A tech tools sampler for PFP: planning tools aren't pencils and calculators anymore.EXECUTIVE SUMMARY * TECHNOLOGY TOOLS CAN HELP personal financial planners Financial Planner A qualified investment professional who assists individuals and corporations meet their long-term financial objectives by analyzing the client's status and setting a program to achieve these goals. provide reliable cost-effective cost-effective, n the minimal expenditure of dollars, time, and other elements necessary to achieve the health care result deemed necessary and appropriate. services to clients. This article presents a range of useful personal financial planning Financial planning Evaluating the investing and financing options available to a firm. Planning includes attempting to make optimal decisions, projecting the consequences of these decisions for the firm in the form of a financial plan, and then comparing future performance against (PFP PFP - Plastic Flat Package ) software as well as Web sites with calculators and education suitable to the public. * MANY VENDORS OFFER FREE demonstrations and free trials via the Web. Most software vendors now use downloads from the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the to transmit their products to buyers, which gives planners easy access to helpful products. * BECAUSE OF CONSOLIDATIONS soma familiar software may migrate to a vendor that's not its original parent. Support for the adopted software may dwindle dwin·dle v. dwin·dled, dwin·dling, dwin·dles v.intr. To become gradually less until little remains. v.tr. To cause to dwindle. See Synonyms at decrease. . Find out whether the new owner will support the product. * BROWSER-BASED SOFTWARE that's accessible online now is available from well-respected vendors. It permits mobility, and more than one person can work from separate locations on a client file at the same time. * IT'S GOOD INSURANCE TO KEEP HARD-COPY files of client records. Despite technology's advantages, one practitioner says question whether the results make sense and, if necessary, verify (1) To prove the correctness of data. (2) In data entry operations, to compare the keystrokes of a second operator with the data entered by the first operator to ensure that the data were typed in accurately. See validate. . * SOFTWARE IS ONLY A TOOL. Integrity and caring about the client, the personal touch and an ability to coach the client to take action are the most important attributes of a PFP. Financial planners are in the business of education and communication, and clients want advisers they can relate to. The technology tools listed in this article can help personal financial planners provide reliable cost-effective services to clients. The planners interviewed gave good grades to the PFP software here for ease of gathering information, developing alternative scenarios and generating presentations for clients. The listed Web sites offer useful links and calculators as well as timely, insightful information at a level of sophistication so·phis·ti·cate v. so·phis·ti·cat·ed, so·phis·ti·cat·ing, so·phis·ti·cates v.tr. 1. To cause to become less natural, especially to make less naive and more worldly. 2. suitable to the public. These PFP products and sites are "strategic for showing clients a report that compares what will happen if they do nothing with the results of implementing financial planning recommendations," says Randi K. Grant, CPA/PFS, a director of Berkowitz, Dick, Pollack pollack: see cod. pollack or pollock Either of two commercially important North Atlantic species of food fish in the cod family (Gadidae). & Brant brant or brant goose, common name for a species of wild sea goose. The American brant, Branta bernicla, breeds in the Arctic and winters along the Atlantic coast. , CPAs, LLP LLP - Lower Layer Protocol and Provenance prov·e·nance n. 1. Place of origin; derivation. 2. Proof of authenticity or of past ownership. Used of art works and antiques. Wealth Advisors LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control in Fort Lauderdale, Florida Fort Lauderdale, known as the "Venice of America" due to its expansive and intricate canal system, is a city in Broward County, Florida, United States. The city's population is described as metropolitan, where diverse culture is commonplace. According to 2006 U.S. . Not included in this roundup are highly specific tools for tasks such as profiling clients' psychological attitudes toward money; managing money (a regulated sector requiring financial planners to carry licenses and comply with securities laws; see "Improve the Quality of Investment Advice," JofA, Jan. 04, page 37); or screening potential mutual fund investments. WHAT PLANNERS LIKE When asked "What's your favorite PFP software and why?" Mike Trank Trank!Ascii was a short-lived underground ASCII art group founded as a spinoff of Remorse ASCII, which was in-and-of itself part of the underground ANSI art group ACiD Productions. , CPA/PFS, a partner in Wertz & Co., a 30-CPA, full-service firm located in Irvine, California Irvine is an incorporated city in Orange County, California, United States. It is a planned city, mainly developed by the Irvine Company since the 1960s. Formally incorporated on December 28 1971, the 69.7 square mile (180.5 km²) city has a population of 202,079 (as of 2007). , picked NumberCruncher for testing estate planning Estate Planning The overall planning of a person's wealth, including the preparation of a will and the planning of taxes after the individual's death. Notes: Contrary to popular belief, estate planning involves much more than preparing a will, and it is not only for the calculations (see exhibit one, page 48) and PlanningStation because it updates client data daily (see exhibit two, page 51). The latter is an application service provider (ASP asp, popular name for several species of viper, one of which, the European asp (Vipera aspis), is native to S Europe. It is also a name for the Egyptian cobra (Naja haja). ) software that resides on the Web and is accessible to him from his office, a client's office of a hotel. (ASP products, nonexistent non·ex·is·tence n. 1. The condition of not existing. 2. Something that does not exist. non five years ago, are available from well known vendors, but few are geared to PFP.) NaviPlan, another browser-based package (exhibit two), was a close runner-up when Trank was winnowing winnowing: see threshing. about 15 potential software packages. He says PlanningStation's input functions are similar to his office's tax programs, making it easier for staff accountants to adapt when he delegates work to them. Trank believes in keeping hardcopy files of client records in his office as backup. He says: "You can't ever totally rely on software. You still have to ask, 'Do the results I'm seeing here make sense?'" He sometimes builds his own Excel A full-featured spreadsheet for Windows and the Macintosh from Microsoft. It can link many spreadsheets for consolidation and provides a wide variety of business graphics and charts for creating presentation materials. spreadsheets The following is a list of spreadsheets. Freeware/open source software Online spreadsheets
NumberCruncher is the favorite software pick of Dean Mioli, CPA/PFS, director of financial planning at eMoney Advisor Inc., Conshohocken, Pennsylvania Conshohocken is a borough on the Schuylkill River in Montgomery County, Pennsylvania, in suburban Philadelphia. Historically a large mill town and industrial and manufacturing center, after the decline of industry in recent years Conshohocken has developed into a center of . He says it's fast, easy and yields correct calculations. He's also a fan of StockOpter Pro, a tool for planners who do stock option planning, he says. Peggy Peggy may refer to:
Nadine Gordon Lee Gordon Lee may refer to:
Armonk is home to the headquarters of IBM. , the firm she heads. Instead, she uses Microsoft Excel (tool) Microsoft Excel - A spreadsheet program from Microsoft, part of their Microsoft Office suite of productivity tools for Microsoft Windows and Macintosh. Excel is probably the most widely used spreadsheet in the world. Latest version: Excel 97, as of 1997-01-14. spreadsheets wrapped around some Visual Basic programming, an easy-to-use graphical user interface graphical user interface (GUI) Computer display format that allows the user to select commands, call up files, start programs, and do other routine tasks by using a mouse to point to pictorial symbols (icons) or lists of menu choices on the screen as opposed to having to program. Many of her clients are CEOs and CFOs who expect to have numbers explained to them, and "they love Excel charts," she says. She has customized her tools to reflect particular employers' benefits plans, which has turned into a marketing asset. Her clients' human resources The fancy word for "people." The human resources department within an organization, years ago known as the "personnel department," manages the administrative aspects of the employees. departments refer other executives to Lee because they are aware that her tools are tailored to their companies. Grant, too, uses software that she and colleagues have customized for their firm's use. They take commercial, issue-specific modules, such as one designed for retirement planning Retirement financial planning refers to a collection of systems, methods, and processes which, in their aggregate, support a family unit's (client's) desire to achieve a state of financial independence, such that the need to be gainfully employed is optional. , and adapt them to their needs. She likes to customize the final reports clients see and makes them general or very focused and technical, depending on the client's level of financial sophistication. Connie Brezik, CPA/PFS, a partner in Asset Strategies Inc., Casper, Wyoming Casper is the only city in Natrona County, Wyoming, United States, although the county is home to a number of small towns and Casper suburbs. With a population of 49,644, Casper is the second largest city in Wyoming, after the capital city of Cheyenne with 53,011 inhabitants, , gives her vote to PFP Notebook from Brentmark (see exhibit two). It allows her make a simple or a detailed analysis based on what the client needs and how much time she invests. It produces "fairly straightforward" reports, she says. PEOPLE SKILLS STILL ARE PARAMOUNT Trank, who has used a lot of PFP software over the years starting with Lotus-type templates in the mid-80s, says the bottom line is that software is only a tool. "It's important to have the best tools," he says, "but what makes a good adviser is integrity and caring about the client, the personal touch and the ability to coach the client to take action. "This is key, even with people who themselves are very fact-oriented, such as accountants and engineers," Trank says. "Clients want to feel informed and they want advisers they can relate to. We really are in the business of education and communication and we cannot lose sight of that." PERSONAL FINANCIAL PLANNING SOFTWARE Here are two tables of software products widely used by financial planners. Some vendors offer free demonstrations and trials via the Web and some offer software for immediate download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. . Most software vendors now use downloads from the Internet to transmit products to buyers in addition to (as well as instead of) sending a CD-ROM CD-ROM: see compact disc. CD-ROM in full compact disc read-only memory Type of computer storage medium that is read optically (e.g., by a laser). copy via surface mail. The information here is based on marketing materials offered by vendors in early 2004; the AICPA AICPA See American Institute of Certified Public Accountants (AICPA). has not tested the software listed here. Note: Vendor consolidations can cause support for adopted software to disappear, so check whether a company intends to support a product before you buy it, sources say (see "Shop Right," above).
Exhibit 1: Calculators and Goal-Specific Tools
These are relatively inexpensive and maybe worthwhile for a CPA in
public practice who is doing planning for someone with a specific
goal such as paying for college. CPAs who plan for clients may want
to have several of these handy. A can have downloadable tools in use
within minutes.
Tool Capabilities Media Demo
available?
Advent Web-based portfolio Free with
Browser reporting. registration.
Reporting
Axys Portfolio management, Free with
accounting and registration.
reporting.
Calc Tools Lets planners Online No.
include in their
own intranet,
Internet or
stand-alone
software some
of detailed and
complex
calculations.
Centerpiece Accounting, CD-ROM Free.
performance
tracking and
customizable
client reports.
Shares data with
relevant modules.
Charitable Carries the Download Free.
Financial recommended rate
Planner for gift annuities;
handles split
interest charitable
transfers, QPRTs,
GRATs and GRIITs
(grantor retained
uni-trusts).
Charitable Computes annuities Download 30-day
Gift Planner and remainders. free trial.
Easy Money Covers the basics. CD-ROM Free CD-ROM
Audit trail leads by mail.
from summary page
to detail pages.
EnCorr Develops asset CD-ROM Free.
Optimizer allocation policy,
forecasts levels of
return and wealth.
Estate Exhaustive coverage 2-disk Call for
Planning of GRATs (grantor set demo:
Tools retained annuity 800-879-6665.
trusts); also covers
other tax-favored
trusts, private
annuities and
generation-skipping
transfers.
Financial More than 75 Download 30-day
Analyzer II different or free trial.
computations in a CD-ROM
dozen categories
such as cash flow,
profit and time
value of money.
Frontier Computes the Online Free online,
AllocationMaster optimal asset or request
and allocation that CD-ROM kit
AllocationMaster maximizes return at by mail.
Web all risk levels,
enables future
projections.
Golden Years Income and expense Download Free CD-ROM
(a module of the projections for the or by mail.
Money Tree retired or those CD-ROM
Suite) nearing retirement.
IRS Factors Calculates the value Download 30-day
Calculator of annuities, life or free trial.
estates and CD-ROM
remainders (term,
one or two lives).
Includes GRITS,
GRATs, GRUTs and
various tables:
H, K, V, VI, Tables
80 CNSMT and Table
90 CM.
Kugler Estate Allows planner to Download Free.
Analyzer show the effect
of planning with
instruments such
trusts, QPRTs
(qualified personal
residence trusts),
family limited
partnerships, GST
(generation-skipping
tax), trusts and
more.
Leimberg's Almost 100 Download 30-day
NumberCruncher financial planning free trial.
2004 and estate planning
calculations.
Computes GRATs,
charitable remainder
and lead trusts,
private annuities
and more.
MRD (Minimum Determines MRD based Download Call for demo:
Required on various life 800-879-6665.
Distribution) expectancies.
Software Reflects the '87,
01 and '02
regulations.
Communicates with
PFP Notebook.
Pension & Roth Evaluate pension Download Free.
Analyzer and profit sharing
plan distribution
strategies.
Pension Exhaustive treatment Download Call for demo:
Distributions of required minimum 800-879-6665.
Calculator distributions and
pre-age-59/2
distributions.
Pension All features of Download Free case
Distributions Pension Distributions studies and
Planner Calculator, plus sample
handles multiple reports.
beneficiaries.
PhilanthroCalc Calculates tax Download Free
for Windows benefits of "Quick Tour."
charitable giving,
trust income;
generates
presentations.
PPC's Personal Performs tax, CD-ROM No.
Financial cash-flow and
Planning net-worth
Calculator projections;
calculates funding
needs for retirement
and education as
well as taxes on
lump-sum
distributions and
IRA rollovers.
Retirement Uses an asset Download Call for demo:
Income Navigator allocation 800-879-6665.
(formerly approach to
Investment optimize retirement
Scenario income.
Generator)
RetireNow For retirement Download Call for demo:
income planning; 800-879-6665.
may be used for
client presentations.
Designed for clients
with between $500,000
and $5 million net
worth.
Retirement Ten modules; includes Download Free online;
Solutions (part retirement capital or sample
of the Money projections, plan CD-ROM reports
Tree Suite) distributions, cost online, too.
of waiting or delay.
Savings Bond Organizes and Download Call for demo:
Toolkit manages a savings 800-879-6665.
bond portfolio;
facilitates nettling
of bonds.
Silver Financial Succinctly shows Download Free CD-ROM
Planner (from clients their or by mail;
Money Tree) financial CD-ROM download.
projections; educates
clients on financial
concepts.
Steve Leimberg's Federal estate tax Download No. 30-day
Estate and state death tax or free trial.
Planning calculations. CD-ROM
Quickview State-law-sensitive
flow chart-and
graph-based Windows
software that
instantly shows what
dispositive strategy
will reduce taxes to
lowest possible
amount and provide
highest amount for
heirs.
StockOpter Pro Develops optimized Download Free download.
strategies for
exercise of stock
options.
Tool Contact
Advent www.advent.com
Browser
Reporting
Axys www.advent.com
Calc Tools www.calctools.com;
www.hrentmark.com
Centerpiece www.schwabpt.com
Charitable www.brentmark.com
Financial
Planner
Charitable www.leimberg.com
Gift Planner
Easy Money www.moneytree.com
EnCorr www.ibbotson.com
Optimizer
Estate www.brertmark.com
Planning
Tools
Financial www.leimberg.com
Analyzer II
Frontier http://online.sungard.
AllocationMaster com/frontier
and
AllocationMaster
Web
Golden Years www.moneytree.com
(a module of the
Money Tree
Suite)
IRS Factors www.brentmark.com;
Calculator www.leimberg.com
Kugler Estate www.brentmark.com
Analyzer
Leimberg's www.leimberg.com
NumberCruncher
2004
MRD (Minimum www.leimberg.com;
Required www.brentmark.com
Distribution)
Software
Pension & Roth www.leimberg.com;
Analyzer www.brentmark.com
Pension www.brentmark.com
Distributions
Calculator
Pension www.brentmark.com
Distributions
Planner
PhilanthroCalc www.ptec.com
for Windows
PPC's Personal www.ppcnet.com
Financial
Planning
Calculator
Retirement www.brentmark.com
Income Navigator
(formerly
Investment
Scenario
Generator)
RetireNow www.brentmark.com
Retirement www.moneytree.com
Solutions (part
of the Money
Tree Suite)
Savings Bond www.brentmark.com
Toolkit
Silver Financial www.moneytree.com
Planner (from
Money Tree)
Steve Leimberg's www.cpa2biz.com
Estate www.brentmark.com
Planning www.leimberg.com
Quickview
StockOpter Pro www.cpa2biz.com;
www.
networthstrategies.
com/StockOpter
Exhibit 2: Tools for Comprehensive Planning
These planning tools generate reports across many planning areas
and generally are used by specialists.
Tool Capabilities Media
CCH Enteract Integrated and CD-ROM
Financial comprehensive; has
Planning client DataXchange
Software with Prosystem fx
Tax. Compatible with
CCH Solutions for
Financial Planning.
CCH ViewPlan General estate CD-ROM
Advanced planning and
generation-skipping
transfer tax
software.
Cheshire Covers wealth Download
Financial creation, planning
Planning for major goals,
Suite insuring against loss
of earnings,
minimizing taxes
and preserving wealth
for future
generations.
ExecPlan Plus Its comprehensive Download
planning covers cash
flow, tax, college,
retirement and more.
Financial Model college Download
Canvas funding, debt
consolidation, 401(k)
planning, retirement
distribution
strategies and many
other functions.
Money Tree Easy Money, Golden Download or
Suite Years, Retirement CD-ROM
Solutions (see
exhibit 1), rolled up
to work together.
NaviPlan Standard, quick Desktop; Web-based
Standard; goal-based planning; enterprise platforms.
NaviPlan Extended,
Extended comprehensive
cash-based planning.
PFP Notebook Generates a complete Download
personal financial
plan.
PlanLabX3 Designed with Download
middle-market clients
in mind; covers cash
flow, survivor needs
at death and debt
consolidation.
PlanningStation Both single-issue Browser-based.
goal-based planning
and comprehensive
planning.
Interactive,
real-time,
integrated.
WealthCreator Comprehensive; more Download
than 40 calculations
available.
Wealth Planning Covers wealth Download
Suite distribution, estate
planning, family
limited partnerships
and annuity
strategies.
Tool Demo available? Contact
CCH Enteract Yes. www.cpa2biz.com;
Financial www.tax.cchgroup.com
Planning
Software
CCH ViewPlan Yes. www.cpa2biz.com;
Advanced www.tax.cchgroup.com
Cheshire Free; up to five www.cheshire.com
Financial hours of use.
Planning
Suite
ExecPlan Plus Free demo and tour. www.sawhney.com/
sawsys/execplan
Financial Web-based demo. www.advancedimpact.com
Canvas
Money Tree Free CD-ROM www.moneytree.com
Suite by mail.
NaviPlan Free 30-day www.naviplan.com
Standard; trial; CD-ROM
NaviPlan or download.
Extended
PFP Notebook Free. www.cpa2biz.com;
www.brentmark.com
PlanLabX3 Web-based demo. www.advancedimpact.com
PlanningStation Free online. http://online.sungard.com
WealthCreator Free with www.investorssource.com
registration.
Wealth Planning Web-based demo. www.advancedimpact.com
Suite
Never Too Early to Plan Children of all ages can print their very own Piggy Bank Wrapper A data structure or software that contains ("wraps around") other data or software, so that the contained elements can exist in the newer system. The term is often used with component software, where a wrapper is placed around a legacy routine to make it behave like an object. , write a financial goal on it, glue glue: see adhesive. glue Adhesive substance resembling gelatin, extracted from animal tissue, particularly hides and bones, or from fish, casein (milk protein), or vegetables. it around a coffee can, cut a slit in the plastic lid (with adult help) and get going. It's at www.asec.org/tools/wrapper.pdf. Coloring is optional. Source: American Savings Education Council, www.asec.org Shop Right Once you've identified software that does the job, you need to find out whether it has a future. You don't want to get stuck if the manufacturer decides to discontinue dis·con·tin·ue v. dis·con·tin·ued, dis·con·tin·u·ing, dis·con·tin·ues v.tr. 1. To stop doing or providing (something); end or abandon: it soon, if the company imposes a slow. inexorable end to technical support or if the manufacturer itself goes out of business. Perform due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. to protect yourself from incurring in·cur tr.v. in·curred, in·cur·ring, in·curs 1. To acquire or come into (something usually undesirable); sustain: incurred substantial losses during the stock market crash. 2. repeat costs for the product search, implementation, data transfer and training. Carol Mayo Cochran, CPA (Computer Press Association, Landing, NJ) An earlier membership organization founded in 1983 that promoted excellence in computer journalism. Its annual awards honored outstanding examples in print, broadcast and electronic media. The CPA disbanded in 2000. , and Judy Cavanaugh, CPA, of REDW REDW Redwood National and State Parks (US National Park Service) Technologies LLC (www.redwtech.com), an Albuquerque, New Mexico “Albuquerque” redirects here. For other uses, see Albuquerque (disambiguation). Albuquerque (pronounced [ˈæl.bə.kɚ.kiː], Spanish: [al.βu. , firm that specializes in IT consulting for CPA firms, suggest that shoppers ask how long the vendor has been in business and how many units of software are already in place in customer offices (the installation base). If the company has been in business for four or five years and has, say, a 10,000-unit installation base, those are indications of health. If the company is only a year old, or it has only a small installation base, be wary. Next, determine whether the vendor is publicly traded or privately held. A publicly traded company publicly traded company A company whose shares of common stock are held by the public and are available for purchase by investors. The shares of publicly traded firms are bought and sold on the organized exchanges or in the over-the-counter market. can disappear just as fast as a privately held one, but the routes for researching the two are different. * If the vendor is publicly traded, go to the public information that is published, or posted on the Web, by companies such as Hoover's (www.hoovers.com). ** Assess the vendor's viability. For example, look at debt. ** Take a look at the entity's expenditure for research and development (R&D) and consider whether it is reasonable (that is, high enough) in relation to the products offered. ** Look for diverse income streams. There should be income from sales, sure, but there also should be income from technical support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services and from training. ** Look at how much the vendor is spending to support its products. * If the vendor is privately held, check Dun & Bradstreet (how quickly does it pay its bills?) and its local Better Business Bureau (has it logged any complaints?). Ask about the vendor's plans for upgrading its software. Most vendors who are committed to their products have an upgrade schedule in place. "They know where they're going," says Cavanaugh. Determine whether the vendor is keeping pace with current technology. If the vendor is always using its R&D dollars to play catch-up, it can only fall further behind. Cavanaugh says her firm saw a lot of that with the 1990s switch from DOS operating systems Operating systems can be categorized by technology, ownership, licensing, working state, usage, and by many other characteristics. In practice, many of these groupings may overlap. to Windows-based systems; the vendors who failed to adapt quickly had a hard time. Some went out of business. Ask about the vendor's insurance coverage. If a breach of security or a bug shuts down the software, will the vendor's insurance kick in? It should. Buy software that fits your business size. Better yet, ask whether software can be "sized up" as your business grows. If you hope to quadruple quad·ru·ple adj. 1. Consisting of four parts or members. 2. Four times as much in size, strength, number, or amount. 3. Music Having four beats to the measure. n. your staff in five years, look for a vendor that offers compatible software in more than one size, so that you can move seamlessly from, say, a 50-user version now to a 200-user version later. If the vendor can't talk to you about a migration path for your growth, beware be·ware v. be·wared, be·war·ing, be·wares v.tr. To be on guard against; be cautious of: "Beware the ides of March" Shakespeare. v. . A Word About System Requirements To be used efficiently, all computer software needs certain hardware components or other software resources to be present on a computer system. These pre-requisites are known as (computer) system requirements and are often used as a guideline as opposed to an absolute rule. Many planners provide other CPA services or belong to full-service firms, so they use operating software suitable for a spectrum of activities. Financial planning software generally is designed to run on Microsoft systems. Microsoft regularly introduces new operating systems and discontinues support for older ones. The company says it plans to discontinue support for Windows 98 next year (for more details, visit www.microsoft.com/windows/lifecycle/desktop/business/default/mspx). PFP software vendors design their products to run on systems Microsoft currently supports. PPCnet, for example, says that while its software may continue to work with older operating systems such as Windows 98, future modifications may not. It recommends that users upgrade often. On its Web site PPCnet says, "Our system requirements are based on the assumption that professional accounting firms replace their computer hardware and operating systems on an approximate three-year rotating ro·tate v. ro·tat·ed, ro·tat·ing, ro·tates v.intr. 1. To turn around on an axis or center. 2. basis." Old Hat, Maybe--But Just What They Need * Servers. Nadine Gordon Lee, CPA/PFS, at Prosper Advisors LLC, Armonk, New York, has just a handful of computer users, but she maintains a server because she says its data storage capability is more reliable than that of personal computers. * Printers. Lee's favorite piece of hardware is her high-speed color printer A printer that prints in color using three (CMY) or four (CMYK) colors of ink, toner or dye. Four color ribbons have been used in dot matrix printers, but these are rare today. See color laser printer and printer. , she says. Many of her client's requests need a quick turnaround Turnaround A situation where a company that has had poor performance for an extended period of time experiences a positive reversal. Notes: A speculator may profit from a turnaround if he or she accurately anticipates the improvement of a poorly performing company. . "A client might call and say, 'I just cashed in my bonus and I want to get the money invested right away,'" Lee says. "It's really worthwhile to have a printer that can produce great charts and graphs" in a report that might run dozens of pages. High-end office color printers such as those from Hewlett-Packard and Canon can run to $3,000 and the ink cartridges
* PDAs. Mike Trank, CPA/PFS, Wertz & Co., gives his vote for "favorite hardware" to a much smaller item: his Palm Pilot personal digital assistant. Trank, in Orange County, California Orange County is a county in Southern California, United States. Its county seat is Santa Ana. According to the 2000 Census, its population was 2,846,289, making it the second most populous county in the state of California, and the fifth most populous in the United States. , spends a lot of time on freeways and the Palm's phone directories and linking capabilities are great for anyone who's away from the office, he says. Depending on features, Palm Pilots sell in the $200 to $600 range, he says. PRACTICAL TIPS TO REMEMBER * Upgrade often. Financial planning software manufacturers recommend it. * Research the health of a software company, the history of the product and whether it will be supported in future. * Keep files of clients records in the office. Your relationship with any one software vendor is sure to end someday some·day adv. At an indefinite time in the future. Usage Note: The adverbs someday and sometime express future time indefinitely: We'll succeed someday. Come sometime. and you'll want client records under your roof, not theirs. * Spot-check commercial software results. "You can't ever totally rely on software. You still have ask, do these results make sense?" says one PFP. * Maintain server; its data storage is more reliable than that of personal computer, says one practitioner. * Buy a printer than can produce great charts and graphs. It's a big help in getting concepts across to clients, and CEOs and CFOs like to have numbers explained in Excel charts. * Invest in good equipment. When reports run dozens of pages, as comprehensive planning "Comprehensive Plan" is a term used by land use planners to describe a set of goals and policies developed by a municipality to accommodate future growth. Typically the comprehensive plan will look at estimated growth within a specific time period, for example, 20 years. reports do, printer speed matters. AICPA RESOURCES Membership in the AICPA personal financial planning section is open to all AICPA members. For more information visit www.aicpa.org/pfp. Conferences * AICPA Conference on Tax Strategies for the High-Income Individual The Mirage, Las Vegas Las Vegas (läs vā`gəs), city (1990 pop. 258,295), seat of Clark co., S Nev.; inc. 1911. It is the largest city in Nevada and the center of one of the fastest-growing urban areas in the United States. April 19 and 20, 2004 * AICPA National Conference on Employee Benefit Plans Wyndham Palace Resort & Spa, Lake Buena Vista, Florida Lake Buena Vista is a city in Orange County, Florida, United States. It is mostly known for being home to the Walt Disney World Resort. The population was 16 at the 2000 census. As of 2004, the population recorded by the U.S. Census Bureau is 15. May 3-5, 2004 * AICPA Advanced Investment Management Conference Fairmont New Orleans New Orleans (ôr`lēənz –lənz, ôrlēnz`), city (2006 pop. 187,525), coextensive with Orleans parish, SE La., between the Mississippi River and Lake Pontchartrain, 107 mi (172 km) by water from the river mouth; founded , New Orleans May 20 and 21, 2004 Other Resources * The PFP Library on CD-ROM (# 017243HSJA HSJA HoofBeats Show Jumping Association ). * AICPA Competency COMPETENCY, evidence. The legal fitness or ability of a witness to be heard on the trial of a cause. This term is also applied to written or other evidence which may be legally given on such trial, as, depositions, letters, account-books, and the like. 2. Self-Assessment Tool (# CAT-XXJA). * The Team Approach to Tax, Financial and Estate Planning by Lance Wallach (# 017235JA). For more information, to place an order or to register, go to www.cpa2biz biz n. Informal Business. biz Noun Informal business Noun 1. .com or call the AICPA at 888-777-7077. SARAH Sarah or Sarai: see Sara. Sarah (flourished early 2nd millennium BC) In the Hebrew scriptures, the wife of Abraham and mother of Isaac. She was childless until age 90. E. PHELAN, JD, is a New York-based attorney and writer. Ms. Phelan was formerly a senior manager with Deloitte & Touche and a technical manager in personal financial planning at the AICPA. Her e-mail address See Internet address. e-mail address - electronic mail address is sep1127@yahoo.com. |
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