Financial Goals·5 questions

Financial Goals: how to account for inflation in goals?

Answer

Inflation is considered as follows: if the goal is in a year, add the expected inflation (e.g., 7–10%) to the amount. For goals over 3 years, it’s better to keep part of the funds in instruments with higher potential than inflation, but only after building a cushion.

Was this answer helpful?

More questions in this topic

Related questions from other topics