Withdrawal Plan
Categories: Banking
An unreliable form of birth control.
Also, a term related to the use of investment funds.
You have money in a mutual fund. It's (hopefully) growing in value all the time. If you've got a long time until retirement and no other need for the money, the funds probably just go in one direction. Money goes in, and then stays in the fund. No withdrawals.
But eventually, you'll need to take money out. You'll reach retirement, or your kids will be ready to go to college, or you'll have to start repaying that loan shark who's been threatening to break your kneecaps.
Whatever the reason, you need a withdrawal plan. This arrangement lets you take money out of the fund at pre-set times. It becomes part of your investment scheme. Money might still go in, but some comes out at regular intervals as well. Planned withdrawals...or you might say: a withdrawal plan.