Stay Connected... Click here!

Financial Planners Reluctant to Give Money Back

I don't have a great story, but just a question and did not know where else to put it.


Am I correct in my feeling that it seems financial planners/investors are reluctant when the time comes that we want to get a cheque back from them instead of us always just giving them our money?

We are in the process of retirement and I have asked that our investor make a plan and when it is to start.

Everytime I speak with the investor, I get messages that are saying: Don't take too much of your money....maybe you can find another job after you retire.....be careful about what you take out because it will affect your taxes alot.....the messages just seem to be creating fear in us. We have a good amount of money saved and there should not be so much fear attached to us requesting a monthly amount.

Is this a typical experience?

Wendy: Without your ages and full situation, nobody can really answer that question.
To me, the financial planner has a liability to keep your money safe, even from you (grin!) My parents still have money invested with their financial planner, and they are in their mid-80s... they hope never to have pulled it all and have nothing left.

Financial planners are paid, in part, to be cautious. You can take their advice, or not... but their job is to warn you when you choose to take more than the norm. They are paid to assure that you have funds for your entire life, they know the historical risks, they know the tax advantages. They also take your phone calls when you don't have enough left to take the amounts you need for life. Finally, they may know you have enough today - but they realize how quickly one stock market hit can affect your investment.

Here is the Stock Exchange chart from 1900 - 2012. Look at the last ten years and the few big hits we took. Many lost half of their investments during a hit, and if you are older, there is no time to make back your money... you simply live on less for the rest of your life. Right?

If you really don't want them controlling your assets, you can always take a withdrawal and put into an IRA with your local bank or credit union. You will earn less, but you can take all you want when you want. Nobody has any liability for your funds that way.

Having said all that -- you SHOULD be totally comfortable with your Financial Planner. If you are not, meet with others until you find one you really trust. There are plenty out there -- find one that really matches your own personality and investment ideas.

Best Wishes!

Comments for Financial Planners Reluctant to Give Money Back

Click here to add your own comments

financial planners don't want to give your money back
by: Anonymous

Thanks Wendy, Your response to my question was great! I feel much better and I do like our financial planner....but now i understand a bit more of her responsibilities with the way you explained this to me. Thanks again!

Click here to add your own comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Money: Income and Expenses.