Inflation parameters for indexed DB pension plans. How to set.


Under my Federal Employee Pension plan my pension benefits are indexed. The only way I have been able to get the ESP model to correctly show what is effectively a real constant benefit is to set the overall inflation rate to zero. This makes some of the other values incorrect. I would like to set the inflation parameters to what I expect over time and allow different rate of indexation to various forms of income and expense.


To set a real constant pension benefit, input "100%" for "degree of inflation indexation of annual benefit".


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