New Retirement Tool on the Deferred Compensation Plan Website
The Plan website's calculator options have been enhanced. Now it's easier than ever to see what it might take to successfully reach your retirement objectives.
My RetirementWIZARD has many of the same features as ING's powerful Financial Analysis tool used by Plan representatives. Best of all, this is a web-based tool you can use yourself and get updated results anytime.
If you used it in the past, you know that My RetirementWIZARD (previously known as the “State of Missouri Retirement Wizard”) was in Microsoft Excel and had to be saved to your computer first. The improved Flash version is ready to go.
Unlike many web-based retirement calculators, My RetirementWIZARD focuses on “the big picture.” You can illustrate the annual retirement income you might expect from all sources combined: your estimated MOSERS or MPERS plan pension benefit, social security retirement benefits, and your personal savings. Much of this information, including the MOSERS/MPERS benefit formula, is preloaded into the tool for your convenience. However, if you prefer, you can enter your own data.
If your retirement income analysis shows a shortfall, you can determine what you would need to save to potentially close the gap. Based on that amount, you can experiment with Plan contribution scenarios for your actual paycheck and three hypothetical paycheck scenarios. My RetirementWIZARD allows you to illustrate how different deferral amounts would affect:
- Your take-home pay
- Your estimated income taxes
- Your estimated account balance over 10, 20, and 30 years
Running these “what if” scenarios gives you a realistic view of whether you’re saving enough for retirement. This is valuable information for making decisions based on your personal financial situation.
All results are immediate, with retirement information displayed in an easy-to-read graph. No personal information is saved once you close your web browser, so it’s private and secure. Take advantage of My RetirementWIZARD as often as you wish. Go to the Plan website for a link to My RetirementWIZARD in the Resource Center under “Calculators” or access the wizard directly here.
Target date funds offer a simple, affordable retirement investing solution. They may be right for you if you don’t have the time, desire, or experience to make your own investment decisions.
Missouri Target Date Funds are professionally managed custom investment options.
You choose the fund that most closely matches the date you expect to begin withdrawing your money for retirement. Your fund invests in a diversified portfolio that is automatically rebalanced. Over time, the percentages of stocks, bonds, and diversifying investments change to become more conservative up to the fund’s target date (i.e., your retirement date) and throughout retirement. Often called “set it and forget it” investments, target date retirement funds are convenient, but remember:
- Your rate of saving for retirement is very important.
- Like all investments, target date funds:
- have some level of risk.
- do not guarantee the rate of return.
- The target date fund in your Plan account complements your pension and Social Security benefits. It is not intended to be your only source of income in retirement.
You have a role in making a target date fund work for you:
- Keep up your contributions. Consistently saving enough money is a key to reaching your retirement objectives.
- Be realistic in your expectations:
- A fund’s target date does not automatically assure you will have enough to retire at that time.
- To stay on track, you may need to increase your contribution level in years when market conditions affect the fund’s returns.
- As you monitor the fund’s progress, stay on top of how the fund will fit into your overall retirement income plan. If you haven’t calculated what you will need to retire or how much will come from Social Security benefits, pensions, other retirement accounts and personal savings, try
My RetirementWIZARD on the Plan website, talk to a financial planning professional, or do some financial planning on your own.