The table and the PV calculation are completely separate.jmk wrote: ↑Wed Nov 28, 2018 11:24 pmIt might just be me, but is anyone else confused by the figures in the generated "Year-by-Year Benefit Amounts" table?
After reading the background info carefully I'm thinking these figures represent future real dollars anchored the year you'd turn 62, or perhaps the year you start getting benefits. In other words, not in current dollars. But this is never stated outright. I'm wondering if it would help to add a simple sentence to the explanation above the table explaining what year anchors the figures?
In the PV calculation, future dollars must be discounted. (And they are probability-weighted as well.)
For ease of understanding, the table simply reports current year dollars -- not discounted and not probability-weighted. Otherwise, for example, a person's retirement benefit would be shown as a slightly smaller amount each year than the previous year, which I suspect would confuse many people.