Alternatives Section

[Kathleen Reynolds]

#4248

Information from up to four alternatives is listed. Only those alternatives that you have elected to illustrate are shown. To add a new alternative, click the Include More Alternatives button. To remove an alternative (other than Alternative 1), click the Remove button in that alternative’s column.

When entering data, you have probably noticed the buttons that have nothing more than a blue plus sign on them. These buttons indicate places where you can enter more information if you wish. For example, to enter more details about the Retirement Plan simply click the plus button next to the Retirement Plan input field.

Entering Data for each Alternative

For each alternative enter:

• Description: This description will appear on the reports to help you understand what that alternative is illustrating (i.e., “No Roth Conversion”)
• Growth Rates: Enter the growth rates for the accounts.
• Beneficiary: Select the beneficiary of the retirement accounts. The beneficiary designation is important for the calculation of the required minimum distributions. The term beneficiary generally refers to an individual. If a charity or the plan owner’s estate is named as the beneficiary, there is no “designated beneficiary.” If there is more than one person named as the beneficiary (for example, children of the plan owner), select the oldest child in this input and then use the Multiple Beneficiaries button to enter the others.
• Year Owner Dies and Year Spouse Dies: Either select from the menu or click the button to indicate when you want to illustrate the years of death.
• Spousal Rollover: Click the button to enter details about the Spousal Rollover – if there will be one and when it will occur.
• Multiple Benef.: If there are multiple beneficiaries after the death of the owner (or the death of the spouse in the case of a spousal rollover), click this button to select how the accounts should be divided between the heirs. You can find more details here.

If this is your first time using the software, you might want to take a look at the Frequently Asked Questions or Client Information topics of this help.

Note: If an owner’s birth date is before 1917, the program displays a warning in the Hint Line. The minimum distributions rules for owners with birth dates prior to 1917 are more complex and may be different from the current rules. Therefore, the program bases its calculations on minimum distributions rules after 1917 (see Proposed Treas. Reg. Sec.1.408-8 for IRAs and 1.401(a)(9) for Qualified Plans).

Adding Additional Alternatives

 

 

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