NaviPlan Select Learning Guide: Start planning

Transcription

NAVIPLAN PREMIUM LEARNING GUIDE
Start planning
Using the learning guides
The NaviPlan Premium learning guides are intended to help you learn how to use
NaviPlan Premium. To use this learning guide effectively, go through each page
from start to finish.
Conventions
The NaviPlan Premium learning guides include the following conventions:
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The names of items on the screen are italicized. For example, the Clients
page opens.
The names of items that you must select, click, or enter appear in bold. For
example, select Recommended, and then click OK.
To help you navigate through the application, locations are separated by
dashes (–). For example, the Enter Financial Data section – Net Worth
category – Accounts page.
Figure 1: Enter Financial Data section – Net Worth category – Accounts page
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NaviPlan Premium Learning Guide: Start planning
NaviPlan Premium resources
EISI provides several resources to help you use NaviPlan Premium. In addition to
telephone support, you can access resources from within NaviPlan and from the EISI
Web site (www.eisi.com). The following table shows some of the resources available
and where to find them:
EISI resource
Description and location
Live Web-based
training
You can have your questions answered by a NaviPlan Training
Specialist in an online classroom setting. To arrange a session, please
call (888) 692-3474, option 5.
In-person training
If you prefer an interactive training experience, you can request inperson training in your area. To arrange a session, please call
(888) 692-3474, option 5.
Help
The quickest way to get information about any command, dialog box,
or item within NaviPlan is to use the application Help. To access the
Help, click the Help button at the top of the NaviPlan window.
User manuals
Three comprehensive NaviPlan user manuals are available to help
you complete specific tasks:
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Introduction – User preferences, calculators, client files, and
engagements
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Calculators and Assessments – Calculators, Financial
Assessments (assess your clients’ current financial situation),
and Asset Allocation Assessments (determine your clients’
investor profile)
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Level 1 and Level 2 Plans – Comprehensive planning
You can access the user manuals by searching the EISI Knowledge
Base at http://knowledge.eisi.com/.
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Contents
Start planning
Learning objectives
NaviPlan planning stages
Create client files
Clients page
Blank Fact Finder button
Create New Client button
Match the appropriate analysis level to the clients’ needs
Client & Plan Creation dialog box
Calculators
Assessments
Plans
Income Tax Method stage
Modules stage
Create and present a Financial Assessment
Financial Assessment
Financial Picture page
Retirement page
Client Report page
Promote an assessment to a Level 1 or 2 Plan
Plans page
Promote Plan dialog box
Differences between a Financial Assessment and a Level 2 Plan
Identify the features available in Level 1 and 2 Plans
Navigation bar
Modules category (Modules page)
Assumptions category (General page)
Asset Allocation category (Questionnaire and Profile pages)
Net Worth category (Assets/Liabilities page)
Net Worth category (Accounts page)
Cash Flow category (Cash Flow page)
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Set Goals category (Retirement page)
Analyze Goals category (Scenarios page)
Reports menu
Client Reports category (Client Report page)
Conclusion
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Start planning
Start planning
NaviPlan can be simple or sophisticated and has a full range of planning tools and
levels. This module will show you how to use these tools and levels to build financial
relationships.
This guide will help you understand how to view a range of planning tools in
NaviPlan and then assess the financial situation of current and prospective clients.
Learning objectives
Upon successful completion of this module, you will be able to
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Create client files.
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Match the appropriate analysis level to the clients’ needs.
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Create and present a Financial Assessment.
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Promote an assessment to a Level 1 or 2 Plan.
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Identify the features available in Level 1 and 2 Plans.
Note: Each learning objective is identified with a puzzle piece
icon.
NaviPlan planning stages
The following diagram shows the planning stages you can follow in NaviPlan, from
creating a client file to presenting results. The learning objectives in this module are
part of the following stages: Create client file, Select assessment or plan, Enter financial
data, Set goals, Analyze goals and develop recommendations, and Present results.
For example, your clients, a couple with one child and savings for retirement and
education goals, want to understand their current financial situation, and assess
current assets and savings towards goals. To show them their current financial
situation and review their goals, you will need to create a client file and a Financial
Assessment. Here is an example of what you might show them when you are done.
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Figure 2: Financial Needs Assessment client report – Goal Attainability page (Financial Assessment section –
Financial Assessment category – Client Report page – Generate button)
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Create client files
Create client files
Use the Clients page to create new client files and to access information about existing
clients.
This learning objective is part of the Create client file planning stage.
Clients page
The Clients page is the first page you see when you launch NaviPlan.
In NaviPlan, client information is stored in client files. On the Clients page you can
create new client files, and search for and open existing files.
Figure 3: Client Management section – Client List category – Clients page
In the next few pages, we will examine the following:
A. Blank Fact Finder button
B. Create New Client button
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Blank Fact Finder button
Key points
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Clicking Blank Fact Finder opens a document that you can print and use to
record the client information required to create a financial plan.
The file format will be either RTF or PDF, depending on what is specified in
your User Preferences.
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To change the file format, go to the User Preferences menu – System
Settings dialog box – Report Setup tab.
You can edit the RTF version of the document in Microsoft Word.
Figure 4: Client Management section – Client List category – Clients page – Blank Fact Finder button – excerpt of
Blank Fact Finder
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Create client files
Create New Client button
Figure 5: Client Management section – Client List category – Clients page – Create New Client button – Client &
Plan Creation dialog box
Key points
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Clicking Create New Client on the Clients page opens the Client & Plan
Creation dialog box.
Fields marked with asterisks (*) must be completed. Other fields may be left
blank.
Enter information about the clients, family members, beneficiaries, etc.
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Client Information includes name, age, gender, tax filing status, and
address.
The Family Members stage includes applicable dependent family
members. Family members are automatically considered beneficiaries.
The Beneficiaries stage is used to enter non-dependent family members
and charities who are beneficiaries.
Advisor Information includes your information and information about
other advisors associated with the clients. Be sure to select Cover Page so
that your name is included on client reports that you generate. Advisor
information that is entered in User Preferences – Advisor Details appears
in this stage by default.
The clients’ information only has to be entered once. After that you can start
creating assessments and plans.
You can use the Back and Next buttons to navigate through the Client and
Plan Creation dialog box.
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Match the appropriate analysis level to the
clients’ needs
After you create the client file, you can start to create assessments and plans.
Your choice to create a calculator, an assessment, or a plan will depend on your
current relationship with your clients. To help you decide, you might ask yourself
these questions:
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At what stage of the planning relationship are you with your clients?
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Is this the first meeting or are they existing clients?
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How much information is appropriate to gather from your clients right now?
In this learning objective, we look at when it is appropriate to select a calculator,
assessment, or plan based on the answers to these questions. This learning objective is
part of the Select assessment or plan planning stage.
Client & Plan Creation dialog box
Use the Client & Plan Creation dialog box to create a calculator, assessment, or plan
for the clients.
Figure 6: Client Management section – Client List category – Clients page – Create New Client button –
Client & Plan Creation dialog box – Plan Selection stage
A. Calculators
B. Assessments
C. Plans
D. Income Tax Method stage
E. Modules stage
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Calculators
Figure 7: Client Management section - Client List category - Clients page - Create New Client button - Client & Plan
Creation dialog box - Plan Selection stage - Calculator button - Retirement Required Savings - Retirement Required
Savings Calculator dialog box - Details tab
Key points
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Use a calculator for new or prospective clients who want a quick answer to a
specific question, such as how much they need to save for retirement.
Calculators are a good choice when you
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Don t have enough information to create an assessment or plan.
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Want to present a short, easy-to-understand report.
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Have only five minutes to create the report.
NaviPlan offers the following calculators:
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Retirement Required Savings
Retirement Available Savings
Retirement IRA vs. Roth IRA
Education Savings
Major Purchase Required Savings
Major Purchase Available Savings
Loan Comparison
Mortgage Comparison
Life Insurance
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Assessments
Figure 8: Client Management section — Client List category —
Clients page — Create New Client button — Client & Plan Creation
dialog box — Plan Selection stage
Key points
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Use an assessment for new or prospective clients when you want to engage
them in an advice-based relationship. Assessments are a good choice when
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The clients are willing to share basic financial information with you, such
as their annual salary and expenses.
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The clients have specific goals.
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You want to determine the clients current financial situation and their
potential financial planning needs.
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You are early in your relationship with the client and you do not want to
invest a lot of time developing reports.
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You are still a new NaviPlan user but want to start using it with your
clients.
Assessments can be promoted to Level 1 or Level 2 Plans. The original
information will be saved. This eliminates the need to re-enter it and avoids
possible data-entry errors.
Financial Assessments produce a 15 to 20 page client report showing
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The clients current financial situation, including their approximate net
worth and cash flow.
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A goal analysis, including an assessment of whether the clients can meet
their current goals.
Asset Allocation Assessments produce a 20 to 25 page client report showing
the clients current asset mix compared to the asset mix they should have
based on their responses to the asset allocation questionnaire. The report also
shows how to move from the current portfolio mix to the suggested asset mix.
For more information, see the Financial Assessment and Asset Allocation
Assessment learning guides.
Plans
Figure 9: Client Management section – Client List category – Clients
page – Create New Client button – Client & Plan Creation dialog box –
Plan Selection stage
Key points
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Use a plan for clients who want a comprehensive financial plan with
recommendations. Plans are a good choice when
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The clients have a specific planning need, such as estate or
retirement planning.
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You want to show the clients a comparison of different strategies.
You can enter more detailed information in plans.
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For example, in a Financial Assessment, qualified accounts are
entered as a lump-sum amount and one rate of return is applied.
In Level 1 and 2 Pans, qualified accounts are entered by type
(e.g., 401(k), 403(b), IRA), and they can have multiple holdings,
each with its own rate of return.
You can include additional modules, such as Monte Carlo
Analysis and Estate Planning.
When creating a plan, if the Client(s) are already retired check box is
selected in the Client & Plan Creation dialog box – Plan Selection stage,
alternative default settings and a streamlined user interface will be
applied to the plan, which include the following:
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New defaults are used in the plan. For example,
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Income and expense Start Dates are generally Jan 1 of the
current year.
Income and expense End Dates are generally Death,
regardless of your user preferences.
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Pre-retirement return rate fields throughout the plan.
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Pre-retirement tax rate fields (only in an average tax plan).
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Pre-retirement incomes and expenses, including any associated
reports (e.g., Itemized Cash Flow Projection for Family).
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<Client> Retirement Age sliders in the Scenario Manager dialog
box.
Additional Monthly Savings sliders for the Retirement goal.
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Currently Monthly Savings field.
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Pre-retirement investment objectives.
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Saving Monthly and Retire in options in the What Are My
Options? dialog box.
The Disability Income goal cannot be analyzed.
You cannot clear this check box after the plan is created (i.e., you
cannot revert to a non-streamlined user interface).
You cannot select this check box after a plan is created.
You can view a comparison of the clients’ current plan and alternative plans
that you have created.
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Unnecessary items will be hidden in the plan and in certain reports.
For example,
In the Analyze Goals section, you can see the current plan next to your
recommended plan and other alternative plans that you have created.
Use this comparison to show clients the effect that different planning
strategies will have on their goal.
Plans can produce comprehensive reports of the clients’ current financial
situation and alternative scenarios that you create.
Income Tax Method stage
Plan Creation dialog box – Income Tax Method stage
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You have a choice of Average Tax or Detailed Tax calculation methods. For
this example, select the Average Tax method.
When using the Average Tax method, NaviPlan applies predetermined static
tax rates for pre-retirement, retirement, and the year of death.
When using the Detailed Tax method, NaviPlan automatically applies
bracketed federal and state tax rates, which consider a range of tax
deductions and credits based on income for that given year. The alternative
minimum tax (AMT) is supported. Additional income and expense types are
available. A variety of tax-related reports are offered.
Assessments and plans using the Average Tax method can be converted to
the Detailed Tax method. However, once an assessment or plan has been
converted to the Detailed Tax method it can not be reverted.
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Modules stage
Plan Creation dialog box – Modules stage
After making a selection under the Income Tax Method(see page 11), click Next to go
to the Modules stage.
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You can choose to include four modules in a Financial Assessment:
Retirement, Education, Major Purchase, and Insurance. In this example, the
clients want an assessment of their retirement goal.
The Retirement module uses the clients’ current financial situation and savings
to calculate how well the clients are doing in meeting their retirement goal.
The Education module calculates how well the clients are saving for their
children’s post-secondary education.
The Major Purchase module calculates how well the clients are saving for their
planned major purchases.
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In a Financial Assessment, you can assess up to three major purchase
goals, for example, travel, a boat, and a wedding.
The Insurance module uses the clients’ current financial situation to determine
if the clients have enough life and disability insurance.
Once you have created the client file, you have the option to create an assessment or
a plan. Assessments are useful when you want to engage a new or prospective client
in an advice-based relationship.
This learning objective will look at creating a Financial Assessment in more detail and
is part of the Enter financial data, Set goals, Analyze goals, and Present results stages.
Financial Assessment
A Financial Assessment can help you engage clients by showing them their current
financial situation and then reviewing or establishing their financial goals.
Financial Assessments can be promoted to Level 1 or Level 2 Plans. Information that
you enter will be carried through to the plan level, saving you time and avoiding
potential data-entry errors.
Figure 12: Financial Assessment section – Financial Assessment category – Select Modules page
A. Financial Picture page
B. Retirement page
C. Client Report page
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Financial Picture page
Figure 13: Financial Assessment section – Financial Assessment category – Financial Picture page
When you finish creating a Financial Assessment, NaviPlan displays the Select
Modules page. Click Financial Picture to go to the Financial Picture page.
In this example, the clients are still in the wealth accumulation phase of their lives.
They have a residence with a small mortgage, as well as personal loans, and a
combined annual income of $330,000.
Key points
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On the Financial Picture page, you can enter information about the clients’
lifestyle assets, liabilities, income, and expenses.
Under Lifestyle Assets, enter only non-income-producing assets such as a
home or cottage.
Under Liabilities, enter the outstanding amount, interest rate, and monthly
payment for loans and mortgages.
Under Annual Income, enter the clients’ total gross income. NaviPlan will
calculate the taxes based on the income tax method you selected when
creating the assessment.
Under Monthly Expenses, enter pre-retirement living expenses only. Loan
payments will be carried over from the fields under Liabilities.
If you promote the Financial Assessment to a plan, this data will be included
in the new plan.
Retirement page
On the Retirement page, define your clients’ retirement goal, including their time
horizon, retirement expenses, and funding sources.
Figure 14: Financial Assessment section – Financial Assessment category – Retirement page
Key points
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Under Retirement Information, enter your clients’ expectations for retirement.
Under Investment Accounts for Retirement, enter the amount your clients have
already saved toward retirement, the amount they currently save each
month, and the assumed return rate.
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The graph in the lower-right corner shows how much of the retirement
goal the clients have met. For example, the clients can cover 70% of their
retirement goal.
Click What are my options? to display recommendations of how to meet the
retirement goal.
If you promote the Financial Assessment to a plan, this data will be carried
over.
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Note: A Financial Assessment with a retirement goal set to detailed mode can only
be promoted to a Level 2 Plan.
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Client Report page
After you’ve entered your clients’ goals and financial information, you can create a
Financial Needs Assessment client report.
Figure 15: Financial Needs Assessment client report – Goal Attainability page (Financial Assessment section –
Financial Assessment category – Client Report page – Generate button)
Key points
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The Financial Needs Assessment report summarizes the clients’ current
financial situation and shows the clients how well they are doing towards
saving for their goals.
The Goal Attainability section of the report explains how much the clients have
to increase their savings to meet all their goals and shows them if they have a
cash flow surplus to direct toward future savings.
For more information about reporting in NaviPlan Premium, see the
NaviPlan Select Learning Guide: Present results.
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Financial Assessments and Asset Allocation Assessments can be promoted to Level 1
or 2 Plans, and a Level 1 Plan can be promoted to a Level 2 Plan. Promoting to a
higher level gives you access to more planning tools and stand-alone reports and
graphs so that you can create more in-depth client presentations.
In this learning objective, we show you how to promote to a higher level and we
compare a Financial Assessment to a Level 2 plan. This learning objective is part of
the Select assessment or plan planning stage.
Plans page
In addition to creating and opening plans, the Plans page also allows you to promote
assessments and Level 1 Plans.
Figure 16: Plan Management section – Plan List category – Plans page
A. Promote Plan dialog box
B. Differences between a Financial Assessment and a Level 2 Plan
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Promote Plan dialog box
Figure 17: Plan Management section – Plan List category – Plans page –
Promote button – Promote Plan dialog box
Open the Promote Plan dialog box by clicking the Promote button on the Plans page.
Key points
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Assessments can be promoted to Level 1 or 2 Plans.
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Financial Assessments with detailed retirement goals can only be
promoted to Level 2 Plans.
Level 1 Plans can only be promoted to Level 2 Plans.
Data from the original assessment or plan is carried forward to the
promoted plan.
The original assessment or plan remains intact and unchanged.
The newly promoted Level 1 or Level 2 Plan contains all the financial
information that was entered in the original assessment or plan. To do a
retirement analysis, all you have to do is enter the clients’ retirement
goal data.
To promote an assessment or plan
1. On the Plans page, select the assessment or plan that you want to promote.
2. Click Promote. The Promote Plan dialog box opens.
3. From the Level list, select the plan level for the promoted plan.
4. Click OK. NaviPlan creates a new plan using data from the original
assessment or plan.
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Differences between a Financial Assessment and a Level 2 Plan
Figure 18: Financial Assessment/Level 2 Plan comparison
Key points
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Financial Assessments include basic information about your clients’ financial
situation.
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Only four modules are available in Financial Assessments.
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The information for each module is recorded on a single page.
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Cash flow and net worth information is recorded together, on a single
page.
Only one client report, the Financial Needs Assessment, is available in a
Financial Assessment.
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Level 2 Plans include detailed information about your clients’ financial
situation and goals.
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In addition to goal-based modules available in Financial Assessments,
Level 2 Plans can include modules to plan for insurance needs, estate
planning, an emergency fund, etc.
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Information for a single module may be recorded on a series of pages.
For example, the clients’net worth is recorded on separate pages for
assets and liabilities, account, annuities, etc.
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Cash flow and net worth information is recorded separately.
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You can create recommended and alternative plans, and detailed client
reports and presentations.
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You can create new Level 1 and Level 2 Plans without promoting a
Financial Assessment.
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A Level 2 Plan allows for comprehensive data entry, but you can enter as
much or as little information as you like.
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Identify the features available in Level 1 and 2
Plans
Level 1 and 2 Plans allow you to include much more financial detail compared to
calculators and assessments. Using these plan types, you can demonstrate strategies,
make recommendations, and create in-depth client presentations. You will also have
access to a wide range of stand-alone reports and graphs that can help you analyze
data.
In this learning objective, we look at the features available in Level 1 and 2 Plans. This
learning objective is part of the Enter financial data, Set goals, Analyze goals and
develop recommendations, and Present results planning stages.
Navigation bar
Level 1 and 2 Plans can include financial details on the clients’ net worth, cash flow,
financial goals, your recommendations, and more. Within NaviPlan, this data is
organized in sections and categories in the navigation bar on the left side of the
NaviPlan window. Clicking a category opens the associated category in the area to
the right of the navigation bar.
Figure 19: Plan Management section – Modules category – Modules page
A. Modules category (Modules page)
B. Assumptions category (General page)
C. Asset Allocation category (Questionnaire and Profile pages)
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D. Net Worth category (Assets/Liabilities page)
E. Net Worth category (Accounts page)
F. Cash Flow category (Cash Flow page)
G. Set Goals category (Retirement page)
H. Analyze Goals category (Scenarios page)
I. Reports menu
J. Client Reports category (Client Report page)
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Modules category (Modules page)
Figure 20: Plan Management section – Modules category – Modules page
Key points
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Level 1 and 2 Plans can include additional modules to those available in a
Financial Assessment. For example, you can include modules for asset
allocation, emergency fund, long-term care, etc.
Modules represent financial areas that you will examine in the plan. For
example, in the clients’ plan, we will use the Retirement module to examine
their retirement goal and the Asset Allocation module to assess their risk
tolerance.
You can add modules at any time. As you add modules, categories for the
selected modules appear in the navigation bar.
Assumptions category (General page)
Figure 21: Plan Management section – Assumptions category – General page (Average Tax method selected)
Key points
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If your plan uses the Average Tax method, you can adjust the clients’ tax
bracket for the periods before retirement, during retirement, and the year of
death.
Under Annual Account Fees, you can set the default advisor fee amount that
will apply to all the managed accounts in the plan. The default fee amount
can be overridden for individual accounts.
If you selected the Client(s) are already retired check box when you created the
plan, the row of Pre-Retirement fields (under Tax Rates) will be hidden.
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Asset Allocation category (Questionnaire and Profile pages)
Figure 22: Plan Management section – Asset Allocation category – Questionnaire and Profile pages
Key points
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The asset allocation questionnaire is available if you purchased the Ibbotson
Asset Allocation option with your version of NaviPlan. Use it to help you
determine the clients’ risk tolerance and form an investor profile.
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If you have the Ibbotson Asset Allocation option, the investor profile is
automatically assigned based on the clients’ responses to the
questionnaire. If the investor profile shown is not appropriate for your
clients, you can override the automatic allocation by selecting the
Override Investor Profile check box, and then selecting the appropriate
investor profile.
NaviPlan will use the suggested asset mix in the recommended and
alternative plans as a planning strategy.
Net Worth category (Assets/Liabilities page)
Figure 23: Enter Financial Data section – Net Worth category – Assets/Liabilities page – Lifestyle Asset Details
dialog box
Key points
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Enter your clients’ lifestyle and real estate assets, and financial liabilities on the
Assets/Liabilities page.
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Lifestyle assets include assets such as residences, vacation property, cars,
boats, and so on.
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Real estate assets are income-producing assets.
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Liabilities are outstanding loans, mortgages, and credit card debt.
Click the Details button next to the asset to open the Lifestyle Asset Details
dialog box. In this dialog box,
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You can enter more information about the asset, such as a description of
the asset, the owner, when it was purchased, return rates, and
information about the clients’ future sale plans.
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Under Return Rates, the row of Pre-Retirement ROR fields will be hidden
if you selected the Client(s) are already retired check box when you created
the plan.
Net Worth category (Accounts page)
Figure 24: Enter Financial Data section – Net Worth category – Accounts page
Key points
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The Account Type list includes both qualified and non-qualified account types.
Clicking the Details button opens the Account Details dialog box where you
can add more information about the account. For example, The clients have
several qualified and non-qualified accounts. The Account Details dialog box
shows the holdings included in those accounts.
plan, on the Account Details dialog box – Return Rates tab, the column of PreRetirement ROR fields will be hidden.
If you promote a Financial Assessment to a Level 1 or 2 Plan, qualified
accounts entered on the Retirement page are converted, by default, to 401(k)
accounts. In the plan, you can change the account type on the Accounts page.
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Cash Flow category (Cash Flow page)
Figure 25: Enter Financial Data section – Cash Flow category – Cash Flow page – Income Details and Expense
Details dialog boxes
Key points
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Use the Cash Flow page to keep track of income and expenses from various
sources.
You can enter data about the income or expense, such as a description, the
member, and the amount, but NaviPlan makes assumptions about the
inflation rate, start date, and end date. You can change NaviPlan’s default
entries in the Income Details and Expense Details dialog boxes.
Clicking the Details button under Incomes opens the Income Details dialog box
where you can enter more information about your clients’ income.
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You have a choice of Income Types such as salary, pension, selfemployment, child support, etc.
Salaries are shown as annual amounts on the Cash Flow page, but you
can set a payment frequency in the Income Details dialog box. Select
the frequency based on how the client actually receives the income.
Income sources use start and end dates. For example, for a client’s
salary, you would set the Start Date to the plan date and the End Date
to the client’s retirement.
If you selected the Client(s) are already retired check box when you
created the plan, the default income and expense start dates are set to
Jan 1 of the current year and the end dates are set to Death or Death (2nd), depending on the client.
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By default, expenses are monthly amounts starting on the plan date and
ending at retirement.
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Always ensure the start and end dates are correct.
At retirement, NaviPlan uses the retirement expenses from the retirement
goal and assumes that these expenses include normal expenses such as
food, housing, transportation, etc.
You can change the start and end dates of any expense.
Expenses such as insurance premiums, loans and mortgages, and savings are
entered elsewhere in NaviPlan and are listed under Other Expenses.
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Set Goals category (Retirement page)
Figure 26: Set Goals section – Retirement category – Retirement page
Key points
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For the retirement goal, you have a choice of adding retirement expenses
directly under Retirement Expenses or calculating expenses and then adding
them to Retirement Expenses.
You can create expenses for specific periods, for example, a golf expense that
runs for 15 years after retirement and then stops.
You can also add incomes, other than pensions, under Retirement Incomes.
Incomes that you add here will also appear on the Cash Flow page.
The Start Age and End Age fields each have an associated Event Calendar. The
Event Calendar makes it easier to choose keyword events, such as Retirement
or Death. You can move the event date forward or backward by adding an
offset.
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For example, to change the Start Age, you could select Retirement as the
event, 1st to retire as the Event Type, and then move the date forward by
6 years by specifying an Offset of +6.
Analyze Goals category (Scenarios page)
Figure 27: Results section – Analyze Goals category – Scenarios page – Retirement <goal coverage link> –
Scenario Manager dialog box – Objectives tab
Key points
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The Scenarios page compares the clients’ current plan to recommended and
alternative plans that you have developed for them. For each goal, it shows
the percentage of the goal that is met in each plan. For example, for the
clients’ retirement goal, they have 56% goal coverage in their current plan
and 82% goal coverage in the recommended plan.
Goal details are editable in recommended and alternative plans. Click a goal
coverage link to open the goal in the Scenario Manager dialog box.
The Scenario Manager dialog box allows you to apply different strategies to
help clients meet their goals. To meet the retirement goal in the example, we
have done the following:
33
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o
Increased the clients’ retirement age by 3 years.
o
Decreased their discretionary expenses from 100% to 90%.
o
Increased their monthly savings by $1,200.
plan, unnecessary options and fields will be hidden, which include the
following:
o
In the Scenario Manager dialog box,
n
n
n
n
o
In the What Are My Options dialog box,
n
n
34
Retirement Age sliders
Additional Monthly Savings sliders
Current Monthly Savings field
On the Objectives tab, pre-retirement investment objectives
Save Monthly option
Retire in option
o
Pre-retirement incomes and expenses
o
Pre-retirement return rate fields throughout the plan
o
In the Assumptions category, pre-retirement tax rate fields (only in an
average tax plan).
Reports menu
Figure 28: Reports menu – Cash Flow – Details – Itemized Cash Flow Projection for Family report
Key points
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Stand-alone reports and graphs are available for you to use for data
verification and plan analysis. As they often include more detail than client
reports, you can also use stand-alone reports to supplement the client reports
you provide to your clients.
NaviPlan includes a large selection of reports, many of which present the
same data in different ways. This can be useful to you when trying to solve
cash flow problems or finding ways to meet financial goals.
35
Client Reports category (Client Report page)
Figure 29: Results section – Client Reports category – Client Report page – Generate button – Financial Needs
Summary report – Retirement page
Key points
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After creating a recommended plan, you can generate a report to show how
the current situation compares to your recommendation(s).
The Financial Needs Summary report uses graphs and tables to compare the
current plan to the recommended plan.
For more information on generating a client report, see the Present results
learning guide.
37
Conclusion
Upon successful completion of this module, you are now able to
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Create client files.
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Match the appropriate analysis level to the clients’ needs.
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Create and present a Financial Assessment.
l
Promote an assessment to a Level 1 or 2 Plan.
l
Identify the features available in Level 1 and 2 Plans.

NaviPlan Select Learning Guide: Start planning

Transcription

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