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Reply to "Valuation of Pension for Retirement Planning"
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[quote=Anonymous][quote=Anonymous]I value both pension and social security as a cash flow amount. You are saving $ now so that you can spend it in retirement. You should have some estimate of expenses in retirement, let's say $150k a year. If you have a pension of $60k, and then social security of $40k, you will only have to fund $50k of retirement expenses from your savings. Therefore it doesn't make sense to turn either amount into an imaginary lump sum amount. Unless you plan on taking a lump sum distribution from your pension instead of the annuity. [/quote] We are retired/retiring this year and above is what we do. Cash flow numbers but not as NW or assets. [/quote]
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