,850)25.00%433,950
Aggressive Growth 86,7905.00%86,790
Misc
It will be important to re-evaluate your asset mix on a regular basis and determine which assets should be onpercentages illustrated above are only suggestions for your consideration, and are not intended furtherincreased or decreased. As you make changes to your portfolio you should carefully review your current lifestyleneeds and goals.
Please recognize that the asset mix suggested above is not intended as a guarantee or assurance of futureresults. The suggested asset classes and their percentages do not represent an offer to sell or a solicitation of apurchase of any particular security, but are provided only as an illustration of a possible portfolio mix based onyour stated goals and risk level.
Asset allocation does not guarantee a profit or protect against loss in declining markets.
* The asset category amounts shown do not include your residence and personal property.
$1,735,800Total* $1,735,800
Page 583/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Risk
In every aspect of life, we are faced with varying degrees of unknown outcomes. These uncertainties in life aresometimes referred to as areas of "Risk". In particular, financial matters are commonly described as either "Safe"
If you own a $10,000 certificate of deposit earning 5% interest, you will receive $500 per year interest.Since the account is insured by the FDIC and the interest is guaranteed for a set time frame, this mayseem like a "safe" investment. If we experience inflation at the rate of 3% per year, the purchasingpower of the $500 income will be reduced after the first year to $485, and after 10 years to $372. Thepurchasing power of the $10,000 after 10 years will be reduced to $7,441. This loss is a permanent onewith no chance for recovery unless our economy goes into a protracted deflationary cycle.
Using the same $10,000 as above, and assuming you are in the 25% tax bracket, the $500 interestwould be reduced to $375 after taxes. After 10 years, the $500 interest after taxes and inflation wouldprovide purchasing power of only $277.
Loss of Purchasing Power:
If you place all or most of your financial assets into illiquid assets like real estate, mortgages or notes,small business interests or even tax deferred retirement accounts with severe early withdrawalpenalties, then you may find that you no longer have control of your financial future. If your personalfinancial affairs take a turn for the worse due to a disability, loss of employment, death in the family orother unforeseen event, and you cannot readily reposition your assets to meet your new needs, thenyou are exposed to the risk of not being in control of your financial well being.
Tax Loss:
Although there are other types of risk that could be considered, the above examples will illustrate that it isimportant to properly plan and balance your financial assets so that all possibilities are considered. As yourfinancial plan is created, we take into consideration your levels of comfort with different type of assets and withattention to your personal situation and goals.
Loss of Principal:
If you have $10,000 invested in a stock, the stock declines in value to $5,000, and you sell the stock,then you have suffered a loss of principal. On the other hand, if you do NOT sell the stock while thevalue is down, and the stock recovers to $10,000 then you have not suffered a loss. Time anddiversification are keys to mitigating this type of loss.
It is important to recognize that the term "Risk" can refer to more than simply the loss of your money. Some ofthe different types of risk are described below.
Illiquidity:
C21
No Roth Conversion
Page 593/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Liquidity
The above graph illustrates the liquidity level of your working assets, measuring the ability to convert workingassets to cash if needed.
If you have too much of your money in "non-liquid" investments you may someday find yourself in a positionwhere you need to have quick cash, but are unable to convert enough of your assets quickly.
* Excluding residence and personal assets. Includes retirement accounts.
** Includes residence and personal assets in non-liquid category.
C22
No Roth Conversion
A13
Other
Non-Liquid
Your working asset liquidity ratio (cash and liquid assets divided by all working* assets) is 100%
Your total liquidity level including your residence and personal property is 50%.
Total Assets** Working assets*
Liquid
Cash & Reserves $0
0
1,735,800
This is a very high level of working asset liquidity, providing a comfortable margin of safety.
00
1,735,800
$0
1,729,800
Page 603/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Liquidity Analysis
Liquidity is a measure of the ability to convert assets to cash. This can be important in two major instances ...
SECOND - In the event of loss of income due to death or disability, there may be a need to reposition someof the assets to change from a growth oriented to a more income oriented asset position. If too much ofyour assets are positioned in non-liquid accounts, you may find it impossible to make the changes requiredwithout paying substantial penalties or taxes, or you may find it difficult or impossible to make the changesat all.
These are generally assets that can quickly be taken in cash without significantdelay and without substantial loss of value. Included in this group are yourchecking, savings, US savings bond accounts, and money market funds.
CASH and RESERVES
LIQUID INVESTMENTS
FIRST - In times of economic disruption, cash is king. If a substantial portion of your net worth is held inassets that are not readily convertible to cash, you may find their value rapidly fluctuating. This couldseverely hamper your ability to move them to a "safe haven" if needed.
These accounts can be converted to cash in a reasonable length of time, but theymay suffer an unpredictable loss due to market fluctuations, liquidationpenalties or other complications. Some assets like annuities, CDs and retirementaccounts may be subject to liquidation penalties and/or taxes which may makeliquidation less attractive. Included in this category are Gov't T-Bills and bonds,corporate bonds, tax-advantaged municipal bonds, fixed or variable annuities,variable life insurance, certificates of deposit, mutual funds, stocks and othersecurities.
OTHER ASSETS
NON-LIQUID ASSETS
These accounts are considered non-liquid, meaning that even if you want to sellor dispose of them, there may not be a ready buyer for the asset. This includesreal estate, partnerships, mortgages and notes. Residence, personal propertyand cash values are included in "All Assets" category.
Items in this category are most likely to be non-liquid or may suffer substantialloss if they must be sold quickly. They include business interests, other ventures,and tangibles.
Total of all assets
Liquid assets (Cash, Reserves and Liquid investments)
Liquidity ratio (Liquid assets divided by Total Assets)
$1,735,800
50%
$1,735,800
$1,735,800$3,465,600
$1,729,800
$1,735,800$1,735,800
100%
*Includes residence, all types of personal property, insurance cash values, savings, investments and retirement assets.
**Includes only savings, investment and retirement account assets.
C23
No Roth Conversion
Assets*
Working
Assets**
All
Page 613/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Income Tax
Analysis of your taxable income sources, exemptions, deductions andFederal and State taxes due.
The analysis includes phaseouts of itemized deductions and exemptions,where required, special dividend and capital gain rates, AMT and otheritems affecting your income tax and financial results.
Page 623/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Income Tax Calculation
The tax calculations prepared in this report use the actual federal tax rate schedules as published by the IRS. Inother words, the taxable income reported herein is taxed first at the 10% level, then 15% and so forth, based on theactual breakpoints provided by the IRS. A financial plan that is prepared using only a single estimated tax bracket toillustrate the amount of taxes due can substantially understate or overstate the actual real tax impact on the plan.
No Roth Conversion
On January 1, 2013, this act was signed into law extending tax cuts for individuals earning under$400,000/$450,000. It allowed the 2001 tax cuts to expire for anyone earning more than these amounts.
American Taxpayer Relief Act of 2012
Itemized deductions and personal exemptions are currently phased out for high income taxpayers. The 2012 taxchanges increase the phaseout limits and attach annual index adjustments.
Phaseout provisions:
Tax Rate Schedules:
Marginal Tax Bracket percentages:
Pre-tax Act
The Child Tax Credit is kept at $1,000 through 2017. Marriage penalty relief and a broader 15% rate bracket forjoint filers is now permanent. The standard deduction for married couples is kept at 200% of single rates.
The Alternative Minimum Tax exclusion levels were increased to $78,750 for married and $50,600 for single filersfor 2012 with annual indexing attached. Qualified dividends will continue to be taxed at long-term capital gainsrates. Dividends and capital gains will now be taxed at a rate of 0%, 15%, or 20% depending on the taxpayer'smarginal bracket, with an additional 3.8% Hospital Insurance tax on capital gains for anyone with an AGI over$200,000/$250,000.
Other changes:
Comparison of estimated income tax rate versus actual tax bracket calculations (married couple)
$50,000
Using 15%estimated
rate
$50,000
$7,500 $4,088
$33,400
$16,600
-- Income Level --
Using 2015tax rates.
Tax due...Tax due...
- Exemption and standard deduction
- a $3,413 or 46% difference.
D1
taxable
2001 2002 2003 2005
0.0%15.0%28.0%31.0%36.0%39.6%
27.5%15.0%10.0%
39.1%35.5%30.5%
10.0%15.0%27.5%30.0%35.0%38.6%
25.0%15.0%10.0%
35.0%33.0%28.0%
10.0%15.0%25.0%28.0%33.0%35.0%
Indexing of tax brackets:
A further complication of the tax planning aspect is the fact that many of the numbers used in computing taxes are"indexed" each year to compensate for the effects of inflation. These include personal exemptions, standarddeductions, marginal tax brackets and other items.
15.0%10.0%2014
25.0%
35.0%33.0%28.0%
39.6%
Page 633/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
D1aIncome Tax Planning
An important factor in any financial plan is consideration of the effect of income taxes, both now and in the future.Unfortunately there is a great deal of uncertainty about the nature of the income tax codes when it comes toplanning for the future. In recent years a number of tax changes have been passed by congress.
– Lowest tax bracket made permanent– New 39.6% tax rate introduced– Itemized deduction and exemption phaseout reinstated with higher thresholds– Child tax credit of $1,000 extended through 2017– Marriage tax penalty eliminated by rule– AMT relief made permanent with inflation indexing– Estate taxes stabilized based on 2010 law– Capital gains rates made permanent for anyone with Taxable Income less than $400,000/$450,000
ATRA In 2013, the American Taxpayer Relief Act provided some stability for future tax planning. An easy wayto summarize the effects of ATRA is this; for those earning more than $400,000/$450,000, the tax cuts of 2001 have"sunset". Changes include:
2015 tax rates
Single Rates Joint Rates
$9,225
$37,450
$90,750
$189,300
$411,500
10.00%
15.00%
25.00%
28.00%
33.00%
35.00%
$18,450
$74,900
$151,200
$230,450
$411,500
Now that Congress has made permanent changes to the tax code, new strategies and techniques are certain tocrop up. Most will likely revolve around keeping taxpayers under the new $400,000/$450,000 marginal rate, whichis also where capital gains rates increase from 15% to 20%.
Moving forward, it is important to consider the present and future tax implications and their effect on the taxstrategies you implement. The hardest part is attempting to anticipate future changes to the tax law. There willlikely be additional future changes that cannot be accurately predicted.
No Roth Conversion
25.00%
15.00%
10.00%
35.00%
33.00%
28.00%
This is the first time in more than 10 years that there is stability in the tax code moving forward. It remains to beseen what new planning techniques will be introduced, but the stability will allow more long term planning.
To make the most of tax planning, an understanding of the relative importance of planning and differenttechniques to your situation is needed. Taxpayers at the upper edge of the 35% bracket will need to make use ofstrategies that may not be necessary for those at the lower end of the 25% bracket. Current year planning can lookvery different based on the situation.
In addition, it is important to consider the long-term impact of taxes and your income streams. For instance, it maybe advantageous to convert some IRA or 401(k) money to Roth accounts in the years leading up to age 70. Thiscould reduce RMDs while in lower tax brackets so they do not push income levels into higher brackets. Tax planningdepends heavily on your situation, and not all solutions are for everyone. Make sure to work with a tax specialistwhen working to implement complex strategies.
39.60%$413,200 39.60% $464,850
Page 643/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
INCOME SOURCESEarned income
Interest and dividendsRetirement distributions
Pension incomeTaxable Social Security
Capital gains
Income Tax Chart
Federal income taxes, including personal exemptions and standard deductions, are computed using the IRS taxrate tables with all amounts indexed at 2.00 % per year.
No Roth Conversion
Total Income & Other Taxes
Taxable Income
Qualified plan contributionsItemized or Standard deductions
Residence mortgage interestCharitable contributions
Property taxesOther taxes
Miscellaneous deductionsPersonal exemptions
Less
Federal Income TaxAlternate Minimum Tax
Early distribution & other taxesState Income Tax
FICA, HI (Social Security) taxesLess: Federal credits
Less: State credits
D2
Page 653/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
The following calculations give an idea of the amount of taxes you might pay based on the income and assetinformation provided. These amounts are approximations only and the actual tax amounts may be higher orlower than illustrated.
Income Tax - Current Year D3
No Roth Conversion
Gross TaxableINCOME:
B9$287,000$287,000Salaries and wages
C4..C810,75410,754Interest
C6a10,75310,753Dividends*
C6 a10,75310,753Schedule D (net gain/loss)
$319,260GROSS INCOME
Adjustments:
C10-C10e($24,000)Retirement plan deposits - Stuart
(24,000)Retirement plan deposits - Sandy
$271,260ADJUSTED GROSS INCOME
Gross AllowedItemized Deductions: D10
$20,122$20,122Mortgage interest
15,96315,963Charitable contributions
2,500Medical expenses
24,48024,480Property taxes
18,23418,234State taxes
$184,461
Personal exemptions ( 4 )
($78,799)
($8,000)
$12,600
TAXABLE INCOME
Itemized deductions $78,799
or Standard deductions
D11
D7
TAX SUMMARY:
Federal Income Tax $35,905
FICA (Social Security) & HI Tax 19,996
Alternative Minimum Tax 6,486
State Income Tax 18,234
$80,621TOTAL TAXES
Your combined federal & state marginal tax bracket is 37.00 % .
Your total taxes equal 29.72 % of your Adjusted Gross Income, and 43.71% of your Taxable income.
*Dividend and Capital Gains taxed marginally at 15.00%.
Page 663/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Tax -vs- IncomeNo Roth Conversion
D4
Spendable income is defined here as your total sources of funds less the amount owed for taxes each year.Included in income sources are . . .
Earned income (salaries & wages)Pension and Social Security incomeInterest and dividends taken in cashOther (misc. income, net proceeds from sale of residence, life insurance proceeds, etc.)
Generally, income taxes will be highest during your earning years. In your later years as you start consuming yoursavings and investment accounts, the amount of income tax will gradually decrease as a percent of total income.There may be periods when the income tax is greater than the income sources. This usually occurs when you aredrawing from capital accounts to meet your need for income.
Page 673/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Tax -vs- Expense GraphNo Roth Conversion
D5
In a given year there are many factors that affect the amount of income and other taxes payable. This graphattempts to show the amount of taxes paid each year compared to other expenses. The expenses coveredinclude. . .
Personal living expensesLife insurance premiumsDebt paymentsAsset and retirement account depositsOther misc. expenses
Causes for high taxes relative to other expenses could include increased distribution from pension plans or otherqualified plans, liquidation of assets generating a capital gain, liquidation of tax-deferred investment or higheramounts of earned income compared to the scheduled expenses.
Page 683/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Tax SummaryNo Roth Conversion
Ages
D6
FederalIncome Tax
AdditionalAMT Tax
FederalCredits
1 2 3 4 5 6 7 98
Federal Income Tax Amounts
StateTax
Total Fed.Income Tax
Early distr. &other tax
TotalTaxes
FICAand HI
Tax
AdditionalState Tax
or (credits)
$42,391 $19,996 $80,621$35,90460 $6,48757 $18,564 ($330)
45,298 20,927 85,45038,15061 7,14858 19,555 (330)
48,023 21,648 89,85340,28162 7,74259 20,512 (330)
18,508 10,411 40,86818,50863 60 12,279 (330)
19,711 10,645 42,90319,71164 61 12,877 (330)
1,82865 62 2,158 (330)
1,12066 63 1,450 (330)
2,81067 64 3,140 (330)
1,08268 65 1,412 (330)
1,12869 66 1,458 (330)
8,355 17,1478,35570 67 9,122 (330)
9,062 18,3289,06271 68 9,596 (330)
19,661 32,31719,66172 69 12,986 (330)
21,155 34,38421,15573 70 13,559 (330)
23,026 37,15823,02674 71 14,462 (330)
24,975 40,04924,97575 72 15,404 (330)
26,969 43,01026,96976 73 16,371 (330)
29,544 46,65329,19577 34974 17,439 (330)
32,590 393 51,18231,45778 1,13375 18,529 (330)
35,731 925 55,97833,75779 1,97476 19,652 (330)
39,162 1,229 60,92736,29380 2,86977 20,866 (330)
42,694 1,376 65,86438,88981 3,80578 22,124 (330)
46,406 1,535 71,31141,53682 4,87079 23,700 (330)
50,314 1,704 77,04544,34983 5,96580 25,357 (330)
54,154 1,886 82,70947,07984 7,07581 26,999 (330)
58,174 2,079 88,63249,95085 8,22482 28,709 (330)
62,348 2,285 94,78952,90986 9,43983 30,486 (330)
66,470 2,503 100,89855,82287 10,64884 32,255 (330)
70,697 2,734 107,17758,89688 11,80185 34,076 (330)
74,547 2,977 112,98461,77389 12,77486 35,790 (330)
78,445 3,231 118,87264,66490 13,78187 37,526 (330)
82,328 3,497 124,77167,55091 14,77888 39,276 (330)
93,188 3,754 136,41773,68792 19,50189 39,640 (165)
95,875 4,004 145,63287,04093 8,83590 45,918 (165)
94 91D8 D12 D13, D14 D17 D17 D15
Page 693/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Taxable Income AnalysisNo Roth Conversion
Ages
D7
EarnedIncome
(includingnon-cash)
InterestDividendCap Gain
QualifiedPlan
Distribution
1 2 3 4 5 6 9 118
TaxableOrdinary
Income
Net CapitalGain, Div,§
1250
Exemp-tions
Item/StdDeductions
10
TaxableSocial
Security
Less *
7 12
PensionPlans
OtherTaxable
Income**Adjust-ments
AGI(includingcap gain)
$162,955$78,799 $21,506$287,00060 $32,26057 ($48,000) $8,000$271,260
170,89380,212 23,389295,61061 35,08458 (48,000) 8,200282,694
178,27281,633 25,578304,47862 38,30459 (49,000) 8,300293,782
93,74366,531 26,669180,30063 40,14360 (25,000) 8,500195,443
98,79467,086 27,462185,70964 41,33361 (25,000) 8,700202,042
47,035 17,78065 73,61562 8,80073,615
45,173 10,41666 64,58963 9,00064,589
46,780 27,30067 54,34764 28,932 9,20083,279
43,984 9,62968 36,60865 26,405 9,40063,013
43,369 9,89969 36,24166 26,627 9,60062,868
63,20253,5472,40063,489 23,99070 29,11867 55,532 9,800150,540
68,06653,1122,44867,424 23,81371 28,37668 56,643 9,900154,891
114,36057,5182,497117,446 11,60072 15,86069 57,776 10,100193,579
123,05057,1322,547124,713 8,50473 12,79470 58,931 10,300198,986
130,68858,5802,598132,415 9,69874 14,44371 60,110 10,600209,566
138,41860,8512,650140,576 11,28675 16,81772 61,312 10,800221,355
146,25263,1792,703148,792 13,03376 19,43173 62,538 11,000233,464
154,92865,6902,757157,921 14,95177 22,30274 63,789 11,200246,769
163,67368,2532,812167,063 17,02778 25,41375 65,065 11,400260,353
172,50170,8862,868176,355 19,25679 28,75476 66,366 11,700274,343
182,18073,6892,926186,454 21,65780 32,35277 67,694 11,900289,426
192,01176,5722,984196,666 24,24481 36,23078 69,048 12,100304,927
201,95479,8353,044207,343 27,02482 40,39779 70,428 12,400321,212
212,45583,2393,105218,490 30,00683 44,86780 71,837 12,600338,299
222,53186,6353,167229,172 33,18984 49,64281 73,274 12,900355,255
233,06090,1553,230240,198 36,58185 54,72982 74,739 13,100372,896
243,83193,7983,295251,547 40,19086 60,14383 76,234 13,400391,219
254,31797,4443,361262,474 44,01587 65,88384 77,759 13,700409,477
265,111101,1903,428273,564 48,06188 71,95685 79,314 13,900428,262
274,714104,7863,496283,274 52,31789 78,34686 80,900 14,200446,016
284,295108,4343,566292,876 56,77590 85,04387 82,518 14,500464,004
293,779112,1213,638302,284 61,43891 92,04788 84,169 14,800482,138
274,502112,2853,710310,251 65,89492 98,80489 47,467 7,550460,232
320,78874,4863,785315,647 70,25493 105,38190 48,416 7,700473,229
94 91
D18
*Adjusted for 2012 Tax Act reintroducing phaseout provision. ** Includes stock options, unrecaptured §1250 gain and other income items..
D7a C10a..C10e B12 B10 D17 D9 D6 D6 D11 C6a
Page 703/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Taxable Interest
Interest, Dividend, Capital Gain SourcesNo Roth Conversion
Ages
D7a
TaxableAccount
Tax DeferredAccount
EquityAccount
1 2 3 4 5 6 9 118
Add'lGain/Loss
§ 1250Unrecaptured
GainSale ofAssets
R/E Sale,Stock Opt.
Capital Gain / Loss
7
DividendsTotal
InterestEquity
CG Distr.Total
CG/Loss
10
$10,753 $10,753$10,754 $10,754$10,75460 57
11,695 11,69511,695 11,69511,69561 58
12,853 12,85312,726 12,72612,72662 59
13,195 13,19513,474 13,47413,47463 60
13,591 13,59113,871 13,87113,87164 61
9,858 51,32741,46911,144 11,14411,14465 62
8,124 46,10437,9809,243 9,2439,24366 63
6,704 39,10032,3967,624 7,6247,62467 64
6,021 23,49417,4736,558 6,5586,55868 65
5,242 24,65919,4175,792 5,7925,79269 66
4,717 18,86214,1455,128 5,1285,12870 67
4,153 19,25215,0994,563 4,5634,56371 68
4,101 7,3413,2404,260 4,2604,26072 69
4,215 4,2154,290 4,2904,29073 70
4,954 4,9544,745 4,7454,74574 71
5,755 5,7555,531 5,5315,53175 72
6,635 6,6356,398 6,3986,39876 73
7,601 7,6017,351 7,3517,35177 74
8,642 8,6428,386 8,3868,38678 75
9,758 9,7589,498 9,4989,49879 76
10,962 10,96210,695 10,69510,69580 77
12,259 12,25911,986 11,98611,98681 78
13,652 13,65213,373 13,37313,37382 79
15,145 15,14514,861 14,86114,86183 80
16,737 16,73716,453 16,45316,45384 81
18,433 18,43318,148 18,14818,14885 82
20,237 20,23719,953 19,95319,95386 83
22,147 22,14721,868 21,86821,86887 84
24,167 24,16723,895 23,89523,89588 85
26,287 26,28726,030 26,03026,03089 86
28,508 28,50828,268 28,26828,26890 87
30,829 30,82930,609 30,60930,60991 88
32,985 32,98532,910 32,91032,91092 89
35,128 35,12835,127 35,12735,12793 90
94 91
C6C4 C8 C5 C5 C5 B15, C12, C24 C24
Page 713/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Federal Income Tax WorksheetNo Roth Conversion
Ages
D8
FilingStatus
TaxableOrdinary
Income
Cap. Gain,Div. &
§ 1250
1 2 3 4 5 6 10 128
TotalTax
MaxCG
Rate
Cap. GainDiv &
§ 1250 Tax
OrdinaryIncome
Tax
117 13
Marginal rate brackets indexed at 2.0 %
9
$464,850 $32,679$3,226$18,450 $74,900$21,506 $35,904Joint60 $162,95557 $151,200 $230,450 15%$411,500
474,147 34,6433,50818,819 76,39823,389 38,150Joint61 170,89358 154,224 235,059 15%419,730
483,630 36,4443,83719,195 77,92625,578 40,281Joint62 178,27259 157,308 239,760 15%428,125
493,303 14,5084,00019,579 79,48426,669 18,508Joint63 93,74360 160,455 244,555 15%436,687
503,169 15,5924,11919,971 81,07427,462 19,711Joint64 98,79461 163,664 249,446 15%445,421
513,23220,370 82,69617,780Joint65 62 166,937 254,435 454,329
523,49720,778 84,35010,416Joint66 63 170,276 259,524 463,416
533,96721,193 86,03727,300Joint67 64 173,681 264,715 472,684
544,64621,617 87,7579,629Joint68 65 177,155 270,009 482,138
555,53922,049 89,5129,899Joint69 66 180,698 275,409 491,781
566,650 8,35622,490 91,30323,990 8,355Joint70 63,20267 184,312 280,917 501,616
577,983 9,06322,940 93,12923,813 9,062Joint71 68,06668 187,998 286,536 511,649
589,542 17,9211,74023,399 94,99111,600 19,661Joint72 114,36069 191,758 292,266 15%521,881
601,333 19,8801,27623,867 96,8918,504 21,155Joint73 123,05070 195,593 298,112 15%532,319
613,360 21,5721,45524,344 98,8299,698 23,026Joint74 130,68871 199,505 304,074 15%542,966
625,627 23,2821,69324,831 100,80611,286 24,975Joint75 138,41872 203,495 310,155 15%553,825
638,139 25,0141,95525,328 102,82213,033 26,969Joint76 146,25273 207,565 316,358 15%564,901
650,902 26,9532,24325,834 104,87814,951 29,195Joint77 154,92874 211,717 322,686 15%576,199
663,920 28,9032,55426,351 106,97617,027 31,457Joint78 163,67375 215,951 329,139 15%587,723
677,199 30,8702,88826,878 109,11519,256 33,757Joint79 172,50176 220,270 335,722 15%599,478
690,743 33,0453,24927,416 111,29721,657 36,293Joint80 182,18077 224,675 342,437 15%611,467
704,557 35,2523,63727,964 113,52324,244 38,889Joint81 192,01178 229,169 349,285 15%623,697
718,649 37,4834,05428,523 115,79427,024 41,536Joint82 201,95479 233,752 356,271 15%636,171
733,022 39,8484,50129,094 118,11030,006 44,349Joint83 212,45580 238,427 363,396 15%648,894
747,682 42,1024,97829,676 120,47233,189 47,079Joint84 222,53181 243,196 370,664 15%661,872
762,636 44,4635,48730,269 122,88136,581 49,950Joint85 233,06082 248,060 378,078 15%675,109
777,888 46,8806,02930,875 125,33940,190 52,909Joint86 243,83183 253,021 385,639 15%688,612
793,446 49,2206,60231,492 127,84644,015 55,822Joint87 254,31784 258,081 393,352 15%702,384
809,315 51,6877,20932,122 130,40348,061 58,896Joint88 265,11185 263,243 401,219 15%716,431
825,501 53,9257,84832,764 133,01152,317 61,773Joint89 274,71486 268,508 409,243 15%730,760
842,011 56,1488,51633,420 135,67156,775 64,664Joint90 284,29587 273,878 417,428 15%745,375
858,852 58,3359,21634,088 138,38461,438 67,550Joint91 293,77988 279,355 425,777 15%760,283
778,692 63,8039,88417,385 70,57665,894 73,687Single92 274,50289 171,022 356,744 15%775,488
794,266 76,50210,53817,733 71,98870,254 87,040Single93 320,78890 174,442 363,878 15%790,998
94 91
D7 D7
Page 723/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
One HalfSelf Empl
Taxes
Adjustments to Income, Passive IncomeNo Roth Conversion
Ages
D9
QualifiedPlan
Contrib.
1 2 3 4 5 7 98 10
Self EmplMedical
PremiumsOther
AdjustmentsAlimony
PassiveGain or
(Loss)Total
AdjustmentsAllowable
Amount
LossCarry
Forward
$48,00060 $48,00057
48,00061 48,00058
49,00062 49,00059
25,00063 25,00060
25,00064 25,00061
65 62
66 63
67 64
68 65
69 66
70 67
71 68
72 69
73 70
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88
92 89
93 90
94 91D14C10...C10e D15 C24
Page 733/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
CharitableContribution
Itemized Deduction & ExemptionNo Roth Conversion
Ages
D10
MortgageInterest
Deduction
MedicalExpense &
Premium
1 2 3 4 5 6 7 98 10
Propertyand
Other Tax
StateIncome
Tax
OtherDeductible
Interest
TotalItemized
Deduction
Misc.Itemized
DeductionNo.
Exmp
PersonalExemption
4000
$18,23460 $20,12257 $24,480$15,963 $78,799 2 $4,000
19,22561 18,98658 24,97017,031 80,212 2 4,100
20,18262 17,79959 25,46918,183 81,633 2 4,150
11,94963 16,56060 25,97812,044 66,531 2 4,250
12,54764 15,26561 26,49812,777 67,086 2 4,350
1,82865 13,91262 27,0284,267 47,035 2 4,400
1,12066 12,49963 27,5683,744 45,173 2 4,500242
2,81067 11,02364 28,1204,827 46,780 2 4,600
1,08268 9,48165 28,6823,652 43,984 2 4,7001,086
1,12869 7,87166 29,2563,644 43,369 2 4,8001,470
8,79270 6,18867 29,8418,726 53,547 2 4,900
9,26671 4,43168 30,4388,978 53,112 2 4,950
12,65672 2,59569 31,04711,221 57,518 2 5,050
13,22973 70170 31,66711,534 57,132 2 5,150
14,13274 71 32,30112,147 58,580 2 5,300
15,07475 72 32,94712,831 60,851 2 5,400
16,04176 73 33,60613,532 63,179 2 5,500
17,10977 74 34,27814,304 65,690 2 5,600
18,19978 75 34,96315,091 68,253 2 5,700
19,32279 76 35,66315,902 70,886 2 5,850
20,53680 77 36,37616,776 73,689 2 5,950
21,79481 78 37,10417,675 76,572 2 6,050
23,37082 79 37,84618,619 79,835 2 6,200
25,02783 80 38,60219,609 83,239 2 6,300
26,66984 81 39,37520,592 86,635 2 6,450
28,37985 82 40,16221,614 90,155 2 6,550
30,15686 83 40,96522,677 93,798 2 6,700
31,92587 84 41,78523,735 97,444 2 6,850
33,74688 85 42,62024,824 101,190 2 6,950
35,46089 86 43,47325,853 104,786 2 7,100
37,19690 87 44,34226,895 108,434 2 7,250
38,94691 88 45,22927,946 112,121 2 7,400
39,47592 89 46,13426,677 112,285 1 7,550
93 90 47,05627,430 74,486 1 7,700
94 91
B18
Page 743/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
GrossID
Itemized Deduction PhaseoutNo Roth Conversion
D11
IndexedStandard
Deduction*
1 2 3 4 5 6 87 9
Net IDTimes 80%
PhaseoutThresholdAGI
3.00%Times 6
AGI LessFloor Disallowed*
AdjustedID
Itemized Deduction Phaseout Calculations
$63,03960 $12,600 $271,260 $309,900 $78,799$78,799
64,16961 12,852 282,694 316,098 80,21280,212
65,30662 13,109 293,782 322,420 81,63381,633
53,22563 13,371 195,443 328,868 66,53166,531
53,66964 13,639 202,042 335,446 67,08667,086
37,62865 15,292 73,615 342,155 47,03547,035
36,13866 15,597 64,589 348,998 45,17345,173
37,42467 15,909 83,279 355,978 46,78046,780
35,18768 17,692 63,013 363,097 43,98443,984
34,69569 18,046 62,868 370,359 43,36943,369
42,83870 18,407 150,540 377,766 53,54753,547
42,49071 18,775 154,891 385,322 53,11253,112
46,01572 19,150 193,579 393,028 57,51857,518
45,70673 19,533 198,986 400,889 57,13257,132
46,86474 19,924 209,566 408,906 58,58058,580
48,68175 20,323 221,355 417,085 60,85160,851
50,54376 20,729 233,464 425,426 63,17963,179
52,55277 21,144 246,769 433,935 65,69065,690
54,60278 21,567 260,353 442,614 68,25368,253
56,70979 21,998 274,343 451,466 70,88670,886
58,95180 22,438 289,426 460,495 73,68973,689
61,25881 22,887 304,927 469,705 76,57276,572
63,86882 23,344 321,212 479,099 79,83579,835
66,59183 23,811 338,299 488,681 83,23983,239
69,30884 24,287 355,255 498,455 86,63586,635
72,12485 24,773 372,896 508,424 90,15590,155
75,03886 25,269 391,219 518,592 93,79893,798
77,95687 25,774 409,477 528,964 97,44497,444
80,95288 26,289 428,262 539,543 101,190101,190
83,82889 26,815 446,016 550,334 104,786104,786
86,74790 27,352 464,004 561,341 108,434108,434
89,69791 27,899 482,138 572,568 112,121112,121
89,82892 14,794 460,232 486,683 112,285112,285
59,58993 15,090 473,229 496,416 74,48674,486
94
D7D10
*Adjusted for 2012 tax code changes.
Page 753/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Alternative Minimum Tax WorksheetNo Roth Conversion
Ages
D12
TaxableIncome
+ Exemptions
MunicipalBond
IncomeItem. Ded.
Adjustments
1 2 3 4 5 6 9 118
TentativeMinimum
TaxTaxable
Cap. GainTax
Rate Tax
107 12
OtherPref. Item+ St. Opt.
LessExempt.
Amount*Taxable
(less CG)Tax
at 26%Tax
at 28%
AMT Tax on Ordinary Income AMT Tax on Capital Gains
$3,22615.00($63,031)$42,714 $42,391$192,46160 57 $150,638 $39,166 $21,506
3,50815.00(62,556)44,195 45,298202,48261 58 160,732 41,790 23,389
3,83715.00(62,275)45,651 48,023212,15062 59 169,947 44,186 25,578
3815.00(87,100)37,928 13,836128,91263 60 53,070 13,798 26,669
67915.00(88,400)39,045 15,794134,95664 61 58,138 15,116 27,462
(90,600)28,85626,58065 62
(92,500)28,68819,41666 63
(94,300)30,92936,50067 64
(96,200)29,76419,02968 65
(98,100)30,38419,49969 66
(100,100)38,633 2,99996,99270 67 11,536 2,999 23,990
(102,100)39,704 4,048101,77971 68 15,569 4,048 23,813
(104,100)43,703 16,656136,06072 69 64,063 16,656 11,600
(106,200)44,897 18,732141,85473 70 72,046 18,732 8,504
(108,300)46,433 20,649150,98674 71 79,421 20,649 9,698
(110,500)48,021 22,552160,50475 72 86,739 22,552 11,286
73015.00(112,242)49,647 25,340170,28576 73 94,657 24,611 13,033
2,24315.00(112,509)51,387 29,544181,07977 74 105,006 27,301 14,951
2,55415.00(112,710)53,162 32,590192,10078 75 115,525 30,036 17,027
2,88815.00(112,865)54,984 35,731203,45779 76 126,320 32,843 19,256
3,24915.00(112,863)56,912 39,162215,73780 77 138,130 35,914 21,657
3,63715.00(112,787)58,897 42,694228,35581 78 150,222 39,058 24,244
4,05415.00(112,677)61,216 46,406241,37882 79 162,893 42,352 27,024
4,50115.00(112,477)63,630 50,314255,06183 80 176,207 45,814 30,006
4,97815.00(112,334)66,043 54,154268,62084 81 189,140 49,176 33,189
5,48715.00(112,055)68,541 58,174282,74185 82 202,645 52,688 36,581
6,02915.00(111,739)71,121 62,348297,42186 83 216,614 56,320 40,190
6,60215.00(111,464)73,710 66,470312,03287 84 230,263 59,868 44,015
7,20915.00(111,190)76,366 70,697327,07288 85 244,187 63,489 48,061
7,84815.00(111,309)78,933 74,547341,23189 86 256,538 66,700 52,317
8,51615.00(111,373)81,539 78,445355,57090 87 268,960 69,930 56,775
9,21615.00(111,552)84,175 82,328370,01791 88 281,201 73,112 61,438
9,88415.00(47,261)85,609 93,188347,94692 89 320,400 83,304 65,894
10,53815.00(47,325)47,056 95,875398,74293 90 328,220 85,337 70,254
94 91
D7 D10
Page 763/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Early Distribution Penalty TaxNo Roth Conversion
Ages
D13
PensionIncome
AccountDistributions
Total QualifiedPlan Income
1 2 3 4 5 6 7
Stuart Sandy
PensionIncome
AccountDistributions
EarlyDistribution
PenaltyTotal Qualified
Plan IncomeTax Deferred
Accounts
60 57
61 58
62 59
63 60
64 61
65 62
66 63
67 64
68 65
69 66
70 67 63,489 63,489 2,400
71 68 67,424 67,424 2,448
72 69 71,595 71,595 45,851 48,348
73 70 76,016 76,016 48,697 51,244
74 71 80,700 80,700 51,715 54,313
75 72 85,662 85,662 54,914 57,564
76 73 90,487 90,487 58,305 61,008
77 74 96,023 96,023 61,898 64,655
78 75 101,359 101,359 65,703 68,515
79 76 106,951 106,951 69,404 72,272
80 77 112,804 112,804 73,651 76,577
81 78 118,923 118,923 77,743 80,727
82 79 125,311 125,311 82,032 85,076
83 80 131,969 131,969 86,521 89,626
84 81 137,958 137,958 91,215 94,382
85 82 144,083 144,083 96,114 99,344
86 83 150,326 150,326 101,221 104,516
87 84 156,660 156,660 105,814 109,175
88 85 163,051 163,051 110,513 113,941
89 86 167,972 167,972 115,301 118,797
90 87 172,717 172,717 120,159 123,725
91 88 177,223 177,223 125,061 128,699
92 89 181,415 181,415 128,836 132,546
93 90 183,171 183,171 132,475 136,260
94 91
B10 C10,C10a...C10e B10 C10,C10a...C10e
Page 773/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Additional Tax & DeductionsNo Roth Conversion
Age
D14
Federal(Credits) or
Additional Tax
State(Credits) orAddit'l Tax
Incr/Decrto Federal
Taxable Inc.
1 2 3 4 5 6
AdditionalCapital
Gain, (loss)
OtherPreference
AMT Income
Incr/Decrto State
Taxable Inc.
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
Page 783/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
FICA WorksheetNo Roth Conversion
Age
D15
MaximumSoc Sec
Wage Base
Wages * Self Empl
1 2 3 4 5 6 7
Stuart
Wages
Age
Hosp. Ins. Hosp. Ins.
* Self Empl
Sandy
6.20% 12.40%
1.45%
2.90%
1.45%
2.90%12.40%6.20%
57 $2,102$118,50060 $7,347 $7,347$3,200
58 2,233120,87061 7,494 7,4943,707
59 2,367123,28762 7,644 7,6443,994
60125,75363 7,797 2,614
61128,26864 7,953 2,693
62130,83465
63133,45066
64136,11967
65138,84268
66141,61869
67144,45170
68147,34071
69150,28772
70153,29273
71156,35874
72159,48575
73162,67576
74165,92977
75169,24778 393
76172,63279 925
77176,08580 1,229
78179,60681 1,377
79183,19982 1,535
80186,86383 1,705
81190,60084 1,886
82194,41285 2,080
83198,30086 2,285
84202,26687 2,504
85206,31188 2,734
86210,43889 2,977
87214,64690 3,232
88218,93991 3,498
89 3,755223,31892
90 4,004227,78493
9194
* Self employed FICA tax has been adjusted to 92.35% of SE income according to IRS Form SE.** Beginning in 2013 includes additional Medicare tax from Health Care Reconciliation Act
B9 B9 B9 B9
Page 793/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Taxable Social Security WorksheetNo Roth Conversion
Ages
D16
AdjustedGross Income
(SS)Tax-FreeInterest
1 2 3 4 5 6 7 8
* ExclusionAmount
SocialSecurity
* ExclusionAmount
TaxableSS
CurrentYear
TaxableTaxable
SS
50% method (pre '94) 85% method (post '93)
$44,0005760 $271,260 $32,000
44,0005861 282,694 32,000
44,0005962 293,782 32,000
44,0006063 195,443 32,000
44,0006164 202,042 32,000
44,0006265 73,615 32,000
44,0006366 64,589 32,000
28,932 28,93244,00017,0196467 54,347 32,00034,038
26,405 26,40544,00018,0036568 36,608 32,00062,795
26,627 26,62744,00018,1336669 36,241 32,00064,051
55,532 55,53244,00032,6666770 95,007 32,00065,332
56,643 56,64344,00033,3196871 98,248 32,00066,639
57,776 57,77644,00033,9866972 135,803 32,00067,972
58,931 58,93144,00034,6667073 140,054 32,00069,331
60,110 60,11044,00035,3597174 149,456 32,00070,718
61,312 61,31244,00036,0667275 160,043 32,00072,132
62,538 62,53844,00036,7877376 170,926 32,00073,575
63,789 63,78944,00037,5237477 182,980 32,00075,046
65,065 65,06544,00038,2747578 195,288 32,00076,547
66,366 66,36644,00039,0397679 207,977 32,00078,078
67,694 67,69444,00039,8207780 221,732 32,00079,640
69,048 69,04844,00040,6167881 235,880 32,00081,232
70,428 70,42844,00041,4297982 250,784 32,00082,857
71,837 71,83744,00042,2578083 266,462 32,00084,514
73,274 73,27444,00043,1028184 281,981 32,00086,204
74,739 74,73944,00043,9648285 298,157 32,00087,929
76,234 76,23444,00044,8448386 314,985 32,00089,687
77,759 77,75944,00045,7408487 331,718 32,00091,481
79,314 79,31444,00046,6558588 348,948 32,00093,310
80,900 80,90044,00047,5888689 365,116 32,00095,177
82,518 82,51844,00048,5408790 381,485 32,00097,080
84,169 84,16944,00049,5118891 397,969 32,00099,022
47,467 47,46734,00027,9228992 412,765 25,00055,843
48,416 48,41634,00028,4809093 424,813 25,00056,9609194
D7 C7 B10
* The SS exclusion amounts are not indexed for inflation at the present time.
Page 803/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
State Income Tax (est.)No Roth Conversion
Ages
D17
State
* StateTax
Code* Federal
Amount
1 2 3 4 5 6 9 118
EstimatedState
Tax
EstimatedNet State
Tax
NetState
Taxable
* StateTax
Rate
7
Add BackState Tax &Fed Exemp.
StatePersonal
Exemp.
StateCredits orAdd'l Tax
10
Incr/DecrState
Taxable
$18,564 $18,234($330)$211,025$184,461 $26,5641OR60 57
19,555 19,225(330)222,038194,282 27,7551OR61 58
20,512 20,182(330)232,661203,850 28,8121OR62 59
12,279 11,949(330)141,191120,412 20,7791OR63 60
12,877 12,547(330)147,833126,256 21,5771OR64 61
2,158 1,828(330)28,73817,780 10,9581OR65 62
1,450 1,120(330)20,86610,416 10,4501OR66 63
3,140 2,810(330)39,63927,300 12,3401OR67 64
1,412 1,082(330)20,4419,629 10,8121OR68 65
1,458 1,128(330)20,9579,899 11,0581OR69 66
9,122 8,792(330)106,11587,192 18,9221OR70 67
9,596 9,266(330)111,37491,879 19,4961OR71 68
12,986 12,656(330)149,046125,960 23,0861OR72 69
13,559 13,229(330)155,413131,554 23,8591OR73 70
14,462 14,132(330)165,448140,386 25,0621OR74 71
15,404 15,074(330)175,908149,704 26,2041OR75 72
16,371 16,041(330)186,656159,285 27,3711OR76 73
17,439 17,109(330)198,518169,879 28,6391OR77 74
18,529 18,199(330)210,628180,700 29,9291OR78 75
19,652 19,322(330)223,108191,757 31,3521OR79 76
20,866 20,536(330)236,604203,837 32,7661OR80 77
22,124 21,794(330)250,479216,255 34,2241OR81 78
23,700 23,370(330)265,078228,978 36,1001OR82 79
25,357 25,027(330)280,418242,461 37,9571OR83 80
26,999 26,669(330)295,619255,720 39,8991OR84 81
28,709 28,379(330)311,449269,641 41,8091OR85 82
30,486 30,156(330)327,908284,022 43,8861OR86 83
32,255 31,925(330)344,287298,332 45,9551OR87 84
34,076 33,746(330)361,148313,172 47,9761OR88 85
35,790 35,460(330)377,020327,030 49,9901OR89 86
37,526 37,196(330)393,096341,070 52,0261OR90 87
39,276 38,946(330)409,292355,217 54,0761OR91 88
39,640 39,475(165)387,587340,397 47,1901OR92 89
45,918 45,753(165)444,660391,042 53,6181OR93 90
94 91
D8 D14
* State tax is computed using: 1=State Tax Table or Percent of 2=Gross income, 3=AGI, 4=Federal Tax, 5=Fed Taxable Income
D14
Page 813/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
SelfEmployment
Taxable Earned IncomeNo Roth Conversion
Age
D18
Salaryand Wages
IncreaseFactor
IncreaseFactor
TotalTaxable
Earned IncomeAgeIncrease
FactorSalary
and WagesSelf
EmploymentIncrease
Factor
SandyStuart
1 2 3 4 5 6 7 8
1.00$122,00060 $165,000 57 $287,0001.00
1.03125,66061 169,950 58 295,6101.03
1.06129,43062 175,049 59 304,4781.06
63 180,300 60 180,3001.09
64 185,709 61 185,7091.13
65 62
66 63
67 64
68 65
69 66
70 67
71 68
72 69
73 70
74 71
75 72
76 73
77 74
78 75
79 76
80 77
81 78
82 79
83 80
84 81
85 82
86 83
87 84
88 85
89 86
90 87
91 88
92 89
93 90
94 91
Earned income subject to income tax.
Page 823/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Summary
This section summarizes the results of the combined cash flows, their effect onyour asset accounts and income taxes.
The result is an illustration of the amount of capital available at any time, theamount of funds used for your retirement and how long funds will last.
A Monte Carlo Simulation report may be included to illustrate the fact that theresults of any retirement projection will vary based on market conditions, andother factors that are not possible to accurately predict.
Page 833/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Retirement Summary F1
No Roth Conversion
The following table summarizes the goals, assumptions and variables used in the Retirement Planning analysis.
RETIREMENT GOALS: SandyStuart
6065Retirement Age
9091Life ExpectancyB8$50,000Retirement Living Expenses (after-tax) Today's $B859,672Retirement Living Expenses (after-tax) Inflated
3.60%Standard of Living Inflation Rate
RETIREMENT CAPITAL:
7.50%Rate of Return - Pre-Retirement (pre-tax)C3$1,735,800Total Assets Available for RetirementB848,000Annual Additions to Qualified AccountsB8900Annual Additions to Other Accounts
RETIREMENT INCOME (pre-tax): SandyStuart
6567Social Security Starting Age
$28,076$34,038Social Security Benefit
2.00%Social Security COLA
67Pension 1 Starting Age
2,400Pension 1 Benefit
Pension 1 Survivorship
2.00%Pension 1 COLA
OTHER INCOME/EXPENSE ITEMS (pre-tax):B12$47,335Other IncomeB12(40,233)Other Goals
INCOME TAXES:D337.00%Marginal Tax Rate (Federal & State)D329.72%Effective Tax Rate
RETIREMENT ANALYSIS:
2,816,807Amount Available at Retirement
5,274,218Retirement Assets at Age 93
Your assets may last through life expectancy.
Page 843/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Retirement EstimateNo Roth Conversion
F2
As inflation increases the amount of income needed for your standard of living, there is the potential need to drawincreasing amounts out of savings, investments and retirement accounts.
The graph shows how long your capital might last. The objective is to assure that your capital is properly managedso that it will last at least until your life expectancy.
If the capital is depleted before your need for income has ceased, then you will become dependent on yourpensions, Social Security, relatives or public sources. If there is capital remaining when your need for income stopsthen the remaining capital is available for your heirs.
The line allows you to visualize the annual expenses as compared to your capital accounts.
If the bars dip below the "0" level on the graph, it indicates that you have consumed all your savings, investment,and retirement accounts, and your spending requirements have caused a "deficit" spending situation - a need forfunds where none exists.
Page 853/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Retirement Capital EstimateNo Roth Conversion
Ages *
F3
Begin. Yr.Account
Totals
1 2 3 4 5 76 8
EarnedIncome
** InvestmentAcct Distr.
** RetirementAcct Distr.
Other Inc.& St. Opt.
Pensions/Soc Sec
AnnualSurplus
Ending YearAccount
Totals
Income and Capital DistributionsAnnual
ExpensesIncl. Tax
$287,00060 $1,735,800 $14,776 $1,953,681($272,224)57
295,61061 1,953,681 854 2,172,265(296,464)58
304,47962 2,172,265 14,091 2,424,511(290,388)59
180,30063 2,424,511 33,574 2,613,380(213,874)60
185,70964 2,613,380 33,630 2,816,807(219,339)61
65 2,816,807 173,716 2,819,944(173,716)62
66 2,819,944 151,193 2,846,617(151,193)63
34,03867 2,846,617 124,270 2,902,913(158,308)64
62,79568 2,902,913 23,43372,434 3,016,567(158,662)65
64,05169 3,016,567 23,90274,116 3,135,866(162,069)66
67,73270 3,135,866 63,489 55,435 3,216,502(186,656)67
69,08771 3,216,502 67,424 55,186 3,298,561(191,697)68
70,46972 3,298,561 117,446 21,432 3,369,101(209,348)69
71,87873 3,369,101 124,713 10,034 3,448,506(206,625)70
73,31674 3,448,506 132,415 28,350 3,564,856(177,381)71
74,78275 3,564,856 140,576 30,263 3,682,296(185,095)72
76,27876 3,682,296 148,792 32,026 3,800,686(193,044)73
77,80377 3,800,686 157,921 33,828 3,919,180(201,896)74
79,35978 3,919,180 167,063 34,616 4,036,724(211,806)75
80,94679 4,036,724 176,355 35,131 4,152,814(222,170)76
82,56680 4,152,814 186,454 36,102 4,266,996(232,918)77
84,21681 4,266,996 196,666 37,029 4,378,981(243,853)78
85,90182 4,378,981 207,343 37,719 4,487,899(255,525)79
87,61983 4,487,899 218,490 38,391 4,593,044(267,718)80
89,37184 4,593,044 229,172 38,514 4,694,087(280,029)81
91,15985 4,694,087 240,198 38,517 4,790,279(292,840)82
92,98286 4,790,279 251,547 38,393 4,880,838(306,136)83
94,84287 4,880,838 262,474 37,719 4,965,266(319,597)84
96,73888 4,965,266 273,564 36,818 5,042,758(333,484)85
98,67389 5,042,758 283,274 34,872 5,113,215(347,075)86
100,64690 5,113,215 292,876 32,519 5,175,865(361,003)87
102,66091 5,175,865 302,284 29,742 5,229,965(375,202)88 1
59,55392 5,229,965 310,251 10,245 5,259,131(359,559)89
60,74593 5,259,131 315,647 219 5,274,218(376,173)90 2
94 5,274,218 5,274,21891
C3aB12, B12aB10C4...C8C10...C10eB9B8
*Note - 1 = Stuart's life expectancy age. 2 = Sandy's life expectancy age.**Investment and Retirement distributions include withdrawals from account totals to satisfy "Income needed" shortages from Cash Flow report.
Page 863/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
F4Monte Carlo
Monte Carlo Simulation illustrates possible variations in growth and/or depletion of retirement capital underunpredictable future conditions. The simulation introduces uncertainty by fluctuating annual rates of return on assets.The graph and related calculations do not presuppose or analyze any particular investment or investment strategy.This long-term hypothetical model is used to help show potential effects of market volatility and possible effects onyour financial future. This is not a projection, but an illustration of uncertainty.
The simulations begin in the current year and model potential asset level changes over time. Included are all capitalassets, both tax advantaged and taxable, all expenses, including education funding if applicable, pension benefits andSocial Security benefits. Observing results from these large number of simulations may offer insight into the shape,trends and potential range of future retirement plan outcomes under volatile market conditions.
Results from 10,000 Monte Carlo Simulations:$5,274,218 Percentage of results above zero*
Maximum Monte Carlo result
Average Monte Carlo result Percentage with $ remaining at Stuart's age 83
Percentage with $ remaining at Stuart's age 88Minimum (worst case) result
Original Retirement Capital estimate
Percentage with $ remaining at Stuart's age 78
*Percent of times money is remaining at last age shown.
$0
$5,323,878
$41,908,911
99%
100%
100%
92%
The bold line is the estimated retirement capital value over time using fixed rates.
Annual rate of return of 7.50% in the original retirement estimate varied from 6.57% to 7.50% based on portfolio changes over time.
This simulation used a 6.50% standard deviation to create ten thousand sets of normally distributed random rates of return
based on the annual rates of return in the original estimate (95% of the rates fall between -6.43% and 20.50%).
A standard deviation rate of 2.00% was applied to the inflation rate used on personal expenses.
The Monte Carlo illustration above points out the uncertainty of future retirement capital outcomes.It is important that you return regularly for a review of your goals and financial condition, in order
to assure that appropriate periodic adjustments are made to your financial affairs.
IMPORTANT: The projections or other information generated in this report regarding the likelihood of variousinvestment outcomes are hypothetical in nature, do not reflect actual investment products or results and are notguarantees of future results. Results may vary with each report and over time. Results of this simulation are neitherguarantees nor projections of future results. Information is for illustrative purposes only. Do not rely on this report topredict actual performance of any investment or investment strategy.
No Roth Conversion
The original capital estimate indicated a possibility of having $5,274,218 in assets remaining at last life expectancy. MonteCarlo simulation, using 10,000 trials of the same assets, income and expenses, resulted in a 92% probability of having
funds remaining at last life expectancy, and an average amount of $5,323,878 remaining.
Page 873/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
F5Monte Carlo Details
Financial analysis can help you evaluate your status in relationship to your financial goals and objectives. Inpreparing your financial analysis various assumptions were used, including income available, annual expenses,amount of money currently invested and rates of return on retirement assets. The analysis of potential fundsavailable for use in retirement included an assumed "fixed" or "static" rate of return on each asset type -taxable, tax-free, tax-deferred, equity and retirement accounts.
Use of a fixed or static rate (where the initial rate used remains static throughout the analysis) can be helpful forvisualizing potential future values to see how long your money might last, but may not reflect what happens inthe real world of finance.
The Monte Carlo illustration applies a concept of variable rates of return on assets over time, in an attempt toillustrate what might happen in a situation where the returns on assets may be positive in some years andnegative in other years. Since there is no way to predict either the positive or negative years or the amount ofgain or loss that the assets might be exposed to, a Monte Carlo Simulation is used. This involves preparation of10,000 separate projections of your financial future, where a rate of return is randomly selected every year ineach of the 10,000 simulations.
Standard Deviation:
Fixed or Static rates:
Variable Rates:
Original Result -vs.- Monte Carlo:
Monte Carlo Simulation Minimum, Average and Maximum Dollar ResultsValues above the Monte Carlo graph indicate the best, worst and average results at the end of 10,000 MonteCarlo simulations. These show the range of results (high and low), and the average of all Monte Carlo results. Allvalues are based on results at the life expectancy of the last to die or the ages shown.
The term "standard deviation" refers to the extent of variability, or deviation, above or below the normalaverage that was used in the original illustration. This illustration uses a blended standard deviation rate basedon the assumption that our portfolio will consist of various asset components. Assets like CD's, bonds andsavings will be conservative and have a low variation in rate. Other assets like stocks, mutual funds, real estate,etc. will likely show a greater degree of variability in rate of return. It is also assumed that the mix of assets willchange as your goals and time horizon changes.
The bold blue line in the Monte Carlo graph represents the amount of funds available using the fixed or staticrates of return. This outcome is unlikely to be realized, because in reality the rates of return will vary each year.The Monte Carlo illustration shows additional lines representing the range of results using variable rates ofreturn each year for each of the 10,000 Monte Carlo simulations. The Monte Carlo "tornado" chart makes itclear that there is a great range of potential outcomes that could be realized in the future.
This represents the lowest return of 10,000 simulations. In most cases at least some of theseresults will be zero (0), indicating that funds ran out prior to life expectancy.
This is the average of all positive Monte Carlo simulations. The average may or may not besimilar to the Original Retirement Capital Estimate.
This result represents the highest accumulation of the 10,000 simulations.
IMPORTANT: The projections or other information generated in the reports regarding the likelihood of variousinvestment outcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of
future results. Each Monte Carlo Simulation is unique; results vary with each use over time.
Minimum
Average
Maximum
No Roth Conversion
Page 883/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
28% +
14.5 - 25.5%
8 - 12%
4 - 7%
16%+
11 - 15%
8 - 10%
4 - 7%
1 - 3%
Standard DeviationWeighted average
portfolio rate
Standard Deviations
Since the typical portfolio (as described above) will generally include many different asset classes and willchange over time, we have not attempted to identify any particular historical asset class on which to base thestandard deviation. Unless a specific standard deviation rate has been chosen by you, the following table isused to represent a portfolio of mixed assets. The weighted average rate of the portfolio is used to choose a st
Because a typical portfolio may consist of a mixture of fixed assets with a low standard deviation as well assome equity assets with higher standard deviations, and the portfolio mix is expected to change over theyears, the Monte Carlo report uses a blended, and conservative standard deviation rate. If the weightedaverage rate on your entire portfolio is low, then the standard deviation rate used will be low. If the portfoliorate is higher, then the standard deviation rate will be higher. In order to present a more conservative look atthe Monte Carlo result, the actual rate selected may be lower than a rate on any single asset class. The rate isnot intended to represent any one asset type, is hypothetical and used for illustration purposes only.
Portfolio Return Volatility
In broad terms, assets with low rates of return usually demonstrate lower volatility than assets and portfolioswith potentially high rates. Assets with low rates and volatility would include CD's, bonds, savings, moneymarket accounts and other fixed rate of return assets. Those with higher volatility include stocks, mutual fundsand other investment assets. While future financial returns cannot be predicted, it is possible to modelpotential results by applying a standard deviation to the average rate of return, based on the past or expectedlevel of volatility, and using a Monte Carlo simulation model.
F5aStandard Deviation
Standard deviation is a measure of the extent to which the rate of return on a financial asset varies from theaverage return in a given period of time. It is a measure of the volatility or risk of the asset.
Standard Deviation
In this presentation no single asset class or investment portfolio is assumed to be used. Instead the entireportfolio of savings, bonds, investments, retirement accounts, real estate and other assets used for retirementaccumulation are treated as a group, and the current weighted average rate of return is calculated on theportfolio. Then a hypothetical standard deviation rate is applied based on the average rate, with a lowstandard deviation rate used if the portfolio rate is low and a higher standard deviation rate used for higherportfolio rates. This method may result in a standard deviation rate lower than reported on some specificasset classes, but will provide a reasonable illustration of a mixed portfolio as described above.
No Roth Conversion
3%
Page 893/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Net Worth ReportNo Roth Conversion
Ages
F6
Savingsand
Investments
Retirementand RothAccounts
Real EstateMarket
Value
1 2 3 4 5 6 7
Autos &PersonalProperty
Life Insur.Cash
ValuesNet
Worth
TotalAsset
ValuesLess
Liabilities
8
$2,996,10057 $565,000 ($472,000)60 $85,000$1,170,800 $1,632,000 $15,300 $3,468,100
3,275,52258 623,703 (446,522)61 80,7501,329,978 1,664,640 22,973 3,722,044
3,557,64759 670,529 (419,908)62 76,7131,501,736 1,697,933 30,645 3,977,555
3,877,76260 736,433 (392,107)63 72,8771,688,078 1,731,891 40,590 4,269,869
4,136,61061 757,633 (363,066)64 69,2331,855,747 1,766,529 50,535 4,499,677
4,412,18662 780,365 (332,731)65 65,7712,036,442 1,801,860 60,479 4,744,918
4,482,48163 651,133 (301,043)66 62,4832,168,811 1,837,897 63,200 4,783,524
4,578,60864 536,833 (267,942)67 59,3592,309,783 1,874,655 65,920 4,846,550
4,706,72865 442,994 (233,365)68 56,3912,459,919 1,912,148 68,641 4,940,093
4,894,64466 396,753 (197,246)69 53,5712,619,814 1,950,391 71,361 5,091,890
5,090,72267 345,764 (159,517)70 50,8932,790,102 1,989,399 74,082 5,250,239
5,250,73468 310,813 (120,105)71 48,3482,905,689 2,029,187 76,802 5,370,839
5,414,84969 273,848 (78,936)72 45,9313,024,713 2,069,771 79,523 5,493,785
5,570,21370 269,446 (35,931)73 43,6343,099,655 2,111,166 82,243 5,606,144
5,728,31171 276,56674 41,4523,171,940 2,153,389 84,964 5,728,311
5,888,37772 323,91175 39,3803,240,945 2,196,457 87,684 5,888,377
6,050,49773 376,31576 37,4113,305,981 2,240,386 90,404 6,050,497
6,214,54574 433,95277 35,5403,366,734 2,285,194 93,125 6,214,545
6,379,68775 497,20278 33,7633,421,979 2,330,898 95,845 6,379,687
6,544,88176 565,37979 32,0753,471,345 2,377,516 98,566 6,544,881
6,709,63977 638,52180 30,4713,514,294 2,425,066 101,286 6,709,639
6,873,51878 717,42481 28,9483,549,572 2,473,567 104,007 6,873,518
7,036,24779 802,41682 27,5003,576,565 2,523,039 106,727 7,036,247
7,196,97280 893,64783 26,1253,594,252 2,573,500 109,448 7,196,972
7,355,00281 991,50484 24,8193,601,541 2,624,970 112,168 7,355,002
7,510,02382 1,095,84985 23,5783,598,238 2,677,469 114,889 7,510,023
7,661,30683 1,206,98086 22,3993,583,299 2,731,018 117,609 7,661,306
7,808,08784 1,325,20787 21,2793,555,632 2,785,639 120,330 7,808,087
7,949,88285 1,450,41988 20,2153,514,846 2,841,352 123,050 7,949,882
8,085,91286 1,582,83789 19,2053,459,921 2,898,179 125,771 8,085,912
8,216,09287 1,721,84790 18,2443,391,368 2,956,142 128,491 8,216,092
8,339,67488 1,867,45491 17,3323,308,411 3,015,265 131,212 8,339,674
8,366,21989 2,019,64992 16,4653,210,316 3,075,570 44,218 8,366,219
8,457,50790 2,161,53993 15,6423,097,592 3,137,082 45,653 8,457,507
8,488,90191 2,302,26694 14,8602,971,952 3,199,823 8,488,901C3 B15, C23 F7 B16C3 B18b
Page 903/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Personal AssetsNo Roth Conversion
Ages
F7
Art, Antiques Autos Boats, RVs
1 2 3 4 5 6 7
Personal Prop.Jewelry, Furs
TotalPersonal
AssetsOther
57 $85,00060 $85,000
58 80,75061 80,750
59 76,71362 76,713
60 72,87763 72,877
61 69,23364 69,233
62 65,77165 65,771
63 62,48366 62,483
64 59,35967 59,359
65 56,39168 56,391
66 53,57169 53,571
67 50,89370 50,893
68 48,34871 48,348
69 45,93172 45,931
70 43,63473 43,634
71 41,45274 41,452
72 39,38075 39,380
73 37,41176 37,411
74 35,54077 35,540
75 33,76378 33,763
76 32,07579 32,075
77 30,47180 30,471
78 28,94881 28,948
79 27,50082 27,500
80 26,12583 26,125
81 24,81984 24,819
82 23,57885 23,578
83 22,39986 22,399
84 21,27987 21,279
85 20,21588 20,215
86 19,20589 19,205
87 18,24490 18,244
88 17,33291 17,332
89 16,46592 16,465
90 15,64293 15,642
91 14,86094 14,860
Page 913/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Withdrawal RatesNo Roth Conversion
Ages
F8
AccountBalance
Personal &CompanyAdditions
AnnualReturn
TotalFunds
Available
PersonalWithdrawals
and RMD
NetWithdrawal
Rate (%)Surplus
or (Shortage)
TotalWithdrawal
Account *
60 $1,735,800 $14,77657 $1,938,905$69,420 $133,685 $14,776
0.0461 1,953,681 (854)58 2,173,11970,036 149,402 (854)
62 2,172,265 14,09159 2,410,42071,670 166,485 14,091
1.2763 2,424,511 (33,574)60 2,646,95440,324 182,119 (33,574)
1.1864 2,613,380 (33,630)61 2,850,43740,757 196,300 (33,630)
5.8065 2,816,807 (173,716)62 2,993,660176,853 (173,716)
5.0466 2,819,944 (151,193)63 2,997,810177,866 (151,193)
4.1167 2,846,616 (124,270)64 3,027,183180,567 (124,270)
2.3468 2,902,913 (72,434)65 3,089,001186,088 (72,434)
2.3169 3,016,567 (74,116)66 3,209,982193,415 (74,116)
3.5770 3,135,866 (118,924)67 3,335,426199,560 (63,489) (55,435)
3.5871 3,216,502 (122,610)68 3,421,171204,669 (67,424) (55,186)
3.9672 3,298,561 (138,878)69 3,507,979209,418 (117,446) (21,432)
3.7673 3,369,101 (134,747)70 3,583,253214,152 (124,713) (10,034)
2.8474 3,448,506 (104,065)71 3,668,921220,415 (132,415) 28,350
2.9175 3,564,856 (110,313)72 3,792,609227,753 (140,576) 30,263
2.9876 3,682,296 (116,766)73 3,917,452235,156 (148,792) 32,026
3.0777 3,800,686 (124,093)74 4,043,274242,588 (157,921) 33,828
3.1878 3,919,181 (132,447)75 4,169,170249,989 (167,063) 34,616
3.2979 4,036,724 (141,224)76 4,294,038257,314 (176,355) 35,131
3.4080 4,152,815 (150,352)77 4,417,348264,533 (186,454) 36,102
3.5281 4,266,996 (159,637)78 4,538,617271,621 (196,666) 37,029
3.6482 4,378,981 (169,624)79 4,657,523278,542 (207,343) 37,719
3.7783 4,487,899 (180,099)80 4,773,144285,245 (218,490) 38,391
3.9084 4,593,045 (190,658)81 4,884,745291,700 (229,172) 38,514
4.0485 4,694,087 (201,681)82 4,991,959297,872 (240,198) 38,517
4.1886 4,790,279 (213,153)83 5,093,992303,713 (251,547) 38,394
4.3387 4,880,839 (224,755)84 5,190,021309,182 (262,474) 37,719
4.4888 4,965,265 (236,746)85 5,279,504314,239 (273,564) 36,818
4.6389 5,042,758 (248,401)86 5,361,615318,857 (283,274) 34,873
4.7990 5,113,215 (260,357)87 5,436,223323,008 (292,876) 32,519
4.9591 5,175,865 (272,542)88 5,502,508326,643 (302,284) 29,742
5.4092 5,229,965 (300,006)89 5,559,137329,172 (310,251) 10,245
5.6493 5,259,131 (315,428)90 5,589,645330,514 (315,647) 219
94 5,274,21891 5,274,218C3a C3a C3a B7 B7
* Negative percent equals withdrawal, positive equals deposit. N/A or blank indicates capital is fully consumed.
Page 923/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Withdrawal Rates AnalysisNo Roth Conversion
F8a
The following graph measures your spending as a percent of capital each year. It uses a "moving average" method tosmooth the lines into an average withdrawal rate over one, three, five and ten year periods.
Withdrawal Rate Averages
Annual range (rate for each year) 5.80%
It is important to ensure that income is available when you need it. If some of the income requirements are to bemet from the capital you have accumulated, then monitoring the rate at which you are spending capital is critical.
The bar graph, indicated on the left scale, measures your capital values available at each year. The line, using theright scale, represents the dollar amounts withdrawn from your assets to meet spending requirements.
High Low *
0.00%
Average
3.41%
5.33% 0.01% 3.45%Three year average range
5.08% 0.50% 3.50%Five year average range
4.64% 2.21% 3.49%Ten year average range
* Years when there is a positive cash flow and no withdrawals are required result in a 0% withdrawal rate.
Page 933/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Input Data
Page 943/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
10/5/1954
91
57
90
Stuart Sandy
6065
6/8/1957
60
Cover page name
City/State/Zip
Home address Married?
Scenario
Personal Information:
Stuart & Sandy SampleNo Roth Conversion
, OR
Footnote
Dependents
Age
Prepared by
Retire ageAlternate Life Expectancy
Page 1
Birthdate
Entry Date / Cover date 3/17/2015 3/1/2015
Yes2/24/2015 2015
Age now Dependent to age Educ cost # Years Start year
Increase rate on education expenses 3.90% Rate of return on education funds 6.00%
Assets:
Asset Type totals:Starting $ balance $565,000
taxable*Fully
deferred*Tax Tax
free*Equity
& other
Ordinary income assets
Dividend rate
Capital gain rate
Interest rate
Appreciation rate
*Rates shown as Dividend, Capital Gain or Appreciation on these accounts will be combined and treated as interest..
5.75 7.506.00Pre-retirement rate 6.00
6.00Post-retirement rate 6.00 6.505.75
Default rates (if no assets are entered with a current rate)
Asset Additions/ WithdrawalsCurrent monthly additionsInitial increase rate
taxable* free*Equity
& otherTaxFully
deferred*Tax
75
1,632,000
Boats/RVs (Personal)
Personal Property
Jewelry/Furs (Personal)
Residence
Art/Antiques (Personal)
Other (Personal Assets)
Automobiles (Personal)
2.00%
85,000 -5.00%
decrease rateIncrease or
valueCurrent
Personal Assets:
Page 953/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
24,000 7.50%
24,000 13,200
7,320
balance return*Rate of
7.50%
7.50%
7.50%
7.50%
7.50%
7.50%
477,300
Page 2
Sandy7.50%Stuart 693,500
Roth IRA - Stuart
Retirement Accounts (Defined Contribution/IRA/Roth):
Roth IRA - Sandy
Company*
#3 #4#1
Interest rate on new mortgage loanNew mortgage (% to finance)
#2
Number of years for the new loan
Residence for sale:
Yes
Cost of replacement home (in today's dollars)
Account Additions per yearPersonal*
Calculate penalty tax for per-59.5 distributions
Default rate of return for retirement plans & Roth IRA
*Amounts and rates are for the current year only and may vary in future years.
Sales costs (percent of sale price)
Client age at sale
Current residence market valueAppreciation rate
Loan and mortgage Loan Balance Interest %Payment / mo.Mortgage $472,000 $3,800 4.37%Residence Mortgage - BofA
Cash flow management Taxable Tax-Free
100
100
Equity/OtherTax-DeferredReinvest surplus cash flow
change to...65After age
Ignore pre-retirement cash flow surplus or shortage? (1=yes)
Page 963/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Page 3
- or - compute benefit at what % of maximum
Benefit increase rate (cola)
Age to start retirement benefits
Not subject to FICA tax?
Actual SS monthly benefit $ amount (today's $) 1
65
85
200200
67
85
1
Social Security Benefits:
165,000 3.00%
Not qualified for Social Security benefits.
Stuart Sandy
Income Information:
60
70
75
80
65
85
Age amountPer year
rateIncrease
Stuart salary
70
60
Per yearamountAge
Stuart self employment
Increaserate
65
80
75
85
82
72
77
62
rateIncrease
Sandy salary
Age amountPer year
3.00%122,00057
67
Sandy self empl
Increaserate
Per yearamountAge
82
62
77
72
67
57 3.00%
Pension Income:
Stuart
SurvivorPer monthtoday's $ percent
State taxexempt
Client Pension 2Client Pension 1
percenttoday's $ exemptState tax
Sandy
Per month Survivor
Spouse Pension 1 $200Spouse Pension 2
Page 973/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Page 4
Tax Data:
2Index rate for exemptions, tax tables, retire penalty tax
JointTax filing status (1 =Single, 2=Joint, 3=Head of H)
NoIncome tax sunset provision takes effect - pre 2001 tax rules reinstated.
PercentStateState Income Taxes:
ORState tax estimate is based on state tax tables.
--
Annual$ Dollar% of GrossAmount Increase %-and/or-Itemized Deductions: Income
Miscellaneous
3.00%Charitable contributions 5Other deductible interest
Other tax (not prop. or state)
Property tax -% of residence market value 2
2,500 5.00%Medical expenses
Increase %$ AmountOther Adjustments:
Self employed medical insurance premiums (total amount) ...amount/increase rate...Alimony - payable to age ...
Monte Carlo Simulation standard deviation rates:
6.50%Asset standard deviation
2.00%Inflation standard deviation
Life Insurance:
amount premium termCompany Insured DescriptionLoanCash value
amountAnnualFace
ANLIC Sandy 5 year term $75,000 $375
Met Life Stuart Whole Life 100,000 1,900 12,450 2,500
NWML Sandy Whole Life 60,000 650 2,850
Miscellaneous Insurance:Company Insured Description PremiumType
Auto Indiv1 Auto PremiumStuart $200
Disability Indiv1 Disability PremiumStuart 450
Homeowners, P&C, Other Indiv1 Other PremiumStuart 385
Auto Indiv2 Auto PremiumSandy 200
Page 983/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Description
Age whenchange
occurs
Amountin
today's $
Increase(decrease)
rate
% Ord.taxable
income
Taxabledollar
amount
Other Income / Expense:
Page 5
58Sale of equipment 2.00
59Sale of equipment 2.00
60Sale of equipment 2.00
68Sale of equipment 20,000 2.00
70Sale of equipment
Page 993/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor
Current
Per monthDescription
Page 6
Personal Expenses:
Per year Increase
Expenses 50,000 3.60%
Page 1003/1/2015
Securities offered by Asset Advisors - a Registered Investment Advisor