Your retirement score is a crucial financial metric that estimates the likelihood of maintaining enough funds throughout your retirement, specifically predicting the chances of not running out of money by the age of 86. It employs a Monte Carlo simulation model to assess this likelihood. The score is derived from a comprehensive analysis of your financial landscape, taking into account the total value of your assets, predicted annual expenditures during retirement, the timing of your retirement, and other essential spending needs. By using historical market data to inform these calculations, the process runs approximately 1,000 scenarios to establish a statistical distribution of potential outcomes represented by a bell curve.

To obtain your retirement score, you will need to input several key assumptions related to your retirement plans. This includes details such as the starting age for retirement, estimated annual spending during retirement, and specific timelines for when you might withdraw funds from different accounts. The model also accounts for inflation and typical market returns, making it easier for you to understand how your assets might perform over time. If you wish to experiment with different financial scenarios, the platform provides tools to adjust your initial assumptions accordingly.