The DB Option Cost Analysis provides a quick comparison between the incomes provided to the primary beneficiary between two options. For this screen to be available, the current client must have a defined benefit plan with at least two options visible.
The prompts are discussed below.
Primary Option
The Primary Option is the option with a higher income than the Secondary Option. The Primary Option may not be the primary option of the DB plan (often named "Option 1"), but rather the option with an greater income compared to the alternative option.
| Note: | The option with the lowest initial monthly income will not be available in drop down list. |
Secondary option
This is the option with the lower initial income for the client. The option with the highest income will not be shown in the drop down list.
Include accumulated difference with interest
The grid shows the accumulated difference in income. To include an additional column that applies a rate of return to the difference, check this box.
Rate of return
Enter the rate of return to be applied to the "Accumulated Difference with Interest" column.
