To balance the equity, you will need to make certain adjustments. 

Remember that Insight is simply taking the projections you originally entered, and moving them across the five year period.   You will need to make adjustments to the projections in order to make them realistic for your credit union.

Here is an example:

In the chart shown below, the user entered a Long Term Capital Goal of $80,500,000.  The % of Capital is 12.76%.  According to the figures entered on the Growth Chart, the capital needed annually to achieve the 12.76% is $616,000.

Notice also that the F-5YR Sheet reflects the $80,487,274 in total assets projected on the Growth Chart (middle column of the Asset Growth Rate section, on the Dec 2009 line).  This projection can be changed by altering the 8% growth rate on the Growth Chart.

Equity and Assets will not balance with the Growth Chart’s 5 year goals if the Income Statement does not have the proper amount of net income for the 5 year period.  You will need to either adjust the growth chart, or adjust the income on the (In-5yr) sheet.

There are other variables that you need to consider as you build the five year projections, for example, loan interest might be different, or you might be building a building, etc.  (If you are adding a branch for instance, you will probably need to increase the fixed assets on the Balance Sheet and increase operating expense on the Income Statement for the 5 year planning.) 

Making these types of adjustments in your Five Year Balance Sheet (F-5yr) and Income Statement (In-5yr) will make the figures more realistic and accurate.