We regularly ask AI the same question to test their progress and see if we can use AI, and/or whether they are “eating our lunch”. Will they produce financial planning solutions that are better and/or cheaper than ours.

We recently included Gemini (used to be Bard), Claude and Perplexity to see if the new comers had a better handle on things. We also included a “trend” indicator, measuring whether the latest version does a better or worse job than earlier versions.

The calculations are well within a high school students capability as is the methodology. The question we ask is;

“I have $300,000 in my superannuation and will retire in 10 years’ time with only employer contributions on a salary of $120,000 pa. I will need $60,000 a year in retirement. How long will my superannuation last?

These are the results of the latest test on 5th April 2024. They make it clear that despite the hype AI is not a capable tool to use for financial planning. A little more disturbing is earlier versions did a much better job. The trend is downwards.