Copy this new Scenario to your Real Estate Financial Planner™ software:
SS 009 Investing $100,000 in Savings at 2%/yr
This is a very simple sample scenario we created for our epic blog post on how to invest $100K. In this scenario you start with $100K and invest it in a savings account. The savings account earns a fixed 2% per year return for the entire scenario. That's it. Nothing else going on in this scenario.
The Scenario you want to copy into your Real Estate Financial Planner™ software has the following:
- 2 Accounts (including
Default Cash Account)
- 0 Properties
- 0 Rules
Once it is in your account, you can view detailed Charts for dozens of variables and edit any of the assumptions for Accounts, Properties, and Rules to run your own what-if Scenarios.
You can change things like:
- Adjust how much money you start with in any Account
- Model variable stock, bond and real estate rates of returns
- Change how many Properties you buy and when you buy them
- Set your own personalized target monhtly income in retirement to indicate when you reach financial independence
- Model receiving social security payments when you reach a certain age
- See what happens if there is a market crash or correction for your stocks, bonds and/or your real estate
- Tweak price and rent appreciation rates for individual Properties or all your Properties
- Find out what happens if you pay off your mortgages early... with cash flow each month or only when you have enough to pay off the Property in full
- Use equity in
Propertiesyou own to cash-out refinance and buy more Propertiesor invest it elsewhere
- Model buying more Properties than you need then selling off any extras to pay off the remaining Properties to achieve your own user-defined financial independence number
- Evaluate your own safe withdrawal rate and see how it impacts your investment plan
- And much, much more...
- Modeled for 720 months (60 years)
- 15% effective income tax rate
- 3% inflation rate
- 4.875% mortgage interest rate
- 4% yearly safe withdrawal rate (SWR)
- $5,000 minimum target monthly income in retirement (MTMIR) in today's dollars
- $20,000 ideal target monthly income in retirement (ITMIR) in today's dollars
Summary of assumptions for the Account in this Scenario.
- Account Name: $100,000 Invested in Savings at 2%/year
- $100,000 starting account balance
- 2% yearly rate of return (at start)
- Asset Type: Cash
This scenario has no Properties.
These are the Rules included with this Scenario.