Influencers’ earnings can be lumpy, as their income is based on the unpredictable habits of social media users and the number of page views they generate. Consequently, wealth advisers who handle their money need to be flexible and plan on an almost month-to-month basis, according to Jason Kirsch, founder of millennial-focused financial-planning firm Grow.
“Many influencers are young and they’re expanding in ways that we haven’t seen before,” said Kirsch, who has advised social media stars who bring in as much as $2 million annually. “In many cases, we don’t want to put their money away where they’re not going to be able to access it for 20 years.”
That means steering clients into stable, liquid assets so they can jump on opportunities as they arise, Kirsch said. When it comes to savings, his clients are salting away cash for standard goals: cars, houses, retirement.
Bienstock said some clients -- aware of how tenuous newfound wealth can be -- are looking for a cushion. “For comfort’s sake, they tend to need bigger reserves, because they never want to go back to how things used to be,” he said.
So far, working with a wealth adviser has been “amazing,” according to Im, who declined to say how much she pulls in annually from her YouTube channel.
“It feels really good to have someone in my corner that I trust, who is watching my investments every day,” she said. “It allows me to focus on other things that are important, like my family and creating new content.”
This article was provided by Bloomberg News.