In a capitalist world, managing your money and what you do with it is probably even more complicated than just making it. Lots of people have a steady source of income, but they don’t know how to invest or save it to create long-term wealth.
This is where money advisors or financial advisors come into the picture. Money advisors are highly skilled people in the finance industry who advise people on money matters. These professionals often have advanced degrees for being qualified to help in this field.
- What Does a Money Advisor Do?
- Money Advisor Job Qualifications
- How Much Do Financial Advisors Make?
- Where to Find Jobs as a Money Advisor
- Why Become a Financial Advisor?
- Be Your Boss
- Are There Any Downsides to Becoming a Financial Advisor?
- How to Become a Financial Advisor
- What to Consider Before Becoming a Money Advisor
- Why Hire a Financial Advisor?
What Does a Money Advisor Do?
Several people take loans and stay in debt for long periods, not knowing how to clear it off.
As a result, they either start paying too much to get it off early and then can’t make ends meet or stay in debt for long years by paying too little and racking up more interest.
You may be wondering what exactly these professionals do day to day. While a career in a financial field seems straightforward, what money advisors do is pretty nuanced.
A typical day in the life of a money advisor could include such tasks as the following, along with many more.
What Do Financial Advisors Do?
The first task of advisors is giving financial advice and discussed individualized financial information to clients.
Then, writing up financial plans, financial reports, summaries, and projections for clients to help them organize their money.
Along with that, analyzing financial data and contacting clients with growth plans.
Money Advisor Job Qualifications
Bachelor’s degrees are the minimum qualification for someone who wants to be a financial advisor.
These careers require a deep understanding of the financial spectrum, and a Bachelor’s degree in finance, economics, statistics, accounting, or business is a prerequisite.
Besides this, several money advisors choose to go for their Master’s degrees in specializations to give them an advantage over the competition.
These specializations can include areas like planning, wealth management, and taxation.
Certificates for a Financial Advisor
Several certifications can be undertaken before starting a career in this field.
These include CFP (Certified Financial Planner) and ChFC (Chartered Financial Consultant). Salaries for certified advisors are, of course, higher.
How Much Do Financial Advisors Make?
Money advisors are some of the highest-paid people in the corporate world.
Since their entire field has some connection to wealth development and investing, it is natural that their pay reflects the same.
The latest average annual salary of a financial advisor is $265,381. The lower end of the salary range starts at around $53,368 per year, and the upper range can go up as high as $477,395 per year.
You can check out more salary details for these professionals on the Bureau of Labor Statistics website.
Applying for a Higher Salary
Financial advisors are highly paid.
If you have the required education and certifications necessary for becoming one, there are several places you could apply for this role online.
Where to Find Jobs as a Money Advisor
Money advising as a job will always be in demand in the market, and even people who do not want to work as advisors take to this field to understand the workings of the economy.
If you want to apply for this role, you can use these methods. Just a simple Google Jobs search will obtain results from major recruiting websites and give you a curated list of jobs.
Check out money advisor jobs on Google Jobs.
Indeed is one of the biggest recruiting agencies in the United States, and you can filter out your jobs based on location, experience, and pay. You can check out financial advisor jobs on Indeed.
Glassdoor is another great place to look for work, especially if you’re wary about working for companies you’re not familiar with.
The website has reviews of work conditions, pay, and interview questions for the role as well. Check out financial advisor jobs on Glassdoor.
Why Become a Financial Advisor?
According to a survey conducted by the Bureau of Labor Statistics, the position of a money advisor will grow by 15% in the upcoming four years.
It is just one of the reasons why anyone with a degree in Economics Sciences should consider applying for this job.
The ability to provide your clients with meaningful advice and help them consolidate their budget is pretty rewarding.
It can be pretty tough to choose a relevant investment strategy because your role as a money advisor carries great responsibility and potential for both parties.
Great Income Potential
In the end, if your client is successful and happy, you will be too. One of the most undermined aspects of being a financial advisor is the fact that you aren’t limited by a fixed salary.
You also have the complete freedom to set a commission-based or a fee-based service and be the only one who is in charge of whether you will earn $100,000, $200,000, or $500,000 per year.
Be Your Boss
The biggest advantage of becoming a financial advisor is that you don’t have to work 40 hours a week.
Creating your schedule and arranging a meeting with clients depending on your plan for the week is a freedom that not many jobs offer.
As you build your reputation and gain more clients, working less and earning more will be your motto. One of the most remarkable points is that you don’t have to be limited to a specific group of clients.
Thus, if you are someone who wants to provide financial advice for no one but lawyers, you have absolute freedom to do it.
In the times that we are living in, tethering your work skills according to the needs of a particular generation such as Millennials or Baby Boomer has never been easier.
Consulting others on their cash flow and investments doesn’t have to be dull.
Instead, room for creativity grows as you provide a wide variety of relevant services such as disability insurance, investment management, and conventional financial planning.
Are There Any Downsides to Becoming a Financial Advisor?
Similar to any other job position, there is a series of cons related to being a financial advisor. The main one is that it is a high-stress occupation.
It is a fact that as global and domestic markets pump or dip, your clients may be driven by emotions, and you are the one who needs to calm them down.
Markets are cyclical, and that it is hard to predict the outcome in the short term.
On the other hand, if you are starting as a money advisor in a firm, you may need to meet a quota of clients, which is probably the most challenging.
Judging by what experienced financial advisors say, building a book of business and clients is the key aspect to becoming successful.
Another duty is to stay by the SEC regulations and obtain all of the necessary licenses to be a money advisor.
Not only that, but as the regulations are changing, you may need to attend conferences and complete educations to help you stay on top of your game.
How to Become a Financial Advisor?
While becoming a money advisor may seem like a steep process, it isn’t all too complicated. The first step is to earn a Bachelor’s Degree in a business or a finance program.
Your best bet is to consult with a financial advisor and ask them what they did when they graduated. Not only that but also what is their experience working in the industry and tips to get started.
After you have done that, it is time to search for a firm that will hire you as an intern.
If you want to become a well-reputed money advisor, you should start by performing a year of paid internship learning from your mentor and adding to your resume.
Importance of Certifications
The third step should be to look for an actual job in the financial advising sector. To become an independent financial advisor, you need to obtain one of the relevant certifications.
This includes the Securities License, Insurance License, or become a Certified Financial Planner, which is the most common choice.
Keep in mind that as a financial advisor, you should never trench your thirst for learning but continuously pursue additional education.
What to Consider Before Becoming a Money Advisor
Same as we have discussed the pros and cons of becoming a money advisor, there are a few elements to keep in mind before pursuing this career.
The first one is that if you don’t have an affinity for people, you shouldn’t try this job.
While financial advising is a lot about numbers maintaining great relationships and building confidence with other parties is the key to success.
Talking about becoming a well-reputed advisor, your primary motive shouldn’t be money but the satisfaction of your clients.
Willingness to Sell
At first, you are likely to earn less than most of your college friends, but as you move towards and solve problems, it will change.
Similar to other occupations in the financial sector, you need to sell your product.
The fact that you are experienced or have a lot of knowledge won’t mean anything if you don’t know how to present it to your future clients.
Why Hire a Financial Advisor?
If you are reading this article from the perspective of someone who needs help with budgeting and investments, then you should know that hiring a money advisor is a long-term choice.
Having someone to consult on spending, saving, and building a retirement plan can save you energy, time, and a lot of money.
It is a fact that a financial advisor is more likely to provide you with an objective assessment of your financial situation compared to your friends or family members.
That person can help you figure out an investment goal and help you stay on track when the market is rough.
Peace of Mind
Dealing with money is challenging and stressful.
With that in mind, having someone to consult you on the budgeting decisions and guide you in the right direction is a long-term investment like none other.
Financial advisors are highly paid, successful professionals. There is always a demand for people who have this particular skill.
Hopefully, this article has helped you get a comprehensive idea of what to do to take the right steps in this direction of your career. Start job searching today!