Financial Planner vs. Financial Advisor: A Side-By-Side Comparison

You have to fight for your finances. 51% of Americans believe that the COVID-19 pandemic has made it harder for them to achieve their financial goals. 

But that does not mean that you are helpless. You can turn to a financial professional for support. You just have to figure out the financial planner vs. financial advisor debate. 

Who exactly is a financial planner? Who is a financial advisor? What should you do when you are looking to hire a professional for your needs? 

Answer these questions and you can fight for your finances for years to come. Here is your quick guide. 

The Essentials of a Financial Planner

Every financial planner is different. In general, a planner is a finance professional who works with individuals and companies on their long-term financial goals. They help their clients decide how to manage investments and make profits. 

There are no requirements for a finance career. Someone can become a planner with no education or credentials in the finance world. 

But most financial planners have a background in some aspect of finances. They may be experienced with the stock market or insurance industry. 

Some planners may work within a particular organization. They may also work freelance, helping out different companies with their finances. 

The Basics of a Financial Advisor

“Financial advisor” is another broad job title. An advisor can be anyone who helps another person manage their money. They may do so for a living, or they may volunteer their time free of charge. 

Yet a financial advisor can also be an experienced professional. Stockbrokers, estate planners, and bankers can all count as financial advisors. 

Many financial advisors specialize in a particular subject. Someone may be a financial coach, helping younger clients learn about financial management. 

When an advisor asks for money, they tend to charge pretty high fees. You can google “financial planning fees tax deductible” to examine different advising fees. 

Find the Right Finance Professional

You should have a good idea of your own financial portfolio. Think about how you can make investments and earn more money. 

Then think about why exactly you need a finance professional to help you out. You may need someone to monitor your investments, or you may need someone to make new ones. 

If you are looking for someone to give you advice on your financial plans, you can go to a planner. But if you want someone who will be more hands-on, you can turn to a financial advisor. Their specialized experience tends to help clients earn more money than planners. 

Resolve the Financial Planner vs. Financial Advisor Debate 

It can be hard to find a solution for the financial planner vs. financial advisor debate. A financial planner is someone who helps clients develop long-term portfolios. They can supervise a company to make sure it is making money. 

A financial advisor is someone who advises somebody else on their finances. They may have a lot of experience in something like Securities and Exchange Commission regulations. 

Think about why you need a professional. Then look at several different ones you may hire. 

But take charge of your own finances. Learn key financial skills by following our coverage. 

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