Greetings, June101, and welcome. You asked:

Does the retirement calculator deduct federal taxes due on investment profits or should expected taxes be included in the amount of monthly income we estimate? I think it calls for living expenses so I'm not sure if taxes shoud be included in that amount.

Yes, when retirement income is taken from investments the calculator computes a gross withdrawal so income taxes can be paid at the marginal rate you provided. In other words, it you want $500 per month in retirement and use a 28% marginal rate, it takes $694 from the investment pool to pay the income as well as income taxes.

Regards..Pixy