5 Surprising Things You Didn’t Know Your Financial Advisor Could Do

• Financial advisors can assist with household budgeting and ongoing reviews as income or expenses change.

• Advisors can provide year-round strategies to legally minimize taxes.

• Advisors can help evaluate major life decisions like career changes or early retirement by assessing financial risks and benefits.

• If you’re thinking about retiring or know someone who is, there are three quick questions causing many Americans to realize they can retire earlier than expected. take 5 minutes to learn more here

There are certain aspects of life it pays to hire a professional for. You could try to tackle a plumbing issue on your own, for example, like a busted faucet or leaky pipe. But if you’re not sure what you’re doing, there’s a pretty big risk in going it alone.

You could cause your house to flood or make the situation worse. So it pays to bring in someone who’s licensed and skilled.

Similarly, you could manage your finances on your own. But there’s a lot to do in that regard. If you’re not sure how to choose the right investments to meet your long-term goals or which accounts to utilize for different purposes, a financial advisor can help.

But that’s not all a financial advisor can do. Here are five surprising things one of these professionals could do for you.

Having a good sense of where your money goes every month is a big part of meeting your biggest goals. A financial advisor can help you set up a budget that’s sustainable and easy to follow. They can also review your budget with you as your circumstances change, such as if your pay increases or find yourself taking on new expenses, like a bigger house or college tuition.

Should you switch careers for more fulfillment but less pay? Should you take a chance and relocate in the hopes of finding better schools for your kids? Should you take the leap into early retirement? These are some of the major life decisions a financial advisor can help you with. They can be a sounding board and help you understand the risks you may be taking on and the financial benefits that might ensue.

You’re probably aware that it’s important to have health insurance at all times. But what about life insurance? Or long-term care insurance? A financial advisor can walk you through the different types of coverage you need for comprehensive financial protection. They can also help you shop for insurance that meets your needs.

An accountant or tax preparer can put together your tax return each year for a modest fee. A financial advisor can help you plan for taxes strategically on an ongoing basis to minimize your IRS burden. They can teach you different legal tactics that shield income from taxes, such as selling assets at a loss to offset gains.

When you’re writing a will or putting together a trust, it’s generally best to hire an estate-planning lawyer to ensure that your documentation is thorough and binding. But a financial advisor can help you figure out which estate-planning tools to consider, as well as help you make other smart choices that are in your family’s best interest. Having someone to guide you in this area could give you peace of mind that you’ll be taking care of your loved ones even once you’re no longer around.

Most Americans drastically underestimate how much they need to retire and overestimate how prepared they are. But data shows that people with one habit have more than double the savings of those who don’t.

And no, it’s got nothing to do with increasing your income, savings, clipping coupons, or even cutting back on your lifestyle. It’s much more straightforward (and powerful) than any of that. Frankly, it’s shocking more people don’t adopt the habit given how easy it is.