Allows advisors to instantly optimize, visualize, and quantify Roth conversions
FP Alpha, an AI-driven advanced planning platform for financial advisors has released the next iteration of its Roth conversion tool, The Roth Conversion Simulator, enables advisors to identify how much to convert, when to convert, and what it’s worth, simply by clicking a button.
The enhanced Roth Conversion Simulator allows advisors to customize inputs such as conversion amounts, years to convert, and kick-off age and the tool shows the effects of this conversion on the Roth account and Traditional IRA account as well as total taxes paid over the client’s lifetime.
Additionally, if an advisor is unsure of how much to convert or when, they can use the tool’s optimize function which will tell them exactly how much to convert, for how many years and at which age to start converting.
The new enhancements focused on increased functionality and calculation flexibility within the tool that includes adding a kick-off age variable, the ability for advisor to edit income for specific years, and interactive year over year graphical analysis.
“Our enhanced Roth Conversion Simulator allows advisors to model custom conversion amounts, number of years and kick-off age which is incredibly important when providing holistic planning services to clients,” says Andrew Altfest, Founder and CEO of FP Alpha.
“And what makes our tool even more unique is its simplicity, the optimization function tells the advisor the optimal conversion scenario for that client,” he continues.
“Additionally, the new input screen allows an advisor to make all adjustments in one place, a huge benefit, and also includes flexibility with a new toggle to pay conversion taxes from an outside account or not, the most highly requested feature to enhance,” Altfest says.
The Roth Conversion Simulator, part of FP Alpha’s Tax Module, is easy to utilize. Advisors just simply upload clients’ tax returns and the platform’s AI will read and extract the data in a matter of minutes, saving significant time and resources.
In November, FP Alpha enhanced their other tax tool, The Tax Projector, bolstering its functionality, adding state and federal analysis along with a multi-year, unlimited scenario offering enabling advisors to further scale and automate their tax planning efforts as well as estate and insurance.
Now with enhancements to both the Roth Conversion Simulator and the Tax Projector tools, it is easier for financial advisors to take a proactive role in the tax planning process with their clients.
About FP Alpha
Founded by financial planner and industry leader, Andrew Altfest, CFP ®, FP Alpha is an AI-driven advanced planning solution that helps advisors identify actionable recommendations to clients, in a scalable, intelligent, and cost-efficient manner. FP Alpha is designed to integrate seamlessly into the many stages of the financial planning process and is complementary to the advisor’s current financial planning software, starting where they stop. By leveraging AI learning and subject matter experts across 16 financial planning disciplines, including tax, estate and insurance, this innovative platform allows advisors to uncover new planning opportunities and provide clients with more holistic advice. For more information, please visit: https://fpalpha.com