XLFinplanAExcelbasedPersonalFinancialPlanning&WealthManagementApplication

ForWhom:ItsabasicallyforFinancialPlanners,butanyIndividualFinancialAdvisors/InsuranceAdvisorcanalsouse
foradvicetotheclient.ForIndividualperson/InvestorthereisaseparateapplicationXLfinplan_Investoris
developed.Investorscanusethisapplication,whowantstomanagehisfinancialmatteritsown.Justneedsomebasic
understanding.

FeatureofXLFinplan:

BasicfeaturesrelevanttoEntryModule/FinancialPlanningQuestionnaire:

ItsaMicrosoftExcelbasedapplication,soeasytoenter/changedata&generateplan.Assoonasyouenter
yourdata,relevanteffectsbeingtakeplaceimmediately.
(YouneedMSExcel2010torunthesame)

Allthedatayouwillinputinthequestionnaire,alldependsonplandate.Youcanentermanuallyin
DD/MM/YYYYFormatORwithToday()function.

Firstofall,youshouldfillallthepersonal&dependantsbasicdetailsincludingdateofbirth.Otherdetailswill
dependonaccuracyofthisdetail.

Youshouldfillallthedatainwhitebackgroundcellsonly.Youcannotchangeanyotherpartofsheet.Report
PrintformatwillbeLegalLandscapeMode.

IncorporatesallaspectsofyourfinancewithseparateentrymoduleincludingyourIncome,Expenditure,
Investments,Insurance,FutureGoal,Retirement&Taxation.

Incorporatesallyourdependantsdetailsincludinghealthanalysis&protectionthereof.

CustomisedallheadofExpensesincludetypeofexpensesoccurrenceatvariousfrequencyduringyear.You
haveoptiontocalculate,howmuchamt.ofexpenses,youcanreduce,ifneeded.

Allheadofexpenseshasseparateinflationrate,whichis%wiseORAmountwise,whateveryouopt.Itis
separateforpreretirement&postretirement.

Incomefromothersources,spouseincomewillbeconsiderforspecifictimeframewithindividualincreasing
rate,whichis%wiseORAmountwise.(Separateoptionsforpreretirement&postretirement.)

ChildExpenseswillconsiderforspecifictimeframe,asneededuptoeducationcompleted.Notforuptoyour
retirement.

Thereis3typeofPostTaxRateofReturnAssumption,Aggressive,Moderate&Conservative.
(ForPreRetirement&PostRetirement).So,overall4stagerateofreturnapply.i.e.forShortTerm,Medium
Term,LongTerm&PostRetirementRateofReturn.Ifretirementstartsbeforemediumterm/longterm,only
postretirementrateofreturnwillapply

ThereiscustomiseddurationforPreRetirementperiodi.e.ShortTermPeriod,MediumTermPeriod&Long
TermPeriod.(Youcanapplydifferentrateofreturnassumptionforthesame.)

AssetsseparatedforPersonalPurpose&InvestmentPurpose,includingcurrentvaluation,futureappreciation/
depreciationcalculation&withanyoutstandingloanforthesame.

MaximumyoucanmakeFutureGoalPlanningfor2Child4headofneedforeachChild,6FutureNeed&5
FutureDreamincludingRetirementExpensesPlanningwith4RetirementGoal.

AllFutureGoalhasseparateinflationassumption,whichis%wiseORAmountwise.Youcangivepriorityi.e.
High,Medium,LoworOptionaltoeachgoal.

ForLumpsumFutureNeed,fundingsourceforgoalwillbecalculatedwithAssetsSale,FutureLoan&Funding
fromInvestments.

RiskAnalysisquestionnairetofindoutRiskCapacity&RiskBehaviourwithaggregateanalysisofInvestorsRisk
Profile.

Separateentrymoduleforalltypeofprevailingfixedreturnschemes,Traditional&UnitLinkedLifeInsurance
&PensionPlans,MutualFundSchemes&Stocks.StepupSIP/SWPOptionavailablewith%wiseORAmount
wise.

ForReportModule:

ProvideClientsPresentSituationAnalysis.Whichincludes,

ClientsPersonalDetails,
IncomeExpensesStructure&Analysis.
AssetsforPersonalPurpose&InvestmentPurpose.
ExistingInvestmentAnalysiswithWeightedAverageRateofReturn&CurrentAssetAllocationAnalysis
withGraph.
PresentLifeInsuranceCoverage&Analysis.LifeInsurancerequirementcalculationsareasperIncome
replacementconcept,Expensesreplacementconcept,&NeedAnalysisbased.

PresentOutstandingLoanLiabilitiesAnalysiswithLoanratiowithPersonalIncome&TotalIncome.Net
worthStatementAnalysiswithExistingValue&SurrenderValueofAllInvestments.withGraph
VariousFinancialRatioAnalysis

PresentcashinflowoutflowanalysisuptoretirementtofindoutthereisenoughsurplusforInvestment
Commitment&LoanRepayment.Percentagewisebreakupofallexpensesheaduptoretirement.

Thereisseparatecashflowannexureforeach&everyheadofIncome,Expenses,Assets,Liabilities,Investment
ReceiptsandPayments,MaturityProceeds.FutureFinancialGoal,FutureRetirementCorpus.Alldata
automaticallygeneratedbasedongivenfutureinflationrate,futurerateofreturnonInvestmentwithgiven
specifictimeframe.FullCashFlowAnalysiswithGraphics.

SeparatemoduleforSalariedPerson.YouwillhavetoprovidedataforGrossSalary&otherrelevantdetailswith
increasingrateinfuture.YoucangetEPF/EPS/GratuityCashFlowwithEffectivesalaryafterautomatic
calculationofIncomeTax.OptionforcalculationforHusband&Wifeseparately.

IncomeTaxCalculationSheet,separatelyofHusband&Wife.Whichcountsallyourtaxableincomewithrebate/
deductions(ifany)includingclubbingofincomewitheffectiveIncomeTaxrate.Youdonothavetoapplyyour
IncomeTaxRateSlab.

CompleteSeparateLifeInsuranceNeedAnalysismodulewithFutureCashFlowincludinggraphicalanalysiswith
3typeoffuturerateofreturnscenarioincludingshortfall(ifany).Thereisflexibleoptiontocalculate
requiredlifeinsuranceis,whichexpenses,futureneedtobecountornot.

RiskAnalysisReport,fromwhichyouwillfindyouraggregateriskanalysisreport

ExistingInvestmentRegisters/Statement.Whichincludes

FixedReturnSchemePortfoliowithallrelevantdetailsincludingFutureInflow/Outflow,IRR/Yieldon
Investment

TraditionalLifeInsurance/PensionPlanStatementwithsummarisedamountoffuturepremium/
futureInflowthroughsurvivalbenefit&maturityproceedsincludingIRRofeachpolicy.

UnitLinkedLifeInsurance/PensionPlanStatementwithsummarisedamountoffuturepremium/
futureInflowthroughsurvivalbenefit&maturityproceedsincludingIRRofeachpolicy.

AllaboveInvestmentStatementshasinbuiltoptionforplannertorecommendeachInvestment/
Scheme/Plan,whetheritshouldberemaincontinue?,tobestopped?ORLiquidate.

DirectStockInvestmentStatementincludesdaytodayvaluationfacilitywithoptiontoadviceforsale
qty.(ifany)

MutualFundPortfolioStatementwithdaytodayvaluationfacility.ThereisaseparatereportsforMF
PortfolioAnalysis&Rebalancing.

FutureGoalMapping&Funding:(MostImportantPartofthisApplication)

Howitworks?

Youcanfillyourallfuturegoalinquestionnairesheet,whetheritisachievableornot.Onthissheet
youwillbeprovidedfigureswith%ofGoalAmountwithHowmuchisachievable&Howmuchis
Shortfall.ForExample,IfthereisshortfallinHighprioritygoal,youcanputsomegoalonholdtoachieve
highprioritygoal.YoucanselectinbuiltoptionwithYes/No.Yourentirecashflowwillbeadjusted
accordinglyyourgoalselection.
ThereisnomappingofeachgoalwithspecificInvestments.ItisworksonFIFO(FirstinFirstOut)basis.
Youcanmappingyourgoalonlywithfuturesalesofassets,proposedloan(specificallyEducation/
HomeLoan).Itisalsooptional.
Basedonthisdatayoucanfindonthissheet,
ProvisionforEmergencyfund,Howmuchisshortfallinspecificgoal,aggregateshortfall&Yearwise
Shortfall.Youcanalsofindrequiredinvestmentamountforshortfallineachgoalamount.Required
investmentamountalsocategorisedwithShort/Medium&LongTerm.Thereisalsoafinancialgoal
gapanalysiswithgraphics.Itiseachgoalheadwise&Yearwise.

Yearwiseexisting&futureloanCashFlowwithPrincipal,Interest&EMIAmountwithGraph

AllFutureFinancialGoalCashFlowStatementi.e.ChildFuturePlanning(for2Child),FutureNeedPlanning,
FutureDreamPlanning,RetirementPlanningwithExisting/FutureCashFlowincludingShortfall(ifany).

AllfuturegoalamountinGoalcashflowstatementcategorisedwithShortTerm/MediumTerm&Long
Termwithrelevantrateofreturnappliedinquestionnaire.

Ifpersonretiresbeforegoalarising,rateofreturnoninvestmentwillbepostretirementrateofreturn,
whichwehaveappliedinquestionnaire.

Thereisseparateanalysiswitheachgoalthat,howmuchamountwillbeachievablewithsaleofassets,
withloanamount&withinvestments.

SeparateRetirementPlanwithIndependentRetirementCorpustofindoutshortfallinfuture(ifany).

PracticalAssetAllocationModule:(AnotherMostImportantPartofthisApplication)
Normally,peoplegetadvicethathowmuchistoallocatetodebt,equityetc.butifyougothrough
schemetoscheme,youwillfindmuchdifficultiestotakeaction.forthispurpose,thereisainbuilt
optionofadvicewitheachschemeinInvestmentRegister.
Onthissheet,youwillfindyourexistingallocation.Afterapplyingadviceforeachscheme,youwillget
surplusorshortfallfigureinsheet.Youcanallocatethisamounttorebalanceyourportfolio.
IfyouwanttoreduceyourburdenofEMI,fromhereyoualsoallocateamountforloanprepayment.
ThereisseparatesheetforMutualFundPortfolioRebalancing.
IfthereisrequirementofadvicetoadditionalInvestment,separateentrymodulefornewadditionof
fixedreturnscheme,insuranceschemebasedonavailableofsurplusfuturecashflow.

InvestmentAnalysisReportwithVarioustypeofMutualFundAnalysis/RebalancingReport

StatementofProposedFutureCashFlowofAllIncome,Expenses,Investment,Insuranceetc.after
recommendationonExpenses,Investments,Goal.

YoucanusethisapplicationasaToolforFinancialPlanning.Youmaynotsaythatthereportsgeneratedhereallare
itselfasfinancialplan.Justkeepinmindfollowingpointsingeneraltopreparebetterfinancialplan,whileyouusethis
application.
1. PutreasonableestimateoffutureIncome/Expenses.Ifcashflowofyourfutureexpenseswithinflationdoes
notgeneratesurplusorthereisnosurplusforEMI/InvestmentCommitment,Trytoimproveitfirst.
2. BifurcateyourfuturegoalwithNeed&Dream.Givefirstprioritytoyourfutureneed.Youcanalsodefineall
yourgoalwithprioritylikeHigh,Medium,Low&Optional.
3. Checkyouraggregatecashflowwithfuturegoal,Lookingtoyourcashflow,ifyoufindthatthereismuchmore
shortfallinachievementinFutureNeed.Removelower/optionalprioritygoalingoalselectionsheet.Youmay
findsomebettercashflow.Thenyoutrytofindjunkinvestmentsinyourportfolio.Takeactionwitheach
scheme,whichisharmingtoyourfuturegoal.Youmaygetsomeadditionalsurplusforrebalancingyour
portfolio.
4. Youmayusethisamountinprepaymentofjunkloanfirst(specificallyforcreditcard/personalloanetc.).If
yourcashflowsupport,youmayalsowishtoprepayotherloanalso.Decisionforthesamewilldependon

futurecashflow&taxationbenefitalso.Ifyoucanfindyourfuturecashflowgeneratehealthysurplus,youmay
restructureyourLoanEMIalso&reduceyourEMIburden.
5. ThenyoucanrebalanceyourMFPortfolio.YoumayalsodecreaseyourMFallocation&putinfixedreturn
scheme.Thisallsubjecttofinancialadvisor/planner.Thisisjustarawhint.
6. DecideproperlifeinsuranceamountonbasisofLifeInsuranceNeedanalysiswithExistingportfoliooflife
insurance.TakeTermPlanforshortfallinlifeinsurancecover.Takerequiredotherinsurancecoveri.e.health,
vehicle,personalaccident,homeinsuranceetc.
7. InvestthroughSIP/VIPinMFforLongTerm.

Notnecessarythat,youtakeallstepsinsameorder.Thisisjustarawadvice.FinancialPlanner,mayputitallin
reasonableorder&putactionplanagainstyou.
ExtraCalculators:

TimeValueofMoneyCalculator

LifeInsurancePolicyReturnAnalysis
Tofindout,clientshouldberemaincontinuewithpolicyinfutureornot?
LoanAmortisationCalculatorwithadditionalrepaymentoption.

BeforeyouStart,details/datarequiretopreparePersonalFinancialPlan:

Personal/FamilysDetails,Age,Health,etc.
Income/Expensesdata.Assets(ForPersonalPurpose&InvestmentPurpose)&Liabilities(Personal/Home
Loan/CreditCardsetc.)details
YourFutureFinancialGoalswithCurrentCost.
AllLifeInsurancePolicyDetailsincludingcurrentvaluationofUnitLinkedLifeIns.Plans.
AllInvestmentdetails,PhysicalORDemat,CurrentValuations(ifanyyouhave)

Youcandownloaddemocopyofthisapplicationfrom:http://goo.gl/xvIxF
Trytoprepareyourownfinancialplanfirst.Ifyouhavesomequery,pleaseletmeknoworwritehereinfeedbackpart.
Thedemoapplicationwillrunupto1Month.Inspiteofthat,ifyourequiresomeextensioninthisperiod,pleaseletme
know.
Youcanconnectwithmehere:satish@xlfinplan.com
Facebookhttp://facebook.com/satishmistry27,Linkedinhttp://in.linkedin.com/pub/satishmistry/13/536/929