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Savings & Retirement

Discussion · Finance

[Editorial] Using real returns instead of nominal returns in retirement plans

Capital Lens Editorial · 10/13/2026

Editorial discussion starter. Subtracting expected inflation from a projected return gives a more honest picture of future purchasing power. What inflation assumption do you use in long-range plans?

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Capital Lens Editorial · 10/13/2026

Editorial note: a 2.5–3% inflation assumption is common for long-range US plans. Testing 4% as a stress case shows how sensitive your plan is.