NaviPlan Extended Windows-based
Training & Support
Frequently Asked Questions
How is liability interest defined as tax deductible?
- Go to the Liabilities category – Detailed tab.
- Select the applicable liability, and then click Asset Links.
- Select an asset, and then click Edit to open the Asset & Liability Link dialog box.
- Under General Information, select the Interest payments are tax deductible check box.
Where are employee contributions to a defined benefit pension plan entered?
In contributory defined benefit pension plans, the employee is required to make regular contributions to the pension fund. These contributions can be entered as follows:
- Go to the Expenses category – Standard tab.
- Click Insert, and then select Periodic – RPP contrib. – defined benefit. The Periodic Expense dialog box opens.
- Enter the applicable details to define the contribution expense.
- Click OK to close the Periodic Expense dialog box.
The expense will be included in the clients’ cash flow analysis. The contributions will be considered a deduction for income-tax purposes.
Which tax deductions and credits are automatic, and how can additional deductions and credit be entered?
- The tax deductions and credits automatically covered by NaviPlan Extended are listed in the Deductions and Credits reports. To access these reports, go to the Reports menu, and then select Income Tax – Deductions or Income Tax – Credits.
- To enter an additional tax deduction or credit, go to the Other Tax category – Misc. Credits & Deductions tab.
How can the language in use be changed?
If a multi-language version of NaviPlan Extended has been installed, users can select the language to be used.
To change the language in use
- Go to the Edit menu, and then select Preferences to open the Preferences dialog box.
- On the General tab, select the language to be used.
- NaviPlan will have to be restarted for the change to take effect.
- Information typed in NaviPlan Extended is not translated.
- The language can only be changed in the Preferences dialog box. It cannot be changed from within a plan.
Why is the lump sum sell amount from a registered asset not coming into cash flow?
For the proceeds from a lump sum sell of a registered asset to enter cash flow, the Amount to Deregistermust be entered.
- Go to the Assets category – Registered tab.
- Select an asset, click Transactions, and then select Sells.
- Click Insert, and then select Lump Sum to open the Lump Sum Sell dialog box.
- Enter a value in the Amount to Deregister field, or select Deregister All. Complete the applicable details, click OK, and then click OK again.
If a deregister value is not entered or selected, then the proceeds are moved to an RRSP Cash Balance account.
On the Transfers tab, what can be transferred?
In NaviPlan Extended, funds can be transferred from one registered asset to another registered asset or from one non-registered asset to another non-registered asset.
Funds cannot be transferred from a non-registered to a registered asset or vice versa. Assets cannot be transferred to or from an incorporated entity.
What happened to the asset class entries in the Assumptions category?
Asset class entries in a plan can be accidentally erased if the user has not created default asset classes.
- On the Assumptions category – Asset Classes tab, clicking Revert to Defaults brings in the asset class defaults entered in the Preferences dialog box.
- However, if asset class information was not defined in the Preferences dialog box, then no defaults exist. In this case, clicking Revert to Defaults will delete asset class values entered on the Assumptions category – Asset Classes tab.
To prevent the accidental loss of asset classes
- Go to the Edit menu, and then select Preferences to open the Preferences dialog box.
- On the Asset Classes tab, enter asset class defaults that apply to all clients and plans in NaviPlan Extended.
Defaults can be overridden in an individual plan on the Assumptions category – Asset Classes tab.
When using the Create Client Report feature, why were some of the documents not created?
There are three possible reasons:
- The tag in the template file does not match the document being created. Check the spelling of the tags in question. A list of tags is provided in the Help.
- The document package does not contain a copy of the document being created. Create the document, and then drag it onto the document package.
- The document is not applicable to the current client file. For example, a document that reports only on the co-client does not apply to client files that do not have a co-client.
Why does the Plan Analysis window still indicate a surplus after setting up a surplus savings strategy?
The surplus cash displayed in the Plan Analysis window may belong to someone other than the person who owns the surplus savings asset.
The surplus savings strategy uses only the surplus cash of the asset’s owner. Changing the ownership of the surplus savings asset to Joint may correct the problem. This will result in surplus cash from both the client and the co-client being directed to this asset and may remove the accumulated surplus amount from the graph.
Why is the deficit coverage not working properly?
There are three possible reasons:
- The asset or assets defined as available to cover deficits may have run out of funds. To check the assets available for deficit coverage, generate the DeficitCoverage Assets & Sells report, which is accessed by going to the Reports menu, and then selecting Asset & Liability – Deficit Coverage -- Both.
- The deficit is in the pre-retirement period, and targeted deficit coverage is applicable. When targeted deficit coverage is in use, assets will not be redeemed to cover all pre-retirement deficits. To turn on full deficit coverage, go to Strategies category – Redemptions tab – Deficit Coverage subtab. Click on Other Options, clear all of the check boxes under Targeted Deficit Coverage.
- The deficit coverage sell records have been removed or modified in the Deficit Coverage strategy. To check if the assets have sell records assigned or have had the settings changed, go to Strategies category – Redemptions tab – Deficit Coverage subtab. Select the asset to be checked and click Edit.
What do the percentiles represent in the Monte Carlo simulation?
The percentiles for the Retirement Goal report on the net worth at the end of the plan. The ending net worth figures includes lifestyle assets net of liabilities.
- The 90th percentile is ending net worth of the projection such that 90% of the ending net worth results falls below this value.
- The 50th percentile is ending net worth of the projection such that 50% of the ending net worth results falls below this value.
- The 10th percentile is ending net worth of the projection such that 10% of the ending net worth results falls below this value.
The percentiles for all other goals represent the accumulated savings.
What does each document package provide and when should it be used?
Preliminary Analysis
- Provides an overview of a number of planning areas for a single plan
- Identifies the clients’ goals and provides general planning considerations to help assess each goal
Comparative Analysis
- Provides a high-level comparison between two alternative proposed plans
- Should be used to help the clients decide which recommendations to include in the final proposed plan
Comprehensive Analysis
- Detailed report that illustrates the clients’ current situation and compares it to benefits achieved from the proposed plan
- Contains a detailed action plan and provides extensive reporting on the retirement, education, and major purchase goals defined in the plan
Can NaviPlan be used on two computers?
NaviPlan can be used on two computers. There are two ways to gain access to NaviPlan on two computers.
- If a secondary license is available, it can be authorized.
- The existing authorization key can be transferred to the unauthorized computer. To do this, go to the File menu, select Security, and then go to the Transfer tab. Users requiring assistance transferring the authorization key should contact the Authorizations desk by calling 1-888-692-3474, and then select option 3.
Is it possible to use a company logo on client reports and graphs instead of the NaviPlan logo?
Company logos can replace the NaviPlan logo on the title page of the reports and graphs. This feature supports Windows Bitmaps (.bmp), Windows Metafiles (.wmf), and Rich Text Format (.rtf) files.
To insert a company logo
- Go to Edit – Preferences – General tab
- Click on the browse (…) button at the end of the logo field to open the Select Logo Field window.
- Locate the graphic file and click OK. The name and location of the file should show in the logo field.
Note: The dimensions of the image in the graphic file should be a maximum width of 4.5 inches and a maximum height of 2.5 inches. The physical size of the graphic file should be kept as small as possible to keep the resulting output file a reasonable size.
Does NaviPlan save changes to the client file automatically?
- NaviPlan prompts users to save only after creating a new client file. After the client file is created, the AutoSave feature saves the changes each time the user clicks OK in the Plan Data dialog box.
- When working with Concepts, the client file should be open prior to creating the Concept to ensure that it will be saved automatically with the client file.
- Reports and graphs are not saved when NaviPlan is closed, as they can be generated easily when the client file is reopened.
How can the details of one plan be compared with the details of another plan?
To compare plans
- Minimize all other windows and open the plans to be compared.
- From the Window menu, select the Tile Vertical or Tile Horizontal option. The Plan Analysis windows are displayed side-by-side for easy comparison. As well, the scales of the graphs are synchronized.
To compare reports and graphs
- Generate the report or graph.
- Click the scales icon located in the top right-hand corner of the report or graph to open the Select a Plan dialog box.
- Choose the plan with which the report or graph should be compared.
What is the difference between full and targeted deficit coverage?
Deficit coverage is a NaviPlan feature that automatically uses the clients’ assets to cover deficits at the end of the year. There are two types of deficit coverage mechanisms in NaviPlan Extended: targeted deficit coverage and full deficit coverage.
Targeted deficit coverage: applies only to the pre-retirement period. By default, NaviPlan redeems assets to cover deficits caused by semi-regular and lump sum expenses. In the Expenses dialog boxes, users can turn targeted deficit coverage on or off for each particular expense.
Full deficit coverage: applies to all expenses while the clients are retired or when targeted deficit coverage is turned off.
What are the success tolerances in the Monte Carlo simulation?
- Success tolerances define the success or failure of an outcome.
- A projection is tabulated as a failure if it produces an accumulated deficit greater than the amount entered in the Annual Cash flow Deficit Tolerance field.
- By indicating a deficit tolerance, it is assumed that in any given year, the clients would be willing and able to service an accumulated debt of that amount.
- If Perform Goal Analysis is selected, goal tolerance levels should be set.
- Goal tolerances define the success or failure of a particular goal.
- If the analysis outcome projects savings plus goal tolerance to be less than the goal, the goal is flagged as a failure.
Why is the error message “Code – 103, ref. 35054: NaviPlan cannot initialize its security sub-system” message being received after successfully installing the program?
This message can appear for several reasons:
- The system may need to be restarted. Shut down the computer and restart it.
- NaviPlan was installed on a shared network drive. Most NaviPlan installations are stand-alone and must be installed on a hard drive local to the workstation. Re-install to a local drive.
- The user does not have sufficient privileges to install the Crypkey service. If using Windows NT, 2000, XP, or 2003 the software must be installed by someone with Administrator access (or the equivalent). To determine whether the Crypkey service is running, go to the Start menu, select Settings – Control Panel – Administrative Tools, and then double-click the Services icon. The Services dialog box opens. Look for Crypkey License in the scroll box. If the Crypkey service is not running, obtain Administrator access to the computer and reinstall NaviPlan.
- If the operating system has been upgraded to Windows NT, 2000, XP or 2003 from Windows 95, Windows 98, or Windows ME, reinstall BaviPlan to install the Crypkey service.
After upgrading, why are there two versions of NaviPlan on the computer?
- The upgrade was installed in a different location from the existing version of the NaviPlan.
Uninstall the upgrade and reinstall NaviPlan in the same location as the existing version.
