In this video, we will walk through how to set withdrawal limit on liquid assets in Voyant.
Transcript
Withdrawal limits allow you to control how and when money is pulled from specific accounts in a client’s plan. This is especially useful when modeling emergency funds, tax-advantaged accounts, or accounts with a defined withdrawal strategy.
In this article, we’ll walk through how to apply withdrawal limits using two common examples: a traditional savings account and an employer-sponsored, tax-deferred account.
Setting Withdrawal Limits on a Savings Account
To begin, select the plus (+) button in the bottom-right corner of the screen and choose Savings & Investments, then select Savings.
In this example, we’ll model a savings account as a true emergency fund.
Enter a balance of $20,000
Set the interest rate to 3%
Leave contributions set to zero
Next, set a Withdrawal Limit for the account. You have two primary options:
Do Not Allow – Prevents the software from pulling any funds from this account
Minimum Balance – Prevents the account balance from dropping below a specified amount
To protect the emergency fund, select Minimum Balance and enter $20,000. This tells the software that funds in this account should not be used once the balance reaches that minimum. Click Done to save.
Using Scheduled-Only Withdrawals for a Tax-Deferred Account
Now let’s look at an example where you want to apply a specific withdrawal strategy.
Select an employee-sponsored, tax-deferred account and set the Withdrawal Limit to Scheduled Only. This tells the software not to withdraw any funds from this account unless those withdrawals are explicitly scheduled.
To schedule withdrawals, navigate to Planned Withdrawals and add a new withdrawal.
Give the withdrawal a name
Enter either a fixed amount or a percentage
In this example, set the withdrawal to 4%, recurring
Update the Timing so withdrawals begin when the client retires and continue through the end of the plan. Click Done to save.
With the withdrawal limit set to Scheduled Only, the software will now pull funds from this account only according to the planned withdrawals. These scheduled withdrawals will appear highlighted in yellow, making it easy to see that they are the sole source of distributions from that account.
Why Withdrawal Limits Matter
Withdrawal limits give you greater control over:
Protecting emergency funds
Enforcing intentional withdrawal strategies
Preventing unintended use of tax-advantaged accounts
By applying the appropriate limits, you can ensure the plan follows the strategy you and your client have agreed upon.
Need Help?
If you have any questions, you can reach out to support directly through the software. Click your client’s name in the top-right corner, select Request Support, enter your question, and share client access so the team can assist you.