Using Income Lab with Your Tech Stack Panel Discussion

hey welcome everybody we're just going to give a a few minutes here for

1:19

all the attendees to get on how are y'all

1:26

good how you doing Jonathan good kind of

1:32

figure out how to move you guys down there we go

1:40

I have four monitors so there's no real great place to look I'm always up or

1:46

down or I tried to go back to fewer and I can't

1:51

but so I'm stuck

2:00

thank you

2:31

okay looks like uh

2:37

people are still kind of logging in but we will uh we'll kick

2:42

kick this thing off so um we we got really good feedback from last

2:48

month's uh advisor panel so um we decided to do another one on a

2:54

slightly different topic that a lot of people have been asking about which is

3:00

how income lab fits into your Tech stack as an advisor so thinking about kind of

3:07

other pieces of your the technology that helps your business whether that's portfolio reporting CRM other things in

3:15

kind of the planning World broadly speaking and how different advisors you

3:21

know use different tools for different um needs maybe even different clients and how income lab fits into that that

3:27

ecosystem so um you know obviously if you're if you're an income lab

3:34

um user or you've been uh been looking at the software you you certainly know kind of the place that this lives

3:41

um but because income lab is laser focused on retirement income management it just

3:48

isn't the only Tech that an advisor would need or use um so I'm really happy that uh we have

3:55

three advisors with us today to to talk about these questions um Keith Spencer Jonathan Murdock and

4:02

and Derek Derek Tharp um and the focus today will be kind of on

4:08

those areas of of tech that I just mentioned so CRM like red tail portfolio

4:14

reporting like blue leaf or Black Diamond um what I think of as generalized

4:19

financial planning software so things like write capital money guide Pro be money and some specialized planning

4:25

software like tax planning software like um like holistic plan um

4:31

so that's kind of where we're gonna go and I really uh appreciate it everybody uh for for volunteering your time and

4:37

and um sharing with uh with your colleagues here um we're gonna go through

4:44

um kind of a couple areas of questions and hopefully this will this will flow really nicely but we will have time at

4:49

the end for um for some q a as well so please feel free to put your questions in the Q a at

4:58

the bottom upvote uh questions that you uh that you want to hear answered because typically we're not able to get

5:04

to everything um in in these uh in these webinars

5:10

and uh we'll just get going so um the the first kind of section that

5:17

I want to talk about is just the the other technology that you use in your practice kind of near adjacent to with

5:25

maybe you know there's some kind of ways that you kind of uh use both income lab and some other Tech

5:31

um and kind of your business processes or planning processes or presentation

5:37

processes um around that so I guess I'll ask kind of what other Tech do you use in conjunction with income

5:44

lab whether that's for client engagement financial planning retirement management um anything like that and how does

5:50

income lab fit into that ecosystem um for you so um randomly based on where

5:59

your face is on my screen I'll start with Keith great yeah so uh thanks for the

6:06

opportunity to do this I uh the way I think about it is that my my kind of

6:12

Trio of software that I use for my financial planning processes are right

6:18

capital hold us to plan and income lab of course so that's how I approach things the way

6:25

that I I use the three um and and by the way I should I should

6:31

also preface things with saying like this is all with a big fat asterisk

6:36

because I feel like I'm still figuring it out you know um I am constantly especially as new uh

6:43

functionalities are coming out for for all the softwares like okay how do I use this piece with with all the others so

6:49

as I describe things this is what I'm doing today right but it might be different uh three months from now so

6:55

right now it's it's the threes the right Capital holistic plan and um income lab

7:01

the way I blend the three is the way I think about it is write capital is my

7:07

General Financial Planning software it's kind of the it's kind of the Hub I have all clients within right capital I use

7:15

the aggregation within right Capital um I use it for analysis for you know

7:20

scenario analysis um that kind of thing it's where I can go to get a refreshed or a fresh picture

7:27

of the client's accounts you know whether they be cash position bank accounts or or investment accounts Etc

7:35

um as I need to go further that's where income lab and whole list of plan come

7:40

in so um when I'm trying to do more Tactical

7:46

tax planning that's whole list of plans um job it could be very very tactical

7:51

very very uh specific with things um with uh with inputting everything in

7:56

there I can I can do projections for you know this coming year next year that kind of thing so I'm using that for the

8:02

Tactical stuff income lab I'm using for tax planning as well I tend to use it more for longer term tax planning

8:10

um so to think about you know gosh I you know Mr Mrs client I'm uh let's think

8:16

about what what would a Roth conversion strategy look like for you if we were to go up to a certain tax bracket up to the

8:22

24 tax bracket or whatever it is I use income lab to help do those longer term

8:27

projections to be able to see so I was meeting with a client last week I think

8:33

and um we're looking at some Roth conversion strategies and and it I mean it was over

8:39

a million dollars worth of taxes saved if they went all in on the particular

8:44

Roth conversion strategy so you know whether they choose to do that or not is

8:50

is that's part of the conversation with a client but I use income lab as the tool to kind of demonstrate that longer

8:55

term planning the the last piece I'll say before I hand it off to somebody else is that

9:01

really the where income lab shines and where where I really use it is with obviously retirement income planning so

9:08

I would say for the most part maybe once a client is within I don't know five to

9:14

ten years of retirement and then certainly in retirement we're looking at

9:19

income lab quite a bit um so for the before retirement it's obviously

9:24

asking the question when can they retire or framed a different way if you want to retire at such and such a date what

9:31

would your income look like and is that acceptable to you um and then once they retire at answering the question of how much can I

9:38

withdraw you know how much can I spend that's where income lab really shines so I use it uh for for that for all my near

9:46

or in retirement clients and I'll maybe go into more detail on that later if if necessary

9:53

um and one last thing that I use income lab for for all clients thus far is I

9:59

love uh I love life Hub um so I put even my younger clients I put into income lab as well just to be

10:06

able to show them the graphic of income lab or a life Hub um I really like that

10:12

um and it seems to really bring a person's uh Financial picture alive so

10:17

that's how I think about it with the kind of the the trio of those three systems and how how I blend them

10:23

together great thank you yeah that makes a lot of sense so different you know different

10:29

tools for different needs and in a lot of cases even for different clients although there are things that everybody

10:35

gets um from from income lab um Jonathan same same question for you

10:40

so what other Tech do you use kind of in conjunction with or near adjacent to income lab and and how do you kind of

10:48

kind of separate things by by client or by need sure

10:54

um actually it mine sounds a lot like Keith's I actually use right Capital as well and I use it as my General

11:01

Financial Planning software and everybody goes into it um it's it's actually also kind of funny

11:07

that you mentioned that five to ten year window on either side um that's how I determine our near

11:13

retirees as well um basically where any place we use um cash flow matching liability matching

11:20

so we have CDs or things that are going to roll and come due at certain times to

11:26

cover those anticipated portfolio withdrawals and so as we're trying to think about those people where we're

11:32

concerned about sequence of return risks on as they reach that retirement date

11:37

that's probably when they're going to start showing up in income lab

11:43

but that helps determine those rungs on the the income ladder that we want to

11:51

set out I'll share my screen for just a second and I'll see if I can do this correctly

12:01

I've turned a couple of our folks into John Doe

12:07

um oops not that yeah and so we can see you guys are seeing my right Capital screen

12:13

correct yep yes

12:19

um so all of these I uh I use these data feed from Raymond James

12:24

um into right capital I don't use the aggregator as much like Keith said because I found for some of

12:32

our clients accounts it was breaking more often than they were wanting to fix

12:38

um but we will add in external accounts it just so happens that we these folks that have everything with us and so you

12:45

can see these were all updated four hours ago so what will happen is I'll put people

12:51

into right capital and then I will take the inputs as we

12:57

kind of go through our um our Discovery process they get built out

13:04

and write capital and then we'll move those particular important pieces over to income lab

13:11

I'll show one other thing on my screen here I'll do it correctly again

13:19

and I tried to it's a little bit ugly because I'm trying to cut off the client's name and I don't know if I

13:25

succeeded um but what you're seeing here is redtail and so into redtail I also have

13:32

a direct feed from Raymond James my custodian and so these accounts will pop

13:37

up um and we link them to their appropriate person

13:42

and then they go into they feed into income lab

13:50

so in my case I have a direct feed from Raymond James indirect Capital but also into redtail and it's been my experience

13:57

that feeding from Red Tail is something I do into a lot of our software we also use that in acid

14:04

but by doing it this way

14:10

when I come into a client's account and and we know with income lab it doesn't have to be

14:15

super specific on the positions right like that's that's not what the point is but it does allow for all of these

14:22

linked IRAs um to populate with recent

14:29

um account values and and I can generally set the

14:35

um the asset allocation or I can allow it to do specific but again I don't think

14:42

being hyper specific in that is is really necessary based on you know what we're trying to accomplish

14:49

um so for me a lot of it is Data feeds and trying not to re invent the wheel

14:55

every time I need to get new information into a new software and so right now

15:00

that means typing stuff into redtail um from Raymond James and then having

15:07

income lab pull that from redtail that being said um I we may want to look at getting a

15:15

custodial feed set up with Raymond James for anybody who's on here that uses an

15:21

independent broker dealer it can be sometimes difficult to get third-party software approved but

15:29

milkley and the team at income lab were super helpful in getting that done and

15:35

it's uh it's obviously worth it um and so you know I also use solicit

15:41

plane and much the same way Keith was mentioning um we'll use income lab to kind of illustrate the

15:50

need for a Roth conversion strategy and then holistic plane each year as we kind of

15:56

dial in the exact amount that we want to do for each of those years but I agree

16:01

that having that sort of um visual representation works really

16:07

well for people and I prefer it um to the Roth conversion illustrator in right capital for instance

16:15

as far as other Tech that we use adjacent

16:20

to income lab or right Capital um we were currently doing an audit of

16:26

our Tech stack but we currently use asset map and that may be something we set aside as I get more familiar with

16:34

life hub but we do use that to kind of dial everything in we've found even though

16:41

right capital is fairly um what's the word I'm looking for streamlined it's still your report is

16:48

going to be 30 40 pages we've kind of bought into that idea of a one-page financial plan and then all

16:55

that stuff is essentially exhibits that if we need to go figure out an exact

17:01

number or show oh well this is where the house sale is planned we can go do that but for most clients

17:08

they don't want that big packet um that's actually one of the questions you know we talked about Justin is how

17:15

do we use the income lab do we use the reports for me it's almost all on the screen clients

17:22

you know you you print it out it's like oh here's your copy and they're like oh great thanks and you know they're just gonna throw it in their car like they're

17:29

not gonna go home and peruse it um and so for us a lot of it now is

17:35

showing online showing on the TV but also making it available to them

17:40

um should they should they want to take a look at it any specific questions about what I said

17:46

that's awesome I mean you brought up a bunch of really good um kind of questions or areas I mean one I

17:53

hadn't even thought of was was kind of integration strategy which as a as an advisor full firm you actually you have

18:00

a lot of options right you could do custodial links every single time but those are generally harder I think the

18:07

custodians are getting their Tech upgraded so I think in a few years I imagine those will be easier but

18:13

or you can okay do the custodial links once to somewhere that's pretty dependable and then link that so it

18:19

sounds like redtail kind of is your um is the second one for you yes retail

18:26

requires at least from the feed from Raymond James um some massaging you do have to go in

18:31

there and in fact you'll get weird um based on how red tail wants you to Define things and how income lab pulls

18:39

that information you know oftentimes it'll be John Doe traditional IRA traditional IRA and

18:47

that's just because of how red tail wants you to code the qualified the tax

18:52

qualified status and but that's easy enough to fix an income lab and so what

19:00

we will typically do is massage that data inside of red tail and then as you point out push it income labs

19:08

grabbing of information from redtail has been better than than many others a lot

19:13

of times the the data is there but when it gets pulled from Red Tail it's all over the place it's not really

19:19

usable but income lab even having to change a few names I'm able to see

19:24

quickly okay yeah that's the account I'm looking for and I just need to rename it this way but I also say we don't always

19:31

necessarily need to use that utilization that integration

19:37

um but we do like it for the ongoing tracking to be able to stay up to date

19:42

um on that right right Derek I know you um

19:48

you use blue Leaf so I wonder if you have well the same question as everybody

19:53

else but also on this Integrations question and kind of thinking about strategizing that for your whole practice what sort of the your approach

20:02

yeah so um maybe I'll I'll start there because that is one that I use on on

20:07

Blue Leaf um for me although um Jonathan's comment actually has me wondering if there might be some better

20:13

ways I can do things so I'm doing some of my own strategizing on the on the Fly here because I um recently I also

20:20

switched over started using betterment for advisors and one issue I've had there is that

20:26

um I've always used blue Leaf but right now blue leaf and betterment for advisors aren't getting along their technology is not

20:33

getting along for whatever reason so I kind of have a break there in terms of being able to get information into

20:40

income lab um and but I can get betterments information into wealth box my CRM so

20:46

I'm wondering if I'm not sure if there's a CRM a wealth box to income lab integration that's something I'll have

20:51

to look into similar to the red tail integration but um or just the general

20:57

strategy though similar to the function it sounds like red tail playing for for Jonathan

21:02

um I do like to use uh blue Leaf as kind of one Hub to maintain rather than a

21:08

bunch of different hubs to maintain and so that's I can link my blue weave to write capital I can link my blue Leaf to

21:15

income lab I can send data out and only maintain that one connection but

21:20

personally I don't um I actually discourage my clients from going in and like linking a 401k or

21:27

other types of account I I like anything that has a direct from the custodian feed that's not going

21:33

to break and then if it's a one-off account of 401k or something else I like to just manually update that

21:40

um and so that's I I like aggregation through through a tool like blue Leaf

21:46

where it's pulling in accounts directly from my custodian I'm not as big of a fan of aggregation through

21:52

um yodley and the other types of setups where they just break too frequently and

21:57

then um I actually found the worst thing that happens in my opinion is something breaks and I don't realize that it broke

22:04

and um especially if there's a big distribution or something like that um that to me I

22:10

if it's an account balance I don't know I want to check and verify the account balance on that so that's just kind of

22:16

my own personal process um but a lot of themes in terms of other adjacent technology you're going to hear

22:23

a lot of similar things that have been mentioned already I use right Capital asset map

22:28

um uh maximize my Social Security holistic plan those are probably the big

22:33

ones that I'm I'm in I might use for me um I know others mentioned kind of right

22:39

Capital being that Central everybody gets into right capital for me at least uh currently

22:46

um asset map is more of my I've described in the past as a visual CRM it's almost more of a function that I

22:52

get from it is like I can put insurance policies and estate documents and all sorts of other things in there where I

22:59

can just go in pull up a client's account in businesses their accountants their attorneys all that and I can just very quickly get up to speed on a client

23:06

situation um and so that's to me where everybody goes and if I you know even if I do use

23:12

some of their light planning functionality in terms of like just time value money type calculations for

23:18

fundedness on College savings or something like that can be a very quick way to answer some of those questions but for me it's really more that visual

23:25

CRM and just kind of talking through clients Drive assumptions right

23:31

um anytime I'm doing more of the retirement planning that's obviously income lab diving in there for deep deep

23:36

Dives looking at tax planning kind of a long-term strategy and then dialing in that strategy

23:42

um in the um more tactically with the list of plan to

23:48

actually get into the numbers and say okay are we missing opportunities what can we do here or there

23:53

um and then I I also you know for specialized cases oftentimes when I have to use maximize my Social Security but

23:59

cases where I am using that tool would be web GPO more complex type of uh

24:05

scenarios just to make sure you know that that's something where I might um if it is that type of scenario I

24:10

might run the analysis there and then pull the numbers over into income lab rather than start by just trying to

24:16

estimate numbers or something in an income lab but uh for me that's kind of the

24:21

um depth very similar themes I think to what others have have mentioned here

24:27

yeah that makes that makes sense I think the yeah the thread tying all this together is

24:33

[Music] um for clients near at or in retirement for you know

24:40

retirement income management um everybody gets income lab there are some there's there's some definitely some

24:47

differences around you know I know I think it was Keith said everybody gets income Lab in order to have access to life Hub

24:53

um the the fact that you know as designed income lab is your is your main

24:58

hub for retirement income management it brings up a question of

25:04

um I I guess it would be maybe when you were First beginning to use income lab or even now that you are

25:10

using it how do you um sort of transition someone to

25:17

managing the engagement um with income lab like I I think I've said before on one of these I actually

25:23

don't mind probability of success for pre-retirees I mean I think it maybe there are better ways to do it I don't I

25:29

don't know I'm open to that but I don't think it's all that bad because if I'm in my 30s or 40s you give me a score

25:35

which makes me want it to be high and the way I can get it high is to save a lot so it kind of drives the right

25:41

behavior and it's far enough away that it doesn't get me too worried I'm not you know gonna uh not be able to sleep

25:48

at night because my probability of success is 70. you know so I actually think it's perfectly reasonable

25:54

I've said and others have said before like once you're at retirement in retirement it's kind of it's not just

26:01

unhelpful it actually hurts so how do you make that transition how did you make it when you onboarded income lab

26:06

but or if you had a client who was you know getting a little closer at what point would you introduce income lab and

26:12

how would you talk about the transition um I guess I'll start with Keith again

26:17

yeah so the way I think about it is very similar to what you just described

26:23

um Justin I'm fine with my younger clients to be in right capital and to think in terms of the the probability of

26:28

success the way I frame it with clients is that okay as we're getting closer to

26:35

you to actual retirement the the concept of probability of success becomes in my

26:41

opinion much less helpful and so really what you want Mr Mrs client is to know

26:47

how much can you spend and so therefore we have a specialized tool that's going to help us

26:53

um to to answer that question and then I'll kind of talk through what income lab is what it does what it's trying to

27:00

help us to answer so usually I'm I'm starting to think about that I said this before but kind of in that five to ten

27:06

year range before probably closer to five years before retirement

27:12

um when we're actually starting to have that conversation okay like when when can we actually pull the trigger here

27:17

you know is it is it five years or is it is is it nine years or or is it one year

27:23

maybe you know and so trying to think about um uh that that's when we do it and that's how I frame it with clients

27:30

and that's that's a smooth transition they don't say hey wait a second I was really uh dedicated to this uh you know

27:38

probability of success that that's it just uh everybody gets it it's been smooth thus far

27:43

um with the I'm a I'm a relatively new firm and so I haven't had that many

27:49

bites at the Apple kind of thing with my number of clients so maybe for certain types of clients or whatnot it would

27:56

maybe there could be some problems there but uh thus far the number of times I've done it it's been very very natural

28:03

and it's not like even before then we're not we're not living in right Capital it's not I'm not you know like making

28:10

right Capital this is the greatest thing ever we're doing everything within it most of the stuff we're doing is outside

28:16

the system anyway um through conversations and whatnot and so using a new tool isn't that

28:23

life-changing isn't that uh earth-shattering for my clients right Jonathan I saw you nodding there um yeah

28:31

so many things um there and I'll for for us

28:36

um so it's myself and my wife um and so we have a pretty lean book I would say probably about 90 real

28:43

households you know you've got kids accounts attached to parents accounts but our book is fairly barbell though

28:51

um we have um a fair amount of retirees I would say probably 75 we also have 25 percent of

28:59

young High earners that are accumulating in which case that income lab would not be

29:05

you know the appropriate tool for them and you know Justin you're being very um

29:11

what's the word I'm looking not politically correct but I hate the probability analysis if I could take it

29:18

off of right capital I would because often for somebody that's accumulating it doesn't make sense to me because we

29:25

yo you've got an 80 chance of success so that means that you'll either have nothing or four million dollars

29:32

well when you're when you're 35 40 there's so much variation there that

29:38

it's not super helpful so even in those cases I'm telling them Let's ignore that typically in right Capital it's where

29:45

we're doing I guess you might call scenario analysis right so we're having those conversations of oh what if we wanted to

29:52

buy a lake house or what if we wanted to do this and this

29:57

once we've had somebody essentially we're now talking about an actual retirement date like people

30:03

saying that's when they're going into income lab because we've gone from discussing okay what happens if we

30:12

contribute this amount to retirement planes or what happens if we need to pay for college for these kids from these

30:19

kind of you know esoteric kind of questions to okay how are we

30:25

going to pay for what we've already decided we want our life to look like

30:31

um in retirement and so it's never been an issue and in fact even for clients

30:36

where we are running right capital and income lab together I've only ever had one person ask why is

30:45

it any different um and the answer is easy because for this particular purpose income lab is

30:53

more specialized and is taking into historical you know taking in historical context

30:58

and it's just more accurate nothing wrong with white Capital this is just not and because we're going to give you

31:04

the best that we can for your situation now well this is what we should be using a

31:11

big thing for me with our retirees and knee retirees

31:17

the is the um the idea of the funded status and and how far away are you from having to make

31:24

a change because for our clients that's the number one question that we get right

31:30

should I be doing something should I be changing something and with accumulators the answer is

31:36

almost always no no you should continue to save and there doesn't need to be any

31:42

major changes just because of what's going on in the market to your plan as far as what you want to save what you

31:47

can spend whereas for retiree it's it's very comforting for them to call in and for

31:53

me to be able to tell them you know we would need to see your portfolio balance dip by another hundred and fifty

31:59

thousand dollars before we needed to consider an adjustment and not a major course change

32:04

it works for our clients down here because in I'm in south Louisiana it's a lot of

32:10

barge and shipping and huge vessels you don't turn a huge vessel on a dime you

32:16

make small course Corrections so that you do not get into a place where you

32:22

can't pull into to Harbor because you you're sideways and that really resonates with them and that I can point

32:30

to to something and tell you this is how far away we are off from from having to

32:35

make a change and this is how often we're going to see an increase in your

32:41

ability to spend which is not something we were ever really talking about in

32:47

right Capital now I can tell you I mean you at some point you know guys you're

32:52

way ahead of the game and so if you are feeling a pinch at all then then let's take some more honestly

32:59

often clients don't end up taking their their raise because they're already spending what

33:05

they can spend or unfortunately their R D's are so high

33:11

that because they weren't willing to do the tax planning to begin with so now they've got these large rmds that they

33:17

couldn't spend if they wanted to um so one other thing that um I'm not

33:23

sure if it was Derek mentioned first of all I love the idea of visual CRM by the way that that's a great uh Point

33:30

um I don't use the aggregators um for for much the same reason um whether it's in red tail or anywhere

33:37

else and honestly with red tail if it weren't for something like income

33:43

lab we probably wouldn't do a lot with the cleaning up and massaging of the

33:48

account data because it's not what we need in our CRM right like if I want to know an account

33:54

balance I'm not going to income lab I'm not going to Red Tail I'm going to open up and and look at our portfolio management software

34:00

um but it is a great place to grab because nearly everything has Integrations with retail in fact when

34:08

malcoli and ice because I'm using an income lab for a long time um Malcolm and I first started talking

34:14

about it I said that's the first the first integration you should go after and I worked with stratify and I

34:20

told them the same thing because so many of us use it and red tail tends to be pretty open

34:26

with that um but I would tell you tell folks yes

34:31

an integration is helpful but it's not a deal breaker um but just like Derek was saying think

34:37

about other places that you might already be doing this for us we're a two-person shop

34:43

my wife hates it if we've got to put data in multiple places and it just

34:48

makes it you don't want to use it you don't want to use this software because you know

34:54

you're going to have to spend all this time getting it up to date well ease in doing that and doing it as

35:00

you go certainly makes it easier for me it goes in we build it in the right capital and then we immediately

35:07

while we're still working on that client put those inputs into income lab but for

35:12

that person we're probably not pulling up right capital when then when a retiree comes in we are

35:18

probably only pulling up income that makes sense so there's a difference

35:24

between the business processes and you may use multiple tools and what a client sees I know that was a big question a

35:30

lot of people had was you know what do you actually use with clients you know is there a little bit of a dance where

35:36

you're showing them outputs from different things I know at least one or two of you mentioned it's really more of using the app less less PDFs I agree

35:45

with you I'm not hanging a lot of things in my refrigerator that I get from uh an advisor

35:50

um I have it pulled up on a separate screen in the event that they ask a

35:56

specific question as to why or if we get a weird answer

36:03

um and I'll go back and for instance I was just working on one person and they had a um a sale of a home which is

36:09

actually this is something I'll put in not too long ago and it was spiking it so that the scale was all off

36:15

well I'm like okay well how can I fix this and I did a workaround just to see there's a little box that says don't

36:22

include it now and I fixed it but that was an example of where I would have had right Capital up so I can kind of

36:28

explain what we're seeing there and how it affects things and or how it doesn't

36:33

matter one way or the other so I'll have it pulled up in the same

36:38

way like I was saying it's exhibits basically for the whole thing

36:44

um I just find it's a lot easier for me to drill down and find a very specific number because that's what right capital

36:50

is doing um and it's just easier for me because I'm more convenient I'm better versed

36:57

with it Derek I know we haven't heard your thoughts on kind of the either the

37:02

transition for an individual client moving toward retirement or uh for you um bring an on income lab what was that

37:08

like yeah for me very natural transition I mean I I haven't had any clients object

37:15

to it the feedback's always been very positive going through the transition away from a past tool and really uh for

37:24

most of my clients it doesn't take more than just saying okay this software is going to solve for a reasonable level of

37:29

risk um you know we're going to solve for your income what you can spend and then we can put some guard rails around that

37:35

too and I've never had you know except for maybe one engineer or two you know

37:40

they're they're the only ones that come and maybe say what what exactly is going on there most people are like okay great

37:46

that you know and to me again I've I've used in past webinars the example the medical example but to me when I go to

37:53

the doctor and I ask him you know how much medicine should I take right like I I just want the answer I don't

37:58

necessarily want the well here's one reason why we might do this dose versus this dose versus all you know it's like

38:04

I just how much do I need to take what do I need to do um and maybe there's cases where people do want to dive deeper but for the most

38:10

part um have found it's pretty easy uh to make that transition

38:16

um and uh I forget was there a second part to that question or no that I mean

38:21

it's sort of the same thing you know if you brought on income lab and you already had retirees you'd be transitioning them kind of

38:26

mid-retirement versus somebody who's you know reached the stage but it's probably the same although actually this is the first part

38:33

I think we we do have sometimes have advisors ask us you know maybe I have somebody in their 70s and they've been

38:39

retired for five or ten years how do I do the transition what you know is there

38:45

a talk track that kind of explains hey this is this is a new way we're going to do things

38:51

yeah and I I mean like I said I I've kept it very simple I do think it'd be that might be something even to write

38:57

down some some of those thoughts and exactly what I'm articulating when I'm going through that transition but I

39:03

really am focusing on just the risk in terms of that being the you know white software we've used before we're going

39:08

to solve for a reasonable level of risk and um you know try try to focus on that

39:14

being the time point between the two and most people in that case I mean it really hasn't been an issue and a lot of

39:21

my clients are in a situation where they're spending at a level even when we

39:26

run the numbers in income lab it's telling them they can spend more than they even necessarily want to spend so

39:31

it's not like it's a big issue of well wait a minute let's dial in this number it's just been kind of okay great and

39:37

that's partially just my clientele and where they're coming from um but in general I think that's uh it's

39:44

been an easier transition for me than maybe maybe somebody who has had a you know 70 probability of success result

39:50

and they're really focused in on a certain number and all that and I probably want to give some more thought to how I would articulate that

39:56

transition I've never had anybody blink at it do

40:02

you I tell them that this is software that I didn't have when we first got started and and I think this

40:09

is better for your situation and I've never had them blink at it

40:16

um we have in the past done a conversion from

40:21

e-money to write capital and that was certainly more um

40:27

cumbersome than of the the move from using just right Capital with them to

40:33

using income lab with them as well that I I didn't have anybody bulk at that and again but I also set the table with that

40:41

in saying from the beginning that probability of success number you

40:47

can disregard it um and I've also never had anybody blink at that when I showed them you know

40:53

they've got a 70 which is typically my

40:59

kind of threshold um probability of success and then when we go look you know the the median

41:05

answer is that they've still got you know 550 000 in today's dollars at 90.

41:12

well then that's not really that indicative is it um and again that has to do with the

41:19

you're not making course Corrections right capital's retirement spending smile is

41:25

something's wrong with it and I haven't gone into to set my own stages

41:31

um but that's another piece of it that's worth considering in in that income lab is built for retirement so those

41:39

the spending your understanding of how people spend in retirement is better

41:45

than something like run Capital which again is is a catch-all and none of this is to say I would tell anybody if you're

41:51

looking for General planning software um I would tell you to check out right capital for

41:57

price to what you get it's it's very compelling

42:03

so yeah and just everything you did not seek out three right Capital users and they did

42:09

not pay us for uh yeah that's that's true I didn't know that Keith they're um Derek

42:16

um we're gonna say that they used it so that's interesting I'm gonna

42:22

um it was great conversation I'm gonna uh just uh throw out a couple of

42:27

questions that we're getting in the in the chat here um oh hey uh Jason can I uh answer one I

42:35

saw and I'd love to hear what Derek says too um who's asking about social security optimization I've actually used every

42:42

one of those um and so you know when they did away with file and suspend

42:48

um it it became a little less you know ugly when trying to figure out those

42:54

things um I prefer the way that income lab shows it

42:59

um but all of them write capital uh maximize Social Security and Life Field I used to use light field before it was

43:05

just Social Security optimization um all of those will show it and get it

43:10

right um and and Derek may feel like because he said that he uses Max my Social Security he may say something that I

43:17

haven't even thought of um but I yes uh income lab will do it and

43:24

that is typically when I do the um the illustration of why we should do it I use income lab

43:31

and then each time as I'm trying to figure out exactly what we're going to do that year I'll use holistic plan if

43:36

it's not just readily apparent what we're going to do yeah

43:42

in case that whoever asked that question or others are not familiar with what it looks like I didn't come out I'm just

43:47

sharing this is the uh the the section that that you're referring to Jonathan

43:54

yeah so yeah I mean it's interesting that the the question of optimization is uh it's

44:01

a little bit like Roth conversions like it's it there's a healthy dose of art

44:06

um you know something can't really tell you exactly right the right answer I mean you'll know the right answer

44:12

um after everybody's uh in the ground right so

44:18

um one thing I think I don't know be curious if you ever talk about this with clients or if you just kind of figured

44:23

out ahead of time but you know the break-even age for example is one thing we're trying to help you with say hey

44:29

yeah you're if you go later you're typically going to have higher spending capacity I mean you just will you'll

44:34

have more of a retirement Hatchet to use you know Derek Derek's

44:39

comment there but you know there's some trade-offs right you're hitting your portfolio a little harder early on so do

44:47

you do you ever use this with clients or is this more a tool for you to to figure out Social Security you know actually I realized I answered

44:53

two questions at once um the Social Security if I need to show the break even if I get any pushback on

44:59

it I will use right capital for that uh if I get any pushback so they can see where the lines cross and and things

45:06

like that but most of the time unfortunately um the best I can do is get them to wait

45:12

to full retirement age no matter how many times I show them and talk through

45:18

all the stuff that Derek's talked about before and um and that you guys have talked about

45:24

if I can get him to wait till full retirement age great um a lot of times I have to show them

45:29

what damage they're doing to themselves by going at 62.63 now

45:35

um so I and I kind of conflated two things the Roth I will use income lab and show but for Social Security

45:43

when I have to I'll bust it I don't write capital and show kind of those where the two lines meet every single

45:50

one of them tells me well I'm not gonna live till 80. well you know I've got 80 year old clients that have been telling

45:56

me that for the last 10 years so I had we we had one client was still walking to our office at 92.

46:03

um so you don't know that and it doesn't matter about just you you have a spouse

46:09

so that matters because every single one of my male clients say they're going to Keel over tomorrow

46:14

but that their wife is going to live to 100 they've got longevity in their family well okay I'm not planning just

46:20

for you so we need to have that discussion [Music] I'll hit just to knock off some of these

46:26

questions quick we do integrate with custodians and with black diamond and Orion so

46:31

um those are there um there is by the way for 2023 uh improving existing

46:39

Integrations you know probably add a few more this year as well but it's a major

46:45

um thing for our um engineering team so uh we've had a I

46:51

think a really good discussion so far about integration strategy for advisors and

46:56

um you know where the pain points are Integrations are kind of a really important part of being efficient but

47:02

they also always bring out headaches as we've already talked about so uh and I

47:07

imagine that will always be true but that doesn't mean we shouldn't try to be as as good as we can

47:13

um let's see here and on the same point the conversion from TD to Schwab in the fall

47:20

that'll all if you have those Integrations those will work um perfectly well we are working on an

47:26

improved Schwab integration for when that happens but there won't um necessarily be anything for you to do

47:33

at that point um let's see here

47:45

so um trying to find one with the

47:51

most upvotes we have a comment if I can Justin just on that because we're

47:56

covering the Social Security um I do think I like in in my case I run into a lot of teachers that are part of

48:02

the main pension plan where weapon GPO are a concern and so that's when a lot of times

48:08

um you know to me there's kind of two different categories there's the simple the longer you delay the better you are social security case in which case I

48:14

just used income lab and then there's the with our web GPO survivor benefits

48:21

divorce benefits although there's more complex scenarios where I want to get all the numbers in make sure I'm not

48:26

overlooking something in another program my wife handles all of our teachers so she probably would have given a very

48:33

different answer than I did and and Derek's absolutely right teachers are

48:38

um and at least in Louisiana depending on the year you started you might have paid into Social Security or you might

48:44

not have you might be entitled to it when you didn't put in and so yes and so she is very cognizant of those issues

48:51

and Derek's absolutely right that those would become a pain and you probably should use something very specific for

48:58

those cases um oh I'll say one other thing by the way

49:04

um for all those specific one-off things um if you can find software that doesn't

49:09

require subscription and does more of a case by case like I used uh what is it

49:16

stockopter.com they changed their name for my clients with um instead of stock options so instead of having to pay for

49:23

a a full subscription it's it's more on a case-by-case holistic plan does that with the number of

49:30

um you know returns you upload and for anything where you're not going to be using it specifically and often like income lab

49:36

if you can find those I've made that mistake so many times um that uh that I always try to tell

49:43

people um be careful I I got into a 12-month contract with a company that we would all know if I said it and uh after 17

49:51

days I realized it wasn't going to work no no go no 12 months locked in so be

49:58

real careful Keith we've got a question here

50:04

um about efficiency tips and duplicate data entry

50:10

um as I said we're working hard here in income lab and I think we'll have some cool things this year to help with this

50:16

but it'll probably never be where there's just not ever duplicate data entry so any ideas tips there

50:23

yeah I I did see that uh question as well and

50:28

um I I think my honest answer is I'm I'm trying to figure it out um it is a pain point for me

50:35

um I live in a maybe a slightly different uh uh reality than say Jonathan or Derek and that I like I said

50:43

before I'm a younger first I I don't have that many clients and so I can

50:48

afford to do some things if inefficiently right now I know that's not going to last and so some of what

50:56

I'm doing right now I feel like I'm trying out different things to see okay what's what's worth the effort versus

51:01

what's not so I mentioned life Hub before um for my uh accumulator clients and so

51:08

um that is because I'm not otherwise using income lab that's just pure extra

51:13

data entry essentially in order to put in the pieces in there to in order to show life of and so um something that

51:20

I'm you know actively trying to figure out is that as I use it is that worth the extra data entry or is it not to be

51:27

able to show that to clients um so so yeah like I think uh like like

51:32

has been said before I think integration is a big part of it so I I custody with TD Ameritrade

51:38

um and so I do use the integration with TD Ameritrade to be able to feed accounts into income lab

51:44

um and write capital so that once set up is just a one-time thing and that's nice and automated uh but otherwise yeah

51:52

there is there is duplicate data entry between right capital and income lab right now for me

51:57

I do have to add clients do data entry in income lab like give them access to

52:02

life Hub and they can hit the plus and add things in I have not I've kind of

52:07

played with the idea maybe but I I uh haven't haven't got up the courage to

52:13

actually I mean they're trying to do a particular maybe age group or something who would even like to do that but yeah

52:20

quick comment on that um one for my my ongoing type clients where

52:26

um it is updating those account balances sometimes that I don't even have access to one efficiency thing I've found is I

52:31

used to try and do a lot of prep before the meeting now I'm just doing that in the meeting I'm usually pulling up

52:38

um you know like life Hub and saying showing the visual okay you know here's what we had for your 401k balance is

52:44

that accurate if it's not I can just click it enter um I guess it doesn't really solve the duplicate entry because that's still

52:50

after the meeting go up and clean clean other systems but for me just for

52:55

efficiently getting some of that information that isn't flowing in automatically um that's been one way this works for me

53:01

and I have had some more project DIY type clients that I have had them build

53:07

out their own plans and income lab first um or do the initial data entry and

53:12

that's worked well although again that's that's a very specific type of client that

53:18

I knew you know they're coming from vocal heads or other types of places where there are using similar software

53:25

um yeah I would say that there's honestly I don't know how much you can do about

53:31

the specific duplication um that you have to do I will say that once we knew that income lab was going

53:38

to be part of the stack we put everything into right Capital but we are aware of what's going to need to be put

53:44

into income lab and so kind of with the Social Security piece put everything in the right capital and then when you look

53:50

at what you actually have to put into income lab birthdays assets well now you've got

53:57

those and again depending on whether you want to link or not you can use basic

54:02

asset values and a basic asset allocation again it's not going to change things so dramatically if they

54:08

have 65 Equity instead of 55. you know it's not going to make a

54:14

huge difference there um liabilities for a lot of our retirees they don't have much in the way of

54:20

liabilities nothing very odd but you could and again I know that because it's in my Capital already

54:26

savings number same income already got it from my Capital

54:32

um expenses so once they're built out in right Capital putting them into income lab is

54:39

super simple and easy for me once we got to a point where we knew that's where it

54:45

was going that there's going to be a next stop for this information and so you get better

54:51

at understanding okay these are the things I know I'm gonna have to put in and thinking about how do they go in differently in income lab versus right

54:58

capital and no I do not have clients um fill it out on their own but that's

55:05

nothing to do with income lab or anything else I can't I've not had any success with

55:12

that and I don't know if it's it's probably me because other people do the questionnaires I know risk tolerance

55:18

questionnaires they're supposed to take uh on their own there's a behavioral aspect there they're going to give the answers that I think they think I want

55:25

them to give and so it's better to have them do it on their own can't get it to happen so I'd rather

55:33

um you know walk through with them um and I have used as Derek was saying asset map in the past they want to tell

55:40

you if there's something missing um life Hub action will absolutely do the same thing if there's a box missing

55:46

or they want to tell you about it because they want that number to go up on the screen

55:51

um so yeah I don't use any I don't let them put anything in but it doesn't seem too

55:57

bad once we're there on that point we have we have two questions that are in different areas but I think in the same vein which is a

56:04

lot of the tech you you said that you use um there are a couple areas where there

56:10

might be some overlap and it sounds like you have different solves for that one is uh tax smart distribution planning

56:16

and Roth conversions so you're gonna find some of those capabilities in right Capital you find it in the income lab

56:23

Tax Center another is mind mapping which you're going to find actually in all three red Capital Income lab and and

56:30

asset map a little bit different um with uh with red capitals um

56:37

I don't know what they call it now snapshot so just what's your thinking on

56:42

which one to use what what do you like about the you know the one that you use is there a way I I don't know just just

56:49

both in terms of Roth conversions do you once you're in retirement just use income lab I know there's always a list

56:55

to plan for the Tactical what exactly do we do but uh maybe address that overlap

57:02

yeah for the for the Mind mapping maybe I'll I'll take that one um I I prefer so

57:08

I haven't used asset map so I can't speak to that um I prefer life Hub over snapshot

57:13

um for two reasons number one life Hub um this is more of a personal thing but

57:18

I just like the look of it better um I like it kind of makes more a little more intuitive sense in that it kind of

57:25

starts in the middle and goes out for me as opposed to right Capital snapshot is just is more vertical goes down okay do

57:32

you mean blueprint and right because they've got the blueprint I'm sorry yes no I would I said snapshots totally

57:39

right yeah yep thank you blueprint um the other thing I like about life Hub is that it is much more Dynamic so

57:46

blueprint is a is a snapshot I guess it's it's it's a just a one-time thing

57:51

life Hub you can um you can bring it to the you can

57:57

explode them so to speak so you can bring it to just four boxes only assets liabilities and income and expenses I

58:04

think then you can bring it out to the next level and then you can bring out to the next level so you can control how

58:09

much detail you're seeing which I like and then also you can um play with if you want to look at

58:14

timeline as well you can say okay this is what it looks like right now there's a slider up on top you can move it this

58:20

is what it might look like in five years when this expense pulls off and you add

58:25

the the lake house or whatever it is right so like I like it's much more Dynamic than red capitals

58:32

makes sense we got two more minutes anybody else have thoughts on either that or the rock conversion side

58:43

Oh Derek yeah uh real quick on the Ross conversion sometimes I will run it in multiple

58:49

programs just as like a double check of overall strategy and make sure wait is did I more not software error but like

58:57

user error did I put something in wrong so sometimes I do that but um yeah I lean more towards income lab for my Roth

59:04

conversion analysis makes sense um Randy asked about altruist we do have

59:10

a list of other firms that we're working on Integrations with that altrist is on that list

59:17

um yeah I think that's uh We've we've hit

59:22

most of the questions that that we can uh and the 30 seconds left I guess I'll

59:27

just uh say thank you again to our our panel this was very um you know very real conversation about

59:34

actually running a business and and um working with clients and things so I hope that uh everybody found it really

59:39

helpful I'm really uh grateful for everybody um attending and grateful for our our

59:45

panel sharing their uh their wisdom and experience with everyone so so thank you

59:50

and um we will see you next month um at uh at lab talk Tuesday just for

59:58

everybody the retirement income Intel which is this one um will be um I believe on a Thursday next month

1:00:06

instead of a Tuesday um since I'll be at a uh the Morning Star conference so if anybody's at Morningstar in Chicago next uh next

1:00:13

month uh hopefully we could meet up um but again thank you everybody and uh

1:00:19

we'll see you again soon Hey Taylor or Justin I've got a technical question can you have somebody call me

1:00:24

um absolutely perfect