Why don't Target-Maps allow for decimal places in the Rate of Return?
This is what we hear, and here is our response for your consideration:
The further into the future we go, the wider the possibilities for your retirement result. You can see here that an apparently minor change in inflation averaged over 40 years can result in the same plan being valued at $1M or $2M.
That's why we set a distant target and re-evaluate our assumptions every so often as retirement gets closer. As we get closer, we will be able to more accurately predict the end value of your plan and, together, decide what changes need to happen to have the greatest chance of meeting your savings goals.
Our solution: run a clone and show two whole numbers for a range.
Target-Maps provide you a distinct difference from other's investment policy presentations. There's also a teachable moment here between you and your client: we can only realistically plan in broad strokes but can make informed decisions to get us closer to where we want to be.