Reported asset balances for the first year seem off
On the Regular Assets tab, the balance shown in the first row (2007) is about 19K higher than the regular assets I entered into the program, even though saving for 2007 is negative. Similarly, both spouses' retirement account balances shown in the reports for 2007 seem too high - my thought was that they should match the totals of the data entered plus asset income and contributions for 2007, but they exceed this by many thousands.
I've been using the program since last year, but in January I re-entered all our savings to match our balances as of 1/1/07. Was that the wrong thing to do?
Thanks!
RSS
HI, I REPLY IN CAPS BELOW. BEST, LARRY
On the Regular Assets tab, the balance shown in the first row (2007) is about 19K higher than the regular assets I entered into the program, even though saving for 2007 is negative.
THE REGULAR ASSETS YOU ENTERED IN THE REGULAR ASSETS INPUT SCREEN ARE END OF YEAR 2006 ASSETS AND ARE ASSUMED TO BE VALUED IN 2006 DOLLARS. IF YOU TAKE YOUR 2007 ASSET VALUE AND SUBTRACT OUT THE 2007 SAVING, YOU'LL GET TO THE VALUE OF 2006 ASSETS, BUT VALUED IN 2007 DOLLARS. SO YOU'LL NEED TO DEFLATE THIS 2006 ASSET FIGURE TO GET IT BACK INTO 2006 DOLLARS, WHICH IS THE NUMBER YOU INPUTTED.
CALL ME AT 617 834-2148 IF THIS ISN'T CLEAR. SAME COMMENT APPLIES TO YOUR RETIREMENT ACCOUNT BALANCES.
YOU SHOULD ALWAYS ENTER YOUR LATEST DATA, SO YOU DIDN'T DO THE WRONG THIS.
TO CALCULATE
Similarly, both spouses' retirement account balances shown in the reports for 2007 seem too high - my thought was that they should match the totals of the data entered plus asset income and contributions for 2007, but they exceed this by many thousands.
I've been using the program since last year, but in January I re-entered all our savings to match our balances as of 1/1/07. Was that the wrong thing to do?
Got it - everything adds up now. Thank you!
Scott