If you’re approaching retirement or navigating life’s financial complexities, you’ve probably wondered: “What exactly does a financial planner do—and can they really help me?”
After 35+ years of advising pre-retirees and retirees, I can confidently say: Yes, a qualified financial advisor can be a game-changer. Whether you want to know how much you can spend in retirement, ensure you don’t outlive your money, or create a plan that reflects your goals and values, the right planner can help you get there.
Let’s explore what financial planners actually do, the types of advisors you might encounter, and how to choose the one who’s right for you.
What does a Financial Planner Do?
A good financial planner is more than a money manager. Think of them as your financial GPS—helping you understand where you are now, clarifying where you want to go, and mapping out how to get there.
Here’s how a qualified financial advisor can help:
- Clarify your short- and long-term financial goals
- Create a personalized, comprehensive plan
- Optimize your investment strategy based on your risk tolerance
- Coordinate key areas such as taxes, retirement income, insurance, and estate planning
- Provide ongoing support and adjustments, as your life changes
Most importantly, a financial planner becomes your thinking partner—helping you make smarter decisions with clarity and confidence.
Core Services a Financial Planner Offers
Let’s break down the primary services a reputable financial planner provides—especially for individuals in the 50–65 age range preparing for retirement.
1. Comprehensive Financial Planning
This is the foundation. Your planner will assess your current financial picture—including income, expenses, assets, debts, insurance, retirement accounts, taxes, and estate planning—to design a strategy tailored to your life goals. It’s not one-size-fits-all; it’s personal and strategic.
2. Investment Advice and Portfolio Management
Whether you’re still growing your assets or shifting to a preservation and distribution strategy for income, your advisor helps ensure your investments are aligned with your goals—not market trends or hype. This includes portfolio allocation, diversification, and risk tolerance assessments.
3. Retirement Planning
This is where many clients begin. A Certified Financial Planner™ (CFP®) can help you estimate how much you’ll need to retire, how to draw down assets tax-efficiently, and how to create income that lasts your lifetime.
A solid retirement plan will address some big questions, such as:
- How much will I need to retire comfortably?
- How do I generate lifetime income?
- What’s the most tax-efficient way to withdraw funds?
A solid retirement plan gives you clarity—and peace of mind—that you won’t run out of money.
4. Estate Planning Coordination
A good advisor collaborates with your attorney to make sure your estate documents are in order, your assets are properly titled, and your beneficiaries are up to date. They make sure your legacy is protected, and your wishes are honored.
5. Tax Planning
Taxes can erode your wealth if you’re not careful. Financial planners help reduce tax liability through smart withdrawal strategies, charitable giving, and investment tax optimization—especially critical in retirement.
6. Insurance Planning
Too often, this piece is overlooked. But insurance—whether it’s life, long-term care, or disability—is key to protecting everything you’ve worked so hard to build. An advisor ensures you’re properly covered, not over-insured or under-insured.
7. Ongoing Advice for Life’s Transitions
A qualified advisor can help you navigate and plan for other areas, depending on your unique situation.
Types of Financial Advisors—And Who You Should Trust
Not all advisors are created equal. Understanding the different types can help you make a better choice.
1. Certified Financial Planner (CFP®)
A CFP® is held to the highest standard of care. They’re fiduciaries—meaning they’re legally obligated to act in your best interest. They’ve completed rigorous education, experience, and ethics requirements. I strongly recommend working with a CFP® if you want a holistic , strategic approach to your financial life.
2. Wealth Managers
These professionals often work with high-net-worth individuals and may offer sophisticated estate and tax planning strategies. Some provide full-service planning, others focus primarily on investments. Always ask if they’re a fiduciary.
3. Insurance Agents and Brokers
Some financial professionals are licensed only to sell insurance. While insurance is important, it shouldn’t be the sole focus of your financial plan. Be cautious here—these advisors are often not fiduciaries..
4. Fee-Only vs. Commission-Based Advisors
This distinction is important.
- Fee-only advisors are compensated directly by you, not for selling products.
- Commission-based advisors earn money when they sell investment or insurance products.
- Some use a hybrid model. If they’re a fiduciary, how they’re paid matters less—as they must act in your best interest.
The most important question to ask is: “Are you a fiduciary at all times?”
Why Work With a Financial Planner?
You might be asking: “Can’t I just do this myself?”
Sure—you can read books, follow blogs, and use retirement calculators. But without the right strategy, experience, and coordination, you may end up second-guessing your decisions or missing critical details.
Here’s what a good planner provides:
- Clarity: You understand where you stand financially.
- Direction: You know the next best steps to take.
- Accountability: You have someone keeping you on track.
- Confidence: You make decisions without fear.
- Freedom: You stop worrying and spend more time doing what you love.
As a CFP, I’ve helped countless clients go from wondering if they could retire, to living a financially secure, purpose-filled life. That transformation starts with a solid plan.
What Makes a Good Financial Advisor?
If you’re hiring someone to guide your financial future, you deserve someone exceptional.
Here’s what to look for:
- They listen more than they talk.
- They ask great questions—not just about your money, but your goals, values, and dreams.
- They educate and empower you, rather than sell products.
- They offer a comprehensive plan, not just piecemeal advice.
- They help coordinate your plan with your CPA, attorney, and other professionals.
- They always act in your best interest—as a fiduciary.
A great advisor doesn’t just help you grow your money. They help you design a life you love.
How to Choose the Right Financial Planner
Here’s a step-by-step approach:
1. Define Your Needs
Are you focused on retirement planning? Reducing taxes? Estate planning? Knowing what you want makes it easier to find someone who specializes in the area you need support.
2. Check Credentials
Look for a CFP® designation or fiduciary. Use resources like FINRA’s BrokerCheck to confirm registration and disciplinary history.
3. Find Someone You Trust
Ask about their approach, experience, and how they’re paid. Do they make you feel informed and confident—or confused and sold?
4. Ask Smart Questions:
- Are you a fiduciary?
- How are you compensated?
- What services do you provide?
- Will you deliver a written plan?
- How will you coordinate all aspects of my financial life?
5. Ensure the Right Fit
Chemistry matters. You want someone who understands your lifestyle, listens to your concerns, and clearly outlines your roadmap to success.
A Financial Plan Is More Than a Document
The best financial plans are living, breathing strategies that evolve with your life.
A planner should help you:
- Determine how much you can safely withdraw in retirement
- Decide when to claim Social Security
- Reassess your insurance needs
- Adjust your investments based on your goals and time horizon
- Reduce taxes through proactive planning
With the right advisor, your financial plan becomes your GPS to a secure, fulfilling life.
Financial Planning vs. DIY: What’s the Risk?
Many people believe they can “figure it out” on their own. And some can. But what I’ve seen time and time again is that even smart, capable individuals make costly mistakes—often due to emotional decisions or lack of coordination.
It’s not about intelligence—it’s about expertise, objectivity, and experience. A good planner brings all three.
Think of it this way: you wouldn’t perform your own heart surgery. Why treat your financial future with any less care?
Conclusion – “What Does a Financial Planner Do and How Can They Help You?”
If you’re approaching retirement—or simply want clarity and confidence in your financial future—now is the time to get help.
A financial advisor can help you:
- Replace your paycheck with guaranteed income
- Protect your family with the best insurance product
- Lower taxes and keep more of your money
- Build a lasting legacy for the people you love
- Live a life you love—free from financial stress
Your financial future is too important to leave to chance. With the right plan, the right advisor, and the right mindset, you can live a secure, fulfilling, and empowered life.
And that’s a life worth investing in.
Disclosure
MillionaireSeries.com® copyrights all materials. This content is for educational purposes only and should not be considered financial, investment, or tax advice. Always consult a professional for your specific needs.
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