Q: I know if I set the inflation in the special expenses it shows the growth needed in Retirement graph, but when set to zero shouldn't the inflation rate in the assumption tab take care of all of it. I am worried now that it hasn't been properly adjusting for inflation all along.
I know you'll come up with the answer and its probably my fault.
thanks
A: For special expenses, you have line by line control over each line. The other assumptions rate is NEVER used or applied to Special Expenses. Why? Because some things you may want to set to zero inflation and it would not make sense for the program to secretly use the other inflation. The whole point is to give you total control. So for special expense line items, the inflation rates on the line on the actual Special Expenses screen control it 100%. Inflation on Other Assumptions is ONLY used for one thing… inflating the basic retirement income goal and that’s all. It is not used anywhere else.