Schwab Streamlines Operations: What These Account Management Updates Mean for Advisors & Their Clients

Charles Schwab recently announced updates to its account management processes, namely permitting digital checkbook requests, simplifying standing instructions, and allowing advisors to make tax withholding updates on a client’s behalf without requiring a signature. On the surface, these changes may seem foundational but make no mistake they can greatly improve your operational efficiency and your client’s user experience. Let’s dig into these updates a bit more to give you a better sense of why they are so significant.

No more wet signatures for check-writing privileges

Imagine you're in the middle of a busy day, juggling client onboarding and preparing for an important meeting. Suddenly, a request for check writing privileges lands on your desk, adding yet another “to do” to your packed schedule. In the past, this meant sending multiple digital documents and then requesting a separate PDF for a wet signature—a process that inevitably frustrated clients and created unnecessary administrative friction. 

Now, with the elimination of standalone wet signature requirements, the entire client onboarding experience has been transformed. This update means no more asking clients to print, sign, and return separate documents in an era where digital convenience is expected. It is 2025 after all.

Aggregating all paperwork into a single, streamlined digital workflow goes beyond saving time; it respects your the valid expectations of your client of seamless, efficient financial interactions. The result? A smoother onboarding process that reduces administrative burden and eliminates the frustrating bottlenecks that have long plagued financial service interactions.

Single signer standing instructions for trusts

Schwab’s simplification of standing instructions for trust accounts eliminates the need for multiple trustee signatures—a common bottleneck when dealing with inactive co-trustees like spouses who are less involved in financial management. Requiring authorization from only one trustee reduces delays and prevents missed opportunities like backdoor Roth contributions. Still one lingering question remains: When will Schwab extend this simplified approach to joint accounts, where both account holders must still e-sign and authorize?

DIY tax withholding elections

Schwab’s update to Tax Withholding Elections, also known as TWEs, is a significant advisor breakthrough, which does away with the previous bureaucratic maze of multiple forms and client authorizations for new and existing accounts.

Previously, setting up MoneyLinks, processing RMDs, or executing strategies like backdoor Roth conversions and QCDs required navigating complex paperwork and obtaining client signatures—even though clients had already granted broad investment management permissions. Redundant much?

Now, advisors can independently update TWEs with a simple "Edit" button, bypassing client re-authorization in most states and dramatically reducing administrative headaches. This enhancement not only streamlines account management and last-minute transactions but also empowers advisors to act more efficiently, ultimately improving the client experience and allowing focus on higher-value advisory activities. Wins all around!

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Schwab’s progressive updates are encouraging for the collective advisor community, and they are a jumping off point to continue finding more ways to maximize practice efficiency. That’s why financial advisors may consider the benefits of partnering with an experienced operational support team including:

• Staying Current with Regulations: An operational partner experienced with Schwab processes, procedures, and rules ensures that advisors stay up-to-date and confident within a complex regulatory environment.

• Streamlining Workflows: An ops partner can integrate new workflows and leverage technology to automate tasks, improving performance and efficiency.

• Providing Client Support: Such administrative and operational support includes onboarding, account setup, and ongoing maintenance, as well as assisting clients with accessing their Schwab Alliance accounts and other client portals like RightCapital and Tamarac.

• Ensuring Compliance: While an ops-based partnership cannot guarantee total compliance, it helps advisors navigate essential regulatory requirements and maintain basic compliance standards that many firms overlook.

  
  

These updates may seem overdue, but innovation and digital transformation are tricky bits in the highly regulated financial services space. They are a sign that the needs of RIAs are on notice and that the industry is keenly aware of the importance of offering a dynamic client experience. By embracing these changes and leveraging the expertise of an operational support team, financial advisors can enhance their efficiency, continually improve the client experience, and position themselves for continued success in the marketplace.