Track tax-deferred investments that aren't tax-deductible
If you have tax-deferred (Tax-deferred investments accumulate with no tax liability until withdrawal such as 401(k) plans or IRAs. Be careful not to confuse this with investments that are ôtax-exempt.ö) investments that are tax-deductible, such as municipal bonds, designate the purpose of this account as Long-Term Savings in the Savings & Investments place (in Lifetime Planner). Money will forecast taxes being paid on yearly gains, even though these investments are tax-deferred, to provide a more conservative picture of how much money you'll need to save. If you want to estimate what your investment return would be without taxes, specify a rate of return that is higher than your actual rate. For example, if your investments grow at 6% tax-deferred, you could specify 7% or 8% as your rate of return.