Most people assume a financial advisor’s job is to pick investments. That’s part of it, but your financial life is made up of a lot more than a portfolio. It’s retirement planning, tax strategy, estate planning, insurance, and so much more. The advisors who truly make a difference help you make better decisions across every one of those areas.
Here are 10 reasons why hiring a financial advisor might be worth it.
1. Creating A Financial Roadmap
A good advisor starts by asking the right questions. What do you want your life to look like in 10 years, or in 30 years? From there, they help you build a personalized roadmap to get from where you are today to where you want to be. Without a plan, financial decisions get made in isolation. An advisor helps tie it all together.
A 2021 Fidelity Investor Insights Study found that investors who get professional financial advice are more likely to feel confident about achieving their goals. That confidence is not accidental. It comes from having a plan.
2. Retirement Income Planning
Accumulating wealth is one challenge. Turning it into reliable income that lasts throughout retirement is another. How much can you spend each year? Which accounts do you draw from? How do you manage taxes in retirement? These aren’t decisions you want to figure out through trial and error. The stakes are too high, and some mistakes are difficult to undo.
3. Investment Management
Building a sound investment strategy is one thing. Sticking to it through market volatility, economic uncertainty, and the noise of daily headlines is another. An advisor helps you construct a portfolio aligned with your goals, time horizon, and risk tolerance, and then holds you accountable to that strategy when things get uncomfortable.
The investors who come out ahead over the long run are rarely the ones who made the cleverest trades. They’re the ones who stayed disciplined.
4. Avoiding the Big Mistakes
Financial mistakes come in all shapes and sizes. Selling in a panic during a market downturn. Failing to update beneficiary designations after a major life change. Taking Social Security at the wrong time. A great advisor acts as a second set of eyes, helping you sidestep costly errors before they happen. Sometimes the greatest value an advisor provides is what they help you avoid.
5. Tax Optimization
Taxes are one of the largest expenses most people face over a lifetime. A knowledgeable advisor looks for opportunities to save on taxes using strategies such as tax-loss harvesting, Roth conversions, and charitable giving techniques. Applied consistently over time, the savings compound in your favor.
6. An Accountability Partner
Knowing what you should do and actually doing it are two different things. It’s easy to put off increasing your savings rate, rebalancing your portfolio, or updating your estate documents. An advisor can help hold you accountable to your own plan and ensure that you’re on track to achieving your goals.
7. Keeping You Focused on the Big Picture
Financial headlines are designed to grab your attention. Market swings, macro forecasts, and geopolitical events can make it feel urgent to act. A good advisor helps you zoom out and remain focused on the bigger picture. The details that dominate the news cycle often don’t change a sound long-term strategy, and getting caught up in them can lead to decisions you’ll later regret. A great advisor knows the difference between what deserves your attention and what doesn’t.
8. Navigating Major Life Transitions
Major life events have a way of arriving with key financial decisions attached to them. Whether you’re getting married, welcoming a child, selling a business, receiving an inheritance, or navigating the loss of a spouse, having an advisor who knows your full picture can make all the difference, especially when things feel overwhelming.
9. Estate Planning Coordination
A solid financial plan doesn’t end with retirement. It extends through end-of-life planning, ensuring your assets go where you intend and your loved ones are protected. While a financial advisor doesn’t draft legal documents, they work alongside your estate planning attorney to make sure everything is aligned.
10. Peace of Mind
Perhaps the most meaningful benefit is the hardest to quantify: peace of mind. Knowing you have a clear plan and a trusted professional watching over it allows you to live with greater confidence and less financial anxiety. When your finances are in order, everything else feels more manageable.
We believe that an excellent financial advisor is a fee-only fiduciary who never sells products and is constantly looking for ways to add value across your entire financial life. By helping you focus on what you can control, avoid costly mistakes, and connect your finances to your most important goals, a great advisor can help maximize not only your net worth, but your life worth.
Are you looking for a fee-only, fiduciary financial advisor in Lincoln, Nebraska?
Pittenger & Anderson has served individuals, families, and retirees in Lincoln, NE and across the US since 1995. We provide investment management, comprehensive financial planning, and ongoing guidance for clients going through money in motion events like a business sale, retirement, inheritance, or seeking a new advisor.
If you’re ready to take the next step, please connect with us here.
Frequently Asked Questions
How do I know if I need a financial advisor?
A good rule of thumb is to ask yourself whether your financial life feels manageable or overwhelming. If you’re unsure whether you’re saving enough, investing wisely, or making the most of your tax situation, those are signs that a financial advisor could add real value. Generally speaking, those with significant assets to manage, complex financial situations, or have a money in motion event on the horizon (such as a business sale or inheritance) tend to benefit the most from professional guidance.
How much does a financial advisor typically cost?
It depends on how the advisor charges their clients. Fee-only advisors, like Pittenger & Anderson, charge a transparent fee based on the assets they manage on your behalf. You can view our fee schedule here. Many other advisors earn additional compensation by selling financial products, which can create additional conflicts of interest. Always make sure you understand how your advisor is compensated before you engage their services.
Do I have to pay for the first meeting?
At Pittenger & Anderson, the first meeting is complimentary—either over the phone, on Zoom, or in person. It’s an opportunity for us to learn about your situation and goals, and for you to get a feel for whether we’d be a good fit. We approach every conversation the way we’d want to be treated ourselves. That means there is no obligation and no pressure.
What is the difference between a fee-only and a fee-based financial advisor?
A fiduciary financial advisor is required to put your interests first. This is distinct from the suitability standard, which only requires that a recommendation be “suitable” for you, not necessarily the best option available. Pittenger & Anderson is a fee-only registered investment advisor and a full-time fiduciary, meaning there is no midstream shift between giving advice and recommending products—your interests come first at every step. To learn more about how fee-only and fiduciary standards differ from other advisor models, see our post here.
At what age should I start working with a financial advisor?
The honest answer: sooner than most people think. The earlier you establish good financial habits and a sound long-term plan, the more time those decisions have to compound in your favor. That said, it’s never too late to start. Whether you’re in your 30s just beginning to build wealth or in your 60s approaching retirement, a good advisor can add value at any stage.
How do I know if my current financial advisor is the right fit for me?
A few questions worth asking yourself: Do you clearly understand how your advisor is compensated? Do they act as a fiduciary, meaning they’re legally required to act in your best interest? Do they proactively reach out to you, or do you always have to initiate contact? Do they take the time to understand your full financial picture, or do they focus narrowly on investments? If you’re uncertain about any of these, it may be worth a second opinion.
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Pittenger & Anderson, Inc. makes no representation, and it should not be assumed, that past investment performance is an indication of future results. Moreover, wherever there is the potential for profit there is also the possibility of loss.
Pittenger & Anderson, Inc. does not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any transaction. Additionally, the information presented here is not intended to be a recommendation to buy or sell any specific security. To learn more about our firm and investment approach, check out our Form ADV.
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