5 tips for creating cashflow plans with CashCalc

With our award-winning and market leading tool, you can create powerful and engaging lifetime cashflow plans which will bring your client’s financial situation to life. Here are our top 5 tips to help you when creating cashflow plans with CashCalc:

1. Use realistic assumptions

2. Utilise the timeline feature

3. Clone your cashflow plans

4. Create bespoke variable growth templates

5. Conduct stress testing

1. Use realistic assumptions

From entering an inflation rate to choosing the growth rate of savings pots, the cashflow plans you create are driven by the assumptions you input. It is therefore important you keep them as realistic as possible to ensure they accurately depict what might happen in the future.

2. Utilise the timeline feature

Add your client's life events to the timeline (such as desired retirement age) and link incomes, expenses and other transactions to that event. Then, by simply moving the event along the timeline, you can model and demonstrate what-if scenarios such as, 'What if I retire 2 years earlier?'

3. Clone your cashflow plans

To save you creating several scenarios from scratch, you can simply clone any cashflow plan you create for a client. We therefore recommend the first cashflow plan you create should be your client's current situation, from which you can clone (make an exact replica) and tweak.

4. Create bespoke variable growth templates

With any savings pot you add, you have the option of applying linear or variable returns. However, you can also create and apply your own variable growth templates, based on the historic performance of your funds of choice. This helps make the cashflow plans you create even more realistic and personalised.

5. Conduct stress testing

It is vital to demonstrate what might happen in the event of a market downturn. With CashCalc, you can stress test the cashflow plans you create by simulating a market event using historic information, or running stochastic Monte Carlo simulations.

Next steps:

There are lots of other useful features within our Cashflow Modeller which can really help you when creating cashflow plans with CashCalc, from utilising the ‘quick-add’ buttons when building your cashflow plans to demonstrating the ‘Meet a goal’ feature live with clients.

If you’d like to find out more about how to get the most out of the Cashflow Modelling tool, book an online demo with a member of our support team today. You can either join a free group demo, or you can book a tailored 1-to-1 demo and go through everything you wish to discuss in detail.