Financial modelling terms, in plain English.

Accessible money

Cash and investments the model can use to fund spending before pension or other restricted assets become available.

Base currency

The household currency Styrvia uses to present comparable totals and results. Items can keep their own currencies and are converted into the base currency using the applicable FX input.

Cash reserve / reserve target

The amount of accessible cash-like money you choose to keep available as a buffer. Falling below the target is a liquidity warning and does not necessarily mean the overall plan has run out of funding.

Cash distribution / dividend

Cash paid by an investment to its holder. It is one component of total return.

Correlation

A modelling assumption describing how two simulated return factors tend to move together. It does not mean one causes the other.

Cost basis

The purchase or tax basis used to calculate a gain when an asset is sold.

Debt service

The cash paid toward a debt during a period. For amortising debt, Styrvia treats the full payment as a cash outflow, then splits it between interest and principal while principal reduces the outstanding balance.

Deficit

A period when spending and other outflows exceed inflows. The plan then needs accessible assets or other cash sources to cover the gap.

Funding shortfall

A period when spending and other outflows exceed inflows and the plan needs accessible assets or other cash sources to cover the gap.

FX rate / currency conversion

The rate used to translate an amount into the plan base currency. A current conversion rate is not a future currency forecast.

Growth override

A growth rate entered for a specific item. Blank uses the relevant plan default; 0% keeps the entered amount flat.

Historical / Past-market test

A replay of historical return and inflation sequences against the Starting Point. It is historical context, not a forecast.

Holding risk classification

In Personal Early Access, the user-selected broad type is used to choose a fixed planning variability assumption for a share, ETF or fund.

Future event

A dated change you already expect or have committed to, such as a move, career break or retirement change. Planned Future events stay in projections until you mark them happened or remove them.

Market simulation (Monte Carlo)

A simulation of many possible market-return paths used to show a range of outcomes. It is a risk test, not a forecast.

Mark-to-market

A tax timing approach that measures value changes during a period even if an asset was not sold. In Styrvia it is distinct from taxation when sold.

Net worth

Assets minus debt at a point in time. Net worth can stay positive even when accessible money is under pressure.

Nominal value / future amount

The amount shown in the money of that future date, without translating it back into plan-date purchasing power.

P10 / P50 / P90

Percentile outcomes from Market simulation. P10 is lower-end: about 10% of simulated results are worse. P50 is the middle: half are worse and half are better. P90 is higher-end: only about 10% are better.

Pension age

The adult-level planning age Styrvia uses as the default start age for pensions that do not have their own specific start age. If Planned work retirement age is blank, Pension age is also the fallback stop age for salary, self-employment and business income. It does not automatically stop rental, investment or pension income.

Planned work retirement age

An optional planning age for when salary, self-employment and business income normally stop. If it is left blank, Pension age is the fallback. A specific income end date overrides either adult-level default.

Planning assumption

A value used for the forward model, such as expected inflation or return. It is not a prediction.

Price growth

Change in an asset’s market price. Together with cash distributions it contributes to total return.

Proxy

A substitute history deliberately chosen by the user to stand in for another holding or market. Personal Early Access does not select a proxy for a custom investment history.

Present value / Plan-date money

A future amount expressed in the purchasing power of the plan date, making amounts at different dates easier to compare.

Real net worth

Net worth adjusted for inflation so amounts at different dates are easier to compare in plan-date purchasing power.

Realised gain

The gain when an asset is sold. For property, Styrvia subtracts selling costs and cost basis from the sale value before applying the gain-tax assumption.

Reference assumption / reference data

External context such as inflation, FX, housing or pension-age research. It does not silently replace your planning assumptions.

Reference-data update

A reviewed update to reference information. It does not change the plan until you review and apply it; manual assumptions remain in control.

Selling cost

A transaction cost deducted from a property sale before the gain is calculated. It reduces the taxable gain in the model.

Starting Point

Your current household finances, assumptions and planned Future events. Scenarios are compared with this path.

Scenario

An alternative path that changes selected future events or assumptions while keeping the rest of the Starting Point comparable.

Scenario event

A dated hypothetical change inside a what-if Scenario. The current Personal Early Access configuration supports up to two Scenario events in one alternative scenario; planned Plus and Professional capacity is up to three.

Survival rate

The share of Market simulation paths in which accessible money lasts through the selected planning horizon. It is a model statistic, not a real-world probability forecast.

Surplus

A period when inflows exceed spending and other outflows. Styrvia first clears any funding gap, then applies the remaining surplus using your New surplus split.

Total return

Economic investment return from cash distributions such as dividends plus the change in market value.

Variability / volatility

A planning measure of how widely annual simulated returns can move around the expected return. Higher variability produces a wider range of simulated paths.