A brief description of each tool that can be used to create a segmented or focused planning illustration is provided below.

Tax & Financial Planning

• Capital Needs Planner. Cash flow-based model that compares the survivors' capital resources with immediate and ongoing needs in the event the insured dies in the current year. The model ultimately determines whether a capital surplus or deficit currently exists—a deficit typically indicates the need for additional life insurance protection.
   
• DeferredComp Planner. Illustrates the benefits of participating in an elective (salary-reduction type) nonqualified deferred compensation (NQDC) plan. Lump sum or installment methods of distribution can be illustrated.
   
• DeferredComp CRT Planner. Compares an outright bequest of nonqualified deferred compensation plan benefits to heirs with a bequest to a standard charitable remainder unitrust (CRUT) for their benefit. Lump sum or installment distribution methods for the nonqualified plan benefits can be illustrated.
   
• Education Funding Planner. Determines the education funding requirements for up to six separate children, students, obligations, etc. and then summarizes and aggregates all individual projections. Sensitivity analyses that vary the investment growth and education cost inflation rate assumptions are also included.
   
• Income Tax Planner. Provides a one-year or two-year analysis of estimated federal income tax (FIT) & state income tax (SIT) liabilities, including alternative minimum tax (AMT). It also includes targeted incentive stock option (ISO) planning by determining the additional ISO income allowable without triggering the AMT.
   
• Insurance Investment Planner. Compares the lifetime and postmortem wealth accumulation potential associated with permanent life insurance to a buy-term-and-invest-the-difference approach, whereby the premium differential associated with the two illustrated policies is invested in a taxable portfolio.
   
• Mortgage Investment Planner. Compares the after-tax debt service requirements and overall wealth accumulation potential of two alternative borrowing arrangements.
   
• Pension Max Planner. Compares the wealth accumulation and cash flows associated with alternative scenarios involving pension and other annuity benefits. The two umbrella scenarios are 1) single life annuity plus life insurance covering the life of the primary annuitant, and 2) joint and survivor annuity. In the first scenario the life insurance can either be term insurance or permanent, cash value life insurance.
   
• Portfolio Simulation Planner. Illustrates the impact of variable investment returns on the client's and spouse's investment portfolios over time. The module performs a 1,000-trial Monte Carlo simulation and determines the number of successes and failures with respect to reaching or exceeding a user-defined target ending value for the portfolios.
   
• VA Investment Planner. Compares the wealth accumulation, income generating, and wealth transfer potential of a deferred variable annuity contract with taxable/unsheltered investments.

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Qualified Plans & IRAs

• Counselor RP Planner. Imports results from other planners so that the Multigenerational Retirement Distribution Planning presentation incorporates live case data. After selecting the desired cases from which to import, click on the Linked Presentation icon on your bottom toolbar. This launches COUNSELOR's Multigenerational Retirement Distribution Planning presentation, which will now have the actual results produced by your cases included in the planning examples.
   
• Pension Comparison Planner. Compares the cash flows associated with alternative scenarios involving pension and other annuity benefits. The two umbrella scenarios are 1) single life annuity, and 2) alternative joint and survivor annuities.
   
• Roth IRA Conversion Planner. Illustrates the estate planning benefits of a Roth IRA conversion. Multi-year conversions can be illustrated, using IRA or non-IRA funds to pay conversion-related taxes.
   
• RP Bypass Planner. Compares a postmortem spousal IRA rollover of qualified retirement plans and IRAs with a retirement plan-to-bypass/credit shelter trust arrangement.
   
• RP CRT Planner. Compares an outright bequest of retirement plan benefits to heirs with a bequest to a standard charitable remainder unitrust for their benefit.
   
• RP Gift Planner. Compares a minimum required distribution-only approach with an accelerated distribution approach over two generations. Several alternatives for determining accelerated distributions can be illustrated. The module highlights the benefits of using after-tax distributions for gifting purposes with or without the purchase of life insurance.
   
• RP Lump Sum Distribution Planner. Compares two alternatives for handling a qualified plan lump sum distribution: 1) An IRA rollover of the entire eligible distribution with minimum required distributions modeled over two generations, and 2) A distribution of cash and employer stock (if applicable) with net unrealized appreciation.
   
• RP MRD Planner. Illustrates minimum required distributions from qualified plans and IRAs over two generations. All potential participant/beneficiary combinations can be illustrated, including postmortem spousal IRA rollovers.
   
• RP Sec72(t) Planner. Illustrates IRA distributions to the senior generation when substantially equal periodic payments (SEPPs) are received prior to age 59½. Both SEPPs and minimum required distributions (MRDs) are illustrated. The module compares the distribution schedules of three IRS approved methods for receiving SEPPs (see IRS Notice 89-25): MRD-type SEPPs; Amortization; and Annuitization.
   
• RP SepAccount Planner. Illustrates qualified retirement plan and/or IRA distributions over two generations under two scenarios: 1) postmortem distributions to the nextgen beneficiary are based on the life expectancy of the eldest beneficiary, and 2) the retirement plan is subdivided into 2-6 separate accounts and/or shares following the death of the participant/account owner (or surviving spouse in a spousal IRA rollover scenario).
   
• RP Stretch-Out Planner. Compares two postmortem retirement plan distribution alternatives: 1) a total liquidation of the plan following the death of the senior generation; and 2) a stretch-out distribution plan, whereby heirs receive only minimum required distributions (MRDs) over the duration of the distribution period.

• CharGift Annuity Planner. Illustrates the tax and projected financial treatment of transferring appreciated property to a public charity in exchange for an annuity.
   
• Charitable GRAT Planner. Illustrates the benefits of a grantor retained annuity trust (GRAT) where the grantor transfers the annuity payments received from the trust each year to charity. The charitable GRAT is compared to a baseline or hold property-plus-charitable gifts scenario.
   
• CLAT Planner. Illustrates the benefits of a charitable lead annuity trust (CLAT)—inter vivos or testamentary—including those used as a GST planning vehicle. Valuation discounts are also considered.
   
• CLAT vs. CLUT Planner. Compares a CLAT and a CLUT to a baseline scenario by importing the summary results from selected CLAT Planner & CLUT Planner cases. Thus, you can evaluate the relative advantages of each of these planning techniques side-by-side, quantitatively and in graphical form.
   
• CLUT Planner. Illustrates the benefits of a charitable lead unitrust (CLUT)—inter vivos or testamentary—including those used as a GST planning vehicle. Valuation discounts are also considered.
   
• CRAT Planner. Compares a charitable remainder annuity trust (CRAT) to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). The CRAT can be analyzed as a wealth accumulation and transfer vehicle or as an income generator.
   
• CRAT WRT Planner. Analyzes the estate planning benefits of an arrangement that combines an inter vivos CRAT with an irrevocable life insurance trust (a.k.a., wealth replacement trust or WRT). The total net transfer to heirs in the CRAT-WRT scenario is compared to the wealth transferred in a taxable sale-plus-reinvestment scenario or a hold-property scenario.
   
• CRUT Planner. Compares a standard charitable remainder unitrust (CRUT) to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). The CRUT can be analyzed as a wealth accumulation and transfer vehicle or as an income generator.
   
• CRUT WRT Planner. Analyzes the estate planning benefits of an arrangement that combines an inter vivos CRUT with an irrevocable life insurance trust (a.k.a., wealth replacement trust or WRT). The total net transfer to heirs in the CRUT-WRT scenario is compared to the wealth transferred in a taxable sale-plus-reinvestment scenario or a hold-property scenario.
   
• FlipCRUT Planner. Compares a net income with makeup charitable remainder unitrust (NIMCRUT) that converts or flips to a standard charitable remainder unitrust to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). The FlipCRUT can be analyzed as wealth accumulation and wealth transfer vehicle, or as a vehicle for generating net spendable income.
   
• NICRUT Planner. Compares a net income-only charitable remainder unitrust (NICRUT) to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). The NICRUT can be analyzed as a wealth accumulation and wealth transfer vehicle.
   
• NIMCRUT Planner. Compares a net income with makeup charitable remainder unitrust (NIMCRUT) to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). You can illustrate regular NIMCRUTs, as well as NIMCRUTs invested in deferred annuity contracts. The NIMCRUTs can be analyzed as wealth accumulation and wealth transfer vehicles.
   
• Partnership NIMCRUT Planner. Compares a net income with makeup charitable remainder unitrust (NIMCRUT) funded with a limited partnership interest to either a taxable sale (inter vivos analysis) or an outright bequest to heirs (testamentary analysis). The NIMCRUT can be analyzed as a wealth accumulation and wealth transfer vehicle.

Estate Planning

• Counselor Estate Planner. Imports results from several other planners so that your Estate Planning presentation incorporates live data from those separate cases. After selecting the desired cases from which to import, click on the Linked Presentation icon on your bottom toolbar. This launches COUNSELOR's Estate Planning presentation, which will now have the actual results produced by your cases included in the planning examples.
   
• EstateVal Discount Planner. Illustrates the wealth transfer planning benefits associated with estate tax valuation discounts, which may result from the use of certain entities (e.g., family limited partnerships or FLPs) and/or trusts.
   
• GRAT Planner. Illustrates the benefits of a grantor retained annuity trust (GRAT). It compares a GRAT to an outright gift as well as a baseline scenario.
   
• GRAT vs. IDGT Planner. Compares a GRAT and an installment sale to a defective grantor trust to a baseline scenario by importing the summary results from selected GRAT Planner & IDGT Planner cases. Thus, you can evaluate the relative advantages of each of these planning techniques side-by-side, quantitatively and in graphical form.
   
• GRIT Planner. Illustrates the benefits of a grantor retained income trust (GRIT)—this is a common law GRIT not subject to Chapter 14. It compares a GRIT to an outright gift as well as a baseline scenario.
   
• GRUT Planner. Illustrates the benefits of a grantor retained unitrust (GRUT). It compares a GRUT to an outright gift as well as a baseline scenario.
   
• GST Gift Planner. Illustrates the benefits of a lifetime gift to a generation-skipping transfer (GST) trust. It compares a GST trust to a baseline hold property scenario.
   
• IDGT Planner. Illustrates the benefits of a sale of property to an intentionally defective grantor trust (IDGT) by comparing this transaction to an outright gift as well as a baseline scenario.
   
• ILIT Planner. Illustrates the benefits of an irrevocable life insurance trust (ILIT), with and without GST planning. The ILIT can be funded or unfunded. Annual and/or lump sum transfers are considered.
   
• Installment Sale Planner. Illustrates the benefits of a sale of appreciating property in exchange for an installment obligation that is not extinguished at the transferor-seller's death (i.e., not a self-canceling installment note or SCIN).
   
• LifeGift Planner. Illustrates the benefits and costs (e.g., donee capital gains taxes) of outright lifetime gifting alternatives—annual gifts (equal to annual exclusions or other amounts), applicable exclusion gifts, and paying gift taxes.
   
• OptiMarital Planner. Compares alternative marital bequest arrangements, as well as testamentary GST planning over the lives of the client and spouse. Any order of deaths and/or life expectancies can be illustrated. The estate distribution flowcharts give you and your clients a clear picture of alternative estate distribution arrangements, including all-to-spouse, AB trust arrangements, and estate equalization, all of which can be combined with ILITs as well as GST exempt trusts.
   
• OptionGift Planner. Illustrates the benefits of a lifetime gift of vested nonqualified stock options (NQSOs). Options are valued using either appraised values or the Black-Scholes method, adjusted for valuation discounts.
   
• Private Annuity Planner. Illustrates the benefits of a transfer of appreciating property in exchange for a private annuity. It considers the impact of valuation discounts, as well as the dissimilar capital gains treatment in the event the transferred property is sold during the transferor-annuitant’s lifetime or following his or her death.
   
• QPRT Planner. Illustrates the benefits of a qualified personal residence trust (QPRT), comparing this technique to a baseline scenario and an outright gift of the residence to heirs.
   
• RP Annuity Trust Planner. Illustrates the benefits of a remainder purchase marital (RPM) annuity trust. It compares a RPM annuity trust to a hold-property baseline scenario.
   
• RPM Income Trust Planner. Illustrates the benefits of a remainder purchase marital (RPM) income trust. It compares a RPM income trust to a hold-property baseline scenario.
   
• SCIN Planner. Illustrates the benefits of a sale of appreciating property in exchange for an installment obligation that is extinguished at the transferor-seller’s death (self-canceling installment note or SCIN).
   
• SCIN vs. Private Annuity Planner. Compares a SCIN and a private annuity to a baseline scenario by importing the summary results from selected SCIN Planner & Private Annuity Planner cases. Thus, you can evaluate the relative advantages of each of these planning techniques side-by-side, quantitatively and in graphical form.
   
• Sec6166 Planner. Calculates the federal estate taxes eligible for deferral under §6166 of the Code (i.e., where the includible value of interests in closely held business exceeds 35% of the adjusted gross estate). It breaks down the deferred taxes into the amount subject to 2% interest and the amount subject to interest at 45% of the market rate as defined by §6601.
   
• SingleEstate Planner. Presents an estate analysis (including IRD) for an unmarried client, including testamentary generation-skipping transfer (GST) planning. Charitable and noncharitable bequests can be illustrated.