Abstract:
A computer implemented tool used primarily in [retirement planning] financial planning which produces estimated values of needed savings levels and further income based on certain economic assumptions and data regarding an individual subject&#39;s current financial status. [Although intended for use in retirement planning, the tool may also be used in other forms of financial planning.] The tool uses decision logic. User preferences are taken into account. Output is presented in a unique graphical format that can be easily understood by customers.

Description:
FIELD OF INVENTION 
     The present invention is directed to a computer implemented system and method used in the field of financial planning. More specifically, the present invention is directed to a computerized tool used in retirement planning that produces estimated values of needed savings levels and future income based on certain economic assumptions and data regarding an individual subject&#39;s current financial status. 
     COPYRIGHT NOTICE 
     A portion of the disclosure of this patent document contains material which is subject to copyright protection. The copyright owner has no objection to the facsimile reproduction by anyone of the patent document or patent disclosure as it appears in the Patent and Trademark Office patent file or records, but otherwise reserves all copyright rights whatsoever. 
     BACKGROUND OF THE INVENTION 
     Recent studies have shown that many people will not have saved the amount of money needed for their retirement. According to one recent study on potential shortfalls in retirement income, nearly eight out of ten households will probably have less than half of what they need to retire comfortably. Many people find saving difficult, especially when it comes to knowing how much to save. 
     People planning for retirement often need help in answering a number of questions, such as, for example: how many years do I need to plan for, what is the best age to retire, what if I work longer, how much money will I need when I retire, what if I save more today, what if I adjust my standard of living after I retire, how much should I be saving? 
     Computer systems exist that can assist in some areas relating to retirement planning. In general, these computer systems are either non-interactive and do not provide alternative strategies tailored to the user&#39;s situation or are too flexible and do not provide the guidance that most users require. 
     For example, some software used in retirement planning allows the user to enter the appropriate information (e.g., user&#39;s age, current income, assets, retirement goal) and the software will inform the user whether or not the user&#39;s goal has been met. If the user has not met his or her goal, the program may output a general list of things the user can do to possibly reach that goal, e.g., save more now, change investments, retire later, work part-time. However, the alternative strategies presented to the user are general, not tailored to the user&#39;s situation and do not take into account the user&#39;s preferences. Usually, there is no suggestion provided as to which alternative strategy would be the one that the user would most likely find of interest. Nor do such programs provide details (such as, for example, number of years for which income is needed, average income) of any alternative retirement strategy. Thus, these programs do not make suggestions as to how factors can be varied to more closely obtain the desired retirement goal or provide details of how the user&#39;s retirement goal could be varied to obtain other desirable retirement strategies. 
     Typically, if the user wishes to explore an alternative strategy, the user is required to guess what would be the most desirable factor to change, re-enter the new input and have the program again perform the calculation. Such systems are not efficient, particularly where the user does not have access to a computer and the information is collected from the user and processed in a batch process. 
     Other software programs used in retirement planning could be regarded as totally interactive. For example, in such programs, users can enter and modify all or most parameters and assumptions to obtain the results desired. The disadvantage of such programs is that the user may not be given enough guidance in those areas where the user is likely to have no expertise, such as, for example, rate of return, inflation, earnings growth rate, number of retirement years for which income is needed, and amount of retirement income needed each year, etc. It is not advantageous to allow users to specify or change the parameters or assumptions used by the program when the user is not an expert in such areas and, further, may not be given enough guidance by the program in the best combinations of parameters or assumptions to be used in the user&#39;s particular case and for a specific retirement scenario. 
     Thus, there exists a need for a system used in retirement planning that identifies not only what the user should do to reach the user&#39;s specified retirement goal but, additionally, anticipates other strategies of likely interest to the user, taking into account the user&#39;s priorities, and further, provides the user with the details of the alternative strategies without the need for further user intervention. It would be beneficial for such a system used in retirement planning to determine, as part of the alternative strategies, the combinations of assumptions to be used, particularly assumptions relating to areas in which a typical user is unlikely to have special skill (such as rate of return over possibly long periods of time). It would also be desirable to select such assumptions so they are consistent with each other and are based upon personal characteristics of the particular user where appropriate. 
     There further exists a need for a system used in retirement planning that provides a number of alternative retirement strategies and also selects one or more retirement strategies (including the detailed components thereof) that, based on user preferences, would most likely be of interest to a user. 
     It would be desirable if such a system enabled the user to provide input on only one occasion (for example, so that the system could be efficiently operated on a batch basis for those who do not have access to a computer). Most desirably, such a system should anticipate certain user questions and provide details of alternative strategies likely to be of interest to the user without the need for additional user intervention. 
     There further exists a need for a system used in retirement planning that provides information to the user in a written and graphical format that is easy to comprehend. Where alternative strategies are presented, it would be desirable if each strategy is presented so as to be easily compared with the other strategies. 
     SUMMARY OF THE INVENTION 
     Taking into account a customer&#39;s preferences, the present invention determines a number of financial scenarios for the customer and, from these selects the scenarios likely to contain useful information for the customer to be presented to the customer in a report. Further, the present invention, again taking into account a customer&#39;s preferences, highlights one or more of the feasible scenarios the customer is especially likely to find of interest. 
     In the embodiment described herein, the present invention is described in the context of planning for retirement. However, the invention is not so limited, and can be used for other financial planning, such as, for example, planning for college funding, planning for a major asset purchase, planning for insurance needs, etc. 
     When used herein, the term &#34;customer&#34; refers to the person who is the subject of the financial calculations. In using the present invention, the customer may be assisted by a professional financial planner or agent. The customer need not be the person who actually enters information into the system--the information also may be entered, for example, by a data entry operator, by computerized scanning methods, by a financial planning professional or traveling insurance agent. 
     In the representative embodiment, the present invention includes an expert system comprising a set of decision rules. The expert system is part of or is used by a software system used in retirement planning. In summary, the software used in retirement planning is designed to perform financial calculations with respect to a customer&#39;s retirement savings and other savings plans. The calculations of the software used in retirement planning are based upon financial and other input data provided by the customer. The output of the software is a report, provided to the customer, which includes financial estimates and other information to help the customer evaluate the feasibility of retiring at a number of future retirement dates or ages. 
     One of the features of the report is that it provides the customer with the estimated savings levels required for a selected set of distinct retirement scenarios. (In the representative embodiment, eighteen retirement scenarios are included in the report.) The expert system of the present invention determines which retirement scenarios, including which retirement dates, expense levels and rates or return, are to be included in the customer&#39;s report. 
     Further, the report highlights or focuses the customer&#39;s attention on two specific retirement scenarios which are expected to be of particular interest to the customer. The expert system of the present invention determines which two scenarios are to be highlighted. 
     As discussed in further detail below, the expert system comprises a set of decision rules which operate to &#34;customize&#34; the processing and output of the software system used in retirement planning for each customer, based on certain customer-specific input data and preliminary calculations of the software system. The decision rules define the logic used to make decisions which, in turn, becomes additional inputs to the software system used in retirement planning for the purpose of customizing the output presented to the customer in the report. 
     In further detail, the software used in retirement planning of the present invention is executed by a computer processor. The computer processor executing this software can operate from one of a number of locations. For example, the software used in retirement planning can execute on a customer&#39;s personal computer or on the laptop computer of a financial planner. Alternatively, the software can execute on a centrally located computer, where, for example, input is received electronically from a customer using a computer or terminal at a remote location. Thus, it will be appreciated that input can be received from a customer (and output presented to the customer) via the Internet. Additionally, the customer may provide input in written form, which is scanned in or entered into the system in batch mode by data entry operators. The software used in retirement planning utilizes actuarial life expectancies, historical data, economic variables and results of consumer research in performing its tasks. 
     In the representative embodiment, the customer completes a questionnaire that requests information about the customer and his or her present financial position and financial preferences (and, if applicable, those of the customer&#39;s family). The questionnaire can be in electronic form (e.g., completed at a computer by entering information that is displayed in an electronic form on the screen of the computer) or in printed form. In the representative embodiment of the present invention, the customer provides as input information about the customer&#39;s present financial situation, and other personal information, as well as preferences relating to the customer&#39;s future objectives. For example, the customer provides information relating to investment risk tolerance, preferences as to which changes in future lifestyle the customer would find most acceptable, and the date the customer would like to retire. 
     Thus, the questionnaire includes questions relating to age, sex, marital status, number of dependents, current yearly income, current health insurance, retiree health insurance, social security, customer&#39;s ability to handle investment risk (used in part to make an assumption for the rate of return investments could earn), defined benefit pensions and other employer sponsored savings plans available (e.g., 401 (K) and Keogh plans), current personal savings, current real estate and mortgage(s), life insurance, household loans and debts and other major anticipated expenses. The questionnaire also asks the customer to rank in order of preference the following steps that the customer could take to ensure a more comfortable life in retirement: (a) save more now; (b) work longer; and (c) reduce standard of living in retirement. Further, the customer is asked to specify the date (e.g., year) which the customer wishes to retire. The questionnaire can be customized for particular types of customers, e.g., all employees of a particular company, customers having a certain occupation, customers in a particular state or geographic region, etc. 
     The information received in response to the questionnaire is supplied to the software used in retirement planning for processing. Using this information, the present invention estimates how much the customer should save each year until retirement for the scenario that the customer indicated as most desirable, and uses these results as well as the customer&#39;s preferences relating to future objectives to evaluate alternative retirement funding scenarios. 
     The overall output of the software used in retirement planning includes a number of retirement scenarios that are likely to comprise information that is interesting for the customer. In the representative embodiment, based on the information provided by the customer, a customized set of eighteen distinct retirement scenarios are provided to the customer in a report. Two of these scenarios are selected by the expert system as the scenarios that the customer is especially likely to find of interest. 
     Thus, the present invention, using the information from the questionnaire, creates customized projections for the customer. The present invention helps the customer determine the best age to retire and how much money the customer will need in retirement, what amount the customer&#39;s savings can provide and how much the customer should be saving now. The customer is provided with alternative scenarios, for different rates of return, different standards of living in retirement, and different retirement dates. 
     In further detail, based on the information provided by the customer, the software used in retirement planning estimates the income needed each year in retirement (&#34;needed income&#34;). The calculation for needed income takes into account that as current debt payments are reduced, so is the need for income. Other assumptions include (i) when the customer retires, there is probably no need to continue to save for retirement; (ii) if you need less income, you may pay less tax; (iii) health insurance costs will probably go up in retirement; (iv) the customer will not be paying FICA taxes if not working; (v) basic living expenses are assumed to grow at the general inflation rate, which is assumed to be 4%; and (vi) health insurance cost and anticipated college expenses are assumed to increase at a rate greater than the general inflation rate. 
     The present invention takes into account the actual financial circumstances of the customer. For example, the present invention will determine that a customer will need more income in the early years of retirement if the customer will still be paying for a child&#39;s college and mortgage payments in the first few years of retirement. 
     In the representative embodiment, the software used in retirement planning estimates the number of years that the customer will be retired, i.e., years from retirement until death. Life expectancy can be based on standard actuarial tables, such as Society Of Actuaries 1983 Table A, individual annuitant mortality. Modifications can be made to such tables to obtain more conservative results, since modern medical advances and improved lifestyle are increasing life expectancies. 
     For couples, the present invention takes into account combined income and combined income needs. If one partner&#39;s adjusted life expectancy is longer, the present invention estimates a lower income need for the balance of the life expectancy period when only one person is expected to be alive. 
     The software used in retirement planning of the present invention estimates the customer&#39;s retirement income each year in retirement (e.g., from pensions, current savings, social security, etc.) and determines the additional retirement income still needed to obtain the total needed income (all in today&#39;s dollars). For example, if the customer&#39;s needed income averages $43,600 over the whole retirement period, and the customer receives a $32,800 a year pension on average, then the customer will still need an average of $10,800 each year. The software then estimates the amount the customer should save per year, based upon a hypothetical rate of return on savings, to retire on the customer&#39;s desired retirement date. 
     To further assist the customer, the present invention provides details as to other possible retirement scenarios, setting forth the different savings levels needed should the customer decide to retire on a different date, or given a different rate of return, or should the customer decide to spend more or less in retirement. The expert system of the present invention determines which retirement scenarios to present to the customer. Two retirement scenarios are selected by the expert system as those likely to be of the most interest to the customer given the customer&#39;s financial position, goals and preferences. Thus, a number of retirement scenarios are calculated and evaluated by the present invention (different retirement ages, different rates of return, different standards of living in retirement), but only a subset are provided to the customer, and a subset of those are marked as especially likely to be of particular interest to the customer. 
     The expert system of the present invention uses decision rules for selecting the retirement scenarios for customers. Some of the decisions made by the expert system include: 
     (a) determining the rate of return assumptions for the scenarios shown to the customer, based upon the customer&#39;s tolerance to investment risk, the average length of time savings will remain invested and historical investment returns. 
     (b) determining whether an increase or decrease the customer&#39;s standard of living in retirement would be shown in retirement, and by how much. 
     (c) selecting which retirement dates to show. 
     (d) determining which retirement scenarios come closest to meeting the customer&#39;s retirement goals and preferences (e.g., the retirement scenario to star on each graph as discussed below). 
     In the representative embodiment, the retirement scenarios are provided to the customer in the form of two graphs (or charts). One graph represents different options to maintain the customer&#39;s current standard of living in retirement. The second graph represents the different options to reach an alternative standard of living in retirement. (Thus, the present invention can present retirement scenarios based upon different expense levels. A 100% expense level assumes the same standard of living the customer currently has.) 
     Each graph has two axes. One axis represents retirement years and the other axis represents a yearly savings level (specifying how much to save per year in today&#39;s dollars). On each graph are a number of colored plots (or lines), each line representing a rate of return. Each line has a number of marked points, each point representing a specific retirement scenario, i.e., the estimated amount the customer needs to save per year to retire at the year specified, assuming the given rate of return and the standard of living for the graph. 
     The present invention selects and marks (e.g., with a star) on each graph the option (retirement year, solution savings level and rate of return) that is likely to be of most interest to the customer--the retirement scenario that comes closest to meeting the customer&#39;s retirement goals. The customer&#39;s retirement goals are determined by the present invention based upon the preferences (e.g., investment risk tolerance, desired retirement age; save more now; work longer; reduce expenses in retirement) specified by the customer. 
     Each graph can also show the customer&#39;s current savings level. 
     Additionally, the present invention can provide to the customer detailed information for each retirement scenario, setting forth some of the parameters used to calculate each plan, e.g., the following information can be provided in table or spreadsheet form: customer&#39;s age, adjusted life expectancy, number of retirement years for which income is needed, average income needed each year in retirement, income available from total savings to date, other sources of retirement income, additional retirement income still needed, amount to save each year, rates of return. 
     For convenience of the customer, the present invention decreases future dollar amounts to the same buying power in today&#39;s dollars. 
     The information provided to the customer can be in electronic form (e.g., shown on the screen of a computer, e-mailed to the customer, provided on computer disk, etc.) or in printed form (e.g., a booklet). The information provided can have &#34;personalized&#34; text that is included based upon the customer&#39;s input and decisions made by the present invention. 
     In the representative embodiment, the present invention calculates and evaluates a large number of retirement scenarios and then the expert system selects from these nine scenarios to show on each graph. (In alternative embodiments, the initial calculations can be used to determine the retirement scenarios to evaluated in later calculations, so that only information about those retirement scenarios are calculated.) 
     It will be appreciated that the present invention allows a customer to explore alternatives in an &#34;semi-interactive&#34; fashion. Although, in the typical case, the customer provides input on only one occasion (i.e., via the questionnaire), the present invention anticipates, based on customer priorities indicated in the questionnaire, what other scenarios would be of interest to the customer, and also provides details of these scenarios to the customer. This allows customers to explore alternatives that are within the guidelines (priorities) initially indicated by the customer. However, the customer is provided with direction and assistance, as the present invention evaluates which strategies likely would be of most interest to the customer, based upon customer priorities. Thus, in summary, the present invention can present to the customer the retirement strategy that the customer indicated would be most desirable to the customer as well as other planning options that the customer probably would be interested in based upon the information provided by the customer (e.g., based, in part, on adjustments to the customer&#39;s retirement goals that the customer would likely find most agreeable). 
     In the representative embodiment, the present invention does not allow the customer to make assumptions or changes to certain parameters used in the decision-making process. For example, the present invention can be implemented to prevent the customer from making changes to assumptions about future interest rates--this is a complex area in which the customer is unlikely to have expertise. (The present invention uses sophisticated financial models and techniques to determine which future interest rates to assume for a customer.) This approach provides additional benefits, such as, for example, consistency in results if the present invention is operated by different people. Thus, for example, a large financial institution may provide the present invention to a number of its agents with the knowledge that different agents should obtain the same results for the same input parameters. 
    
    
     BRIEF DESCRIPTION OF THE DRAWINGS 
     FIG. 1 is a system diagram of an exemplary embodiment of the present invention; 
     FIG. 2 illustrates a portion of a questionnaire completed by a customer; 
     FIG. 3 is a flowchart of the planning decision system software of the exemplary embodiment of the present invention; 
     FIG. 4a is an exemplary first graph of retirement options for a customer; and 
     FIG. 4b is an exemplary second graph of retirement options for the customer. 
    
    
     DETAILED DESCRIPTION 
     Referring now to the drawings, and initially FIG. 1, there is illustrated a system overview of an exemplary embodiment of the present invention. Information about a customer&#39;s financial position and financial and retirement goals is collected from the customer. Typically, the customer is provided with a questionnaire 110 to complete. The questionnaire 110 may be a paper form, or alternatively, may be in electronic form. 
     In a representative embodiment of the present invention, a customer completes the questionnaire 110 identifying retirement goals. Furthermore, the customer provides in the questionnaire 110 information related to current income, saving, and spending levels, and identifies how much risk the customer is willing to take with investments. Also, the customer prioritizes the adjustments to the customer&#39;s retirement goals the customer is willing to make in order to ensure a more comfortable life in retirement. For example, is the customer willing to work longer, save more money now, or reduce expenses in retirement? 
     The responses to the questionnaire 110 are used as input to a computer program, i.e., the software used in retirement planning, executing in a computer system 120. In the representative embodiment, the computer system 120 comprises a central processing unit 121 for executing computer programs and managing and controlling the operation of the computer system 120. A storage device 122, such as a floppy disk drive, is coupled to the central processing unit 121 for, e.g., reading and writing data and computer programs to and from removable storage media such as floppy disks. Storage device 123, coupled to the central processing unit 121, also provides a means for storing computer programs and data. Storage device 122 is preferably a hard disk having a high storage capacity. A dynamic memory device 124 such as a RAM, is coupled to the central processing unit 121. The computer system 120 includes typical input/output devices, such as, for example, a keyboard 125, a mouse 126 and a monitor 127. 
     The computer system 120 (executing the software used in retirement planning) processes the customer&#39;s responses to the questions in questionnaire 110 and provides the customer with a report 130. The report 130 may be printed by the computer system 120 or may be provided electronically to the customer or the customer&#39;s financial advisor, e.g., via the Internet, on disk, on a computer screen. The report 130 provides the customer with a number of retirement planning options. 
     Questionnaire: FIG. 2 illustrates a portion of the questionnaire 110 that a customer completes. As shown, the customer is asked to provide certain basic information concerning the customer and the customer&#39;s spouse. Such information includes, for example, marital status 210, name of the customer and the customer&#39;s spouse 220, respective dates of birth 230, gender of each spouse 240, and the year that the customer wishes to retire 250. The customer further provides a street address and home and work telephone numbers 260, and names and ages of dependent children 270. The customer is also asked questions related to Social Security 280. 
     The customer is also asked to provide information related to the following: 
     current income; 
     defined benefit information; 
     current and future health care coverage (e.g., cost of health insurance); 
     investment risk profile, i.e., the customer&#39;s ability to handle financial risk and the customer&#39;s willingness to take financial risk; 
     retirement savings, i.e., money the customer and the customer&#39;s spouse is saving through their respective workplaces; 
     personal savings and assets (current balances and current value); 
     real estate (e.g., the value of the customer&#39;s home and other property, mortgage balances, and rental payments); 
     life insurance (both term and permanent); 
     household loans and debts; and 
     anticipated expenses (including, for example, the cost of college education for children). 
     The customer is asked to rank the positive steps the customer could take to ensure a more comfortable life in retirement. Specifically, the customer is asked to rank, in order from 1 to 3, what the customer is willing to do in terms of adjustments to his or her retirement goals: 
     Save more now; 
     Work longer; and 
     Reduce expenses in retirement. 
     Financial Planning Software: Once the customer completes the questionnaire 110, the responses are used as input to the software used in retirement planning executing on the computer system 120. The responses may be input directly by the customer (e.g., at a computer in a financial advisor&#39;s office or at a home computer) or by a data entry operator. Specifically, the input fields listed in table 1 (below) are derived from the customer&#39;s questionnaire responses: 
     
                       TABLE 1______________________________________InputField  Description______________________________________IP     INVESTOR PROFILE = C, M, or A (i.e., conservative,  moderate, or aggressive)= Result of scoring customers&#39;s  responses to investment profile questions in the questionnaire..sub.S RANK  1,2, or 3 = Customer&#39;s preference ranking of &#34;Save More&#34;  relative to two other retirement alternatives (1 - most  preferred)..sub.R RANK  1,2, or 3 = Customer&#39;s preference ranking of &#34;Reduce  Retirement Expenses&#34; relative to two other retirement  alternatives (1 - most preferred)..sub.W RANK  1,2, or 3 = Customer&#39;s preference ranking of &#34;Work Longer&#34;  relative to two other retirement alternatives (1 - most  preferred).SS.sup.I.sub.(x,e%)  ESTIMATED SAVINGS LEVEL = Annual savings amount  (in today&#39;s dollars) required to sufficiently fund customer&#39;s  retirement scenario assuming retirement at customer&#39;s age x  with retirement expense level based on e% replacement of  basic living expenses and rate of return I. The estimated  savings level includes any employer savings (ES), and should  be calculated for customer ages 50 through 70 inclusive,  retirement expense levels and rates of return as needed by the  decision logic or failure processing.PA     PREFERRED AGE = Customer&#39;s retirement age as specified  in questionnaire.CI     CURRENT INCOME = Customer and spouse (if any)  combined current income from all sources.CS     CURRENT SAVINGS = Customer (and spouse, if any)  current annual savings through workplace Defined  Contribution Retirement Plans (including estimated employer  contributions) plus combined current annual savings through  Cash Value Life Insurance or other Personal Savings/Assets.ES     EMPLOYER SAVINGS = Estimated annual employer  contributions to customer&#39;s (and spouse&#39;s) workplace Defined  Contribution Retirement Plans.OS%    OUT-OF-POCKET % = CURRENT SAVINGS (excluding  EMPLOYER SAVINGS) as % of CURRENT INCOME =  (CS - ES)/CI.MO     MAXIMUM OUT-OF-POCKET SAVINGS (customer &amp;  spouse combined) as % of annual combined income. Values  of this variable are defined in Maximum Savings Tables  (below) as a function of CURRENT INCOME (CI) and OUT-  OF-POCKET SAVINGS%(OS%).ME     MAXIMUM EMPLOYER SAVINGS = Maximum amount  of annual employer contributions to workplace Defined  Contribution Retirement Plans as % of annual customer &amp;  spouse combined income.RO     HOMEOWNER STATUS = &#34;Renter&#34; or &#34;Owner.&#34;MR%    MINIMUM REPLACEMENT % = Minimum allowable  replacement % in basic living expenses replaced during  retirement under the second retirement expense level shown  in the Outlook report. Values of this variable are a function  of CURRENT INCOME (CI) and HOMEOWNER STATUS  (RO) and are defined in Minimum Replacement Tables  (below).RR.sup.I.sub.(x,e%)  Expense Replacement Ratio assuming retirement at  customer&#39;s age x and with retirement expense level based on  e% replacement of basic living expenses and rate of return I.  Whenever an SS.sup.I.sub.(x,e%) is calculated, RR.sup.I.sub.(x,e%)  should be calculated  with the corresponding values for x, e% and I.TH.sup.I.sub.x  INVESTMENT TIME HORIZON = Average weighted future  time that assets are expected to remain invested assuming  retirement at customer&#39;s x for e%=100 and rate of return I.  This value is calculated by subtracting the average weighted  time of investment deposits from the average weighted time  of investment liquidations for all current and future amounts  saved under workplace Defined Contribution Retirement  Plans, Cash Value Life Insurance, and other Personal Savings/  Assets. Time is measured from the middle of the current  calendar year, with all current savings amounts assumed to be  deposited at t=O. Weightings are the discounted values (at  time t=O) of deposit and liquidation amounts. Values of  TH.sup.I.sub.x  should be calculated as needed by the decision logic or failure  processing.CMS    Customer&#39;s marital status.CA     Customer&#39;s current ageSA     Spouse&#39;s AgeTH.sup.=I.sub.PA  Initial Investment Time Horizon, calculated as TH.sup.I.sub.x  above, but  using an initial assumed rate of return I as follows:  Conservative Investor Profile -- Assumed Interest Rate =  6.5%  Moderate Investor Profile -- Assumed Interest Rate = 8.0%  Aggressive Investor Profile -- Assumed Interest Rate = 9.0%i.sub.x  Interest rate for the TH.sup.I.sub.x according to the Middle  Interest Rate  Table______________________________________ 
    
     In the exemplary embodiment of the present invention, the software used in retirement planning includes an expert system comprising a set of decisions rules which operate to customize the processing and output of the system for each customer based on customer-specified input. Certain constraints limit the freedom in the decisions, and, in some cases, force certain decisions to be consistent for all customers. These constraints easily can be added to, deleted or varied, depending upon the complexity and flexibility of the system required. In the representative embodiment, they include the following: 
     Two different expense levels are always selected. 
     The first expense level is always based on 100% replacement of &#34;basic living expenses.&#34; 
     Three different rates of return are always selected. The same three rates are used for both expense levels. (See section (a) below). 
     The spread between the middle rate of return and the low rate is always the same as the spread between the middle rate and the high rate. (See section (a) below). 
     Three different retirement dates are always selected. The same three dates are used for both expense levels and all three rates of return. 
     The retirement date specified by the customer in the questionnaire is always included as one of the three retirement dates. 
     Only retirement ages 50 through 70 inclusively are considered. Any references to an age greater than 70 is set to age 70. 
     The two retirement plans selected for highlighting are always based on the middle rate of return. 
     Based on the input fields and the decision constraints (both described above), the expert system determines values for eight output fields as illustrated in table 2 (below): 
     
                       TABLE 2______________________________________Output Field   Description______________________________________ROR.sub.mid   middle rate of return assumptionROR.sub.spread   difference between middle rate of return and high or low   rate of return assumptionsSTAR.sub.1   retirement age to be highlighted for the first expense level   (100% basic living expenses)e%      % of basic living expenses to be replaced in retirement   under the second expense level.STAR.sub.2   retirement age to be highlighted for the second expense   level.AA.sub.1   additional retirement age to be included in Outlook graphs   (optional)AA.sub.2   additional retirement age to be included in Outlook graphs   (optional)Error Code   the number of the fail parameter that cause the failure; 0 if   the case does not fail.______________________________________ 
    
     Using these output fields, the customer report 130 can be generated illustrating, for example, eighteen different retirement scenarios. 
     The following description includes the rules and representative example parameters that can be used by the expert system of the present invention. It will be appreciated that the parameters set forth below may be varied/refined to suit the particular circumstances of use and the customer base utilizing the invention, according to factors, such as, current tax laws, customer expectations, geographic area of use, etc. An expert or group of experts familiar with the intended application of the system of the present invention should determine the exact parameters to be used for any application of the present invention. 
     (A) Selection of Rate of Return and Interest Rate Spread 
     Three rate of return assumptions are determined as a function of INITIAL INVESTMENT TIME HORIZON (TH I   PA ) and INVESTOR PROFILE (IP). In the exemplary embodiment, the middle rate of return on investments is selected in accordance with the Middle Interest Rate table (table 3) below: 
     
                       TABLE 3______________________________________Middle Interest RateTime HorizonIP   0-4.9   5-9.9   10-14.9                      15-19.9                            20-24.9                                  25-29.9                                        30+______________________________________C    4.50%   5.00%   5.50% 6.00% 6.50% 7.00% 7.00%M    5.00%   6.00%   7.00% 7.50% 8.00% 8.50% 8.50%A    5.00%   6.50%   7.50% 8.50% 9.00% 9.00% 9.50%______________________________________ 
    
     The spread between the middle rate of return and the low rate (and also the between the middle rate and the high rate) is determined in accordance with the Interest Rate Spread Table below (table 4): 
     
                       TABLE 4______________________________________  IP  Interest Rate Spread______________________________________  C   1.00%  M   1.5%  A   2.00%______________________________________ 
    
     (B) Customer Preferences Groups 
     A key set of input data upon which system planning decisions are based is the customer&#39;s preference ranking (CPR) of three possible actions that could be taken to modify his or her retirement strategy: save more now, reduce expenses in retirement, and work longer. There are six possible CPR combinations as illustrated in table 5 (below): 
     
                       TABLE 5______________________________________RANK 1         RANK 2       RANK 3______________________________________SAVE           REDUCE       WORKSAVE           WORK         REDUCEREDUCE         SAVE         WORKREDUCE         WORK         SAVEWORK           REDUCE       SAVEWORK           SAVE         REDUCE______________________________________ 
    
     In the exemplary embodiment of the present invention, the retirement system determines retirement scenarios for the customer based, in part, on the customer&#39;s priorities. A separate set of decision rules are used for each CPR combination. However, for all six combinations, the general program flow is the same. 
     Referring to FIG. 3, internal variables are first calculated (step 310). Next, STAR 1 , the retirement age to be highlighted for the first retirement expense level is determined (step 320). STAR 2 , the retirement age to be highlighted for the second retirement expense level, and e%, the percent of basic living expenses to be replaced in retirement under the second retirement expense level are then determined (step 330). Finally, AA 1  and AA 2 , additional retirement years to be included in the report graphs are calculated (step 340). 
     (1) SAVE/REDUCE/WORK 
     If the customer falls into the &#34;SAVE/REDUCE/WORK&#34; CPR group, the customer has identified the priorities of adjustments to retirement goals as follows: 
     (1) save more money now; 
     (2) reduce expenses in retirement; and 
     (3) work longer. 
     Here, since the customer has ranked &#34;work longer&#34; last, the system assumes that retirement at the customer&#39;s preferred age is most important to the customer. Accordingly, if the system determines that the customer cannot adequately fund retirement at the preferred retirement age with 100% of basic living expenses replaced in retirement, considering the customer&#39;s current savings level, the system will determine feasible retirement options, (i) at the expense of saving more money now (i.e., answering the question what if the customer saves more money now?); (ii) if necessary, at the expense of reducing expenses during retirement; and, (iii) as a last resort, at the expense of increasing age of retirement. 
     Even if the customer can adequately fund retirement at the preferred retirement age with 100% of basic living expenses replaced in retirement, considering the customer&#39;s current savings level, the system will determine retirement scenarios taking into account customer&#39;s priorities. For example, the system may determine a scenario showing the feasibility of retiring at an earlier age if current savings are increased. 
     With respect to the CPR combination SAVE/REDUCE/WORK, three internal variables are calculated in step 310. Table 6 (below) sets forth each internal variable and a brief description of how they are defined: 
     
                       TABLE 6______________________________________InternalVariable  Description______________________________________CA     the customer&#39;s earliest retirement age which is fundable by  the CURRENT SAVINGS (CS) assuming a rate of return  of I and e % replacement of basic living expense. A  subscript on CA is used for e % when necessary.  = customer&#39;s age at which: SS.sup.I.sub.(x,e%) ≦ CS and  SS.sup.1.sub.(x-1,e%) &gt; CS.MS     MAXIMUM SAVINGS = largest amount of annual  savings that are shown in the report (larger amounts will  only be shown in the report when I = ROR.sub.mid if the  constraints of always showing the PA or not showing  customer ages past 70 require it.)  = max {MO.sub.(CI,OS) + ME, CS/CI + .05} * CI (rounded to the  nearest whole dollar amount)MA.sub.e%  customer&#39;s retirement age which is fundable by the  MAXIMUM SAVINGS (MS) assuming a rate of return I  and e % replacement of basic living expenses.  =customer&#39;s age at which SS.sup.I.sub.(x,e %) ≦ MS and  SS.sup.I.sub.(x-1,e %) &gt; MS.______________________________________ 
    
     Once the internal variables are determined (step 310), STAR 1  is determined in accordance with the following rules (step 320) (Note: The I or i superscripts on the variables used in the six CPRs refers to the middle rate of return (ROR mid )).:__________________________________________________________________________/* If, based on the current savings level and at 100% replacement ofbasic living expenses, thecustomer can find retirement at an age less than or equal to thepreferred age, set STAR1 toan age younger than or equal to the preferred age. */Case: CA ≦ PAIf CS ≧ .33 (SS I .sub.(CA-1,100%) - SS I .sub.(CA,100%)) +SS I .sub.(CA,100%)   Then If SS I .sub.(CA-1,100%) ≦ max {.33xCI, MS}       Then STAR 1  = CA - 1       Else STAR 1  = CA       Else STAR 1  = CAEndCase/* Otherwise, set STAR1 to the greater of the preferred age or the agethe customer couldfund retirement considering Maximum Savings. Note that STAR1 is not setto an unrealisticretirement age - it is set to an age which the customer could afford withsavings that are at orless than the customer&#39;s maximum savings*/Case: CA &gt; PASTAR 1  = max {M 100% , PA}EndCase__________________________________________________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second retirement expense level, e%, and the retirement age to be highlighted for the second expense level, STAR 2  are determined in accordance with the following rules (step 330)__________________________________________________________________________/*  If STAR1 is less than PA, the customer can afford to retire at an age    earlier than the    preferred retirement age (considering current savmgs level). If the    customer waits to    retire to the preferred age, the customer may be able to increase    expenses during    retirement */Case: STAR 1  &lt; PAe % = 110While SS i .sub.(PA,e%) &lt; CS and SS i .sub.(STAR1,e%) &lt; max{.5xCI,MS} and e % &lt; 140e % = e % + 5EndWhileIf SS i .sub.(PA,e%) ≦ CS and SS i .sub.(PA-1,e %) &gt; CS   Then STAR 2  = PA            /* set STAR 2  to the preferred age PA if PA is the            youngest age that that the customer could fund            considering the current savings level at e % */   Else       If CS ≧ .33(SS i .sub.(CA-1,e%) - SS i .sub.(CA,e       %)) + SS i .sub.(CA,e%)                             /*otherwise, STAR2                             is set to CA or CA - 1                             */       Then If SS i .sub.(CA-1,e%) ≦ max{.33xCI, MS}           Then STAR 2  = CA - 1           Else STAR 2  = CA       Else STAR 2  = CAIf STAR 2  &gt; PA       /* If, however, STAR2 is now greater than the preferred       retirement       age, set STAR2 to the preferred age - at the second       retirement       expense level, we do not want to highlight an age that is       greater than       the customer&#39;s preferred age */   Then STAR 2  = PAEndCaseCase: STAR 1  = PAIf SS i .sub.(PA,100) &gt; CS   Then e % = 90   If SS i .sub.(PA,e%) &lt; CS       Then e % = 110If SS i .sub.(PA,100) ≦ CS   Then e % = 110   While SS i .sub.(PA,e%) &lt; CS and e % &lt; 140       e % = e % + 5   EndWhileIf SS i .sub.(PA,e%) ≦ MS   Then STAR 2  = PA   Else STAR 2  = MA e  %EndCase/* If STAR1 is greater than PA, the customer probably cannot fundretirement at the preferredage considering the current savings level and 100% replacement of basicliving expenses.Since the customer has identified that saving more now is preferable toreducing expenses inretirement, the second retirement expense level is reduced only to thepoint that it is belowwhere the customer could find retirement based on Maximum Savings. MR %and RRprovide further limits to the reducing in e %. */Case: STAR 1  &gt; PAe % = 90While SS i .sub.(PA,e%) &gt;MS and e % &gt; MR% and RR.sub.(PA,e%-5)≧ 50   e % = e % - 5EndWhile/* STAR2 is set to the preferred age if the customer could fundretirement at PA considering areduced expense level of e % with an amount of money less than MaximumSavings. If not,STAR 2  reflects an upward adjustment to the customer&#39;s retirementage.*/If SS i .sub.(PA,e%) ≦ MS   Then STAR 2  = PA   Else STAR 2  = MA e% EndCase__________________________________________________________________________ 
     Additional retirement years AA 1  and AA 2  are determined if STAR1, STAR2, and PA are not unique ages since the exemplary system requires that three different retirement ages be displayed in the Outlook report graphs. For the SAVE/REDUCE/WORK group, AA1 and AA2 are determined in accordance with the rules set forth below (step 340):__________________________________________________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PA                 /* AA1 and AA2 are not necessary since we                 already have three unique retirement ages*/QuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PAIf PA - STAR 1  &gt; 4   Then AA 1  = Age x at which S i .sub.(x,100) is closest to   (SS i   STAR1 ,100) + SS i .sub.(PA,100) +       1)/2   Else AA 1  = max{MA e  %, STAR 1  - 3}       If AA 1  ≧ STAR 1            Then If STAR 1  = PA - 1               Then AA 1  = PA + 1               Else AA 1  = Age x at which SS i .sub.(x,100)               is closest to               (Ss i .sub.(STAR1,100) + SS i .sub.(PA,100) +               1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PAIf STAR 1  = PA - 1   Then AA 1  = PA + 1   Else AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) +       1)/2EndCaseCase: STAR 1  = PA and e % &lt; 100If CS ≧ .33 (SS I .sub.(CA-1,100%) - SS I .sub.(CA,100%)) +SS I .sub.(CA,100%)   Then If SS I .sub.(CA-1,100%) ≦ max {.33xCI, MS}       Then AA 1  = CA - 1       Else AA 1  = CA   Else AA 1  = CAAA 1  = min[max{AA 1 , PA + 1}, PA + 5]If SS i .sub.(AA1,100) + 100 ≦ SS i .sub.(AA1-1,100) andAA 1  ≠ PA + 1   Then AA 1  = AA 1  - 1AA 2  = max{MA 100 , PA - 5 }If AA 2  ≧ PA   Then If AA 1  = PA + 1       Then AA 2  =PA - 1       Else AA 2  = PA + 1EndCaseCase: STAR 1  = PA and e % &gt; 100AA 1  = max{MA 100 , PA - 5}If STAR 2  = PA or AA 1    Then If AA 1  = PA - 1       Then AA 2  = PA + 1       Else AA 2  = Age x at which SS i .sub.(x,100) is       closest to (SS i .sub.(PA,100) + SS i .sub.(AA1,100)           + 1)/2EndCaseCase: STAR 1  &gt; STAR 2  and STAR 2  &gt; PAQuitEndCaseCase: STAR 1  &gt; PA and STAR 2  = PAIf STAR 1  - PA &gt; 4   Then AA 1  = Round((PA + STAR 1 )/2)   Else AA 1  = min[CA 100  - 1, STAR 1  + 3]       If AA 1  ≦ STAR 1            Then If STAR 1  &lt; 70               Then AA 1  = STAR 1  + 1               Else AA 1  = 69                   If AA 1  = PA                       Then AA 1  = 68       If SS i .sub.(STAR1,e %) &lt; .7xCS and SS i .sub.(AA1,e%)       &lt; 7xCS           Then AA 1  = Age x at which SS i .sub.(x+1, e%) &lt;           CS and SS i .sub.(x,e%) ≧ CS           If AA 1  ≦ PA or AA 1  ≧ STAR 1                Then AA 1  = Age x at which SS i .sub.(x,e%) is               closest to               (Ss i .sub.(PA,e%) + SS i .sub.(STAR1,e %) +               1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  &gt; PAAA 1  = min[min[Age x at which SS i .sub.(x,100) is closest to CS,STAR 1  + 3], PA +10]If STAR 1  = 70 or AA 1  = PA + 10   Then AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)EndCase__________________________________________________________________________ 
     The minimum replacement percent table, and maximum savings table (each required for certain calculations as described above) for the SAVE/REDUCE/WORK preference group are provided below as tables 7 and 8. 
     
                       TABLE 7______________________________________Minimum Replacement Percent Table (MR%)Income            Renter  Owner______________________________________   $0-$19,999     92.00%  91.00%$20,000-$39,999   86.00%  82.00%$40,000-$59,999   80.00%  74.00%$60,000-$79,999   ...     ...$80,000-$99,999   ...     ...$100,000-$124,999 ...     ...$125,000+         68.00%  64.00%______________________________________ 
    
     
                                           TABLE 8__________________________________________________________________________Maximum Savings Table     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-4.9%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999     10.5%         13.1%              15.3%                  --    --   19.8%$20,000-$39,999     11.7%         14.5%              16.6%                  --    --   21.0%$40,000-$59,999     13.0%         15.6%              17.7%                  --    --   21.7%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 18.5%         20.7%              21.8%                  --    --   24.2%__________________________________________________________________________ 
    
     (2) SAVE/WORK/REDUCE 
     If the customer falls into the &#34;SAVE/WORK/REDUCE&#34; customer preference group, the customer has identified the priorities of adjustments to retirement goals as follows: 
     (1) save more money now; 
     (2) work longer; and 
     (3) reduce expenses in retirement. 
     Here, in the exemplary embodiment of the present invention, the system assumes that an option showing reductions to the customer&#39;s retirement expense level would be least desirable to the customer. Accordingly, if the system determines that the customer cannot adequately fund retirement at the preferred retirement age with 100% of basic living expenses replaced in retirement, considering the customer&#39;s current savings level, the system will determine feasible retirement options, (i) at the expense of saving more money now; (ii) if necessary, at the expense of working longer; and, (iii) as a last resort, at the expense of decreasing expenses during retirement. 
     Even if the customer can adequately fund retirement at the preferred retirement age with 100% of basic living expenses replaced in retirement, considering the customer&#39;s current savings level, the system will determine retirement scenarios in accordance with the customer&#39;s priorities. For example, the system may determine a scenario showing that a customer can increase expenses during retirement if more money is saved now. 
     With respect to the CPR combination (or preference group) SAVE/WORK/REDUCE, three internal variables CA, MS, and MA e%  are calculated in step 310. These three variables are calculated in the same manner as described in connection with the SAVE/REDUCE/WORK preference group above. 
     Once the internal variables are defined (step 310), STAR 1  is determined in a manner similar to that described in connection with the SAVE/REDUCE/WORK preference group. More specifically, STAR 1  for the SAVE/WORK/REDUCE preference group is determined in accordance with the following rules (step 320):______________________________________Case: CA ≦ PA If CS ≧ .55 ( SS I .sub.(CA-1,100%) - SS I .sub.(CA,100%) )+ SS I .sub.(CA,100%)  Then If SS I .sub.(CA-1,100%) ≦ max {.33 × CI, MS}   Then STAR 1  = CA - 1   Else STAR 1  = CA  Else STAR 1  = CAEndCaseCase: CA &gt; PA STAR 1  = max {MA  100% , PA}EndCase______________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second retirement expense level, e%, and the retirement age to be highlighted for the second retirement expense level, STAR 2  are determined in accordance with the following rules (step 330):__________________________________________________________________________/* Here, the customer can probably fund retirement at an age earlier thanthe preferred age.Since the customer has indicated that it is not desirable to decreaseexpense levels inretirement, the customer would most likely be interested in consideringretirement scenarioswhere the customer could actually increase expenses. Accordingly, e % isincreased to a pointwhere retirement can still be funded with current saving. */Case: STAR 1  &lt; PAe % = 110While SS i .sub.(PA,e%) &lt; CS and SS i .sub.(STAR1,e%) &lt; max{.5xCI,MS} and e % &lt; 140   e % = e % + 5EndWhileIf SS i .sub.(PA,e%) ≦ CS and SS i .sub.(PA-1,e%) &gt; CS   Then STAR 2  = PA   Else STAR 2  = Age x at which SS i .sub.(x,e%) ≧ CS   and SS i .sub.(x+1,e%) &lt; CSEndCaseCase: STAR 1  = PAIf SS 1 .sub.(PA,100) ≧ CS   Then e % = 110   Else If SS i .sub.(PA,100) ≦ CS       Then e % = 110       While SS i .sub.(PA,e%) &lt; CS and e % &lt; 140           e % = e % + 5       EndWhileIf SS i .sub.(PA,e%) ≦ MS   Then STAR 2  = PA   Else STAR 2  = MA e% EndCase/* If STAR1 is greater than PA, then the customer cannot adequately fundretirement at thepreferred age and still maintain the same standard of living (i.e. 100%expense level).Accordingly, e % is increased or reduced as a function of how far theyare from meeting theirgoals*/Case: STAR 1  &gt; PAIf STAR 1  - PA &gt; 9 or STAR 1  = 70   Then e % = 90   If SS i .sub.(PA+9,e%) &gt; MS and CI &gt; 100000       Then e % = 80   Else e % = 110If SS i .sub.(PA,e%) &lt; MS   Then STAR 2  = PA   Else If STAR 1  - PA &gt; 4 and STAR 1  - PA &lt; 10 and e % =   110 and SS i .sub.(STAR1,e%) &lt;   MS + .1xCI       Then STAR 2  = STAR 1        Else STAR 2  = MA e% EndCase__________________________________________________________________________ 
     Additional retirement years AA 1  and AA 2  are determined for the SAVE/WORK/REDUCE preference group, if necessary, for the report graphs in accordance with the rules set forth below (step 340):__________________________________________________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PAQuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PAIf PA - STAR 1  &gt;5   Then AA 1  = Age x at which SS i .sub.(X,100) is closest to   (SS i   STAR1 ,100) + SS i .sub.(PA,100) + 1)/2   Else AA 1  = max{MA e% , STAR 1  - 3}       If AA 1  ≧ STAR 1            If STAR 1  ≠ PA - 1               Then If SS i .sub.(STAR1,100) ≧ CS                   Then AA 1  = Age x at which SS i .sub.(x,100                   ) is               closest to (Ss i .sub.(STAR1,100)               + SS i .sub.(PA,100) +1)/2                   Else AA 1  = STAR 1  - 1                   Else               If SS i .sub.(PA-2,e%) &gt; .5xCI                   Then AA 1  = PA + 1                   Else AA 1  = PA - 2EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PAIf STAR 1  = PA - 1   Then AA 1  = PA + 1   Else AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) +       1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  = PAAA 1  = min[max{MA 100 , PA - 5}, PA - 1]If SS i .sub.(PA,100) &lt; CS or SS i .sub.(PA,100) is closest to CS   Then If AA 1  = PA - 1       Then AA 2  = PA + 1       Else AA 2  = Round((PA + AA 1 )/2)   Else AA 2  = max{min[Age x at which SS i .sub.(x,100) is   closest to CS, PA + 5], PA + 1}EndCaseCase: STAR 1  = PA and STAR 2  &gt; PAAA 1  = min[Age x at which SS i .sub.(x,100) is closest to CS,STAR 2  + 4]If AA 1  = PA or AA 1  = STAR 2    Then AA 1  = Age x at which SS i .sub.(x,100) is next   closest to CSIf AA 1  = PA or AA 1  = STAR 2    Then AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(PA,100) + SS i .sub.(STAR2,100) +       1)/2If AA 1  = PA or AA 1  = STAR 2    Then If SS i .sub.(STAR2+1,100) &lt; .5xCS or SS i .sub.(STAR2,   100) &lt; CS       Then AA 1  = PA - 1       Else AA 1  = STAR 2  + 1EndCaseCase: STAR 1  &gt; STAR2 and STAR2 &gt; PAQuitEndCaseCase: STAR 1  &gt;PA and STAR 2  = PAIf STAR 1  - PA &gt; 5 or STAR 1  = 70   Then AA 1  = Age x at which SS i .sub.(x,100) is   closest to (SS i .sub.(PA,100) +SS i .sub.(STAR1,100) +       1)/2       If STAR 1  = 70 and PA + 1 = 70           Then AA 1  = PA - 1   Else AA 1  = min[Age x at which SS i .sub.(x,100) closest   to CS, STAR 1  +3]       If AA 1  ≦ STAR 1            Then If STAR 1  = PA + 1               Then AA 1  = PA - 1               Else AA 1  = Age x at which SS i .sub.(x,100)               is closest to               (Ss i .sub.(PA,100) + SS i .sub.(STAR1,100) +               1)/2EndCaseCase: STAR 1  &gt; PA and STAR 1  = STAR 2 AA 1  = min[Age x at which SS i .sub.(x,100) is closest toCS,STAR 1  + 3]If AA.sub. 1 = STAR 1    Then AA 1  = STAR 1  + 1If STAR 1  = 70   Then AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)   If PA = 69       Then AA 1  = PA - 1If AA 1  = STAR 1    Then AA 1  = STAR 1  - 1EndCaseCase: STAR 1  &gt; PA and STAR 2  &gt; STAR 1 QuitEndCase__________________________________________________________________________ 
     The maximum savings table (required for certain calculations as described above) for the SAVE/WORK/REDUCE preference group is provided below as table 9 below): 
     
                                           TABLE 9__________________________________________________________________________Maximum Savings Table     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-4.9%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999      9.8%         12.4%              14.6%                  --    --   19.2%$20,000-$39,999     11.1%         13.8%              15.9%                  --    --   20.4%$40,000-$59,999     12.4%         15.0%              17.1%                  --    --   21.2%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 18.0%         20.1%              21.2%                  --    --   23.8%__________________________________________________________________________ 
    
     (3) REDUCE/SAVE/WORK 
     Customers that fall into the &#34;REDUCE/SAVE/WORK&#34; customer preference group have identified the priorities of adjustments to retirement goals as follows: 
     (1) reduce expenses in retirement. 
     (2) save more money now; and 
     (3) work longer. 
     Here, like for the SAVE/REDUCE/WORK group, the exemplary system assumes that retirement at the customer&#39;s preferred age, is most important to the customer. However, unlike the SAVE/REDUCE/WORK group, retirement adjustments will first be made to the customer&#39;s retirement expense level before adjustments are made to the customer&#39;s savings level. 
     With respect to the CPR combination (or preference group) REDUCE/SAVE/WORK, three internal variables CA, MS, and MA e%  are calculated in step 310. These three variables are calculated in the same manner as described in connection with the SAVE/REDUCE/WORK preference group above. 
     Once the internal variables are defined (step 310), STAR 1  is determined in a manner similar to that described in connection with the SAVE/REDUCE/WORK preference group. More specifically, STAR 1  for the REDUCE/SAVE/WORK preference group is determined in accordance with the following rules (step 320):______________________________________Case: CA ≦ PA If CS ≧ .55 ( SS I .sub.(CA-1,100%) - SS I .sub.(CA,100%) )+ SS I .sub.(CA,100%)  Then If SS I .sub.(CA-1,100%) ≦ max {.33 × CI, MS}   Then STAR 1  = CA - 1   Else STAR 1  = CA  Else STAR 1  = CAEndCaseCase: CA &gt; PA STAR 1  = max {MA  100% ,PA}EndCase______________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second expense level, e%, and the retirement age to be highlighted for the second retirement expense level, STAR 2  are determined in accordance with the following rules (step 330):__________________________________________________________________________Case: STAR 1  &lt; PAe % = 110While SS i .sub.(PA,e%) is not closest to CS and SS i .sub.(STAR1,e%) &lt; max {.5xCI, MS} and e % &lt; 140e % = e % + 5EndWhileIf SS i .sub.(PA,e%) ≦ CS and SS i .sub.(PA-1,e%) &gt; CS   Then STAR 2  = PA   Else STAR 2  = Age x at which SS i .sub.(x,e%) ≧ CS   and SS i .sub.(x+1,e%) &lt; CSIf e % = 140 and STAR 2  ≠ PA   Then If SS i .sub.(STAR2,135) is closer to CS       Then e % = 135EndCase/* Bias toward reducing e % */Case: STAR 1  = PAIf SS i .sub.(PA,100) &gt; CS   Then e % = 90   While SS i .sub.(PA,e%-5) &gt; CS and e % &gt; MR %       e % = e % - 5   EndWhile   Else If SS i .sub.(PA,e%) &lt; CS       Then e % = 110       If SS i .sub.(PA,e%) &gt; MS           Then e % = 90If SS i .sub.(PA,e%) &gt; CS   Then STAR 2  = STAR 1        Else   If CS ≧ .55(SS i .sub.(CA-1,e%) - SS i .sub.(CA,e%)   + SS i .sub.(CA,e%)       Then If SS i .sub.(CA-1,e%) ≦ max{.33xCI, MS}     Then STAR 2  = CA - 1     Else STAR 2  = CA       Else STAR 2  = CAEndCaseCase: STAR1 &gt; PAe% = 90While SS i .sub.(PA,e%-5) &gt; CS and e % &gt; MR% /* Bias toward reducing e% */   e % = e % - 5   If((RR e%  &lt; .5 or e % = 80) and SS i .sub.(PA,e%) ≦   MS) or (RR e%  ≦ .5 and e% ≦ 80)       Then QuitEndWhileIf SS i .sub.(PA,e%) &lt; MS   Then STAR 2  = PA   EIse STAR 2  = MA e% EndCase__________________________________________________________________________ 
     Additional retirement years AA.sub. and AA 2  are determined for the REDUCE/SAVE/WORK preference group, if necessary, for the report graphs in accordance with the rules set forth below (step 340):__________________________________________________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PAQuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PAIf PA - STAR 1  &gt; 4   Then AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) + 1)/2   Else AA 1  = max{MA e% , STAR 1  - 3}       If AA 1  ≧ STAR 1            Then AA 1  = Age x at which SS i .sub.(x,100) is           closest to (SS 1 .sub.(STAR1,100)               + SS i .sub.(PA,100) + 1)/2       If AA 1  = STAR 1  and STAR 1  = PA - 1           Then AA 1  = PA + 1       If SS i .sub.(PA,100) ≦ CS and SS 1 .sub.(STAR1,1       00) ≦ CS and SS i .sub.(AA1,100) ≦ CS           Then AA 1  = STAR 1  - 1EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PAIf STAR 1  = = PA - 1   Then AA 1  = PA + 1   Else AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA.100) +       1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  = PAAA 1  = min[max{MA 100 , PA - 5}, PA - 1]If SS i .sub.(PA,100) ≦ CS   Then AA 2  = Round((PA + AA 1 )/2)   Else AA 2  = max{min[(Age x at which SS i .sub.(x,100) is   closest to CS, PA + 5], PA + 1}If AA 2  = PA   Then AA 2  = PA + 1EndCaseCase: STAR 1  = PA and STAR 2  &lt; PAAA 1  = max{MA 100 , STAR 2  - 3)If STAR 2  = PA - 1 = AA 1    Then AA 1  = PA + 1EndCaseCase: STAR 1  &gt;STAR 2  and STAR 2  &gt; PAQuitEndCaseCase: STAR 1  &gt; PA and STAR 2  = PAIf STAR 1  - PA &gt; 3   Then AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(PA,100) + SS i .sub.(STAR1,100) +       1)/2   Else AA 1  = min[Age x at which SS i .sub.(x,100) ≧   CS and SS i .sub.(x+1,100) &gt; CS, STAR 1  + 3]       If AA 1  = STAR 1            Then AA 1  = STAR 1  + 1       If STAR 1  = 70           Then AA 1  = min[69, Round(PA + .75(STAR 1  - PA) -           .01)]       If SS i .sub.(AA1,e%) ≧ .5xCS and       SS i .sub.(STAR1,e%) &lt; .5xCS           Then AA 1  = Age x at which SS i .sub.(x,e%) is           closest to CS       If AA 1  = PA           Then AA 1  = PA + 1       If STAR 1  = PA + 1 = AA 1            Then AA 1  = PA + 2EndCaseCase: STAR 1  &gt; PA and STAR 1  = STAR 2 AA 1  = min[min[Age x at which SS i .sub.(x,100) ≧ CS andSS i .sub.(x+1,100) &lt; CS, STAR 1  + 3], PA + 10]If STAR 1  = 70 or AA 1  = PA + 10   Then AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)EndCase__________________________________________________________________________ 
     The minimum replacement percent table and maximum savings table for the REDUCE/SAVE/WORK preference group is provided below as tables 10 and 11: 
     
                       TABLE 10______________________________________Minimum Replacement Table(MR%)Income            Renter  Owner______________________________________   $0-$19,999     90.00%  90.00%$20,000-$39,999   82.00%  81.00%$40,000-$59,999   74.00%  72.00%$60,000-$79,999   ...     ...$80,000-$99,999   ...     ...$100,000-$124,999 ...     ...$150,000+         59.00%  53.00%______________________________________ 
    
     
                                           TABLE 11__________________________________________________________________________Maximum Savings Table(MO)     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-4.9%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999      9.8%         12.4%              14.6%                  --    --   19.1%$20,000-$39,999     11.0%         13.8%              15.9%                  --    --   20.3%$40,000-$59,999     12.3%         14.9%              17.0%                  --    --   21.0%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 17.8%         20.0%              21.2%                  --    --   23.6%__________________________________________________________________________ 
    
     (4) REDUCE/WORK/SAVE 
     Customers that fall into the &#34;REDUCE/WORK/SAVE&#34; customer preference group have identified the priorities of adjustments to retirement goals as follows: 
     (1) reduce expenses in retirement; 
     (2) work longer; and 
     (3) save more money now. 
     For this preference group, the exemplary system assumes that saving more money now is the customer&#39;s least desirable retirement goal adjustment. Accordingly, retirement adjustments will first be made to the customer&#39;s retirement expense level before adjustments are made to the customer&#39;s retirement age. Also adjustments to the customer&#39;s retirement age will be made before adjustments to the customer&#39;s savings level. 
     With respect to the CPR combination (or preference group) REDUCE/WORK/SAVE, three internal variables CA, MS, and MA e%  are calculated in step 310. These three variables are calculated in the same manner as described in connection with the SAVE/REDUCE/WORK preference group above. MA.sub.(70,e%) uses the age 70 MS. Additionally, internal variables CSA e%  and ADJ are determined. A brief description of these variables, and a table of values for ADJ are set forth below in tables 12 and 13 respectively: 
     
                       TABLE 12______________________________________InternalVariable   Description______________________________________CSA.sub.e%   =The age with estimated savings closest to the customer&#39;s   current savings for the e% expense graph.ADJ     =An adjustment that depends on PA.______________________________________ 
    
     
                       TABLE 13______________________________________Retirement Ages (PA)             ADJ______________________________________50-57             558-62             463-64             365+               2______________________________________ 
    
     Once the internal variables are defined (step 310), STAR 1  is determined in a manner similar to that described in connection with the SAVE/REDUCE/WORK preference group. More specifically, STAR 1  for the REDUCE/WORK/SAVE preference group is determined in accordance with the following rules (step 320):______________________________________Case: CA ≦ PA If CS ≧ .60 ( SS I .sub.(CA-1,100%) - SS I .sub.(CA,100%) )+ SS I .sub.(CA,100%)  Then If SS I .sub.(CA-1,100%) ≦ max {.33 × CI, MS}   Then STAR 1  = CA - 1   Else STAR 1  = CA  Else STAR 1  = CAEndCaseCase: CA &gt; PA STAR 1  = max {MA  100% , PA} If CSA 100  &lt; STAR 1  and CSA 100  ≧ PA  Then STAR 1  = CSA 100 EndCase______________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second retirement expense level, e%, and the retirement age to be highlighted for the second retirement expense level, STAR 2  are determined in accordance with the following rules (step 330):______________________________________Case: STAR 1  &lt; PA e% = 110 While SS i .sub.(PA,e  % ) is closest to CS and SS i .sub.(STAR1,e  % ) &lt;max{.5xCI,MS} and e% &lt; 140  e% = e% + 5 EndWhile If SS i .sub.(PA,e  % ) ≦ CS and SS i .sub.(PA-1,e % ) &gt; CS  Then STAR 2  = PA  Else STAR 2  = CSA e   % EndCaseCase: STAR 1  = PA If SS i .sub.(PA,100) &gt; CS  Then e% = 90  While SS i .sub.(PA,e  %-5 ) &gt; CS and e %  &gt; MR%   e% = e% - 5  EndWhile  Else e% = 110   If SS i .sub.(PA,e  % ) &gt; MS + .05xCI    Then e% = 90 If SS i .sub.(PA,e  % ) ≧ CS  Then If CS ≧ .25(SS i .sub.(CA-1,e  % ) - SS i .sub.(CA,e  % )) + SS i .sub.(CA,e  % )   Then If SS i .sub.(CA-1,e  % ) ≦ max{.33xCI,MS}    Then STAR 2  = CA - 1    Else STAR 2  = CA   Else STAR 2  = CA   Else   If CS ≧ .60(SS i .sub.(CA-1,e  % ) - SS i .sub.(CA,e % )) + SS i .sub.(CA,e  % )   Then If SS i .sub.(CA-1,e  % ) ≦ max{.33xCI,MS}    Then STAR 2  = CA - 1    Else STAR 2  = CA   Else STAR 2  = CAEndCaseCase: STAR 1  &gt; PA e% = 90 While SS i .sub.(PA,e  %-5 ) &gt; CS and e% &gt; MR%  e% = e% - 5  If (e% ≦ 80 and SS i .sub.(PA+ADJ,e  % ) ≦ MS)  or (RR I .sub.(PA,e  % ) &lt; .5 and e% ≦ 80)   Then Quit EndWhile If SS i .sub.(PA,e  % ) ≦ MS  Then STAR 2  = PA  Else STAR 2  = MA e   %  If CSA e   %  &lt; STAR 2   Then STAR 2  = max{CSA e   % ,PA} If STAR 2  &gt; PA + ADJ and SS i .sub.(STAR2,e  % ) &lt; CS  Then STAR 2  = max{STAR 2  - 1,PA}EndCase______________________________________ 
     Additional retirement years AA 1  and AA 2  are determined for the REDUCE/SAVE/WORK preference group, if necessary, for the report graphs in accordance with the rules set forth below (step 340):______________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PA QuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PA If PA - STAR 1  &gt; 4  Then AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +SS i .sub.(PA,100) + 1)/2  Else AA 1  = max{MA.sub.(70,e  % ),STAR 1  - 3}   If AA 1  ≧ STAR 1     AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +SS i .sub.(PA,100) + 1)/2   If AA 1  = STAR 1  and STAR 1  = PA - 1    Then AA 1  = PA + 1EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PA If STAR 1  = PA - 1  Then AA 1  = PA + 1  Else AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +  Ss i .sub.(PA,100) + 1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  = PA AA 1  = PA - 1 AA 2  = PA + 1EndCaseCase: STAR 1  = PA and STAR 2  &gt; PA If STAR 2  = PA + 1  Then AA 1  =PA-1  Else AA 1  = Round((PA + STAR 2 )/2)EndCaseCase: STAR 1  = PA and STAR 2  &lt; PA If STAR 2  = PA - 1  Then AA 1  = PA - 2  Else AA 1  = Round((PA + STAR 2 )/2)EndCaseCase: STAR 1  &gt; STAR 2  and STAR 2  &gt; PA QuitEndCaseCase: STAR 1  &gt; PA and STAR 2  = PA If STAR 1  = PA + 1  Then AA 1  = PA - 1  Else AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +  Ss i .sub.(PA,100) + 1)/2EndCaseCase: STAR 1  &gt; PA and STAR 1  = STAR 2  AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)EndCase______________________________________ 
     The minimum replacement percent table and maximum savings table (both required for certain calculations as described above) for the REDUCE/WORK/SAVE preference group is provided below as tables 14 and 15: 
     
                       TABLE 14______________________________________Minimum Replacement Table(MR%)Income            Renter  Owner______________________________________   $0-$19,999     90.00%  90.00%$20,000-$39,999   81.00%  80.00%$40,000-$59,999   73.00%  71.00%$60,000-$79,999   ...     ...$80,000-$99,999   ...     ...$100,000-$124,999 ...     ...$125,000+         56.00%  52.00%______________________________________ 
    
     
                                           TABLE 15__________________________________________________________________________Maximum Savings Table (MO)     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-49%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999      9.7%         12.3%              14.5%                  --    --   19.0%$20,000-$39,999     10.9%         13.7%              15.8%                  --    --   20.2%$40,000-$59,999     12.2%         14.8%              16.9%                  --    --   21.0%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 17.7%         19.9%              21.2%                  --    --   23.6%__________________________________________________________________________ 
    
     Table 15 gives the maximum out-of-pocket savings percent for age min[PA+10+ADJ, 70]. The maximum savings for PA to PA+ADJ is CS (CSA may be used). The maximum out-of-pocket savings percent for ages between PA+ADJ and min[PA+10+ADJ, 70] is a linear interpolation of the PA+ADJ and min[PA+10+ADJ, 70] maximum out-of-pocket savings percent. 
     (5) WORK/REDUCE/SAVE 
     Customers that fall into the &#34;WORK/REDUCE/SAVE&#34; customer preference group have identified the priorities of adjustments to retirement goals as follows: 
     (1) work longer; 
     (2) reduce expenses in retirement; and 
     (3) save more money now. 
     For this preference group, like for the REDUCE/WORK/SAVE group, the exemplary system assumes that saving more money now is the customer&#39;s least desirable retirement goal adjustment. However, for a customer in the WORK/REDUCE/SAVE group, the customer would prefer to work longer than to reduce expenses in retirement. 
     With respect to the CPR combination (or preference group) WORK/REDUCE/SAVE, six internal variables CA, MS, MA e% ,MA.sub.(70,e%), CSA e% , and ADJ are calculated in step 310. These variables are calculated in the same manner as described in connection with the REDUCE/WORK/SAVE preference group above. However, the table of values for ADJ relevant to the WORK/REDUCE/SAVE group is set forth below in tables 16: 
     
                       TABLE 16______________________________________  Retirement Ages            ADJ______________________________________  50-54     6  55-59     5  60-62     4  63-64     3  65+       2______________________________________ 
    
     Once the internal variables are defined (step 310), STAR 1  for the WORK/REDUCE/SAVE preference group is determined in accordance with the following rules (step 320):______________________________________Case: CA &lt; PA If CS ≧ .60 (SS I .sub.(CA-1,100  % ) - SS I .sub.(CA,100  % )) + SS I .sub.(CA,100  % )  Then If SS I .sub.(CA-1,100  % ) ≦ max {.33 x CI, MS}   Then STAR 1  = CA - 1   Else STAR 1  = CA  Else STAR 1  = CAEndCaseCase: CA &gt; PA STAR 1  = max {MA  100   % , PA} If CSA 100  &lt; STAR 1   Then STAR 1  = max{CSA 100 ,PA}EndCase______________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second expense level, e%, and the retirement age to be highlighted for the second retirement expense level, STAR 2  are determined in accordance with the following rules (step 330):__________________________________________________________________________Case: STAR 1  &lt; PAe % = 110While SS i .sub.(PA,e%) is not closest to CS and SS i .sub.(STAR1,e%) &lt; max{.5xCI, MS} and e % &lt; 140   e % = e % + 5EndWhileIf SS i .sub.(PA,e%) ≦ CS and SS i .sub.(PA-1,e%) &gt; CS   Then STAR 2  = PA   Else STAR 2  = CSA e% EndCaseCase: STAR 1  = PAIf SS i .sub.(PA,100) &gt; CS   Then e %  = 90   While SS i .sub.(PA,e%-5) &gt; CS and e % &gt; MR %       e % = e % - 5   EndWhile   Else % = 110STAR 2  = CSA e% EndCaseCase: STAR 1  &gt; PAe % = 90While SS i .sub.(PA+ADJ,e%) &gt; CS and e % &gt; MR %   e % = e % - 5   If e % ≦ 80 and SS i .sub.(PA+ADJ,e%) ≦ MS       Then QuitEndWhileIf e % = 90   Then If there is an age x ≧ PA with SS i .sub.(x,85)   closer to CS than CSA 90        Then e % = 85If SS i .sub.(PA,e%) ≦ MS   Then STAR 2  = PA   Else STAR 2  = MA e%        If CS ≧ .45(SS I .sub.(CA-1,e%) - SS I .sub.(CA,e       %) + SS I .sub.(CA,e%)           Then STAR 2  = min[STAR 2 , CA - 1]EndCase__________________________________________________________________________ 
     Additional retirement years AA 1  and AA 2  are determined for the WORK/REDUCE/SAVE preference group, if necessary, for the report graphs in accordance with the rules set forth below (step 340):______________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PAQuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PAIf PA - STAR 1  &gt; 4Then AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +Ss i .sub.(PA,100) + 1)/2Else AA 1  = max{MA(70,e%), STAR 1  - 3}   If AA 1  ≧ STAR 1        AA 1  = Age x at which SS i .sub.(x,100) is closest to       (SS i .sub.(STAR1,100)           + SS i .sub.(PA,100) + 1)/2   If AA 1  = STAR 1  and STAR 1  = PA - 1       Then AA 1  = PA + 1EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PAIf STAR 1  = PA - 1Then AA 1  = PA + 1Else AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +Ss i .sub.(PA,100) + 1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  = PAAA 1  = PA - 1AA 2  = PA + 1EndCaseCase: STAR 1  = PA and STAR 2  &gt; PAIf STAR 2  = PA + 1Then AA 1  = PA - 1Else AA 1  = Round(PA + STAR 2 )/2EndCaseCase: STAR 1  = PA and STAR 2  &lt; PAIf STAR 2  = PA - 1Then AA 1  = PA + 1Else AA 1  = Round((PA + STAR 2 )/2EndCaseCase: STAR 1  &gt; STAR 2  and STAR 2  &gt; PAQuitEndCaseCase: STAR 1  &gt; PA and STAR 2  = PAIf STAR 1  = PA + 1Then AA 1  = PA - 1Else AA 1  = Age x at which SS i .sub.(x,100) is closest to(SS i .sub.(STAR1,100) +Ss i .sub.(PA,100) + 1)/2EndCaseCase: STAR 1  &gt; PA and STAR 1  = STAR 2 AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)EndCase______________________________________ 
     The minimum replacement percent table and maximum savings table (both required for certain calculations as described above) for the WORK/REDUCE/SAVE preference group is provided below as tables 17 and 18 respectively: 
     
                       TABLE 17______________________________________Minimum Replacement Table (MR%)Income            Renter  Owner______________________________________   $0-$19,999     91.00%  90.00%$20,000-$39,999   85.00%  82.00%$40,000-$59,999   80.00%  75.00%$60,000-$79,999   ...     ...$80,000-$99,999   ...     ...$100,000-$124,999 ...     ...$125,000+         68.00%  66.00%______________________________________ 
    
     
                                           TABLE 18__________________________________________________________________________Maximum Savings Table (MO)     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-4.9%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999      9.6%         12.2%              14.4%                  --    --   18.9%$20,000-$39,999     10.8%         13.6%              15.8%                  --    --   20.2%$40,000-$59,999     12.1%         14.8%              16.9%                  --    --   20.9%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 17.7%         19.9%              21.2%                  --    --   23.6%__________________________________________________________________________ 
    
     Table 18 gives the maximum out-of-pocket savings percent for age min[PA+10+ADJ,max{PA+5,70}]. The maximum savings for PA to PA+ADJ is CS (CSA may be used). The maximum out-of-pocket savings percent for ages between PA+ADJ and min[PA+10+ADJ, 70] is a linear interpolation of the PA+ADJ and min[PA+10+ADJ, max{PA+5,70}] maximum out-of-pocket savings percents. For age 70 always use the maximum out-of-pocket savings percent from table 18. 
     (6) WORK/SAVE/REDUCE 
     Customers that fall into the &#34;WORK/SAVE/REDUCE&#34; customer preference group have identified the priorities of adjustments to retirement goals as follows: 
     (1) work longer; 
     (2) save more money now; and 
     (3) reduce expenses in retirement. 
     For this preference group, the exemplary system assumes that an retirement option indicating a reduction in expenses in retirement is the least desirable for the customer. A customer in the WORK/SAVE/REDUCE group, the customer would prefer to work longer and save more money now. 
     With respect to the CPR combination (or preference group) WORK/SAVE/REDUCE, six internal variables CA, MS, MA e% , MA.sub.(70,e%), CSA e% , and ADJ are calculated in step 310. These variables are calculated in the same manner as described in connection with the REDUCE/WORK/SAVE preference group above. However, the table of values for ADJ relevant to the WORK/SAVE/REDUCE group is set forth below in table 19: 
     
                       TABLE 19______________________________________  Retirement Ages            ADJ______________________________________  50-57     4  58-62     3  63-64     2  65+       1______________________________________ 
    
     Once the internal variables are defined (step 310), STAR 1  for the WORK/SAVE/REDUCE preference group is determined in accordance with the following rules (step 320):______________________________________Case: CA &lt; PA If CS ≧ .55 ( SS I .sub.(CA-1,100  % ) - SS I .sub.(CA,100  % ) ) + SS I .sub.(CA,100  % )  Then If SS I .sub.(CA-1,100  % ) ≦ max {.33 x CI, MS}   Then STAR 1  = CA - 1   Else STAR 1  = CA  Else STAR 1  = CAEndCaseCase: CA &gt; PA STAR 1  = max {MA  100   % , PA} If CSA 100  &lt; STAR 1   Then STAR 1  = max{CSA 100 ,PA} If CA-1 ≧ PA+ADJ  Then STAR 1  = min[CA-1,STAR 1  ]EndCase______________________________________ 
     Next, the percentage of basic living expenses to be replaced in retirement under the second expense level, e%, and the retirement age to be highlighted for the second retirement expense level, STAR 2  are determined in accordance with the following rules (step 330):__________________________________________________________________________Case: STAR 1  &lt; PAe % = 110While SS i .sub.(PA,e%) is not closest to CS and SS i .sub.(STAR1,e%) &lt; max{.5xCI, MS} and e %&lt; 140   e % = e %+ 5EndWhileIf SS i .sub.(PA,e%) ≦ CS and SS i .sub.(PA-1,e %) &gt; CS   Then STAR 2  = PA   Else STAR 2  = CSA e% EndCaseCase: STAR 1  = PAIf SS i .sub.(PA,100) ≧ CS   Then e % = 110   Else If SS i .sub.(PA,100) &lt; CS       Then e % = 110       While SS i .sub.(PA,e%) &lt; CS and e % &lt; 140           e % = e % + 5       EndWhileSTAR 2  = CSA e% EndCaseCase: STAR 1  &gt; PAIf STAR 1  - PA - ADJ &gt; 9  or STAR 1  = 70   Then e % = 90       If SS i .sub.(PA+9+ADJ,e%) &gt; MS and CI &gt; 100000       Then e % = 80   Else e % = 110If SS i .sub.(PA,e%) &lt; MS   Then STAR 2  = PA   Else STAR 2  = MA e% If CSA e%  &lt; STAR 2    Then STAR 2  = max{PA, CSA e%  }If CA - 1 ≦ PA + ADJ   Then STAR 2  = min[CA - 1, STAR 2  ]EndCase__________________________________________________________________________ 
     Additional retirement years AA 1  and AA 2  are determined for the WORK/SAVE/REDUCE preference group, if necessary, for the report graphs in accordance with the rules set forth below (step 340):__________________________________________________________________________Case: STAR 1  &lt; STAR 2  and STAR 2  &lt; PAQuitEndCaseCase: STAR 1  &lt; PA and STAR 2  = PAIf PA - STAR 1  &gt; 4   Then AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) +       1)/2   Else AA 1  = max{MA.sub.(70,e%), STAR 1  - 3}       If AA 1  ≧ STAR 1            AA 1  = Age x at which SS i .sub.(x,100) is closest           to (SS i .sub.(STAR1,100) +               Ss i .sub.(PA,100) + 1)/2       If AA 1  ≧ STAR 1  and STAR 1  = PA - 1           Then AA 1  = PA + 1EndCaseCase: STAR 1  = STAR 2  and STAR 2  &lt; PAIf STAR 1  = PA - 1   Then AA 1  = PA + 1   Else AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) +       1)/2EndCaseCase: STAR 1  = STAR 2  and STAR 2  = PAAA 1  = PA - 1AA 2  = PA + 1EndCaseCase: STAR 1  = PA and STAR 2  &gt; PAIf STAR 2  = PA + 1   Then AA 1  = PA - 1   Else AA 1  = Round((PA + STAR 2  )/2)EndCaseCase; STAR 1  &gt; STAR 2  and STAR 2  &gt; PAQuitEndCaseCase: STAR 2  &gt; STAR 1  and STAR 1  &gt; PAQuitEndCaseCase: STAR 1  &gt; PA and STAR 2  = PAIf STAR 1  = PA + 1   Then AA 1  = PA - 1   Else AA 1  = Age x at which SS i .sub.(x,100) is closest to   (SS i .sub.(STAR1,100) + SS i .sub.(PA,100) +       1)/2End CaseCase: STAR 1  &gt; PA and STAR 1  = STAR 2 AA 1  = min[CSA 100 , STAR 1  + 3]If AA 1  ≦ STAR 1    Then If STAR 1  = PA + 1      Then AA 1  = PA - 1      Else AA 1  = STAR 1  - 1If Abs(SS i .sub.(STAR1,100) - SS i .sub.(AA1,100)) ≦ 100   Then AA 1  = STAR 1  - 1If STAR 1  = 70   AA 1  = Round(PA + .75x(STAR 1  - PA) - .01)EndCase__________________________________________________________________________ 
     The maximum savings tables (required for certain calculations as described above) for the WORK/SAVE/REDUCE preference group is provided below as table 20: 
     
                                           TABLE 20__________________________________________________________________________Maximum Savings Table (MO)     CURRENT OUT-OF-POCKET SAVINGS PERCENTCurrent Income     0-49%         5-7.9%              8-9.9%                  10-11.9%                        12-13.9%                             14%+__________________________________________________________________________$0-$19,999      9.7%         12.3%              14.5%                  --    --   19.0%$20,000-$39,999     10.9%         13.7%              15.8%                  --    --   20.2%$40,000-$59,999     12.2%         14.8%              16.9%                  --    --   21.0%$60,000-$79,999     --  --   --  --    --   --$80,000-$99,999     --  --   --  --    --   --$100,000-$124,999     --  --   --  --    --   --$125,000-$149,999     --  --   --  --    --   --$150,000+ 17.8%         20.0%              21.3%                  --    --   23.7%__________________________________________________________________________ 
    
     Fail Parameters, Failure Processing and Manual Review: 
     In the representative embodiment of the present invention, the system will automatically cause manual review of the output if one of the following circumstances occur. The reference numbers are returned as the error code (see table 2): 
     1. STAR 2  =70 and SSi.sub.(STAR2,e%) &gt;MS. 
     2. CA≧60. 
     3. Two ages on a graph have solution savings below one-half CS and STAR 1  &gt;PA. 
     4. SS i .sub.(x,100) or SS i   x ,e%) &gt;0.5×CI for any x on the graphs excluding PA and STAR 2  when e%&lt;100. 
     5. STAR 1  &gt;PA+11. 
     6. SS i .sub.(max{PA,STAR1,STAR2,AA1,AA2},100) +X≧SS i .sub.(max{PA,STAR1,STAR2,AA1,AA2}-1,100) or SS i .sub.(max,{PA,STAR1,STAR2,AA1,AA2},e%) +X≧SS i .sub.(max{PA,STAR1,STAR2,AA1,AA2}-1,e%), where X=max{200,min[1000,Rounded(0.005×CI)]}. 
     7. SA for STAR 1  or STAR 2  &gt;max{70,SA for PA+2] and the spouse&#39;s income ≧10%×CI. 
     8. .sup.| i PA  -i STAR1 .sup.|, .sup.| i STAR2 .sup.|, .sup.| i PA  -i AA1 .sup.|, or .sup.| i PA  -i AA2 .sup.| &gt;0.005. 
     9. The decision logic does not choose three distinct ages to show on the Outlook graphs. 
     For manual review cases, a special output report can be generated by the present invention to enable manual review. The output report can include the decisions made by the expert system, the reason for the failure, the input variables, the estimated savings, the replacement ratio, and any other variables used or calculated by the expert system. 
     After manual review, the present invention allows for manual input of new or revised decisions. In particular, the operator of the software used in retirement planning is given the option to use the values for the output variables as determined by the system, or the operator may change any of the following: 
     The three ages to be shown on the report; 
     STAR 1   
     STAR 2   
     e% 
     Middle interest rate and age upon which the interest rate is based. 
     Outlook Report: Once the values for the output variables have been determined, an Outlook report 130 is generated. In the exemplary embodiment, the report includes 18 different retirement scenarios illustrated on two different graphs as shown in FIGS. 4a and 4b. The graphs assume that the values for the output values are as follows: 
     ROR mid  =6% 
     ROR spread  =1% 
     STAR 1  =58 
     STAR 2  =57 
     e%=90 
     PA=56 
     since STAR 1 , STAR 2 , and PA are unique ages, AA 1  and AA 2  were not calculated. 
     Using these values, 18 different estimated savings levels are calculated. In particular, estimated savings levels SS I .sub.(x,e%) are calculated where I ε{ROR mid  -ROR spread , ROR mid ,ROR mid  +ROR spread  }, X ε{PA, STAR 2 , STAR 1  }, and e% ε{100,e% (i.e, the calculated e% value)}, for each different combination of I, X, and e% value as shown in table 21: 
     
                       TABLE 21______________________________________e%               I     X______________________________________100              5%    56100              5%    56100              5%    56100              6%    57100              6%    57100              6%    57100              7%    58100              7%    58100              7%    5890               5%    5690               5%    5690               5%    5690               6%    5790               6%    5790               6%    5790               7%    5890               7%    5890               7%    58______________________________________ 
    
     Referring to FIG. 4a, a graph shows 9 of the 18 different retirement scenarios. In particular, all scenarios where e%=100 are plotted and displayed to the user in the form of the illustrated graph. Here, the X-axis 401 represents the retirement age (and year) while the Y-axis 402 represents the estimated savings level. Each of the retirement age-SS I .sub.(x,e%) points are illustrated as large dots 403-411. Each dot 403-411 at the same rate of return is connected by a line. Accordingly, line 412 represents a 7% rate of return, line 413 represents an 6% rate of return, and line 414 represents a 5% rate of return. One dot 408 is highlighted (as illustrated, it is represented as a star), representing a retirement age of STAR 1 , here STAR 1  =58 at the middle rate of return 6%. This is believed to be the scenario of particular interest to the customer, i.e., the strategy that comes closes to meeting the customer&#39;s retirement goals. The graph of FIG. 4a also shows the current savings level CS 415. Using this graph, the customer can determine how much money the customer should be saving annually to meet retirement goals. Here, to retire at the age of 58 considering a 6% rate of return on savings, the customer should increase the customer&#39;s savings level to $13,500 (star 408). To retire a year earlier, considering a rate of return of 6%, the customer would need to increase savings to a little over $20,000 a year (dot 407). 
     The graph of FIG. 4b answers the question: what if the customer reduces the customer&#39;s standard of living in retirement? In this graph, (the retirement age,SS I .sub.(X,e%)) points are plotted where e%=90. As illustrated by star 501, if the customer increases annual savings to $11,000, the customer could fund retirement at age 57, considering a 6% rate of return, if the customer reduces the standard of living in retirement to 90% replacement of basic living expenses. 
     Determination of Annual Savings Level Needed for a Given Retirement Scenario 
     For a given retirement scenario (combination of financial information, retirement year, percentage of Basic Living Expenses (BLE and rate of return), the software system used in retirement planning executes the following steps to determine the annual savings level needed: 
     1. Estimate the total income needed for each year in retirement. 
     2. Estimate total income available from sources other than savings each year in retirement. For example, Social Security, employer defined benefit pensions, other pensions already being received, rental income. 
     3. Calculate the difference (1-2) for each retirement year. 
     4. Calculate the present value of all of the annual amounts in 3 as of the retirement date. 
     5. Use a converging iteration algorithm to find the minimum positive future savings level (within desired tolerance) for which the accumulated value of the customer&#39;s current assets and future savings will be&gt;the value in 4 by the retirement date. 
     As will be understood by those of skill in the art, the present invention determines and displays reasonable retirement scenarios. The scenarios displayed are determined based in part on a customer&#39;s prioritization of adjustments to retirement goals in order to ensure a more comfortable retirement. 
     The expert system of the present invention has a design that facilitates possible future modifications and enhancements. The system design allows flexibility with respect to the specific variables and logic employed. Enhancements may include, for example, use of additional input fields, changes in the decision logic or expansion of the table values. 
     When the terms &#34;system used in retirement planning&#34; and &#34;software system used in retirement planning&#34; are used herein, they should not be understood as covering a system that addresses all aspects of retirement planning. Thus, the terms &#34;retirement planning system&#34; and &#34;retirement planning software&#34; should be read to include any tool used in retirement planning. For example, a system that does not address aspects of insurance needs, estate planning and asset allocation should still be regarded as a system used in retirement planning. Although intended for use in retirement planning, the present invention may also be used in other forms of financial planning. 
     The expert system of the present invention can be implemented utilizing a logic circuit or a computer memory comprising encoded computer-readable instructions, such as a computer program. The functionality of the logic circuit or computer memory is described in detail above. 
     While the present invention has been particularly shown and described with reference to an exemplary embodiment thereof, it will be understood by those skilled in the art that various changes in form and details may be made therein without departing from the spirit and scope of the invention.