Methodology

Calculator Methodology

ClearWorth calculators use simplified planning models. They are meant to make tradeoffs easier to understand, not to replace official calculators, payroll systems, lenders, brokerages, tax software, or professional advice.

Investment calculations

Investment growth estimates use compound growth based on user inputs for starting balance, contribution amount, contribution frequency, annual return, inflation, and time period. Actual investment returns are uncertain and can be negative.

Paycheck calculations

Paycheck estimates use simplified federal, state, local, FICA, and deduction assumptions. Local tax coverage includes static ZIP-driven rules for jurisdictions such as New York City, Yonkers, and Philadelphia, but some states require full address or PSD-code lookup instead of ZIP alone. The manual local tax override lets users enter a rate they verified from an official local source, such as Pennsylvania's PSD/EIT lookup, without sending an address to ClearWorth. Verify important payroll decisions with official state, county, city, and employer payroll sources.

Mortgage calculations

Mortgage estimates use standard amortization math and planning assumptions for property tax, insurance, HOA, PMI, and extra principal payments. Real lender quotes and escrow figures can differ materially.

Portfolio calculations

Portfolio allocation estimates rely on user-entered holdings and prices, with best-effort public quote lookup where available. Quotes may be delayed or unavailable.