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Anonymous
Help me improve this calculator 2016-08-23 15:38:55 Post No. 8291855
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Help me improve this calculator 2016-08-23 15:38:55 Post No. 8291855
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hey /sci/, i need some help
I'm a physicist who is trying to figure out stuff about personal finance but everyone who should know about this stuff either sucks at math or is simply not quantitative in their thinking. For this reason, I decided to take a shot at it myself because fuck it, /sci/-oriented people are good at this shit.
I made this little net worth calculator on MATLAB that takes your income, savings, investment accts and property, and shows your total assets through time. I'm trying to make it as complex and realistic as possible so I need some examples or real world situations to test this out for bugs.
>pics are for a situation of 2 high incomes with bonuses who just bought a $600k house
I'm still testing it out so I can try your scenario if you give me the following parameters (any parameter that you DON'T give me, I'll just use the default).
>Cash savings (i.e. not in any 401k or IRA, it has to be cash in the bank) (default: $5000)
>Gross Salary (before tax), e.g. $70k gross ends up being $50k net (if multiple incomes, give me each one)
>Annual Bonus as a percent of (each) gross salary (default: 0%)
>Salary increase each year (default: 1%)
>How much do you currently have in a 401k, IRA (or other investment accts)? (default: $0)
>What percent of each salary goes into 401k (or IRA)? (default: 0%, i.e. you have no 401k or IRA)
>Percent yearly growth of 401k or IRA (default: 5%)
>Value of any property you own or are paying (default: $0, you have no property)
>Property appreciation per year (default: 1%)
>Property loan down payment and interest rate (default: 10% and 4%, respectively)
>How long will it take to pay this loan (default: 30 years)
>Monthly non-mortgage total expenses (default: $3000)
There are a bunch of other parameters but it's too complicated to ask for those and they don't really matter.
Anyway, I'm trying to get this to a point that I can put it online without getting spammed by people shitting on me because something is wrong.
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>>8291855
>This is a description of the loan in the OP situation and a breakup of the monthly payment they would have to make.
>The house is appreciating so its value ends up being bigger than what is payed by the end of the 30 year loan.
>The bank makes almost $300k in interest from this loan. This is at a compounding interest rate of 3.65% but the bank is actually making over 50% of the total loan amount (I never realized how much they make)
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>>8291855
>This is a plot of income in the OP scenario
>Also, I calculated what the effective tax rate would be for each yearly income (I go through all the tax brackets and deductions in each case to get the final tax amount, and then divide that by the original amount)
>It was interesting to find that rich people don't get taxed 30% or 40% like they claim... It's a lot less
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bump for help...
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Post it. It looks great, would help but Its 3am here and Im really tired. Coming back tomorrow. Also bump
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>>8291855
be sure to take into account trumps tax breaks in a couple of years.
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Bump for actually doing something productive on sci/math on this board.
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Yeah bump because i want to read this when i sober up.
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>>8293444
Trips never lie
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OP here, lol thanks everyone!
Can you guys give me your scenario (or some other realistic scenario) by giving me the parameters requested in the OP?
Everyone's case is very different so I'm trying to change the code to incorporate more complex (i.e. more realistic) scenarios.
>pic is the same as the OP scenario but this time I'm taking into consideration the following:
>Expenses are now a varying function of time and go up to account for kids and then down to account for when they gtfo
>House mortgage is payed in 30 years
>Steady growing income for 35 years
>Retirement in year 35
>In year 40, they start pulling $60k each out of their 401ks (and are appropriately taxed) to replenish their decreasing cash
If your scenario requires a particular modification, tell me! I'll try to throw it in there.
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bump for help...
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