Top Financial Planning Tools for Estate Planners

Effective estate planning requires a well-thought-out financial strategy, incorporating various tools to ensure assets are protected, taxes are minimized, and beneficiaries are taken care of according to the client’s wishes. As an estate planner, having the right tools can make a significant difference in how effectively you can organize and implement these strategies. From calculating tax implications to creating comprehensive financial plans, the following financial planning tools are indispensable for estate planners.

Personal Capital – A Comprehensive Financial Overview Tool

Personal Capital is a go-to tool for estate planners who need a complete and real-time overview of their client’s financial health. It provides a dashboard that displays all accounts, investments, debts, and cash flow in one place. This type of visibility is crucial when estate planners need to assess the total value of assets that will be part of the estate, including cash, investments, and real estate.

One of the standout features of Personal Capital is its ability to track investment performance and project future returns. Estate planners often need to forecast how much wealth will be left to beneficiaries after retirement, taxes, and inflation are accounted for. Personal Capital’s detailed reports and graphs provide estate planners with the data they need to make informed recommendations about asset transfers and management​.

In addition, this tool allows planners to monitor their client’s spending habits and debts, which helps when structuring trusts, gifting strategies, or determining how much liquidity is needed for estate taxes. For clients who may have complex financial portfolios, Personal Capital offers a way to simplify and visualize those complexities.

eMoney Advisor – For Advanced Estate Projections and Cash Flow Analysis

eMoney Advisor is highly regarded for its cash flow analysis and advanced estate planning modules. This tool goes beyond basic financial projections by offering detailed insights into how estate taxes, inflation, and asset growth will affect the estate over time. Estate planners can run multiple scenarios, showing clients what their estate might look like if they gift certain assets, place them into trusts, or make charitable donations​.

One of the key advantages of eMoney Advisor is its ability to generate clear and professional reports that break down the complexities of estate planning into digestible information for clients. This is particularly helpful when discussing sensitive topics like potential tax liabilities or the need for life insurance to cover estate taxes. eMoney Advisor allows estate planners to demonstrate the long-term impact of decisions, whether it’s how much a charitable remainder trust will generate for heirs or how lifetime gifts will reduce the taxable estate.

The platform’s client portal also allows for easy collaboration, with the ability to share financial plans securely and track real-time updates. This makes the estate planning process smoother and more transparent for all parties involved.

WealthTrace – Detailed Retirement and Estate Planning Software

WealthTrace is an intuitive financial planning tool designed specifically for retirement and estate planning. For estate planners, the focus is often on ensuring that assets are preserved and transferred efficiently, but WealthTrace takes it a step further by integrating retirement planning directly into the estate planning process. This allows planners to develop strategies that align both short-term financial needs and long-term estate goals​.

One of the standout features of WealthTrace is its ability to model different retirement income scenarios, including the use of annuities, IRAs, and 401(k)s. Estate planners can project how long these income sources will last and how much of the estate will be left for heirs. Additionally, WealthTrace’s tax module helps estate planners forecast how much will be owed in estate taxes and how to minimize these taxes through the use of gifting strategies, life insurance, or charitable donations​.

WealthTrace is particularly useful for planners working with clients who have complex retirement needs or large estates that are subject to federal estate taxes. The software’s flexibility allows planners to model various financial decisions and immediately see the impact on both the client’s retirement and their heirs’ inheritance.

NaviPlan – For High Net-Worth Estate Planning

NaviPlan is a financial planning software tool known for its robust estate planning features, particularly for high net-worth individuals and families. Estate planners who manage large estates benefit from NaviPlan’s advanced calculations, which can handle intricate tax scenarios, cross-border estate planning, and multiple generational wealth transfers​.

The software offers detailed reports that show how assets will be distributed, factoring in various taxes such as gift tax, estate tax, and capital gains tax. This level of detail is essential for clients who need a clear understanding of how much their beneficiaries will receive after taxes and other expenses. NaviPlan also allows planners to run different scenarios, such as whether to establish a family trust, and project how much wealth can be preserved for future generations.

In addition to its estate-specific tools, NaviPlan includes retirement planning, risk management, and cash flow tracking features, allowing estate planners to develop holistic financial strategies. It also integrates with other financial tools, making it a versatile solution for estate planners who manage clients with complex financial portfolios.

Trust & Will – Simplified Estate Document Creation

For estate planners looking for a streamlined solution for drafting legal documents, Trust & Will is an excellent tool. While many estate planners may work with attorneys to handle legal documents, Trust & Will provides an affordable and straightforward option for creating wills, trusts, and other essential documents​.

Trust & Will is particularly useful for clients who need basic estate planning documents but don’t require the complexity of a customized legal strategy. With an easy-to-use interface, estate planners can guide clients through the creation of documents such as living trusts, healthcare directives, and powers of attorney.

Although Trust & Will is not a replacement for more sophisticated legal services, it provides a fast and efficient way for estate planners to ensure that their clients have the necessary legal framework in place to manage their estate. It’s especially valuable for younger clients or those with smaller estates who may not need a fully customized estate plan.

Zillow and Redfin – Real Estate Valuation Tools

Real estate is often a significant part of a client’s estate, and accurate valuation is critical for estate planning. Zillow and Redfin offer online platforms for estimating the value of residential properties, providing estate planners with quick and accessible data points​.

By using these tools, estate planners can monitor the market value of a client’s properties and adjust their estate strategies accordingly. For instance, if a property has appreciated significantly in value, the planner might recommend gifting the property to reduce the taxable estate or placing it into a trust to protect it from creditors.

While Zillow and Redfin are not professional appraisal tools, they offer a good starting point for estate planners to estimate property values before seeking formal appraisals. In a dynamic real estate market, keeping tabs on property values can make a substantial difference in how assets are managed within an estate plan.

EstateGuru – Comprehensive Estate Planning Platform

EstateGuru is a cloud-based platform designed specifically for estate planners. It offers a range of tools that cover everything from trust creation to tax planning, making it a comprehensive solution for managing complex estates​. EstateGuru stands out for its client management features, allowing estate planners to store documents, track asset transfers, and communicate with clients securely.

One of the key features of EstateGuru is its built-in tax calculator, which helps planners determine estate tax liabilities and find ways to minimize these taxes. The platform also integrates with financial institutions, making it easy to track investment accounts, real estate holdings, and other assets. EstateGuru provides estate planners with the flexibility to offer tailored solutions for their clients, whether they need simple wills or advanced trust structures.

The software’s collaboration tools make it easy for estate planners to work with accountants, attorneys, and financial advisors, ensuring that the client’s estate plan is fully coordinated and optimized.

Top Financial Planning Tools for Estate Planners

• Personal Capital – Complete financial overview tool with asset tracking.
• eMoney Advisor – Advanced cash flow analysis and estate forecasting.
• WealthTrace – Detailed retirement and estate planning platform.
• NaviPlan – Designed for high net-worth estate planning scenarios.
• Trust & Will – Simplified legal document creation tool.
• Zillow and Redfin – Tools for real estate valuation.
• EstateGuru – Comprehensive estate planning software.

In Conclusion

Using the right financial planning tools can significantly enhance an estate planner’s ability to manage assets, minimize taxes, and ensure that the client’s wishes are carried out efficiently. From sophisticated platforms like eMoney Advisor to user-friendly document creation tools like Trust & Will, estate planners have a wealth of resources at their disposal to streamline the process and provide their clients with the best possible outcomes. Each tool brings something unique to the table, so choosing the right combination of tools will depend on the complexity of the estate and the specific needs of the client.