I'm using the Monte Carlo simulation with Conservative Spending to assess the risk that my plan won't meet basic living requirements far into the future. To do that, I'm looking in the Monte Carlo results at the Percentile Distributions of both Living Standard and Income. Specifically, I'm looking at the 5% column to get an idea of the worst case.
The worst case doesn't look very realistic.
When I run ESPlanner assuming conservative spending, is it correct that the Details and Suggestions section of the PDF report assume that I spend, and earn, zero real return on my investments, in each year until the last year when no assets are left? Then, if that is true, what are the assumptions regarding spending and earning in each of the various runs in the Monte Carlo simulations that are reported in the PDF table entitled Percentile Distribution of Living Standard?
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