I recently came across a post from an early retiree who used AI and public data to calculate his chances of running out of money. The retiree enjoyed the challenge and, like many finfluencers, concluded that financial planners were unnecessary - their fees, they argued, would only reduce his odds of success.
It raises an interesting question: in the age of AI, do we still need financial planners?
Statistical models are susceptible to assumptions, especially those estimating “likelihood of success.” Like self-diagnosing with Dr Google, DIY financial modelling can be risky. For now, financial mathematicians still hold the advantage - through access to better data and a deeper understanding of how to interpret it.
After three decades of helping people retire, I know that arriving at retirement with enough money and confidence is often the most complex challenge. Studies consistently show that those who plan and seek guidance accumulate twice to three times as much wealth as those who don’t. My experience bears this out: very few people build sufficient wealth without some guidance along the way.
The belief that investors can easily capture market returns by investing in indices is also questionable. Dalbar’s 2024 study found that investors earned, on average, 8.5% less than the market because they traded in and out at the wrong times. This “behaviour gap” remains one of the biggest reasons advisors will stay relevant - technology cannot correct human emotion.
Various research studies also show that sound financial advice adds roughly 3–5% per year through tax planning, efficient withdrawal strategies, and behavioural coaching. Yet the most significant value of advice often appears later: retirement is not a static phase. It brings health shocks, family responsibilities, and shifting goals. Balancing liquidity, cash flow, and tax efficiency while understanding the emotional and relational issues behind the numbers is not something AI can yet replicate with empathy or nuance and perhaps never will.
In addition, as clients age, confidence and decision-making often decline. Families find comfort in knowing that a trusted planner is watching over the bigger picture, providing continuity, reassurance, and perspective.
There will still be a place for human planners long after AI replaces the models we use. Financial planners increase the likelihood of a successful and sustainable retirement.
Perhaps most importantly, time is precious. Early retirement is a golden season—while you’re healthy, adventurous, and together. Spending that time running models might be interesting, but you may miss out on life itself.
It brings us back to the purpose of money. The capital you’ve built is for the life you imagined. My priority is to ensure that clients live that life - because without that, retirement planning is meaningless.
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Kind regards,
Sunél