The Real Value of Financial Advice – Is It Worth It?
- Stephen Fox
- Apr 2
- 3 min read
Financial advice isn’t just for the wealthy - it’s for anyone who wants to make the most of their money, avoid costly mistakes, and be financially ready for whatever life throws at them.
But is it worth the cost? Research says yes, and by a long shot.
How Much Difference Does Financial Advice Make?
A study by the International Longevity Centre (ILC) found that people who took financial advice were, on average, nearly £48,000 better off over a 10-year period compared to those who didn’t.
That figure comes from increased pensions, savings, and other assets.
The study looked at people in the UK who took financial advice between 2001 and 2006 and compared their financial position 10 years later. The result? Those who sought professional advice saw a significant boost to their financial wellbeing, proving that good advice pays for itself many times over.
Those with Less Money Benefit Even More
One of the most surprising findings of the study was that financial advice actually had a bigger impact on those with lower incomes.
People in the "just getting by" category saw their pension savings grow 24% more than those who didn’t take advice, while their non-pension assets grew by an additional 35%.
This means that financial planning isn’t just for the wealthy. It’s about giving everyone the tools to build a stronger financial future, no matter where they start.
Ongoing Advice vs. One-Off Advice – What’s Better?
Financial advice shouldn't be a one-and-done deal.
The ILC study found that people who received ongoing advice saw 61% more growth in their finances compared to those who only took advice once. That’s because financial planning isn’t just about setting up a plan – it’s about adapting as life changes.
The right advice at the right time can make a world of difference.
Does the Cost of Advice Pay for Itself?
Hiring a financial planner isn’t free, but the numbers show it’s an investment that pays off.
At the time of the study, one-off advice typically cost between £1,700 and £2,500. Compare that to the £48,000 increase in assets found in the study, and the value is huge.
Put into context, for every pound spent on advice the return over 10 years was approximately 24 times greater. That equates to an extra £4,570 per year for a decade – money that could be growing even further over time.
The Long-Term Impact of Good Financial Planning
The study looked at a 10-year period, but financial planning often covers decades. Advice taken today can impact retirement funds 20, 30, or even 40 years down the line.
Mistakes made early on can be costly and difficult to undo, especially when it comes to pensions and investments.
A well-structured financial plan helps you:
Grow your wealth over time
Make smarter investment choices
Avoid unnecessary tax bills
Plan for a comfortable retirement
Ready to Take Control of Your Finances?
The numbers don’t lie – financial advice works. Whether you’re just getting started, planning for retirement, or somewhere in between, getting expert guidance could be one of the best financial decisions you ever make.
Want to see how financial planning could help you?
Get in touch today and let’s talk about making your money work harder for you.
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