When people think about careers that make a positive impact on society, financial advisor might not be the first role that comes to mind. Doctors, teachers and social workers are more than likely much higher on the list. Those jobs are important, but financial advisors also help society — and in some unexpected ways. Removing financial pressures for individuals allows those people to channel and focus their energies in more positive ways. Helping one person with his or her finances is not enough to impact the world, but when applied to thousands of clients over many years there is a multiplier effect. Advisors may never cure cancer, but here are four surprising ways they can make the world a better place.
1. Financial Advisors Can Help People With Their Marriage
No one gets married expecting also to get divorced, but according to the American Psychological Association, between 40 and 50 percent of marriages in the United States result in divorce. Financial advisors can certainly help people manage the financial challenges that come with divorce, but a good financial advisor may help avoid it in the first place.
A 2012 study published in Family Relations Journal titled, “Examining the Relationship Between Financial Issues and Divorce”, found that arguments about money among couples are the top predictor of divorce. While talking to a financial advisor is not a substitute for marriage counseling, it can help put couples on a more solid financial path and perhaps alleviate many of the concerns that lead to disagreements about money.
2. Financial Advisors Can Make People Healthier
Studies have linked high levels of persistent stress to health issues. However, stress is not something that’s easily cured by a trip to the doctor. It must be managed and is usually impacted by external factors. Money is one of those factors. According to a 2015 study from the American Psychological Association (APA), 64 percent of Americans said financial worries served as a significant source of stress. And that’s just a recent data point; year after year, finances have been identified as the leading stress factor.
In this area, a financial advisor can help in ways where a doctor can’t. Financial advisors work with individuals to devise sound financial plans and put them on a path to meet both their financial and personal goals. Whether talking about retirement, saving for a child’s college education or more short-term financial goals, an advisor can help people minimize some of the stress of managing finances, which makes them healthier and happier.
3. Financial Advisors Help Create A More Engaged Workforce
There are plenty of distractions at the office, but a 2015 study from MassMutual revealed that 40 percent of Americans are distracted by one thing while at work: managing their finances. By providing guidance on important financial matters, advisors can help reduce workplace distraction.