2. Less: Expected annual benefits
a. Social Security benefits $
b. Survivor's pension benefits $
c. Survivor's earned income $
d. Other income $
Total expected annual benefits $
3. Net living expense shortage (or surplus) $ (Line 1 minus line 2)
4. Amount of capital required to produce living expense shortage $ (Line 3 divided by projected rate of return on invested capital. Consider using a conservative return rate to adjust for inflation.) Inflation-adjusted Rate ot Return %
5. Plus other lump sum expenses
a. Final expenses/estate costs $
b. Mortgage cancellation $
c. Education fund or other $
d. Emergency fund $ Total lump-sum expenses $
6. Total capital required (Line 4 plus line 5) $
7. Less: Present capital
a. Income producing assets $
b. Present life insurance $
Total Present Capital $
8. Amount of capital to be added, if any. $ (Difference between lines 6 and 7)
