How often should you meet with your financial advisor?
If you get professional help for your finances, you might wonder how often you should meet. Here’s what to expect.
Summary
At a minimum, you should expect to meet with your financial advisor at least once a year to review your finances. If you want to be more involved or feel more secure with your financial plan, ask for quarterly visits.
You may want to meet with a financial advisor when you experience a life change, such as a new job, new baby, or when planning for retirement.
How you pay for professional financial planning may affect how often you’ll meet with them.
Preparation can help you and your advisor get the most from these meetings.
Unbiased can connect you with a qualified financial advisor suited to meet your needs.
How often should you meet with your financial advisor?
How often you meet with your financial advisor will depend on how complex your finances are, how you pay for financial advice, and your personal involvement. These three factors will change the amount of time you’ll want to spend with your financial advisor.
Some people like to consult with their financial advisor frequently and have shorter meetings. It’s not uncommon to take a 10- or 20-minute meeting with your financial advisor for an issue you have come up. It’s also normal to only have one meeting per year.
According to research conducted by Morningstar, client satisfaction was higher for those who met with their financial advisor quarterly. This might suggest that meeting quarterly with your financial advisor could make you feel more confident about the plan you put in place for your finances.
What is the minimum amount you should meet with your financial advisor?
At a minimum, it is recommended that you meet with your financial advisor at least once a year.
This is an appropriate time to review your financial plan, investment strategy, and address any changes you see coming.
During this meeting, you’ll review the performance of investments, see if there are any holes that need to be addressed, and make adjustments as needed.
When is the best time to meet with your financial advisor?
One of the best times to meet with your financial advisor is when you’re experiencing a life change. Some of these scenarios include:
Marriage
New baby
New job
Divorce
Receiving a lump sum, like an inheritance or lottery winnings
You became a famous superstar overnight
Meeting with your financial advisor during these periods can help you navigate the transition and maintain a consistent plan for your money.
Another time you may want to meet with a financial advisor is during a specific quarter to review your finances. For example, a first quarter review can help you plan for the year. A fourth quarter review can help you with tax planning strategies.
It’s also common for clients to call advisors when there’s uncertainty and turbulence in the market. You might like the reassurance and knowledge they can provide when you’re worried about external factors.
If you have a good financial advisor, they probably already have a plan in place for when you’ll meet to review your finances.
How can you increase or decrease your meetings with your financial advisor?
If you want more meetings with your financial advisor, request them. Keep communication open, especially if you have specific questions.
Cost is a consideration if you want to meet with your financial advisor. If you’re paying under the AUM model, you can likely meet with your financial advisor at your request. They are getting a percentage of your assets to work for you.
If you’re paying on a fee-only model, such as an hourly rate or for a specific service, you’ll be charged that rate each time you meet with them.
You may want to review the contract with your financial advisor, as it will outline what is included in the service you requested. You may have already paid for follow-up appointments.
Be mindful of financial advisors who make money via commissions. They’ll give free advice, but are going to steer you in the direction of a financial product they sell.
How to make the most of meetings with your financial advisor
Solid preparation on the part of both you and your advisor will help meetings with your financial advisor be more productive.
Send information in advance of the meeting
Before your meeting, your advisor may request information from you.
Send in paperwork in advance, such as pay stubs, account statements, your will, insurance information, or anything else the advisor requested. Your financial advisor will want to review this information ahead of time so they can be prepared for your meeting.
Prepare for the meeting
The more you know about your finances and possible options, the more effective it will be. Some steps you may want to take to prepare for your meeting include:
Research. You’ll find some useful information online that'll help you prepare questions to ask your advisor during your meeting. However, you may not see the full picture when looking for information online, so be sure to get your advisor’s take before making any decisions.
Write down questions as they come up in your life. You might like saving them in a note on your phone. Be sure to bring them to the meeting.
Update budgeting software and spreadsheets. The more accurate your information is, the more effective your meeting can be.
Locate important documents. Find legal paperwork, account statements, investment information, etc.
Communicate with your advisor. Let them know what questions you want to address during the meeting. If the scope becomes too broad or your issue needs a lot of attention, you may need to set up another meeting.
During the meeting, take notes, especially on action items you need to complete.
Follow up with your financial advisor
After your meeting, be sure to follow through on your part.
You might be working with a fee-only advisor, and it’ll be up to you to implement the advice. If you pay an AUM fee and your financial advisor takes care of everything, you’ll likely still have action items to complete.
Get expert financial advice
Meeting with a financial advisor can help keep your financial plan in place. You’ll find time to adjust as needed and ask questions as you arrive at new financial challenges and milestones.
When you need to meet with a financial advisor, Unbiased can connect you with a qualified financial advisor ready to answer your questions. With everything life throws at you, it’s helpful to have someone in your corner.
Content Writer
Alene Laney is an award-winning journalist for Unbiased, where she breaks down financial topics related to retirement, investing, and banking. She specializes in helping readers make the best decisions for their money with long-form content for brands and consumer publications.