Individual Retirement Accounts

An individual retirement account (hereafter referred to as an IRA) is a deposit held in an account for a period of time, during which further deposits may be made and interest is accrued. Interest accrues on the initial balance and periodic deposits with a fixed periodicity (e.g. monthly, daily). The amount of money initially deposited in the IRA is called the beginning balance, and the final balance of the IRA at the end of its term (which depends upon the current and retirement ages of the account holder) is called the future value.

The SCE allows the computation of an IRA two different ways: (i) specify the initial balance, periodic deposit amount, current and retirement ages, and interest rate to compute the future value; or (ii) compute the necessary periodic deposit amount to achieve a target future value.

Sample Request

The following is a sample SCE request for an Ira calculation:

{
  "Module" : "Ira",
  "Data" : {
    "Calculate" : "FV",
    "Compounding" : "Annual",
    "BeginBalance" : "2000.00",
    "Deposit" : "2000.00",
    "DepositFreq" : "Annual",
    "CurrentAge" : "30",
    "RetireAge" : "65",
    "Rate" : "5.000"
  }
}

Sample Response

The following example is the response returned from the SCE for the request provided at the beginning of the previous section.

{
  "Result" : 200,
  "Module" : "Ira",
  "Data" : {
    "Errors" : [
    ],
    "Warnings" : [
    ],
    "BeginBalance" : "2000.00",
    "Deposit" : "2000.00",
    "DepositFreq" : "Annual",
    "Rate" : "5.000",
    "CurrentAge" : "30",
    "RetireAge" : "65",
    "Term" : "35",
    "TermUnits" : "Years",
    "FV" : "200704.68",
    "Gain" : "128704.68",
    "Yield" : "5.000"
  }
}