The Boldin Planner automatically funds expenses and events in your plan using income and savings withdrawals.
There are 3 terms used for savings withdrawals:
Net Savings Drawdowns is a net figure shown only in the Lifetime Income Projection Insight. It represents the true reduction in account balances for the year after accounting for all income and withdrawals.
Savings Drawdown is not a net figure. It reflects total withdrawals taken during a given year, including withdrawals used to cover income shortfalls, fund one-time expenses, purchase annuities or real estate, or make lump-sum debt payments. Because excess income later in the year may offset earlier withdrawals, this figure does not necessarily represent the actual reduction in account balances.
Shortfall Withdrawal is also not a net figure and a specific subset of savings drawdowns. It includes withdrawals used to fund monthly expenses, events, and taxes in months when cumulative income up to and including that month is insufficient to fully cover expenses. The planner nets any excess income saved later in the year against these withdrawals to calculate the true annual reduction in account balances, which is reflected in Net Savings Drawdowns.
Learn more from Nancy in this video:
Note: Interest income is not used to fund expenses.
PlannerPlus users can look at the Surplus-Gap chart to see their income compared to expenses and identify annual surpluses and gaps.
