advice about your finances doesn’t have to stop when you finish working. Advice
can help you understand how to manage your income and understand whether you’re
still on track with your bucket list.
Everyone’s financial situation is unique. Advice that may be right for you may not work for someone else. Whether you have some basic questions, or you need a detailed, tailored plan, it’s important to get advice that’s based on your personal circumstances.
5 tips to choosing a financial adviser in retirement
Here are some of the things you may want to consider when choosing a financial adviser in retirement.
1. Know when to ask for financial help and advice
Adjusting to retirement can be a big change to your lifestyle and how you manage your finances, so it’s a good time to seek financial advice to keep you on the right path. If you sought financial advice before you retired, the support you need now is likely to be different to when you were working.
Whether you’ve been through a life-changing event or you need to check your finances, it’s never too late to get financial advice to make the most of your retirement.
2. Understand an adviser’s qualifications, reputation and fees
A professional adviser should be up to date with the latest changes in financial products and legislation. To make sure you find a knowledgeable financial adviser, you should:
- Ask the adviser about their qualifications and experience.
- Find out the areas of advice they specialise in and what sort of advice they’re able to offer you. For example, only certain financial advisers can advise you about winding up a self-managed super fund (SMSF) or share trading.
- Consider your own personal preferences. Would you rather speak with an adviser over the phone, face-to-face or in a language other than English? Would you prefer to talk with someone of a specific gender or age?
- Ask how their service works. For instance, whether they offer one-off advice or ongoing support.
- Request an outline of their fees and if they’ll provide a quote for the advice before completing any work. It’s also a good idea to ask how they’re paid – whether they’re salary-based, fee-for-service, or if it’s incentive-based with bonuses or commissions.
- Read the Financial Services Guide provided by your adviser. This explains the services offered, how fees work and how the adviser handles complaints.
You can also check an adviser’s qualifications, training and experience on the Moneysmart financial advisers register.
3. Find the right financial adviser for you
If you’ve used a financial adviser before, you’ll know that it’s like any relationship – trust is key. You want to be comfortable with the person you’re meeting and be confident in the future they’re helping you plan for.
Asking family or friends for a referral can be a good starting point. Or you could attend an education session hosted by a financial adviser. This can be a great way to see how someone presents themselves before you make an appointment. You may also be able to find a financial adviser through your super fund.
EXPLORE YOUR ADVICE OPTIONS
4. Prepare before your first meeting
First, make sure you have an idea of what you want to achieve in the meeting and highlight what’s important to you.
Next, think about some specific topics or issues. You may want advice on managing your assets, like shares, savings or property. A common question is about downsizing and how to do it tax effectively. Perhaps you want more information about Centrelink entitlements or estate planning.
Whatever it is that you need to know, it’s helpful to prepare questions before the meeting.