1. What is Lifetime Income?

Lifetime income represents the total amount of money you will earn over your working years. It's calculated by multiplying your annual income by the number of years you expect to work.

2. How Does the Calculator Work?

The calculator uses the simple lifetime income formula:

Where:

• Annual Income — Your yearly earnings in currency
• Years — Number of years you expect to work at this income level

Explanation: This basic calculation provides a rough estimate of your total earnings over time, not accounting for raises, inflation, or career changes.

3. Importance of Lifetime Income Calculation

Details: Understanding your potential lifetime income helps with financial planning, retirement savings goals, and making informed career decisions.

4. Using the Calculator

Tips: Enter your current annual income and the number of years you expect to work at this income level. For more accurate results, consider calculating different career phases separately.

5. Frequently Asked Questions (FAQ)

Q1: Should I account for salary increases?
A: This basic calculator assumes constant income. For more accuracy, calculate different career phases separately and sum the results.

Q2: How does this relate to retirement planning?
A: Knowing your lifetime income helps estimate how much you'll need to save for retirement to maintain your standard of living.

Q3: What about taxes and deductions?
A: This calculates gross income. For net income estimates, you would need to factor in taxes and other deductions.

Q4: How accurate is this calculation?
A: It's a simple estimate that doesn't account for career changes, unemployment periods, or inflation. Use it as a starting point for planning.

Q5: Can I use this for multiple income streams?
A: For multiple income sources, calculate each separately and then sum the results for total lifetime income.