Well yes, you can add as many individual expenses as you like, starting and ending at any date, that's always there. 

Having an increase/decrease% starting linked to a date/event, would be a convenience feature I would add, if I can make it easy.

I appreciate what you're going through running these scenarios. It is unsettling, and unfortunately, a necessary part of financial planning.

My advice: don't tell your spouse you are doing this unless you are working with them on it. At least for my spouse, the "I killed myself off early in the TIME MACHINE today, and you'll be fine!" didn't go over as well as I thought it would 😀

Joint expenses are inherited in full by the surviving spouse, whereas they disappear at the death of their owner when not Joint.

So it's kind of all or nothing right now.

I do like your suggestion. It's just more questions to ask the user.

I explained in an earlier post on this thread how Joint expenses are attributed to each spouse, Most cases it's actually #1: last year's taxable income. I think it's CRA friendliest way to split the Joint expenses as usually you want the higher income spouse to pay for expenses so that the lower income spouse can invest or stay invested. The ratio is often 50% after retirement, because of pension income splitting in later years which equalizes the taxable incomes, then there is no lower-income spouse.

If you want to specify how the Joint expenses are attributed to each spouse, then enter individual expenses for each, as you did.

The only thing I would add is that expenses, Joint or not, are reassigned from one spouse to the other to solve a cash-flow problem in the TIME MACHINE, that is spouses can help each other out.

Yes, CPP and OAS do not qualify for pension.  I was focused on answering your question of why the LIRA was being converted.

This is a case of you want the money, for the pension split and tax credit. You can set up an AUTOMATIC withdrawal of $4,000, it'll be split with your wife and both of you will get the pension tax credit in the TIME MACHINE.  The year reports will show you the taxable income pre- and post-pension income splitting for both you and your wife.

I also explained that it also makes conversions after 65 if you need the money. But there's no optimization done by the TIME MACHINE, that's where the Withdrawal Optimizer comes in.

As you saw, the TIME MACHINE allows partial conversions of LIRAs and DCPPs. It does this by automatically allowing withdrawals from LIRAs after 65, regardless of when you set to convert it, if you want or need the money. We assume you will arrange it with your LIRA provider to make the required partial conversion to an LIF or RRSP/RRIF as allowed by your province's legislation so that the money can be withdrawn. That flexibility is usually what users want.

If you want the money, you would enter an AUTOMATIC withdrawal. People often do that to make a partial conversion to get the pension sharing and the pension tax-credit if they have no other sources of pension income. Not your case, but I need to mention it.

If you need money, the TIME MACHINE makes withdrawals from your accounts following your withdrawal PRIORITIES. You can set a limit of 0 for the LIRA account for the years before age 72 so that it will skip it and get money from accounts further down in the list instead. You will need the create a new PRIORITIES entry for the years 72 and up to allow withdrawals again.

Crypto is included in Alternative Investments (shows up as OTHER).

Let me think about adding it as a separate asset class in funds and portfolios. I was already thinking of adding Preferred Shares as a separate asset class, as that has also been often requested. We get all kinds of investors.

Why does it even matter? For rebalancing accounts to their target asset allocations, to allow you to set rates automatically according to asset allocation, and for the app to set the default rates when new investments are imported from Wealthica.

Stay tuned.

Yes, for ETFs and Mutual funds, you can select more than one asset Type and Location.

When you first entered the funds, or they came in from Wealthica, we assigned default values based on the information we have from Fundata for what category of fund it is. You can change that default by editing the investment. You'll see two multi-select boxes: one for asset types, and the other for asset locations.

For Asset Types(s) you can choose one or more from Cash, Fixed income (ie bonds), Equities, Alternative investments. There are also Balanced and Target-date types you can choose from, but if you choose either of these, it will ignore any of the other choices. VBAL and VGRO are Balanced funds by default.

You can then combine that with a mix of Asset Location(s). You can pick one or more from Canada, the US, North America, Great Britain, Europe, Japan, China, Asia Pacific, Emerging Markets, International, and Global.

So for VBAL, you would choose Equities and Fixed-income for the Asset Types, and US, Canada, Emerging, and Global for Asset Locations.

That's 2 types and 4 locations so 8 asset classes.  When you click Save, a table appears for you to enter the target for each asset class:

It will look like this:

I filled out the table for you with the numbers you gave, but on the forum post, the changes don't stick for some reason.

Just fill it out as you want in the app, and always remember to click Save and Continue.

The MoneyReady App is a web app. It works with any modern browser on any device.

A laptop or a large tablet is preferable.

Note that some versions of the Safari browser have a bug that can cause you to get logged out or send you back to the dashboard. If you have any problems with it, please use a different browser.

Unfortunately, it's pay-walled

https://www.theglobeandmail.com/investing/personal-finance/retirement/article-a-scientist-built-this-diy-retirement-planning-app-and-theres-a-free/

Thanks! 

This version has my face: https://www.youtube.com/watch?v=98VNxOhUAzo

Please see this blog post for a brief overview. More details are on the homepage, and even more in the MoneyReady App ebook you can download once logged in.

We've made substantial changes that apply to CCPCs to improve accuracy, clarity, and optimisation. If you have an incorporated small business, read on. 

• The first changes you will see are in the CCPC PROFILE. There you will enter the CCPC Owner (you or your spouse). For each of you, and any DEPENDENTS entered, we require their percentage ownership of the company, and if they are allowed to receive dividends before the CCPC owner turns 65 (usually not the case for non-voting shareholders of professional corporations).
• You can also set a date when you want to wind down your CCPC. On that date, CCPC accounts will be liquidated and its loans paid off. Any remaining cash value of any life insurance contracts owned by the CCPC will be received. After the corporate taxes are paid, the CCPC will distribute the remaining cash as dividends in a tax-efficient manner to the shareholders in accordance with their percentage ownership.
• In INCOMEs, you will see 2 additional income types you can add for incomes coming from the CCPC (Optimised Dividends, and Salary and Optimised Dividends). For these, the amount of income from dividends issued by the corporation will be divided into capital dividends, eligible dividends, and non-eligible dividends in a tax-optimized manner to maximize the depletion of notional accounts. If income is still needed after that, for the first option, non-eligible dividends are paid, whereas in the second option, a salary to the CCPC owner will be paid.
• These 2 new income entries can also be Joint with a spouse, and in that case, the dividends paid will be shared equally between the spouses, if the spouse can receive dividends.
• We describe in the eBook how to set up a SCAN to find the level of salary versus dividends to apply that maximizes the estate (including the value of the CCPC) at the death of owner, 
• For better accuracy of the current year's calculations, there are additional inputs in the CCPC tax input form to capture the year-to-date gains in your CCPC investment accounts.
• We have clarified the CCPC table headers, and there are now detailed year reports for the CCPC that also include a Sankey cash-flow diagram for each year (just click on the year in the CCPC Time Table). There is also a detailed cash-flow report for all years.

As always, lots of explanations in the eBook and Help pages. If this sounds complicated, well it is. CCPCs are very complicated and you should always consult with professional advisors (accountants and lawyers) that are specialised in this area.

I had a nice chat with Bruce Sellery last week for his podcast:

Moolala: Money Made Simple with Bruce Sellery

So great to hear! Thanks

Hi,

Yes of course you can run multiple scenarios, that is what the MoneyReady App is all about! There are no limits to the number of changes you can make to scenarios.

The best way is to run one scenario, and save it by clicking the Save run & Scenario button just below the Timetable result. You’ll give that run a name and you can add comments so you can remember what it’s about. For example you could call you current scenario “Base scenario"

You can then make any changes to your current entries. For your examples:

• a) add an INCOME, not taxable, with start and end date the same date for the lump sum expected as inheritance and/or 
• b) add a  Property in RealEstate. Just enter your fraction.
• c) Enter the gifts to your sons as EXPENSES (again, with start and end date the same date for the lump sums)
• d) Edit the loan you entered and click Modify loan
• e) Either enter another Property in Real Estate, or just another EXPENSE gift to your son if you are just buying it for him.

You can make each change individually or in combination as you want the new scenario to be, then run it and save it.

Your saved runs will appear in your list of saved runs in your dashboard, and you can restore them. So you can run a), save it, then restore  “Base scenario”,

Then make the changes for b) and run that. Then restore Base scenario again, and  make change c) & d) for example, run and save that, etc...

You can compare the results of any two scenarios runs side by side, just select any 2 to compare in your list of saved runs.

You will also be able to restore and run them again with updated account values at a later date if you want.

You may want to download the eBook and read the sections on Saving, comparing and restoring scenarios for all the details. Then keep reading the SCANs section to learn how to generate parameter scans that will automatically run multiple scenarios at once for one or more parameters of a scenario.

Have fun with it!

I'm happy to announce we now support permanent LIFE INSURANCE in the MoneyReady App.
We cover Term to 100, Whole Life, and Universal Life. Any of these, plus regular term insurance can also be owned by a CCPC.
We also support collateral LOANS secured by the policies.

Projecting permanent life insurance values in time requires a lot of information, some of which is proprietary to the insurance company and not available. This limits the calculations we can do. However, your insurance advisor can provide you with an Illustration for any scenario you would like to model using their company's software. This includes the source of premiums paying for the policy, and taking policy loans or partial cash-value redemptions of the policy. Their software can handle all the parameters for these flexible and complicated policies to calculate the death benefit, cash value, and adjusted cost basis at any point in the future given their assumed rates of growth and other assumptions. I realise that life insurance Illustrations may be complicated so you may need to discuss them with your insurance advisor.

We have added the ability to upload into the MoneyReady App the information from such illustrations that it needs for the TIME MACHINE. It's a lot of numbers to enter, so we provide a template you can fill in Excel and then paste it in. Once entered, the TIME MACHINE will be able to determine changes in your cash flow, including any tax implications of including the life insurance policy into your financial plan. The TIME MACHINE is limited to that illustration you upload and will follow it to the penny. It will not change it in Simulations or the Optimizer. The best we can do is to stick to what your insurance advisor projects.

I leave you to read the updated eBook and Help pages for details. The LIFE INSURANCE chapter was rewritten from scratch.

Let me know if you have any questions or comments. If you have specific questions about entering your illustration data into the app, please contact me. I may ask you to send me your illustration.

 I think you are interpreting the results correctly. You can see that adding a large expense would not surprisingly increase the chance of running out of money in volatile markets.

The Choose your Legacy tool, finds the level of expenses in every year such that you leave a legacy of your choosing AND not have a cash-flow problem, that is not run out of money. However, that is calculated based on the rates you set for investment growth, interest rates, and inflation rates.

The Choose Your Legacy tool can handle those set rates changing in every year, and it is possible to run it on rates coming from the market model for simulations. You can actually do that now. First, in RATES/YIELDS/CURRENCIES you can Set-up new Market Simulation. Then you can choose the option to  Run a TIME MACHINE with Market Model Simulation. You will then have the option to run the Choose Your Legacy tool on that run, it will use the same simulated rates.

So I suppose we could run Choose your Legacy on each of 100 simulated runs and then report an average (or median) value for the Legacy EXPENSES to add. Or something like that, as it will take some thought and experimentation to determine how best to report on the results. The Choose your Legacy tool algorithm runs the TIME MACHINE many times itself, and it's not possible to know in advance how many runs it will take. Doing that 100 times could be very slow.

So the short answer is yes, it's possible but not trivial. I will look into it but it could take a while.

The Alternative Minimum Tax is now implemented (federally and for all provinces) and we make it available for MoneyReady App subscribed users only.

Because it applies so rarely, you can set whether to have it calculated it or not in your PREFERENCES. Most of you can leave the feature off, as it will slow down your TIME MACHINE runs. Just turn it on if you are running a scenario where you think it may apply, or if you have made AMT payments in the past.

It will always be calculated for Advisor clients.

If you do choose to have it calculated (and have a valid subscription), you will be able to enter any AMT tax paid in the last 7 years in the tax input screens before running the TIME MACHINE. The TIME MACHINE also calculates any refund of the previous year's AMT payments.

The TIME MACHINE will show a Warning if the tax is applied and the detailed year reports will show you any AMT paid or any AMT carryover applied.

Important change for everyone:

To accommodate the AMT calculation we now need to ask you for the current year's capital losses and the previous year's carried-forward capital losses separately in the tax input screens.

Please treat all tax calculations in the MoneyReady App as approximate as we do not consider everything.

Let me know if you have any questions or issues.