VeriPlan Overview 1: Personal Finance Decisions
VeriPlan Overview: Part 1 of 7
Improving personal finance decisions with VeriPlan
VeriPlan gives you significant personal insight into your most important personal finance and investment portfolio decisions. Through comprehensive and customized lifetime projections, VeriPlan’s integrated financial calculators and investment calculators model your particular financial situation across your adult lifetime. VeriPlan projects fully integrated scenarios about your income, expense budget, debts, investment portfolio assets, investment returns, and investment costs within the context of the U.S. federal, state, and local income taxes that apply to you. VeriPlan presents all your personal lifetime financial modeling information in clear graphics and data tables.
You can easily customize any of your personal data and settings in VeriPlan. After you make any modification, VeriPlan’s financial calculators and investment calculators automatically and instantaneously revise your complete lifetime projection. As you use VeriPlan’s rich set of fully integrated “what if” financial modeling tools, you take control of your own financial, investment, and retirement planning.
Personal Users: VeriPlan helps self-directed personal users to understand the possible future implications of current financial planning behaviors. VeriPlan projections model the lifetime finances of one or two adult users and their dependents. Any family member who resides in the same household may use VeriPlan.
Advisory Users: VeriPlan is a valuable tool for financial advisors who serve the fiduciary interests of their financial planning clients. Advisors can obtain a right-to-use VeriPlan on behalf of their clients, when they provide VeriPlan to their clients.
VeriPlan can help you to analyze important personal finance decisions, including:
- What tradeoffs are associated with accelerating mortgage loan payments or other debt repayments?
- Will I be have enough college savings to pay for my children’s education?
- How could my savings rate and investment strategy affect the size of my estate?
- After my living expenses, how much could I give or bequeath to family and charities?
- How large might my exposures to insurable financial risks be over time?
- How might different budgets for insurance premiums affect my lifecycle financial plan?
Investment Cost Reduction:
- What investment returns might I earn net of investment costs?
- How much could I waste on unproductive investment costs?
- How might I optimize my investment returns, while keeping costs to a minimum?
- How does my current investment strategy compare with a scientific strategy focused on long-term, risk-adjusted returns net of investment costs and capital gains tax?
Investment Risk Management:
- What returns might I expect from the balance of expected investment returns and investment risks that I have chosen?
- Am I saving enough to stay in my investment risk and return comfort zone and still reach my financial planning goals?
- If I were to lose income in the future, how long would my liquid investment portfolio assets cover my projected expense budget?
New Business Ventures:
- What are the likely long-term benefits and risks, if I fore-go current income to start a business?
- Could I self-fund my business venture or would I need external capital?
Personal Career Planning:
- What are the long-term economic benefits of changing positions or employers?
- Would returning to school to improve my career skills make economic sense?
- Could starting a business lead to both entrepreneurial and financial success?
Real Estate Planning:
- When will I have sufficient capital for a real estate purchase?
- How would increased mortgage debt affect my investment portfolio and other financial goals?
- Would I have sufficient investment assets to retire early?
- Would my investment assets be adequate to cover my expenses, if I live a very long time?
- What is a relatively safe asset portfolio withdrawal plan?
- Am I saving at a sufficient rate to fund all our future financial planning goals?
- How much benefit might I expect from increasing my income and/or reducing my expense budget?
- What is the long-term value of saving most of my bonus?
- Am I managing my investments from an income tax efficiency standpoint?
- How much should I put into either taxable, traditional retirement accounts, or Roth retirement accounts?
- Would my retirement portfolio assets be adequate after my income taxes and other taxes are paid?
Personal Financial Planning Software for Individuals
- Cash Asset Allocation (VeriPlan's investment growth calculator helps you to understand the projected value of your cash assets across your lifetime
To develop your lifetime projections, the VeriPlan compound investment calculator allows you to enter as many as 24 separate cash and cash equivalent asset holdings. For each of your current cash holding in your investment portfolio, you can [...])
- Measure Your Investment Portfolio Diversification (Gauge the level of your portfolio’s overall diversification with this free on-line tool
Whenever you invest in multiple mutual funds and ETFs, you may wonder how broadly and appropriately diversified your aggregate portfolio might be. Have your investment holdings and mutual funds that you have chosen increased the global diversification of your personal financial asset portfolio? [...])
- The Value of Future versus Current Consumption (These are some thoughts that I provided to a client couple struggling to live within their means, while also saving and investing for their future:
The most important long-term topic we discussed was how you as a couple can find a way to balance current consumption, which presently exceeds your dual incomes, against the need to [...])
- Personal financial planning best practices (VeriPlan helps you to learn about scientifically valid personal financial planning and investment portfolio management practices
Personal finance and investing can be baffling. You can try to learn what works and what does not work from the media or from the financial services industry, but this effort is largely futile. The media reports the financial news [...])
- Too few low cost mutual funds and ETFs (Too few low cost mutual funds and ETFs – Far too many high cost funds
In screening and selecting low cost mutual funds and ETFs, you should understand this involves sorting and screening thousands of mutual funds and ETFs using databases from data vendors such as Morningstar and/or Lipper. It is shameful just how few low cost [...])
- 2013-11: November 2013 What Works in Personal Finance Newsletter (
November 2013 Newsletter
You are a financial industry profit center
For the full article, either click the title above or paste this address into your browser:
Why allow the financial industry to help itself to your money? In case you did not notice, the financial services industry has not done the world any favors lately. The financial industry [...])
- Tactical asset allocation and market timing (The best individual financial planning and investment rules and practices are enduring and should not change due to market cycles or a financial crisis.
This article looks at asset allocation strategy in light of the recent credit crisis. The credit crisis was a systemic, global financial event that affected any financial or securities instrument influenced [...])
- VeriPlan Overview 6: Ten Automated Lifetime and Retirement Calculator Tools (VeriPlan Overview: Part 6 of 7
VeriPlan's 10 financial planning tools and retirement planning calculators
Retirement Planning Calculator Tool:
With this retirement planning tool, you can set individual retirement ages for Earners 1 and 2. You can select whether or not to retire simultaneously. You can also adjust your expected ordinary living expense budget in retirement and the [...])
- Annual Tax Calculator (VeriPlan estimates your lifetime annual taxes in 8 different tax categories
The VeriPlan tax planning calculator projects your lifetime annual tax payments in 8 different tax categories. VeriPlan's fully integrated and automated lifetime annual tax calculator and retirement tax calculator capabilities automatically project your lifetime estimated taxes in these 8 tax categories:
Federal income taxes on earned [...])
- Home Buying Calculator (Plan the future purchase of homes with a sophisticated home buying calculator
VeriPlan's fully integrated and automated financial calculators and financial software tools deliver financial planning power to the individual. VeriPlan's home buying calculator tool automates the lifetime financial planning process associated with future residential home purchases. VeriPlan's home buyer calculator functionality automatically take into [...])
- 2014-01: January 2014 What Works in Personal Finance Newsletter (
- Exchange-traded funds (ETFs) versus mutual funds (Exchange-traded funds (ETFs) versus mutual funds
This article provides information about low cost ETFs, which account for only a few percent of the thousand plus ETFs and other exchange-traded products (ETPs) available to US investors. This article covers certain topics related to ETFs that are important to the investor who intends to use very low cost [...])
- Improve Your Finances with My Books, Software & Newsletter (Many people are confused and frustrated, because they do not have the knowledge and tools that they need to plan their financial futures efficiently and optimally. Addressing these problems, these ebooks and financial planning software will help you to get moving along your own path toward better lifetime and retirement financial planning and investing.
“Buyers Guide [...])
- 2013-10: October 2013 What Works in Personal Finance Newsletter (
October 2013 Newsletter
Identity Theft Protection and Prevention
This is the web address of this article:
As a threat to your financial security, you should take the potential for identity theft very seriously. Identity theft sometimes entails a loss of your money. However, whether or not you lose money, identity theft usually takes a very large amount of [...])
- Lifetime Tax Planning Software (Automatically project your lifetime federal, state, and local income taxes, capital gains taxes, property taxes, and other taxes
VeriPlan's tax calculator software automatically projects your real dollar tax obligations using current tax rates and tax limits that would apply in your particular situation. For example, regarding your income taxes and income tax rates, the VeriPlan tax [...])
- Retirement Investment Calculator (Project your lifetime investment assets using a sophisticated, do-it-yourself retirement investment calculator
VeriPlan's lifetime compound investment calculator retirement software develops customized scenarios that are based on your current personal financial situation and on your goals and objectives for the future. VeriPlan is a sophisticated and fully integrated future value investment calculator that automatically projects the year-by-year [...])
- Buy investment funds through low cost channels (Do not buy mutual funds and ETFs through high cost vendors
All mutual funds and ETFs are not created equally. Most are created to serve the business interests of the financial industry rather than to deliver investment vehicles that are likely to serve the best interests of individual investors.
Do not purchase any mutual funds or ETFs through [...])
- How to Use the VeriPlan Comprehensive Financial Planner (Developing a Family Financial Plan with VeriPlan
VeriPlan is personally customizable financial planning software that helps you develop your own comprehensive lifetime financial and investment plan for your family. Functioning as financial decision support software, it automates millions of integrated projection calculations behind the scenes. With VeriPlan you can improve your financial decision-making, because you are [...])
- Buying low cost mutual funds and ETFs (Do your mutual fund and ETF investment research – and do it BEFORE you buy
Screened mutual fund and ETF lists are very helpful to any investor who wishes to focus on low cost mutual funds and ETFs. However, this is just the beginning of the investment process and not the end. Always understand any security [...])
- Investment Risk and Return (Lifetime trade-offs between investment portfolio risk and investment returns
When making personal finance and retirement planning decisions, individuals must confront the dilemma that, historically, more conservative portfolio investments have yielded substantially lower investment returns than the returns that riskier investments have delivered. With either lower or higher risk-adjusted market return strategies, you simply cannot have your [...])
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