Why are we changing?
After the recent FCA Guidance consultation GC20/1 and feedback from our customers, we have decided to simplify the cashflow modelling pages of our Transfer Value Analysis Report.
We are changing the current 4 page structure where the scheme pension is modelled in a Personal Pension using Flexi-Access Drawdown (FAD) and Uncrystallised Funds Pension Lump Sum (UFPLS). You can see an example of what one of the existing pages looks like on the right, with a full sample report available at the bottom of the page.
A clearer report
We have updated this to be a new 1 page FAD only version that highlights the key numbers required to undertake this drawdown analysis but in an easy to read format. It was clear from GC20/1 that cashflow modelling allowing for a full client financial position, using real terms, tax band implications and stress testing is key to following good practice and this is where our new Cashflow Modeller could provide you with the perfect solution.
However, we feel that this new page will incorporate a direct comparison with the scheme pension structure and therefore still remains a valuable part of the defined benefit analysis. You can see an example of what the new page looks like on the left, with a full sample report available at the bottom of the page.
Use our Cashflow Modeller
Further enhance your APTA
In addition to the integration with our defined benefit software and services, the Cashflow Modeller can provide a sophisticated solution that includes lifetime cashflow modelling, incorporating full client financial data, full income tax calculations, stress testing, endless scenario planning and comprehensive reports. Our FinCalc Suite can provide you with the tools you need to take your Defined Benefit Advice to the next level.
Particularly powerful for explaining Drawdown, you can incorporate variable growth rates whereby the growth rate for the pension fund changes each year but achieves a certain level over a period of time (for example average 4% pa over 5 years).
When the change is being introduced
The new report structure is planned to be introduced during our next monthly system update available from Monday 31st August.
Any comments on the proposed changes?
Please let us know your thoughts on these proposed changes.
Tel: 01206 805405
Interested in Cashflow Modeller?
Please speak to one of our team for a personalised demo
Tel: 01206 803210