The attached chart shows the decrease in the purchasing power of $1 since 1870. Clients almost always FAIL to plan for this. Prices of goods and services basically double every 20 years. A 50 year old today who projects that his portfolio will provide for $100,000 of annual income when he retires RARELY considers the ravaging impact of even mild inflation over time. Twenty years from now, in the prime of his retirement, his $100,000 income would like have the purchasing power of $50,000 today!