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I have used several projection calculator's to try to
determine what my income would be at age 62 from my Roth IRA. What is a good estimated rate of return to use for this section on the calcualtor??? I would think
it would be 10%??? Is this low? I am 29 and have $4000.00 dollars in it now and plan on putting in $2000.00 a year until probably age 60??
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Your question is an excellent one. 10% is a typical number that many would use for purposes of planning. Fools say that index mutual funds average 12%.

If you plan based on 10%, it will get you off to a good start. After say 10 years, check back and see what you have averaged. Then revise the plan.

You will probably find that retiring on IRA contributions alone will be difficult. So make sure you participate in a 401K if you get the chance. The max is much higher ($10K to 25% of gross), so your money adds up faster.
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chuckwrd, you asked:

<< I have used several projection calculator's to try to determine what my income would be at age 62 from my Roth IRA. What is a good estimated rate of return to use for this section on the calcualtor??? I would think it would be 10%??? Is this low? I am 29 and have $4000.00 dollars in it now and plan on putting in $2000.00 a year until probably age 60?? >>

Yes, when doing your planning/projecting, using a 10% rate of return for equity investments is a good figure for over such a long period of time. It is not "low". Hopefully, you'll be able to do better than this . . .and better than average. But for PLANNING purposes, you don't want to get carried away with assumptions that don't have any historical basis.

That's a VERY good idea to put this amount into a Roth IRA every year. But even though you're doing the smart thing by starting early and taking advantage of what compounding can do over time, this amount invested will not be enough alone. This is because VERY important that you have to take into account inflation and what inflation does to one's purchasing power over time.
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The stock market has gone up an average of 12%/year since the market opened (that includes the depression and WWI, WWII, etc.) I think 10% is good, if not on the conservative side.
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