If you’ve ever wondered whether a financial advisor is worth it, the answer might surprise you.
They do a lot more than just manage investments — the best advisors can offer guidance tailored to every stage of your financial life.
Here are seven powerful ways financial advisors can help you take control of your money and build a solid foundation for the future.
1. Craft a Realistic Budget
Want to finally get a grip on your spending? A financial advisor can help you create a personalized budget that aligns with your goals.
Whether you’re saving for a big vacation or trying to buy a home, they’ll help you figure out how to balance your expenses and savings without feeling deprived.
Pro Tip: Earn as much as possible on your emergency savings. SoFi Checking is offering 4% interest, plus a potential $300 signup bonus.
2. Plan for Retirement
Saving for retirement can feel overwhelming, but a financial advisor makes it manageable.
They’ll analyze how much you’ve saved, identify gaps, and create a strategy to help you reach your ideal retirement lifestyle. Even if you’re starting late, they can help you make the most of what you have.
Pro Tip: If you’ve got more than $100,000 in savings, this might be a good time to get some advice from a pro. SmartAsset offers a free service to match you with a fiduciary advisor.
3. Manage Your Debt
Debt holding you back? With a smart, structured plan, an advisor can show you how to pay off credit cards, student loans, or any other debt.
They’ll work with you to create strategies that can eliminate your debt and ensure you stay out of it for the long term.
Pro Tip: If you have over $20,000 in debt, National Debt Relief is a trusted source for free advice and assistance.
4. Save for Your Kids’ Education
The cost of college is significant, but a financial advisor can help you navigate savings options like 529 plans or other education savings accounts.
They’ll guide you on how to fund your child’s education without sacrificing your own financial goals.
Pro Tip: Consider a Health Savings Account to complement your education savings. Lively HSAs are a great option if you have a high-deductible health plan.
5. Optimize Your Taxes
Nobody likes paying more taxes than necessary, and financial advisors know how to help you keep more of your money.
They can work with your tax professional to identify deductions, optimize charitable donations, and even implement strategies like tax-loss harvesting to minimize your annual tax liability.
6. Navigate Estate Planning
Whether you’re looking to leave a legacy for your loved ones or support a charitable cause, financial advisors can help you develop an estate plan that reflects your values.
From setting up trusts to efficiently transferring wealth, they’ll help ensure your wishes are fulfilled.
Pro Tip: A home equity loan can also fund estate planning needs. See how much you can get and start planning today.
7. Prepare for Long-Term Care
Many people put off planning for healthcare later in life — but it’s critical. A financial advisor can help you choose the right long-term care insurance or create a plan to cover potential healthcare expenses without derailing your financial goals.
Pro Tip: Medicare doesn’t cover long-term care. Click here to explore long-term care insurance to protect yourself and your family.
Take Charge of Your Financial Future
Financial advisors aren’t just for the wealthy but for anyone who wants to make smarter money moves.
By providing personalized guidance and expert strategies, they can help you achieve your goals faster and with less stress. Whether you’re just starting out or planning your legacy, the right advisor can make all the difference.
