One of the biggest misconceptions about financial advisers is that you have to have a lot of money before you qualify for or require their services. But in reality, the opposite is true: it’s never too early to ask for advice on managing your finances. Here are 5 good reasons to work with a financial adviser:
It’s not an honorary job description.
Just as you wouldn’t trust just anyone to look after your health, you shouldn’t entrust your earnings to random people. However, there are no financial advisory courses in Philippine universities, meaning that a large number of so-called advisers are people familiar with financial rules and regulations (such as lawyers or accountants) or affiliated with insurance agencies trying to sell you a plan. Since 2005, there has been a Registered Financial Planner program that is tasked with training and certifying professionals in personal finance and financial services, ensuring that their members are fully qualified to advise you on how best to handle your assets.
You don’t need a lot of money to need or to engage a financial adviser.
For many people, a financial adviser is someone you hire when you have millions in the bank and don’t know how to manage your fortune. What those people don’t realize is that everybody starts somewhere, and managing your resources early on is precisely what will help you make those millions in the long run. Your advisers’ job is to use their knowledge of financial systems and laws to help manage what you have in order to make your money work for you.
A good adviser helps you plan for your future
We’ve all heard about weighing our purchases based on needs and wants, but being consistent about it can be easier said than done. While a good financial adviser is someone working to make sure your money will work with you in the long run, you have to be willing to listen to them; they’re a partner, not a parent. Trust us, when you’re sitting in the condo you paid for with your own money, you’ll be glad you had someone watching your back along the way.
It’s not about insurance or investments – it’s about organizing your financial life
When most people hear the term “financial adviser”, they associate it with someone trying to sell them insurance. While it is true that the role of insurance officers has evolved in recent years to include full financial planning, not every financial adviser is trying to sell you a life plan, and not every adviser is out to make you invest in something. Good financial advice is tailored to each person’s specific needs, earning capacity, and lifestyle, so what works for one person may not be applicable to the next. It’s your adviser’s job to know what’s best for you.
If you’re starting out, there’s a manual
If you’re still not sold on the idea of a financial adviser, there is a handy guide called “My Path to Financial Planning” powered by Avida, which will help you develop the qualities you need to develop your being financially responsible to becoming financially independent. Featuring the combined experience of five Registered Financial Planners, the guide is designed to make financial planning more accessible; think of it as having an adviser in your pocket that you can pick up today – it’s never too early to invest in your future!