What is financial advice, and are financial planners worth it?

New research from the Financial Advice Association Australia (FAAA) confirms what we’ve seen with our own clients for years: working with a financial adviser makes all the difference to how secure and confident people feel about money. 

The 2025 FAAA Value of Advice Index found that 93 per cent of clients say their adviser has made them tangibly better off, and 96 per cent say the advice they’ve received is worth more than it costs.

If you’re still on the fence about financial advice, we want to bust a few persistent myths and explain what a good financial adviser really does for your finances. Every person’s situation is different, so here’s what the latest research tells us, and how it plays out in practice.

What is financial advice, really? 

Before we bust any myths, it helps to explain what a financial adviser actually does. A financial adviser, or financial planner, is a qualified professional who looks at your financial situation and helps you make decisions about your money, from budgeting and debt through to super, investments, and retirement planning.

There are two types of advice you might come across:

1. General advice doesn’t take your personal circumstances into account, and it’s the kind of generic information you’ll find in a product brochure or a general chat about financial products. A licensee’s representative might only be authorised to provide general advice rather than a tailored financial plan.

2. Personal advice is different. It considers your objectives, income, assets, and financial goals, and provides specific recommendations tailored to you. In short, that’s what financial advice is at its best: guidance built around your circumstances, not a generic pitch.

Every financial planner must give you a Financial Services Guide before providing advice. This explains their qualifications, the services they offer, how they get paid, and what you can expect from the process, so you know who to contact if you’re ever concerned about the advice you’ve received.

You can also check whether someone is authorised to provide personal advice on the financial advisers register, a public database maintained by ASIC that lists advisers authorised to advise on investments, superannuation and insurance. 

A Certified Financial Planner has met one of the highest global qualification standards in the industry, so it’s worth asking if your adviser holds this designation.

Myth #1: Financial advice is only for rich people

One of the biggest myths we hear is that financial planning is only worthwhile once you’ve already built significant wealth. The 2025 FAAA research busts this myth clearly: nine in ten Australians earning $120,000 or less who work with an adviser feel financially secure, well above unadvised consumers on the same income.

A good financial adviser’s job is to assess your financial situation, wherever you’re starting from, and to prepare a plan to help you reach realistic goals. This might mean saving for your first home, budgeting around a growing family, or simply making more sense of where your money goes each month. 

Financial planning isn’t about how much you already have. It’s about what you want to achieve and, ultimately, about making decisions confidently.

Myth #2: Financial planners only help with retirement planning and super

The second myth is that a financial planner’s only real value comes at retirement or with your super fund. This one doesn’t hold up either. The FAAA’s research found that younger Australians, including Gen Y clients, report even greater improvements in financial confidence and life satisfaction than older generations who work with an adviser.

A good financial adviser takes a holistic look at your finances across all life stages, not just the years before you stop working. Your plan might cover insurance, an investment strategy, debt management, tax-effective strategies, estate planning and Centrelink advice, alongside your retirement planning and super fund. 

From protecting your income to building your assets, the right adviser can advise across every part of your financial life, wherever you sit in your career.

Are financial planners worth it? What the fees actually buy you

It’s a fair question. Are financial planners worth it once you’ve paid for the advice?

According to the FAAA, the answer from clients themselves is a resounding yes. Ninety-six per cent say the value of their advice outweighs the fees, and 94 per cent say their adviser has given them greater confidence to spend and enjoy their money.

The same research found that 88 per cent of advised Australians feel confident their retirement savings will last through retirement, compared with 62 per cent of those without an adviser. 

This gap makes sense once you consider what advice actually involves: ongoing guidance, ongoing reviews of your plan, and someone keeping an eye on the market and your strategy on your behalf.

Fees vary between different advisers and licensees. Some charge a flat fee for a set piece of work, others charge based on funds under management or an ongoing service arrangement.  A good financial adviser will always explain their fees in your Financial Services Guide, so you know exactly what you’ll pay and why before you decide whether to go ahead.

How a good financial adviser helps you make confident decisions

Financial decisions rarely happen in isolation. Choosing a super fund, deciding whether to invest in property or shares, working out how much life insurance you need, and figuring out when you can afford to retire are all connected. 

A good financial adviser looks at the whole picture and gives you specific recommendations rather than generic guidance.

For example, an adviser might compare product providers to find a super fund that suits your risk tolerance and financial goals, then build an investment strategy around your timeframe and income. 

A good adviser also has the ability to weigh up several product providers rather than just one, factoring in your existing assets, any debt, and your family’s needs, then check in as your circumstances or the market change. 

Having someone with the right qualifications guiding those decisions can help you feel confident about your financial future.

Choosing between different advisers for your situation

Not every adviser specialises in the same areas, so it’s worth thinking about what you actually need advice on. Some advisers focus on investment strategy and wealth accumulation, others specialise in aged care, insurance, or helping people through a divorce settlement or an inheritance.

Before you engage anyone, check they’re listed on the financial advisers register, ask about their qualifications, education and experience, and read the details in their Financial Services Guide carefully. 

Whether you’re dealing with a small local practice or a larger company, a good financial adviser will explain their process clearly, won’t pressure you to sell a particular product, and will always act in your best interests as a client.

When is the right time to get financial advice?

There’s no single life stage that makes financial advice more or less relevant. Couples building a household together often want a clear plan for paying down their mortgage while still investing for the future, especially as their combined income and superannuation balances grow. 

Getting advice early means you can course-correct long before retirement, rather than trying to catch up later.

Pre-retirees tend to come to us with different questions. They want to know if their retirement savings will actually last, how Centrelink fits into the picture, and whether they can afford to reduce their working hours sooner than planned. A realistic plan built around their specific numbers, rather than a rule of thumb, tends to bring far more peace of mind than guesswork.

Sudden changes in circumstances are another common trigger for advice. An inheritance, a redundancy payout, a divorce settlement, or a large pay rise can all be opportunities to build long-term wealth, but only if the money is managed well from the start. 

Whatever your situation, a good financial adviser will listen first, then prepare recommendations that fit your objectives rather than a one-size-fits-all approach.

We’re here to help you achieve more

At Elliot Watson Financial Planning, our team of advisers helps manage every part of your financial life across Newcastle, Maitland, Singleton, the Central Coast and the Hunter Valley. 

Whether you’re managing a young family’s budget, planning your retirement, supporting a parent’s transition into aged care, or protecting your income through insurance, our goal is simple: help you achieve more choice, more security and more confidence in your finances.

If you’re still wondering whether now’s the time to get advice, chat with our team. We’ll talk through your financial situation, your goals, and what a plan built specifically around your life could look like.

Get in touch with Elliot Watson Financial Planning today on 02 4038 1623. Alternatively, book your seat at our FREE seminar, “Securing Your Financial Future: Expert Strategies for Retirement, Superannuation and Wealth Creation”. Seats are limited, so book now to get some valuable insights!

• Maitland — 11th August 2026
• Singleton — 8th September 2026

Disclaimer:

The information within, including tax, does not consider your personal circumstances and is general advice only. It has been prepared without taking into account any of your individual objectives, financial solutions or needs. Before acting on this information, you should consider its appropriateness regarding your objectives, financial situation and needs. You should read the relevant Product Disclosure Statements and seek personal advice from a qualified financial adviser.

The views expressed in this publication are solely those of the author; they are not reflective or indicative of the licensee’s position and are not to be attributed to the licensee. They cannot be reproduced in any form without the author’s express written consent. Elliot Watson Financial Planning Pty Ltd and its advisers are Authorised Representatives of RI Advice Group Pty Ltd, ABN 23 001 774 125 AFSL 238429.