Data Entry


INPUT DATA ITEMS

You can enter data in two different ways depending on your input item. If the value of the item is to shown annually across the planning span it is considered recurring. Otherwise, if the value of an item is applicable only in specific years, it should be input as a non-recurring item.

Most data items are generally recurring, for instance items such as bank accounts, home, living expenses are recurring every year until retirement or later. An example of nonrecurring item could be the college expenses of one or more children that may apply in specific years only. Plan data of recurring items are entered on the main screen and the nonrecurring items can be input using the Advanced button.

The description of PlanMode data items is segmented in three main sections

  • Recurring data items
  • Nonrecurring data items
  • Income tax template

You can either scroll down to each section of search the above category terms to reach there directly.
To go directly to “income tax templates” type tax templates in the search box below.

RECURRING DATA ITEMS

This data can be entered input as single values for the main input categories (Quick input mode) or each category can be expanded to a grid allowing you to input multiple items applied to each input category.
To change input mode settings tap Options, Settings, Input Mode.

You can enter data in the input box directly of tap on the button (upper) part of any category box for the grid for its detailed input grid.

Input Value Future Projections
The amount you input for an item is considered its first year value. The value in second and succeeding years is computed based on default growth values entered for this input category.

Each year's projected value is uniformly computed by applying the growth rate to the prior year value resulting in normal compounding.

Expression Input for Projected Values
If the value of an item does not conform to the uniform projection described above the value(s) can either be entered in the Expanded Data Input section or using the Expression Input option available in the main input section. Expression Input allows you to project future values as specifically as needed. For example, an Expression Input entered for wages or salary as-

=75000,%10,%9,%8
will compute wages as 75,000 in the first year, growing it by 10% in 2nd year, growing another 9% in the 3rd year and 8% in the 4th and subsequent years.

Similarly an expression entered for education expenses as-
=0,0,0,40000,45000,50000,55000,0
will imply an education expense of 40,000 in the 4th year, 45,000 in the 5th year, 50,000 in the 6th and 55,000 in the 7th year.

Personalization
A long click on the default title in the main input menu lets you personalize it.

QUICK INPUT CATEGORIES

The Quick mode is a quick way to get an almost instant financial profile with just a few key items. Single values can be entered for the following categories:

  • Cash / Bank Accounts
  • Retirement Accounts
  • Insurance
  • Stocks & Bonds
  • Business, Investments & Real Estate
  • Other Assets
  • Income
  • Expenses
  • Liabilities
  • Advanced Info & Non-recurring Items

Following defaults define the treatment of values entered:

Cash accounts: Sum total representing total value of cash on hand and all bank accounts with cash equivalent assets.
Default Treatment :Checking account
Reports:This value is shown on Balance Sheet and Cashflow Statement

Retirement acts; Enter the asset value of all retirement accounts in the current year if using the Quick input mode.
Default treatment: IRA
Characteristics: Considered as liquid asset
Reports: This value is shown on Balance Sheet and Retirement analysis

Insurance: A value entered here in the Quick mode or directly in the input box is treated as the face value of life insurance on the life of the first spouse.
Default treatment: Life insurance face value on first spouse
Characteristics: Life insurance proceeds when first spouse death is assumed
Reports: This value is shown on Cashflow Statement when performing survivor’s basic needs analysis

Stocks & BondS: This value is used as the total amount of stocks & bonds in the first year. Annual growth can be entered under Options, Settings, Future Growth
Default treatment: Mutual Funds
Characteristics: Liquid asset reflecting value of stocks & bonds portfolio. This asset is available for liquidation if needed during retirement and for survivor’s needs
Reports: It is shown on Balance Sheet

Bus Inv RealEst: (Business Investments and Real Estate) – When using Quick input mode a sum total of the values of .business, investments and real estate should be entered here.
Default treatment: Sole Proprietor
Characteristics: Non-liquid asset. This asset is not made available to Cash Management while analyzing options for funding needs.
Reports: It is shown on Balance Sheet

Other Assets: This input can be used to reflect an approximate total value of personal assets.
Default treatment: Personal Assets
Characteristics: Non-liquid asset. This asset is not made available for liquidation to fulfill funding needs.
Reports: Balance Sheet item under Non-liquid Assets

Income: This input should reflect sum of all income in the current year when entering data using the Quick mode.
Default treatment: Wages of the first spouse
Characteristics: Source of cash taxable income
Reports: Income Statements, Cashflow Statements and part of Adjusted Gross Income in the Supporting SChedule

Expenses: All cash expenditure except income taxes can be lumped in this input if using the Quick input mode.
Default treatment: Other Expenses
Characteristics: Annual cash outflow item
Reports: Cashflow Statement as Uses of Cash

Liabilities:
This input can be used to reflect an approximate value of financial liabilities.
Default treatment: Personal Debt
Characteristics: This value is subtracted from assets to calculate the net worth each year.
Reports: Balance Sheet
INPUT ITEMS (recurring items)

The following items are available in the Full or Flex data entry modes. Each item is described for its characteristics and where they are shown in the profile. The details include

  • Input tab of the input category of the main input screen they are available in.
  • Characteristics and computations
  • Reports they are included and displayed.
Values entered for assets should be their approximate values at the beginning of the first plan year. The values displayed on the Balance Sheets are year-end values. The displayed value in the first year will be based on your input plus or minus additions, subtractions or growth in the first and each subsequent year

The following details are listed in order of their category tabs from top left of the main input screen to the bottom right-



Cash On Hand: An approximate average of idle cash available in the first year of the plan.
Main input tab:Cash accounts
Reports shown in: Balance Sheet and Cashflow Statement
Characteristics: This amount is the starting point of annual Cashflow compilation. All cash generated from income, sale of assets and other cash generating items in the first year is added to this value for computing total cash available. Cash outflow is subtracted from the amount of cash available to compute the cash on hand at the end of first year. This amount in turn becomes the Cash On Hand at the beginning of second year, and so until the last year of the planning horizon. The Cash Management feature of PlanMode uses the future values of idle cash to simulate your planning strategy. The Idle Cash Limit can be entered by tapping ADVANCED, MORE, CASH MANAGEMENT, IDLE CASH LIMIT
BANK ACCOUNTS

Checking Accounts: Amount at the beginning of the first year of the plan.
Main input tab:Cash accounts
Reports shown in:Balance Sheet and Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus accumulated interest for the year.
Characteristics:Bank account as liquid asset. It generates interest income as per Bank Interest Rate entered under Projection Defaults. It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps Checking Accounts for liquidation as a source of funds when needed after it has exhausted the retirement distributions from the retirement accounts.
For setting the default for Bank Interest Rates tap ADVANCED, PROJECTION DEFAULTS, BANK INTEREST RATE. The default rate can be omitted if most of the bank accounts do not produce appreciable interest income


Savings Accounts:Amount representing the value at the beginning of the first year of one or more savings accounts.
Main input tab:Cash accounts
Reports shown in:Balance Sheet and Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus accumulated interest for the year.
Characteristics:Bank account as liquid asset. It generates interest income as per Bank Interest Rate entered under Projection Defaults. It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps Savings Accounts for liquidation as a source of funds when needed after it has exhausted the retirement distributions from the retirement accounts.

Certs of Deposits:Certificates of Deposits. Amount at the beginning of the first year of the plan.
Main input tab:Cash accounts
Reports shown in:Balance Sheet and Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus accumulated interest for the year.
Characteristics:Bank account as liquid asset. It generates interest income as per Bank Interest Rate entered under Projection Defaults. It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps Checking Accounts for liquidation as a source of funds when needed after it has exhausted the retirement distributions from the retirement accounts.

Money Market Funds:Amount of money market funds at the beginning of the first year of the plan
Main input tab:Cash accounts
Reports shown in:Balance Sheet and Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus accumulated interest for the year.
Characteristics:Bank account as liquid asset. It generates interest income as per Bank Interest Rate entered under Projection Defaults. It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps money market funds for liquidation as a source of funds when needed after it has exhausted the retirement distributions from the retirement accounts.

Other Bank Accounts 1-5:Amount of each bank account at the beginning of the first year of the plan.
Main input tab:Cash accounts
Reports shown in:Balance Sheet and Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus accumulated interest for the year.
Characteristics:Bank account as liquid asset. It generates interest income as per Bank Interest Rate entered under Projection Defaults. It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps money market funds for liquidation as a source of funds when needed after it has exhausted the retirement distributions from the retirement accounts.
The title of the bank account can be customized by a long-tap on the title shown on the input grid.

RETIREMENT ACCOUNTS


IRA.:Individual Retirement Account. Account value of IRA at the beginning of the first year of the plan.
Main input tab:Retirement acts
Reports shown in:Year-end account balance in Balance Sheet and any contributions or distributions in Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus contributions plus account appreciation less any distributions in the year. Taxable portion of distributions from this account are shown on the Income Statement.
Characteristics:IRA account is treated as a liquid asset. Its value grows with each contribution (using next input set) and the growth rate as entered in Retirement Plan rate entered under Projection Defaults. The value decreases with each distribution from this account. A Minimum Required Distribution (MRD) is automatically computed after the respective spouse reaches 70 years of age.
Taxability of the distribution is based on your input for Tax-free Ret Fund Withdraw item under the Retirement Info tab. If  no entry is made the entire amount of distribution is considered taxable
It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps IRA account for liquidation as a source of funds when needed.


IRA Contribution:Annual amount of contributions made to the respective spouse’s IRA. This constant amount is repeated each year until the retirement age.
Main input tab:Retirement acts
Reports shown in:Income Statement shows the contribution as a tax deduction. In Cashflow Statement this value is shown as cash outflow.
Characteristics::Contributions to theIRA account are treated as deductible for income taxes.

Emp Ret Plan Val:Employer Retirement Plan Value. Account value oft’s employer provided retirement plan such as a 401-k plan at the beginning of the first year of the plan.
Main input tab:Retirement acts
Reports shown in:Year-end account balance in Balance Sheet and any percentage of wages contributed in Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus employer and employee contributions plus account appreciation less any distributions in the year. Taxable portion of distributions from this account are shown on the Income Statement.
Characteristics:Employer plans account is treated as a liquid asset. Its value grows with each employer and employee contribution (using next two input sets) and the growth rate as entered in Retirement Plan rate entered under Projection Defaults. The value decreases with each distribution from this account. A Minimum Required Distribution (MRD) is automatically computed after the respective spouse reaches 70 years of age.
Taxability of the distribution is based on your input for Tax-free Ret Fund Withdraw item under the Retirement Info tab. If no entry is made the entire amount of distribution is considered taxable
It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps Employer plan accounts for liquidation as a source of funds when needed.

% Wages Contrib:Percentage of wages contributed. Annual amount of contributions made by the respective spouse to this account. This constant percentage is applied to annual wages each year until the retirement age.
Main input tab:Retirement acts
Reports shown in:Income Statement shows the contribution as a tax deduction. In Cashflow Statement this value is shown as cash outflow.
Characteristics:These contributions are not deductible for income taxes.

Employer Match %.  This is the percentage of the respective spouse’s wages that are matched for contribution by the employer.
Main input tab: Retirement acts
Reports shown in: This amount is shown in the appreciated value of this account. No specific line displaying this value is shown in any financial statement.
Characteristics:These contributions are not taxable at the time of contribution.

Qual Ret Plan Val. Qualified Retirement Plan Value. Account value of self-employed or own business retirement plan at the beginning of the first year of the plan.
Main input tab: Retirement acts
Reports shown in: Year-end account balance in Balance Sheet and any percentage of business income contributed in Cashflow Statement. Annual Balance Sheet values represent the value of the account at the beginning of the year plus contributions plus account appreciation less any distributions in the year. Taxable portion of distributions from this account are shown on the Income Statement.
Characteristics:Qualified retirement plan is considered a liquid asset. Its value grows with each contribution (using next input set) and the growth rate as entered in Retirement Plan rate entered under Projection Defaults. The value decreases with each distribution from this account. A Minimum Required Distribution (MRD) is automatically computed after the respective spouse reaches 70 years of age. Contributions to this plan is limited to the maximum ceiling entered in this section.

Taxability of the distribution is based on your input for Tax-free Ret Fund Withdraw item under the Retirement Info tab. If no entry is made the entire amount of distribution is considered taxable It is considered a liquid asset that is available for withdrawal in case of funds needed during retirement or in disability or survivor scenario. The Cash Management feature, when activated, taps qualified retirement plan accounts for liquidation as a source of funds when needed.

Annual Contrib: Annual Contribution. Annual amount of contributions made by the respective spouse to this account as a percentage of Business Income. This constant percentage is applied to the respective spouse’s business income each year until the retirement age.
Main input tab: Retirement acts
Reports shown in: Income Statement shows the contribution as a tax deduction. In Cashflow Statement this value is shown as cash outflow..
Characteristics:These contributions are deductible for income taxes.

Qual Max amount: Qualified Maximum Amount. This is the amount ceiling applied to annual contribution. If the percentage of wages entered above exceeds this amount it is reduced to this limit.
Main input tab: Retirement acts
Reports shown in: This value is used only for determining the maximum amount of contribution and is not specifically displayed on any report.
Characteristics:Used to limit the amount of annual contribution to this qualified plan.

Pension Amount: Amount of pension received in the year after the respective spouse retires.
Main input tab: Retirement acts
Reports shown in: Income Statement and Cashflow Statement.
Characteristics:Cash income subject to income taxes.

Annual % Increase: Growth factor applied to the respective spouse’s pension annually.
Main input tab: Retirement acts
Reports shown in: None. This percentage is used in the calculation of annual pension amounts.
Characteristics:These contributions are deductible for income taxes.

Soc Sec Income: Social Security Income. Pre calculated amount the respective spouse is expected to receive as Social Security income in the year after retirement starts.
Main input tab: Retirement acts
Reports shown in: Income Statement and Cashflow Statement.
Characteristics:Cash income subject to income taxes.

Annual % Increase:Growth factor applied to the respective spouse’s Social Security income annually.
Main input tab: Retirement acts
Reports shown in: None. This percentage is used in the calculation of annual Social Security amounts.
Characteristics:Used for calculation purposes as stated above.  

Age SS Inc Starts:Age when the Social Security income starts for the respective spouse..
Main input tab: Retirement acts
Reports shown in: None. This percentage is used in determining when to start Social Security payments.
Characteristics:Used for calculation purposes as stated above.

INSURANCE


Life Ins Benefit: Life Insurance Benefit. This input is for the face value of a life insurance policy on the life of the designated spouse. The input should show the net amount that will be paid out by this policy.
Main input tab: Insurance
Reports shown in: Cashflow statement as a source of cash in the survivor’s scenario.
Characteristics:Life insurance policies are cash assets that are available only while generating survivor’s profile with the assumed death of the other spouse.

Ins Cash Value: Life Insurance Cash Value. This input represents current cash surrender value of the life insurance policy.
Main input tab: Insurance
Reports shown in: Balance Sheet as a liquid asset.
Characteristics: The cash surrender value is considered a liquid asset in all financial profile preparation except the survivor’s scenario in which the death of the insured spouse is assumed. Cash value is shown as a balance sheet asset until the year of death.

Life Ins Prem. Life Insurance Premium. Annual policy premiums are represented in this input.
Main input tab: Insurance
Reports shown in: Cashflow Statement.
Characteristics:Cash expense item.

Dis Ins Pmt. Disability Insurance Payment. Annual amount paid by the disability insurance policy upon subscriber’s disability.
Main input tab: Insurance
Reports shown in: Cashflow statement as a source of cash in the disability profile.
Characteristics:Non-taxable cash income in disability scenario. Considered long-term disability.

Dis Ins Prem. Disability Insurance Premium. Annual premium paid for the disability insurance policy.
Main input tab: Insurance
Reports shown in: Cashflow statement.
Characteristics:Non-deductible cash expense.

SSDI Payment. Social Security Disability Insurance Payment. Annual amount paid by the Social Security in case of disability.
Main input tab: Insurance
Reports shown in: Cashflow statement as a source of cash in the disability profile.
Characteristics:Non-taxable cash income in disability scenario.

STOCKS & BONDS


Mutual Funds. Value of a mutual fund account at the beginning of the first year of this plan.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset.
Characteristics: Mutual funds grow at an annual growth rate that can be entered in Projection Defaults. The growth is considered non-taxable. This asset is assumed not to generate dividend income. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.
For setting the default for growth rate for stocks & bonds tap Advanced, Projection Defaults, Stocks & Bonds

Treasury Bills. Value of US Treasury Bills.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset. Income Statement for taxable interest generated
Characteristics: This amount is considered to generate taxable interest based on the interest rate entered in Projection Defaults. This interest is assumed reinvested back in this account. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

US Govt Bonds. Value of US Government Bonds.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset. Income Statement for taxable interest generated
Characteristics: This amount is considered to generate taxable interest based on the interest rate entered in Projection Defaults. This interest is assumed reinvested back in this account. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

Municipal Bonds. Value of the Municipal Bond account.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset.
Characteristics: This amount generates tax-free interest based on the tax-free bond interest rate entered in Projection Defaults. This interest is assumed reinvested back in this account. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

Corporate Bonds. Value of Corporate Bonds.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset. Income Statement for taxable interest generated
Characteristics: This amount is considered to generate taxable interest based on Bond interest rate entered in Projection Defaults. This interest is assumed reinvested back in this account. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

Stocks/Funds 1-10 (no dividends). These input items can be used to list individual securities or funds that do not pay dividends. Enter the total value of each item. You can change the title of each entry for customized portfolio listing.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset.
Characteristics: These securities grow at an annual growth rate that can be entered in Projection Defaults. The growth is considered non-taxable. These securities are assumed not to generate dividend income. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.
The title of each stock or fund can be customized by a long-tap on the title shown on the input grid.

Stocks/Funds 1-5 (with dividends). These input items can be used to list individual securities or funds that grow in value and generate dividends. Enter the total value of each item. You can change the title of each entry for customized portfolio listing.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset. Dividend income is shown on Income Statement.
Characteristics: These stocks and funds grow at an annual growth rate that can be entered in Projection Defaults. The growth is considered non-taxable. These securities generate dividend income as per the dividend rate entered in Projection Defaults. This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

Bond/Funds 1-5 (Tax-free). These are the Municipal and similar Bonds that generate tax-free interest. input items can be used to list individual bonds or funds that grow in value and generate dividends. Enter the total value of each item. You can change the title of each entry for customized portfolio listing.
Main input tab: Stocks & Bonds
Reports shown in: Balance Sheet as a liquid asset.
Characteristics: Municipal Bonds grow at an annual growth rate that can be entered in Projection Defaults. The growth is considered non-taxable.  This is a liquid asset. It is available for potential liquidation by Cash Management to satisfy funding needs of a financial scenario.

BUSINESS, INVESTMENTS & REAL ESTATE


Sole Proprietor. Enter its asset value.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. This asset is not available for liquidation to satisfy funding needs via Cash Management. Refer to the income section for business income generated by this proprietorship. The growth of this asset is designated in Default Projections.
The title of each stock or fund can be customized by a long-tap on the title shown on the input grid.

Partnership. Enter its asset value.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. This asset is not available for liquidation to satisfy funding needs via Cash Management. Refer to the income section for business income generated by this partnership. The growth of this asset is designated in Default Projections.

Passive Business. Enter its asset value.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. This asset is not available for liquidation to satisfy funding needs via Cash Management. Refer to the income section for business income generated by this passive business. The growth of this asset is designated in Default Projections.

Farm & Ranch. Enter its asset value.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. This asset is not available for liquidation to satisfy funding needs via Cash Management. Refer to the income section for business income generated by this proprietorship. The growth of this asset is designated in Default Projections.

Land. Enter its near-cash asset value.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as near-liquid asset.
Characteristics: Near-liquid asset. This asset is available for liquidation to satisfy funding needs via Cash Management. The growth of this asset is designated in Default Projections.

Real Estate 1-2 (near-cash). Enter the near-cash asset value of each investment real estate.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as near-liquid asset.
Characteristics: Near-liquid asset. These assets are available for liquidation to satisfy funding needs via Cash Management. The growth is designated in the Default Projections

Investmnents 1-3 (near-cash). Enter the near-cash asset value of each investment.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as near-liquid asset.
Characteristics: Near-liquid asset. These assets are available for liquidation to satisfy funding needs via Cash Management. The growth is designated in the Default Projections

Real Estate 1-2 (non-cash). Enter the asset value of each investment real estate.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. These assets are not available for liquidation via Cash Management. The growth is designated in the Default Projections

Investmnents 1-3 (non-cash). Enter the non-cash asset value of each investment.
Main input tab: Bus Inv RealEst
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. These assets are not available to Cash Management for liquidation. The growth is designated in the Default Projections

OTHER ASSETS


Primary Home. Enter current asset value.
Main input tab: Other Assets
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. These assets are not available to Cash Management for liquidation. The growth is designated in the Default Projections

Vacation Home. Same as Primary Home above.

Townhouse. Same as Primary Home above.

Automobiles. Personal asset. Enter current asset value.
Main input tab: Other Assets
Reports shown in: Balance Sheet as non-liquid asset.
Characteristics: Non-liquid asset. These assets are not available to Cash Management for liquidation. The growth is designated in the Default Projections

Other Vehicles. Personal asset – same as above.

Boat & Yachts. Personal asset – same as above.

Airplane. Personal asset – same as above.

Gems & Jewelry. Personal asset – same as above.

Art & Antiques. Personal asset – same as above.

Gold & Coins. Personal asset – same as above.

Electronics. Personal asset – same as above.

Furniture & Fixture. Personal asset – same as above.

Silverware. Personal asset – same as above.

Hobby Items. Personal asset – same as above.

Other household. Personal asset – same as above.

Notes Receivables. Personal asset – same as above.

Personal Assets. Personal asset – same as above.

INCOME

.

Wages, Salary. Income of the respective spouse from their primary employment in the first year of plan.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Personal service income subject to income taxes and, if US Taxes are selected, FICA taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections
The title of each income item can be customized by a long-tap on the title shown on the input grid.

Partnership Income. Income of the respective spouse from active partnership in the first year of plan.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Earned subject to income taxes and, if US Taxes are selected, Self-employment taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections
For setting the default for annual growth rate income items tap Advanced, Projection Defaults, Income

Farm Income. Income of the respective spouse from farming or ranching business in the first year of plan.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Earned income subject to income taxes and, if US Taxes are selected, Self-employment taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections

Business Income. Income of the respective spouse from sole proprietorship in the first year of plan.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Personal service income subject to income taxes and, if US Taxes are selected, Self-employment taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections. This income is considered the base for contributions to a Qualified Retirement Plan.

Directors Fees. Income received by the respective spouse from corporate directorships in the first year of plan.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Personal service income subject to income taxes and, if US Taxes are selected, Self-employment taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections.

Cash Taxable Int. Cash Taxable Interest Income. Sum total of taxable interest that is cashed out of an account in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement..
Characteristics: Interest income subject to income taxes and, if US Taxes are selected, also subject to Net Investment Income Tax. This is a cash inflow item. The growth of income can be designated in the Default Projections.
Interest income from the bank accounts is computed automatically based on the default interest r ate entered. This entry should be used to enter any additional amount of interest that is received in cash and is taxable. 

Cash Tax exempt Int. Tax Exempt Cash Interest Income. Sum total of interest that is cashed out of an account in the first year and is exempt from income taxes.
Main input tab: Income
Reports shown in: Cashflow Statement..
Characteristics: Interest income that is exempt from income taxes. This is a cash inflow item. The growth of income can be designated in the Default Projections.
Interest income from the bank accounts is computed automatically based on the default interest r ate entered. This entry should be used to enter any additional amount of interest that is received in cash and is exempt from income taxes. 

Cash Dividends. Sum total of dividends that is cashed out of an account in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Interest income subject to income taxes and, if US Taxes are selected, also subject to Net Investment Income Tax. This is a cash inflow item. The growth of income can be designated in the Default Projections.
Interest income from the bank accounts is computed automatically based on the default interest r ate entered. This entry should be used to enter any additional amount of dividend that is not reinvested in the account and is taxable. 

Rental Income. Sum of net rental income produced by all real estate investments in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Passive income subject to income taxes and, if US Taxes are selected, also subject to Net Investment Income Tax. This is also used as an offset in the calculation of allowable investment interest deduction under certain circumstances. This is a cash inflow item.

Royalty Income. Sum of net royalty income in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Passive income subject to income taxes and, if US Taxes are selected, also subject to Net Investment Income Tax. This is a cash inflow item.

Farming Income - Passive. Income from investment in farming or ranching in which neither spouse is actively involved.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Passive income subject to income taxes and, if US Taxes are selected, also subject to Net Investment Income Tax. This is a cash inflow item and is not subject to Self-employment tax.

Alimony Received. Amount received in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Ordinary income subject to income tax. This is a cash inflow item and is not subject to Self-employment tax.

Other Taxable Income. Sum of all other taxable income in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Passive income subject to income taxes. This is a cash inflow item.

Other Non-taxable Income. Sum of all other non-taxable income in the first year.
Main input tab: Income
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Passive income that is not subject to income taxes. This is a cash inflow item.

EXPENSES


Mortgage Pmt. Mortgage Payments. Sum of mortgage payments made in the first year.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow in the first year. This amount in successive years depends on the growth or decline rate indicated in the Projection Defaults.
This input should be used in cases requiring a quick profile development and the terms of the mortgage are not readily available. Otherwise skip this entry and enter specific mortgage related information in the Non-recurring data section for more precise handling of mortgage amounts in terms of its liability, cashflow and deductibility for income taxes. Mortgage details can be entered by tapping  Advanced, Non Recurring Items, Expenses, Home Mortgage.

Rent. Sum of rent payments made in the first year.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow in the first year. This amount in successive years depends on the growth or decline rate indicated in the Projection Defaults.

Education. Sum of education related expenses in the first year. Use this input only if education expenses will be incurred in each year of the planning horizon. See note below.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow in the first year. This amount in successive years depends on the growth or decline rate indicated in the Projection Defaults.
This input should be used in cases the education expenses is a permanent annual expense. Otherwise skip this entry and use the Non Recurring Item section to enter annual education expenses for the years they are or will be incurred. Specific year education expense can be entered by tapping to  Advanced, Non Recurring Items, Expenses, Education Expense.

Medical Expense. Enter approximate annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of medical expense is subjected to IRS guidelines for testing its deductibility for income tax.

Food/Groceries. Enter an approximate annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow in the first year. This amount in successive years depends on the growth or decline rate indicated in the Projection Defaults.

Clothing. Enter an approximate annual amount. Treated similar to the above.

Transportation. Enter an approximate annual amount. Treated similar to the above.

Entertainment. Enter an approximate annual amount. Treated similar to the above.

Vacations. Enter an approximate annual amount. Treated similar to the above.

Gasoline/Tolls. Enter an approximate annual amount. Treated similar to the above.

Utilities/Phone. Enter an approximate annual amount. Treated similar to the above.

Repair/Maintenance. Enter an approximate annual amount. Treated similar to the above.

Other Household. Enter an approximate annual amount. Treated similar to the above.

Pocket Expenses. Enter an approximate annual amount. Treated similar to the above.

Cash Donations. Enter approximate annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of charitable contributions is subjected to IRS guidelines for testing its deductibility for income tax.

Health Ins Prem. Health Insurance Premium. Enter an approximate annual amount. Treated similar to the above.

Auto Ins Prem. Auto Insurance Premium. Enter an approximate annual amount. Treated similar to the above.

Other Ins Prem. Other Insurance Premium. Enter an approximate annual amount. Treated similar to the above.

Real Estate Taxes. Enter the annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of real estate tax is subjected to IRS guidelines for testing its deductibility for income tax.

State Income Taxes. Enter the annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of State Income Tax is subjected to IRS guidelines for testing its deductibility for income tax.
This input should be used in cases the State Income Tax can be simply approximated and may not be a key important item. . Otherwise skip this entry and use the income tax computation option to define State Income Tax using the available template. State income tax template can be reached by tapping to  Advanced, More, Income Tax Options, Define USA & State Taxes.

City Income Taxes. Enter the annual amount.
Main input tab: Expense
Reports shown in: Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of City Income Tax is subjected to IRS guidelines for testing its deductibility for income tax.
This input should be used in cases the City Income Tax can be simply approximated and may not be a key important item. . Otherwise skip this entry and use the income tax computation option to define State Income Tax using the available template. Local income tax template can be reached by tapping to  Advanced, More, Income Tax Options, Define USA & State Taxes.

Other Taxes Paid. Enter an approximate annual amount. Treated similar to the above.

Alimony Paid. Enter the annual amount.
Main input tab: Expense
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of alimony paid is deducted from income for in computing Adjusted Gross Income for the purposes of calculating income taxes.

Business Expense. Enter the annual amount.
Main input tab: Expense
Reports shown in: Income Statement and Cashflow Statement.
Characteristics: Amount entered here is treated as cash outflow. If US Taxes are selected, the amount of business expense is deducted from income for in computing Adjusted Gross Income for the purposes of calculating income taxes.

Subscription Fees. Enter an approximate annual amount. Treated similar to the above.

Accountant Fees. Enter an approximate annual amount. Treated similar to the above.

Legal Fees. Enter an approximate annual amount. Treated similar to the above.

Other Expenses. Enter an approximate annual amount. Treated similar to the above.

Final Expenses. Enter an approximated total amount.
Main input tab: Expense
Reports shown in: Survivor’s Needs Analysis
Characteristics: This amount is used while preparing the Survivor’s Needs profile and analysis. It approximates the final expenses incurred at the death of the assumed deceased spouse.

Estate admin & Legal Expenses. Enter an approximated total amount.
Main input tab: Expense
Reports shown in: Survivor’s Needs Analysis
Characteristics: This amount is used while preparing the Survivor’s Needs profile and analysis. It approximates the final expenses incurred at the death of the assumed deceased spouse.

LIABILITIES


Mortgage. Value of outstanding balance.
Main input tab: Liabilities
Reports shown in: Balance Sheet.
Characteristics: This is an outstanding liabilityin the first year. This amount in successive years depends on the growth or decline rate indicated in the Projection Defaults.
This input should be used in cases requiring a quick profile development and the terms of the mortgage loan are not readily available. Otherwise skip this entry and enter specific mortgage related information in the Non-recurring data section for more precise handling of mortgage amounts in terms of its liability, cashflow and deductibility for income taxes. Mortgage details can be entered by tapping  Advanced, Non Recurring Items, Expenses, Home Mortgage.

Auto Loan. Enter an approximate amount of the outstanding balance. Future values are based on the general rate of growth or decline entered in Projection Defaults for liabilities.

Student Loan. Enter an approximate amount of the outstanding balance. Same as above.

Other Loans. Enter an approximate sum of the outstanding balance for all other loans. Future values are based on the general rate of growth or decline entered in Projection Defaults for liabilities.

Credit Card Debt. Enter an approximate amount of the outstanding balance. Future values are based on the general rate of growth or decline entered in Projection Defaults for liabilities.

Personal Debt. Enter an approximate amount of the outstanding balance. Same as above.

Property Lien. Enter an approximate amount of the lien liability. Same as above.

Other Liabilities. Enter an approximate amount of the outstanding balance. Same as above.

 

NON-RECURRING DATA ITEMS
Input data items for income and expense that do not uniformly project through the planning horizon should be entered in this section. Items such as a special payment, specific college costs, weddings and other isolated income and expenses items can be better represented in this section.

The non-recurring input is available in two categories: Income and Expense items

Non recurring Income
Income items can accommodate three type of income; tax-free income, taxable income and cash proceeds from sale of assets. A maximum of 5 specific entries can be made in each type.


Enter the calendar year in the planning horizon for which the value is being entered in the left column, e.g. 2021. The corresponding tab in the right column should be used to enter the amount of this income.

Tax Free Income. This is the amount of cash inflow in the year represented on the left.
Main category: Cash income
Reports shown in: Cashflow Statement
Characteristics: Each amount is considered as a one-time cash income in the corresponding year. This amount is not subject to income tax in plans an income tax option is active.

Taxable Income. This is the amount of cash income in the year represented on the left.
Main category: Cash income
Reports shown in: Income Statement and Cashflow Statement
Characteristics: Each amount is considered as a one-time cash income in the corresponding year. This amount is subject to income tax in plans an income tax option is active.

Sale of Assets. This type of non-recurring item is available to enter anticipated sales of assets in future. Each sale in turn generates cash inflow in the corresponding year.
Main category: Cash income
Reports shown in: Balance Sheet and Cashflow Statement
Characteristics: Each anticipated sale should be entered for its year on the left column (tap to enter) and amount on the right column. The cash generated by sale of assets is not subjected to income tax computations. Input in this section A maximum of 5 sale items can be entered in this section.
NOTE: This input generates cash inflow in the Cashflow Statement. In the Balance sheet it is reflected as an overall reduction in assets for the same amount. This asset is considered similar to the Business and Real Estate category for the purposes future growth. Such a sale reduces general asset value by the sale value that would have g
To reach Non Recurring Income items tap Advanced, Nonrecurring Items, Income.

Nonrecurring Expenses
Major nonrecurring  expenses and other items of cash outflow that are not uniformly applicable in a profile can be entered here.  This section includes two type of inputs; amortized payments and simple cash expenditure. Input items here include:

Amortized loans involving projection of liability, cash flow and tax deductibility can be input as follows:


Home Mortgage. This input requires initial terms of the home mortgage for detailed computations. The amortized results are sliced out for the applicable portion to the planning span of current financial profile. Items of information required include-
Amount: Original amount of loan.
Terms (Months): Length of the loan in months, e.g. 180 months for a 15 year loan; 360 for 30 year.
Interest Rate: Annual interest rate of the loan, e.g. 5 for 5%; 6.5 for 6.5%.
Starting Month: Calendar month of the year when the loan started, e.g. 1 for Jan, 2 for Feb etc.
Starting Year: Year in which the loan started. This could be any year from past, present and future, e.g. 2008.

Main input tab: Amortized Loans
Reports shown in: Balance Sheet, Cashflow Statement and Supporting Schedule
Characteristics: The duration of this mortgage that applies to the time span of the planning scenario is extracted in terms of its liability and Cashflow elements and shown on corresponding reports. The interest part of monthly payments is taken as tax deduction if applicable when US income taxes are applied.

Amortized Loan. Same as above


Education Expenses. This is the amount of cash expense for education in the year represented on the left. There are two such input menus available enabling specific expense input of up to 10 amounts.
Main category: Cash Expense
Reports shown in: Cashflow Statement
Characteristics: Each amount is considered as a one-time cash expense in the corresponding year. This expense is not deductible for income taxes.


Special Event. This is the amount of cash expense planned for each financially significant event such as a wedding should be entered here. The year of the event should be entered using the left tab and the total amount of expense for this event using the right tab.
Main category: Cash Expense
Reports shown in: Cashflow Statement
Characteristics: Each amount is considered as a one-time cash expense in the corresponding year. This expense is not deductible for income taxes.


Major Purchases. Each major purchase is considered a Cashflow event. Total cost of each purchase should be entered using a tab on the right side. The corresponding tab on the left should be used to indicate the year of this purchase.
Main category: Cash Expense
Reports shown in: Cashflow Statement
Characteristics: Each purchase is considered as a one-time cash expense in the corresponding year.

 

Income tax templates
PlanMode provides several options to represent income taxes applicable in a plan. These options are available for-
1.      Main income tax
2.      State or regional income tax
3.      City or local income tax

Certain income tax computations such as US Federal Income Tax are built-in as main income tax. Additional main income taxes can be defined using templates that contain your information for deductions and exemptions applied to the calculated income each year and the tax rates to be applied to the resulting taxable income. The tax rates can be defined as graduated tax tables.

Similarly the State and City templates can be defined to dynamically approximate the corresponding tax.

You can define any one or all of the above as default computations applied to all plans prepared on your device. These computations can be further modified or fine-tuned for each individual case via the Advanced button. The following menu sequence describes a way to reach default main income tax template to initiate or modify (Options, Settings, Income Tax, Define Your Taxes, Main Income Tax)

 

Your input on items reachable from the above is applied to the current case in each year of the plan to compute this tax.

How Does It Work
Here is how the template values are applied in computing income tax-
1.    Gross income for the purposes of taxes is computed by adding all taxable income including cash and noncash.
2.    Value of Income Adjusts (absolute amount or percentage) is used as an adjustment to the gross income in computing adjusted gross income.
3.    Tax Deductions (absolute amount or percentage) are applied to the adjusted gross income for modified adjusted gross income.
4.    Personal Exemption (Pers Exemps) amount is calculated by multiplying the amount entered here by the number of dependents including the taxpayer and spouse, if applicable. This amount is subtracted from the modified adjusted gross income to arrive at taxable income amount.
5.    Tax rates (simple, one rate or graduated tax rates) are applied to the taxable income for the computation of income tax in each year of the plan.
6.    The report title for this tax line as shown on the Income and Tax Statement and the Supporting Schedule can be changed by the last input on this screen.

The above process is applied similarly in the computation of State and City Taxes. State and/or City tax amounts computed with these templates are applied as tax deductions in cases where the built-in USA income tax computations are selected.

USA Income Tax
The tax computations follow the income tax laws applicable for the tax years 2013 and later. The following is a summary of key items computed for US income taxes:
·         Gross Income – includes all items of income except those that are labelled as tax-free. Gross income does not include any cash inflow resulting from sale of assets entered under nonrecurring items
·         Adjusted Gross Income – starting with the Gross Income as base amount the following amounts are subtracted for computing the AGI-
 - IRA contributions
 - Employee contributions to employer retirement plans
 - Contributions to qualified retirement plans
 - Applicable deduction for Self-employment taxes
 - Business expenses
 - Alimony paid
·         Personal Exemptions – computed based on the number of dependents including the taxpayer and spouse. The amount computed is subjected to the deductibility threshold as applicable in year 2013 and later.
·         Itemized deductions – is computed as the greater of the available Standard Deductions or the sum of the following items-
 - Cash donations
 - Real estate taxes
 - State income taxes
 - City income taxes
 - Accountant (tax prep) fees
 - Mortgage & other interest paid
 
The amount of deduction is subjected to deductibility threshold as applied for 2013 and later years.
·         Taxable Income – the deductible amounts of Deductions and Exemptions is subtracted from adjusted gross income to calculate taxable income.
·         Regular Income Tax – computed using the applicable tax rate schedule to the taxable income based on the filing status and the year of computation.
·         FICA Taxes – applied annually to the wages of each spouse. Includes Medicare surcharge.
·         Self-employment Taxes – calculated for each spouse when applicable for their self-employed and business incomes. Includes the application of Medicare Surtax.