This article is a continuation of Income Analysis - Add Goal Details
The Plans screen is where you can include Phased Drawdown (if applicable) manage plans, which includes plan specific investment strategies, growth rates, projected values and charges.
If this is a Phased Drawdown scenario, enter the Phased Period Ends, Age or Date and Phased Period End Age.
In the example we are using, we will leave Phased Drawdown blank. If doing an Phased Drawdown scenario, see article Income Analysis - Phased Drawdown
Pull holdings through from the contact record using the Manage Plans button:
Either select one or more existing plans, or Add New Plan.
When selecting a plan, If it is a pension holding, you will need to select which investment strategy you would like to use in the analysis.
PCLS, UFLPS or Phased Drawdown:
If you select PCLS the system will take out the percentage of PCLS specified and remove it from the income calculations.
UFPLS will keep the total plan values invested in the drawdown plan, when income is taken from the drawdown plan 25% of the income withdrawn will be tax free, this will be taken into account when calculating the tax liability.
Phased drawdown allows you to specify the phased period end age, and choose either PCLS or UFPls for the phased period and remaining term.
For this example, we will select PCLS.
You can specify how much PCLS out of the total you would like to remove. The system defaults to the 25% tax-free amount. However, this can be overwritten up or down to suit your clients’ needs.
Select whether you would like to use any excess PCLS amount in the calculations.
For e.g. If your client would like to take 15% of their tax free cash, would you like the system to take the remaining 10% into account in the calculations? Select Yes if that is the case. If they have already taken some tax-free cash in the past, the client may want 15% but you don't want the 10% to be used in the calculations. Select No.
When completing the Growth Rate, the Projected Value will automatically calculate.
Adviser Fees automatically populate if entered on the holding. If not, free type the details:
Enter Provider Charges. Select Individual Charges or Reduction in Yield:
Save
When adding multiple plans, you are able to select different investment strategies in the analysis. As seen below:
Details can be amended through the Edit button:
If you need to add a new holding, click + Add New within the Manage plans area:
We'll be adding an Non-pension Holding in this example. Complete details and Save:
View the details and Save
Ensure the plans you would like to see in the results are included:
You can add as many plans as you would like to take into the drawdown scenario.
The remaining fund value will be the figure used for the drawdown plan ‘initial investment’ when calculating if your income profile is achievable for the duration specified.
For further information on Income Analysis research, see article Income Analysis - Income Requirements
