|Saturday, September 23, 2017
||Our company's newsletter is also available in PDF format for additional news items.
Still River’s RetirementWorks®II Offered to NEA Members by NEA Member Benefits
October 19, 2010, Harvard, MA – Still River today announced that its RetirementWorks®II retirement planning software is being offered at a substantial discount to NEA (National Education Association)
members who are approaching retirement or who are already retired. The discount offer is provided to NEA members through NEA Member Benefits (NEAMB).
Chuck Yanikoski, President of Still River, explained, "NEAMB recognizes that the financial planning needs of seniors are complex, and the consequences of inadequate planning can be serious."
NEAMB offers RetirementWorks®II to NEA members through its website, neamb.com, as a tool to help educators plan for retirement.
RetirementWorks®II is a holistic system that provides advice based on comprehensive, detailed, and integrated analysis. The online program queries users on a wide range of financial and
non-financial topics to identify the specific issues that apply to their individual households. RetirementWorks®II then evaluates the long-term adequacy of the family’s financial position and recommends
actions to take.
Just a few of the questions that the system answers are:
- Can I afford to retire when I want to?
- When should I sign up for Social Security benefits?
- What should I be doing about health coverage and long-term care insurance?
- Can I afford to stay in my home, or should I consider selling and downsizing?
- If I stay in my home, should I pay off my mortgage, or tap into the equity?
- Do I need more life insurance, or should I reduce the amount I already have?
- Which of my assets should I draw from first?
- Do I have the right legal documents in case I die or become incapacitated?
- What should I do to provide for a special needs child who might survive me?
- Would an annuity help me meet my financial goals?
- What should I do with my pension plans?
RetirementWorks®II is a comprehensive and easy-to-use online retirement planning program. NEA members can visit http://www.NEAMB.com/RetirementWorks
to learn more about RetirementWorks®II.
Still River Retirement Planning Software, Inc., leading producers of software for retirement planning, is located in Harvard, MA. For more information, e-mail Chuck Yanikoski at csy@StillRiverRetire.com.
Humberto Cruz reviews RetirementWORKS2 for You™
For financial professionals, recommending a Roth conversion is a risky business, not unlike gambling. Our latest paper,
"The Roth Conversion Gamble", explores the factors that determine whether a Roth
conversion is a good idea or not.
Given that the factors themselves are volatile and difficult to predict, we propose that the rational approach is to hedge one's bet.
Read our paper to find out how.
Our latest paper, "The New Wild West: Integrating Financial and Life Planning in the Second Half of Life"
is now posted on our Analyses for Professionals page. Read how retirement is like the old frontier: a time of development, fulfillment and transformation,
yet surrounded by threats and risks. As in the old Wild West where the best guides knew something about everything: the land, weather, sources of food and
water, etc., the guides of the new retirement frontier need expertise in investments, career counseling, psychology, life coaching, insurance, health care, and more.
What wisdom can we glean from the recent and ongoing disasters in the financial markets?
And how do we apply that wisdom to our efforts to help retirees and near-retirees plan for their future?
Read our newest paper, "Retirement Income Planning Lessons from the Economic Meltdown"
for our thoughts on strategies that have now been proven harmful and alternatives
that are safe and sensible. As always, we welcome YOUR thoughts.
Still River today announced the release of new software to support ongoing compliance with the new IRS
regulations requiring 403(b) plan sponsors to monitor participant loans and hardship withdrawals. The
new regulations go into effect this coming January.
Taking advantage of the new industry standards for financial vendors for providing periodic loan and withdrawal
data to plan sponsors, the
403(b) Loan and Hardship Withdrawal Compliance Utility
makes ongoing monitoring simple enough for plan sponsors to do themselves. The utility can also be used by local
consultants and field reps, and is available for larger financial firms and marketing organizations to provide to
plans sponsors or field reps whom they support.
The software is based in Microsoft Excel, so that it can easily be used and, to some degree, modified by
purchasers. It is so easy to use, that once the necessary data files have been received from vendors, all the
user has to do is select the month and year and then click a single button. The software does the rest of the work.
Still River today released its newest paper,
"Piercing the Monte Carlo Mystique in Retirement Planning". This paper explains that the inherent, conceptual problems with
Monte Carlo and other stochastic models that presuppose events are random, future
probablilities can be known, and probablilities of success can be calculated, are not
only inadequate for retirement income planning, but are possibly dangerous. It goes on to
show that alternative approaches that are based on risk reduction and contingency planning
are far more appropriate for this market.
Still River announces the unveiling of the RetirementWORKS II® for YOU website.
To learn more about it please visit us.
RW2 for YOU™ is unlike any other retirement planning software you’ve seen.
Based on the same cutting edge technology that underlies our products for financial
professionals and institutions, RW2 for YOU™ is more than a calculator. It is
a sophisticated program that provides comprehensive and integrated retirement advice based
on your own unique circumstances. Until now, it was available – if at all – only through
professional financial advisors.
Despite its extraordinary power, RW2 for YOU™ was designed to be clear and easy
to follow. Whether you’re comfortable with numbers, or prefer concepts and descriptions;
whether you are patient with detail or not, RW2 for YOU™ adapts to your style.
In plain English, it asks you questions about your family situation, your goals and concerns,
and the specifics of your finances – limiting the questions to only those that apply to you.
Based on the information you provide, RW2 for YOU™ evaluates your financial
situation, and makes clear, understandable recommendations for your retirement. And it
provides detailed explanations. Though some questions might require a professional’s
advice in order to implement, you will understand what they mean and why they were made.
Do the new IRS permanent regulations spell the end of the 403(b) market as we've known it?
Read our newest paper, "Whither Goes the 403(b) Market in 2008?"
for our thoughts on the impact the regulations will have. How will Plan Sponsors react? What are their choices?
And how can product providers help them? We share our thoughts with you - and we'd like to hear yours!
Still River today announced the 2008 release of its 403(b)
Contribution Planner® and its 403(b) custom design services for the
new regulatory environment.
Already the leader in 403(b) compliance, Still River is the first to offer software that
complies with the latest IRS regulations that includes 2008 calculation factors. The
company acknowledges, however, that this is just the beginning of the process toward
capturing opportunities that the new regulations are creating. "No one yet knows the
full impact the new regulations will have, but most agree that a shake-out is coming."
observed Chuck Yanikoski, President of Still River. "We've already received a number of
inquiries about custom software to help product providers and marketing organizations meet
these new challenges, and we expect a surge of interest among the more creative people in
this market who see these changes as an opportunity."
Our latest paper, "The Greatest (and Unrecognized) Financial Risk for Retirees" is now posted on our
Analyses for Professionals page. Read about how Planning Risk, the risk that arises from poor financial decision-making,
is the greatest risk to retirees. Poor planning magnifies exposure to all other risks, and lack of planning - or faulty
planning - can lead to a financial disaster even if other risks don't materialize. Find out what role the financial industry
plays in Planning Risk and what you can do to mitigate this risk.
Still River's newest paper on retirement planning, "Half-Baked Investment Concepts for Retirees", is now posted on our
Analyses for Professionals web page. This paper looks at the three most popular investment models offered to retirees by
investment professionals, and shows how they are potentially harmful rather than helpful.
Still River today posted its new paper, "Retirement Income Planning, Part 15: Can the Retiree Market Be
Profitable for Advisors?"
This latest paper in the series on retirement income planning looks at the time consuming nature of serving the retiree market, and proposes a
solution to make the process more cost effective.
"Planning for older clients is far more complex and time consuming than for younger ones, and the stakes for the client are far higher," noted
Chuck Yanikoski, Still River President. "Not only does it cost more for advisors to serve retirees, their financial rewards also tend to diminish.
How can we make this business cost effective? The solution is a planning process that is comprehensive, detailed, and integrated, but that requires
a minimum of effort from the advisor and his/her staff. By having the client collect and input the data and the computer perform the extensive
and complex calculations, by the time the advisor even sees the case, the data has been collected and input, the analysis performed, the
recommendations generated, at the preliminary reports ready for the advisor to review."
Still River's solution is RetirementWorks® II, a holistic, comprehensive retirement income planning program.
RetirementWorks® II is available
for either desktop or web and, despite its complexity and power, is extremely easy to use and simple to understand.
Still River today announced the release of RetirementWORKS® for YOU, a new retirement planning tool for consumers
who are approaching retirement or who are already retired. The financial planning needs of seniors are much more complex than others, and the
consequences of inadequate planning are much more serious. Until now, no software, available commercially or provided by financial companies,
comes close to meeting the real needs of people facing retirement.
RetirementWORKS® for YOU is an easy-to-use internet application that provides advice based on comprehensive, detailed, and integrated analysis.
Instead of asking just a few questions, it asks for a wide range of financial and non-financial information, which it then uses to identify the
specific concerns that apply to the individual's household. Then it recommends a plan of action and evaluates the long-term adequacy of the
individual's financial position.
Still River's new book, "Nine Keys to Winning Baby Boomer's Assets at Retirement" is now
for sale on our web site. This is the first book to focus exclusively on corporate strategies for the retirement income market.
Written for CEOs and other senior executives who have strategic responsibilities in the retirement market, it is also a must read
for anyone involved in planning or marketing in this field. Click here for more information and to order.
Still River today posted its new paper, "Retirement Income Planning, Part 14:
Are We Missing the Boat on Retiree Expenses?"".
This paper begins with the premise that if we don't understand what the retiree's expenses
are, and if we cannot project with reasonable accuracy what they will be in the future, then no amount of sophisticated
manipulation on the income side is worth much. The paper argues that using the distinction between necessary vs.
discretionary expenses as a guide for investment strategy (using guaranteed income to cover necessary expenses, but
investing more agressively with funds earmarked for discretionary items) is dangerous. It points out that almost all
expenses are necessary to some degree, but the degree to which we indulge in them is discretionary, and shows how they
can be projected into the future.
"When it comes to financial decision-making, expenses are more important than income because in almost all cases,
retirees have more discretion about expenses than they do about income. If we focus on only the income side, we won't
be able to serve them. Then the assets that they do have will go somewhere else, to some company that can do the
analysis right." noted Chuck Yanikoski, President of Still River.
Still River's holistic retirement planning software, RetirementWorks® II,
provides advice to retirees based on a systematic, integrated analysis of all household cash flows, rather than on
investment analysis or other isolated aspects of the retiree's situation.
Still River today released a new paper, "Providing Personalized Financial Advice to Your Retiring and Retired
Employees". This paper looks at why it's important
for employers to provide their employees and retirees with access to good, sound, financial advice that addresses
all the problems that retirees face. With the move away from defined benefit plans to defined contribution plans,
and in the wake of cutbacks in pensions and post-retirement medical benefits, good financial advice can help
retirees use wisely what benefits they do have, and can help mitigate their panic at all the financial decisions
they need to make.
"The need for financial savvy does not end when employment ends," said Chuck Yanikoski, President of Still River.
"On the contrary, financial decisions suddenly become more difficult and more freighted with risk. It only seems
right that employers who have helped create this situation should also help resolve it."
RetirementWorks® II, Still River's comprehensive retirement income planning software, is based on a holistic
approach to retirement planning, and strives to answer all of the major financial questions that retirees face,
including the option of accepting an early retirement offer. RetirementWorks® II is available for either desktop
or web, is extremely easy to use and simple to understand, and costs just a few dollars per employee - a small
fraction of what most benefits cost.
Still River has just posted its new paper, "Retirement Income Planning, Part 12: The Fallacy of the One Best Solution".
This paper proposes that instead of throwing all their resources at developing the perfect retirement income planning
program, which is an impossible feat, they would be better off launching multiple initiatives on an experimental basis
and letting the market decide which work best.
Still River's own approach, RetirementWorks® II, is a broad-based, integrated,
"financial planning" approach to this market. Chuck Yanikoski, President of Still River, said,
"We feel it is the best overall approach, but it isn't the best for every situation. Many practioners want a much
simpler approach, others want a highly sophisticated investment analysis, and others want to focus on a particular product
area. If you pick any one of these approaches, you are leaving people out or serving them inappropriately.
Instead of trying to design the One Best Solution, which won't be the best for every situation, for the same investment
of time and money you can pilot a variety of ideas which will yield market-based, solid information about what really
works for your company and what doesn't."
"It's in everbody's interest - financial providers, vendors, employers, and most of all consumers - to get this business
moving," he continued. "Every day thousands of people retire, and right now we are failing them. That is a shame and a
missed opportunity for all of us."
Still River's new paper, "Retirement Income Planning, Part 11: Early Retirement
Offers as a Special Case and a Special Opportunity" shows how financial advisors can provide
comprehensive analytical services to employees receiving early retirement offers, not only expanding his or her business,
but also providing an extraordinary, useful service in the community.
RetirementWorks® II, Still River's comprehensive retirement income planning software,
has a new enhancement that analyses early retirement offers. This module is centered on cash flow analysis and examines
pension and health benefits, severance pay, new job opportunities, and the potential adequacy of all of these.
Still River releases the 10th in a series of papers, "Retirement Income Planning,
Part 10: Risk Analysis and Calculation Methods". This paper examines the benefits and
flaws of deterministic vs. Monte Carlo and other stochastic models for computing and illustrating the financial risks that
retirees face. It further explains how the two methods work, suggests that some combination of both is preferable for
retirement income planning, and looks at several possible mixed models.
Earlier this month, Still River released two new versions of RetirementWorks® II, the retirement income and distribution
planning package introduced last fall. The original version uses non-stochastic scenario testing. The new versions add
further options: one uses Monte Carlo analysis to test financial plans under randomized mortality and investment experience,
medical expense costs, long-term care requirements, and high inflation scenarios; the other combines Monte Carlo analysis
with other stochastic modeling techniques to provide a faster-computing model more suitable for internet use.
RetirementWorks® II is based on a holistic approach to the retirement income market, and strives
to answer all of the major financial questions that retirees face. RetirementWorks® II is available for either desktop or
web, or both, and works
Still River announced today two new versions of RetirementWorks® II, the
retirement income and distribution planning package introduced last year. One version uses Monte Carlo analysis to test
financial plans under randomized mortality and investment experience, as well as with randomized medical expense costs,
long-term care requirements, and high inflation scenarios. The other new version combines Monte Carlo analysis with other
stochastic modeling techniques to provide a faster-computing model more suitable for internet use. These models supplement,
but do not replace, the existing RetirementWorks® II model that uses non-stochastic scenario testing. Licensees can choose
which of the three models suits their needs best.
"This is, quite frankly, a debatable point," observes Chuck Yanikoski, Still River’s President and chief software designer.
"Everyone agrees that when one is doing planning for retirees, mortality, investment, and other risks need to be taken into
account. Monte Carlo models were the first ones on the scene capable of doing that. This does not make them the best, but
it does give them a certain cachet. Unfortunately, Monte Carlo modeling can easily be misapplied, and results can be hard
to interpret. By adding this option to a model that is already, and by far, the most robust available in terms of analyzing
the financial needs of the elderly, we can now offer financial companies and advisors the best of both worlds. And,
I might add, at a reasonable cost."
RetirementWorks® II is available for either desktop or web, or both, and works
nearly identically in either environment.
Still River releases the ninth in a series of papers, "Retirement Income Planning, Part 9:
Are New Products a Solution or a Stopgap?". This paper looks at some of the new product
developments in the Retirement Income Planning market and shows how most are of marginal value to retirees, even when
they first appear to be revolutionary, and that the real beneficiaries of these new products are the financial services
companies themselves. The paper goes on to posit that new products should be only one component of services provided to
retirees, and that to succeed in this growing market, companies must provide all the assistance retirees need.
Still River has been studying the needs of retirees since 1991. Our newest software offering,
RetirementWorks(R) II is based on a holistic approach to this market. RetirementWorks® II strives to
answer all of the major questions that retirees face, while being extremely easy to use and simple to understand.
RetirementWorks® II is available for either desktop or web, or both, and works nearly
identically in either environment.
A new article by Still River President, Chuck Yanikoski, on retirement income planning, appears in the February
edition of the NAVA Outlook. "A Fresh View of the Retiree Market". For more information about
NAVA (National Association for Variable Annuities), visit http://www.navanet.org
Still River today announced that its new retirement income planning software,
RetirementWorks® II, is now available for licensing. RetirementWorks® II is the first
system that provides advice to retirees based on a systematic, integrated analysis of
household cash flows, rather than on investment analysis or other isolated aspects of the
retiree's situation. The approach is a holistic one: if you can't answer all of the
retiree's financial questions, then you can't adequately answer any of them because
they are all interrelated. Given the stakes, anything less verges on financial malpractice.
RetirementWorks® II was launched in beta test version on March 31, 2005. Over the spring
and summer the system was used in test cases by dozens of financial advisors, insurance and
mutual fund company representatives, and consumers, while it was also undergoing rigorous
in-house testing by Still River. Even though the test period has officially ended, Still
River will continue to vigorously pursue a high level of quality control. We believe that,
while perfection is always just out of reach, in this market we need to get as close to it
as possible. If retirees receive inappropriate advice, by the time it becomes apparent it
is probably too late for them to recover. We must do everything we can to get it right the
first time - and we must continue to monitor their financial situation as they progress
through their retirement years.
For more information on this new system, please visit the
RetirementWorks® II page.
Still River releases the eighth in a series of papers, "Retirement Income Planning, Part 8:
What Income Planning Will Look Like in 2010". This paper looks at how retirement income planning differs from retirement
accumulation planning, where this new Baby Boomer retiree market is heading, and who will
emerge as the key competitors in this market and why they will be successful.
Still River has been studying the needs of the retirement income market since 1991.
Our newest software offering, RetirementWorks® II, released in beta version this spring and scheduled for general release
this fall, is the first software available based on a holistic approach to this market.
RetirementWorks® II strives to answer all of the major questions that retirees face
while being extremely easy to use and simple to understand. RetirementWorks® II is
available for either desktop or web, or both, and works nearly identically in either
Still River releases its seventh in a series of papers on retirement planning, "
Retirement Income Planning, Part 7: Toward Truly "Holistic" Planning". Holistic",
the newest buzzword appearing in discussions of retirement income planning, suggests more than
product-specific approaches, more than particularistic sales concepts such as $quot;inherited"
or "stretch" IRAs, and more than quick answers to one or two financial questions.
This paper explains why a truly holistic approach to retirement income planning is necessary,
and specifies in detail the range of issues it needs to cover.
A holistic approach to retirement income planning requires analytical tools that are truly
comprehensive, professional advisors who have the training and patience to deliver holistic
advice, and a process that is not too grueling for the retirees to participate in.
Still River's newest software offering, RetirementWorks® II, released in
beta version earlier this spring, is the first software available based on this holistic
RetirementWorks® II strives to answer all of the major questions that retirees face
while being extremely easy to use and simple to understand.
RetirementWorks® II is available for either desktop or web, or both, and works nearly
identically in either environment.
Still River today released the beta version its newest software system, RetirementWorks® II.
RetirementWorks® II is a revolutionary new system designed to enable the retiree or soon-to-be retiree to understand his or her
household financial situation, and to make appropriate decisions that will help the family achieve its financial goals.
Unlike other existing models, RetirementWorks® II strives to answer all of the major
financial questions that retirees face. For people about to retire, making so many decisions
at once is complicated because the decisions are all interrelated, and, once they retire,
their ability to recover from major financial mistakes is vastly reduced. To adequately
serve these people, RetirementWorks® II looks at all issues in an integrated fashion and
produces one or more suggested plans of action, each containing specific recommendations
about what financial choices and changes should be made. Each plan is evaluated with a
simple "report card" that anyone can understand, which grades the plan under both "expected"
and adverse circumstances. If the plan is unacceptable for any reason, it can be modified
until the results are satisfactory.
RetirementWorks® II is designed to be used by the financial professional on behalf of
clients, by clients themselves, or by a combination of both. Despite its thoroughness and
sophistication, RetirementWorks® II establishes a new level of consumer-friendliness; it
is so easy to use that whoever pays the household bills can easily enter the necessary data
directly into the system, saving the financial advisor's time for the analysis and reporting
phase. The system also adapts to the user's style: in a hurry or not, comfortable with
numbers or not.
RetirementWorks® II is available for either desktop or web, or both. The system works nearly identically in either
Still River releases its sixth in its series of papers on retirement planning,
"Retirement Income Planning, Part 6: Providing the Information That People Need". This paper discusses a
critical component of the retirement planning process: the report that is delivered to
the client. By initially concentrating not on showing or selling product, but on providing
a detailed report that tells clients specifically what to do to have a satisfactory
retirement, even under certain adverse circumstances, advisors take a big step toward
giving clients the advice, comfort and help that they are looking for. Only after the client
has understood and accepted the recommendations is the advisor positioned to identify and
sell the financial products needed to implement the plan.
Still River is building this report functionality into its new comprehensive retirement
planning system, RetirementWorks® II. A prototype, in both desktop and web versions,
is planned for March 2005, followed by more comprehensive versions in late 2005 and 2006.
For more information on this new system, please visit the
RetirementWorks® II page.
Still River releases the 2005 version of the 403(b) Contribution
Planner® in both desktop and web versions. The 2005 edition is fully compliant with
the new 403(b) regulations announced by the IRS in mid-November. Among the updates to the
system are the new definitions of "Health & Welfare Service Agency", "Controlled Group",
and the 5-year limit on post-retirement contributions. Other enhancements include 2005
qualified plan contribution limits, updates to Social Security factors and federal tax rates,
and updates to state retirement plan calculations.
Also, in preparation for the establishment of Roth 403(b) accounts, authorized by the 2001 tax
law (EGTRRA) starting in January, 2006, the 2005 edition contains a new Roth 403(b) utility
that helps determine the right mix of pre-tax and after-tax contributions.
Depending on the user's preference, the Roth 403(b) utility employs either a simpler or a
more sophisticated Monte Carlo analysis that looks at tax rates, contribution levels, and
expected withdrawal patterns to make a customized recommendation for each individual.
The User's Guide for the 2005 system is also
now available on the Downloads page of our web site. For a free downloadable demo of the 2005
edition of the 403(b) Contribution Planner, please click here.
Still River releases its fifth in a series of papers, "Retirement Income Planning, Part 5:
The Right Time to Annuitize" .
This paper explores some little noticed patterns in the timing of annuitization, and explains
why spreading annuitization out over a long period of time is preferable for both risk
management and psychological reasons. Still River is building this and other insights into
its new comprehensive retirement planning system, in desktop and web versions, that simplifies
and streamlines data collection, provides immediate answers to retirees' many and urgent
questions, and produces truly integrated solutions. For more information on this new system,
please visit the RetirementWorks® II page.
Still River releases its fourth in a series of papers, "Retirement Income Planning, Part 4: Beyond Monte Carlo" .
This paper proposes that Monte Carlo analysis is not the best tool to use in financial planning for retirees, explains the reasons it is not, and offers an alternative approach.
Previous papers in this series have examined the many issues and questions facing retirees, the value of a comprehensive financial planning model in addressing their needs, and how to
determine the level of risk that is acceptable to an individual retiree. Still River is developing a new comprehensive retirement planning system, in desktop and web versions, that simplifies
and streamlines data collection, provides immediate answers to retirees' many and urgent questions, and produces truly integrated solutions. For more information on this new system, please visit the
RetirementWorks® II page.
Still River releases the remaining four RetirementWorks®
basic Financial Web Calculators and is offering the entire set of eight
Basic Financial Web Calculators free with the purchase of a full-priced
license of one or more of our other Web Calculators. This "Buy One, Get
Nine" offer is available through August, 2004. The Basic Financial Web
Calculators include: Life Expectancy, Loan Amortization, Annuity Payments,
Mortage Amortization, Present Value, Future Value, Internal Rate of Return,
and Cost of Delay.
Unlike most web-based calculators currently available, each of Still River's
eight Basic Financial Web Calculators gives you the option of printing out a
detailed report suitable for client use - not just a number on the screen.
Still River releases its third in a series of papers,
"Retirement Income Planning, Part 3: Risk and Investment Strategy for
which explores whether or not retirees should take investment risks, and how
to determine the level of risk that is acceptable for an individual retiree.
Previous papers in this series examined the many issues and questions facing
people about to retire and how a comprehensive financial planning model can
best serve them and address all their planning needs. Still River is
developing a new comprehensive retirement planning system for both desktop
and web that simplifies and streamlines data collection, provides immediate
answers to retirees' many and urgent questions, and produces truly
Three more of RetirementWorks® eight Basic Financial
Calculators are now available in web versions. Loan Amortizaton, Annuity
Payments, and Mortgage Amortization calculators solve for a principal amount, an interest
rate, the number of payments needed, or the payment amount. The mortgage
amortization also shows both pre-tax and after-tax results, and allows you
to solve for after-tax values. Each calculator gives you the option of
printing out a detailed report suitable for use with a client - not just a
number on the screen. |
These three calculators are available separately or grouped together in one,
multi-functional module, the Amortization Group (3 in 1).
Still River releases its second in a series
of papers, "Retirement Income Planning, Part 2: A Realistic Comprehensive
which examines how a comprehensive financial planning model can best serve
people facing retirement and address all their planning needs. This
paper further examines issues raised in the paper, "Retirement Income
Planning, Part 1: What People Want", which was published in November, 2003. Still River
plans to release, by the end of 2004, a prototype of a new comprehensive
retirement planning system that simplifies and streamlines data collection,
provides immediate answers to retirees' many and urgent questions, and
produces truly integrated solutions.
Still River today announced the development of its new
comprehensive retirement planning software. This new system will, for the
first time, do what retirees really want: a comprehensive job of answering
their many questions. Typical questions include what to do about pensions,
Social Security, medical and long-term care insurance, asset re-allocation,
life insurance and annuities, expense adjustments, the use of home equity,
disposition of a family business or farm, and many others. Currently, such
questions are usually analyzed individually, but since each has an impact on
the others, and since they all tend to arise at the moment of retirement,
the best strategy is to consider them together and make integrated
recommendations. Still River will introduce a prototype of the new system
by the end of 2004, and more comprehensive versions in 2005 and 2006. For
more detailed information, see our paper, "Retirement Income Planning, Part
1: What People Want".
Still River releases the 2004 edition of the 403(b)
The new edition, which contains updated contribution limits, Social Security
calculations, RMD and 72(t) calculations, updated and enhanced state
retirement system calculations and many more important retirement planning
tools, was shipped to clients this week. The User's Guide
for the 2004 system is also now available on our web site. For a free downloadable demo, please click
Still River releases its new Econometric Risk Capacity (ERC) Asset
Allocation model, now available in RetirementWorks®. The ERC Asset
Allocation model, unlike our more complex Needs-Based Econometric Monte
Carlo model released last year, does not require that the user know what
payouts from an investment will be. The more generally applicable ERC model
only requires answers to five easy questions. In this new approach to asset
allocation, risk capacity (the financial ability to afford investment risk)
is balanced against expected fund performance. For more detailed
information on the Economic Risk Capacity Asset Allocation model, see our
paper, "Asset Allocation - A New Approach".
The first of RetirementWorks®' eight Basic Financial
Calculators, the Life Expectancy Calculator , is now available in a web
version. This new web calculator takes into account health impairments,
provides individual, first-to-die and second-to-die results, and shows
varying probability levels of survival.
Still River announces the release of the Education Funding
Plus calculator in its latest version of RetirementWorks® desktop system. Education Funding Plus not only
considers costs for college, but also for elementary, secondary and graduate
schools as well, for one child or several children. RetirementWorks® now
allows you to perform a combined education and retirement savings analysis,
usually producing a lower, and less intimidating, level of recommended
savings than by doing each analysis separately.
The third and final of three Needs-based Retirement Income calculators, Retirement Income Sources, is introduced in our RetirementWorks® desktop system.
This calculator answers the key question for retirees: Which assets should I liquidate first to help meet my retirement income needs? The system allows
input of any number of assets then performs an evaluation of each based on five criteria, the relative importance of which can be adjusted by the user.
All assets are then ranked, with the most expendable listed first.
Still River adds eight new Basic Financial Calculators to our RetirementWorks® desktop system.
These calculators are designed to perform quick financial and life expectancy calculations and produce detailed reports for clients.
Find out more in the Basic Financial Calculations section of the RetirementWorks® User's Guide.
Still River introduces the Needs-based Annuitization calculator in our RetirementWorks® desktop system. The
second of three retirement income calculators, it answers the key question: How much, if any, of my nest egg
should I annuitize? Recognizing that older people want to maintain some control over their assets, it allows them
to set aside cash amounts for future medical expenses, bequests to heirs, etc., then analyzes projected income,
expenses and investment returns to determine the appropriate level of annuitization. |
The 2003 edition of the 403(b) Contribution Planner® is released to Still
River clients. The new edition contains updated contribution limits, Social
Security calculations, RMD and 72(t) calculations, enhanced state retirement
system calculations, and our new Asset Accumulation illustration. |
IRS Rev. Ruling 2002-62, further defining calculations for 72(t) distributions, is now fully reflected in Still River's desktop and
web-based software. The first software updates were made available within two working days of the release of the new ruling. |
The first of three Retirement Income calculators is introduced in our RetirementWorks® desktop system.
This one answers the key question for retirees: How much should I be withdrawing from my savings this year? It also takes into
account likely future changes in retiree expenses as well as mortality risks for one or two retirees. |
A web-based Paycheck Comparison is now available from Still River. This sophisticated application automatically
calculates federal and state withholding, and can take employer contributions into account. Go to our Web Calcs page for a demo. |
Inherited IRA illustrations using the technique best suited to the new Required Minimum Distribution regulations,
are now available as part of our RetirementWorks® desktop package. |
Still River adds the Retirement Needs web calculator to our array of online products. With this a user can determine if they are likely to meet their economic goals after retirement based
on their current retirement assets. The calculator factors in such elements as estimated social security and inflation effects on both savings and retirement needs as well as allowing you
to decide whether to conserve or consume your savings during retirement. Try it out on our Web Calcs page.
Our Econometric Monte Carlo (EMC) Asset Allocation model is now included in RetirementWorks®.
This unique, innovative asset allocation method combines some of the best features of existing allocation models while
avoiding some of their worst pitfalls. Click here for more information. |
IRS final regulations on Required Minimum Distributions, announced last week, have been incorporated into Still River's desktop and web-based calculators.
The web version can be tried out on our Web Calcs page, and the latest desktop demos can be downloaded from our download page.
Still River announces software updates to reflect the Job Creation and Worker Assistance Act of 2002.
The Retirement Plans Contribution Wizard has been added to the 403(b) Contribution Planner® .
This utility evaluates whether clients should put
their money into a 403(b), 457, deductible IRA, or Roth IRA account. It
tests eligibility for the IRA options and, in combination with other
elements of the system, will cap recommended contributions at the correct
limits. If there is enough money for contributions to more than one
account, the system will propose an allocation, and explain why.