present value of pension

[revheck]

Can anyone point me to an online calculator or formula that estimates
the present value of a pension? The input would be current pension
credits,
based on age 65 retirement.

 

[Ron Peterson]

Can anyone point me to an online calculator or formula that estimates
the present value of a pension? The input would be current pension
credits,
based on age 65 retirement.

http://www.totalreturnannuities.com/ should meet your needs. For
example, in my state, a $1,000/month annuity for a 65 year old male is
valued at $151,172.

 

[Dave Dodson]

http://www.totalreturnannuities.com/ should meet your needs. For
example, in my state, a $1,000/month annuity for a 65 year old male is
valued at $151,172.

Just be sure to discount that back to your current age. For example, if
you are 45 and use a discount rate of 5%, the present value of that
$1,000 per month at age 65 would be $151,172*(1-0.05)^(65-45) =
$54,193.

Dave

 

[revheck]

Just be sure to discount that back to your current age.

Yes, that was my point. Thanks.