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Creating a Plan

Building plans in Vestevo is a simple process. There are two ways of accessing the plan wizard.

 

1. Through the "Action Items" widget on the dashboard:

 

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2. Via the "Clients" tab:

 

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Plan wizard is intuitive and consists of 5 steps:

  1. Expenses
  2. Income
  3. Assets (+RMD)
  4. Insurance
  5. Taxes

Expenses

Under the "Expenses" we ask the advisors to report their estimated monthly client expenses (1) from now until the retirement and (2) during the retirement (and optional (3) "Widowed phase"). One of the advantages of Vestevo is that the user interface is simple and easy to understand.

 

Add (Create Custom) detailed Monthly Expenses

That said, should the user choose so, they are able to expand the list of other expense options and even create/remove a custom expense field:

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Income

The idea is exactly the same as "Expenses".

 

Assets

Unlike Instream's "Monte Carlo" methodology, Vestevo uses "Straight-line" analysis. As such, we require users to indicate "Expected Rate of Return" for all the asset accounts they'll be listing. 

 

Here is how users can add/remove asset accounts:

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Required Minimum Distribution (RMD)

RMD is the amount of money that must be withdrawn from an employer-sponsored retirement plan, traditional IRA, SEP, or SIMPLE individual retirement account (IRA) by owners and qualified retirement plan participants of retirement age.

 

The plan wizard will automatically detect and suggest previously created account type(s) that are eligible for IRS mandates minimum annual withdrawal called Required Minimum Distribution (RMD). In our case, it is the 401k account that we created under Assets. So we will check the box and move to the next step:

 

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Asset Distribution Rank

The Plan Wizard will evaluate the Client record and if it detects more than one asset account it will ask the user to organize (rank) the distribution order by numbering the accounts, starting with "1" (highest priority).

 

For the demo and tax efficiency purposes, below is how we ranked our accounts (Taxable>Tax deferred>Tax exempt):

 

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Note: If not sorted, the system will rank your accounts by default based on the order of their creation sequence.

 

Insurance

Life Insurance is not directly calculated into the plan. Life Insurance coverage is used to calculate potential shortfalls based on future expenses.

To add (or remove) an insurance plan, please move the "switch" toggle:

 

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Taxes

Taxes significantly impact your plans. Hence why we came up with the list of various attributes that contribute to your plan. You can find them under "Add Tax Option":

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Congratulations! You now have successfully created your plan!

Once you name your plan and click "Next" you will be automatically redirected to the plan itself. To find this and other saved plans in the future, please navigate to the "Plans" tab next to the "Profile" of the client:

 

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