Hi Everyone,
This is my annual newsletter to announce what’s coming from Pralana in 2022, and other news.

Pralana Gold 2022 Highlights

The 2022 version of the Pralana Gold calculator is now undergoing beta testing and I expect to release it by mid-January. I'll send out another newsletter in January when the release has occurred.

Major Enhancements

• Save, Save-as, Import and Export buttons are now accessible from every page
• A Global scenario copy function is now available
• Interest and dividends from the taxable savings account can be re-invested or deposited in the cash account at the option of the user
• The modeling of Roth conversions has been completely redesigned to be much more flexible, and gives you a high degree of control over conversions with respect to tax brackets, IRMAA limits and ACA subsidies. You can now specify the maximum marginal tax bracket, the IRMAA limit and the maximum FPL multiple (for control of ACA subsidies) as Roth conversion limiters for each year of a 20-year span.
• The asset allocation design has been enhanced to support two modes: 1) the traditional account-level allocations for 10 asset classes as in all prior models and 2) overall allocations spanning all accounts for just two asset classes (stocks and bonds). This new mode of asset allocation lets you specify the overall allocation of stocks and bonds for two different time periods while also allowing you to specify target asset locations.
• Historic data prior to 1928 has been removed because it has proven to be very difficult to find reliable data for all the major asset classes; however, the Historical analysis algorithm has been improved to make better use of the available historic data and now generates 83 unique historic sequences which are then aggregated to reflect the range of likely long term outcomes. Additionally, it enables you to specify a particular historic sequence and then use it to drive both graphical and tabular projection displays so you can examine that sequence in great detail. This replaces the bear market analysis feature in prior models. In conjunction with the new historical analysis algorithm, PRC2022 models CAPE Rules as a new spending strategy.

Other Enhancements

• Incorporates 2022 tax laws, Medicare premiums, IRMAA tables and RMD distribution tables
• The Healthcare expenses page was modified to allow different ACA SLCSP values for each time period to account for changing family size
• Healthcare premiums can now be deducted as a business expense
• Property taxes can now be held at a fixed level or inflated at a different rate than other property-related expenses
• HELOC and home equity loan modeling now supports pre-existing loans
• Automatically-generated Medicare premiums now include Part D IRMAA
• User input is now collected for use in determining the tax rate to be used for converting absolute dollars to effective dollars on the Roth conversion and Sensitivities pages
• A feature was added to assist with mid-year updates to account balances. This can be useful in helping you make mid-year adjustments to account balances for unusually good or bad market performance during the current year.
• Graphical displays use brighter colors
• Implemented a workaround for the Mac-related issue wherein the format of the pages randomly changes to the split mode, thus hiding much of the page
• Reduced Export file size to 25% that of the PRC2021 model
• Corrects a few PRC2021 errors recently discovered during the course of PRC2022 development

Pralana Bronze 2022 Highlights

• Incorporates 2022 RMD distribution tables

Business Partner

I’m seeking a business partner to assist me in converting Pralana Gold into an on-line tool. If you have an interest in a business opportunity such as this, please contact me.

Stuart Matthews