InvestmentNews readers and audiences of my webcasts and public speaking events often ask me which Social Security software program is the best for helping to make claiming decisions. While there are several good programs available for a fee, the “best” depends on how you want to use the tool — and how much you are willing to pay for it.
Today, I want to share news about one of the popular Social Security claiming tool, Social Security Explorer. Launched in 2012, the program's manufacturer, Impact Technologies Group, is unveiling its new and improved fourth-generation program along with a name change — Social Security Pro — on Oct. 1.
The decision of how and when to claim Social Security benefits can be complicated, particularly for married couples where both spouses have earned retirement benefits independently and may also be entitled to a spousal benefit. There are often opportunities for savvy advisers to help their clients engage in creative claiming strategies to maximize benefits over two lifetimes — including how to reap 8% gains per year by postponing benefits beyond full retirement age up to age 70.
Over the past few years, several software manufacturers and training programs have stepped up to the challenge, offering financial advisers tools and guidance to help their clients make the right claiming decision.
Now Impact Technologies Group is stepping in with a new and improved version of its existing product.
Doug Brisco, director of business development for Impact Technologies Group, recently gave me a personal tour of the new Social Security Pro tool. The display is sized to fit on an iPad or tablet and client inputs can be updated from a smartphone.
Some of the improvements are minor, but helpful nonetheless. For example, the initial screen asks about marital status to streamline the process, and if you include a client's age as 62 or older, the program will ask if you have already claimed benefits. You can include your client's first names, rather than “Spouse 1” and “Spouse 2,” which makes for a more personalized client report and clearly states when each spouse should contact the Social Security Administration and specify how to word their request for benefits.
The new version allows you to generate cash flow statements and cumulative benefits in present or future value. It also allows you to compare up to four claiming strategies side-by-side.
Subscriptions to Social Security Explorer have been available for $249 per year. The new Social Security Pro will cost $295 per year, but discounts are available on the new program through next Monday at
Client First Financial's website. Both versions come with a live helpline and weekly training webinars.
Existing Social Security Explorer customers have been upgraded to Social Security Pro at no additional cost. The older Explorer version will disappear from retail adviser subscriptions on Sept. 30 but will still be used by many advisers though corporate arrangements with companies such as Mass Mutual and Allianz, according to Mr. Brisco.
During a recent Client First webcast, a financial adviser with more than 30 years in the business explained how using Social Security Explorer has helped him expand his retirement-income focused practice. Identified only as Dale from Wisconsin, the adviser said his Social Security workshops for clients and prospective clients has boosted his assets under management by about $4 million over the past year.
“Social Security is one of the biggest resources for all retirees,” stated a recent report from Hearts & Wallets, a leading financial services research firm, on the status of retirement advice. “Helping people decide how and when to take Social Security [is} a big area of opportunity.”
(Questions about Social Security? Find the answers in my new e-book.)
