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 A 2024 CPP Investments
 survey found that
 Canadians believe they will require $900,000 for a comfortable retirement, marking a 29% rise compared to the previous year.


 However, according to Statistics Canada from 2024
 report revealed
 The median retirement savings of Canadians stands at $573,040. This indicates that most retirees face a significant shortfall.


 If you’ve retired with a $3 million portfolio, you're certainly doing better than most. You not only possess far greater assets compared to an average Canadian retiree but also surpass the recommended $900,000 per individual needed for a comfortable retirement.


 However, you might be pondering whether it’s worth hiring a financial planner to assist with managing your retirement funds. The reality is that there are both advantages and disadvantages to seeking professional financial assistance.

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<h2>
 Using a financial planner
</h2>

 If you possess $3 million in assets, own your home outright, and do not have any significant financial worries, you may think that hiring an expert isn’t necessary. However, there’s good cause for reconsidering this assumption.
 25% of Canadians
 possess a financial advisor or planner, according to research conducted by CIBC and FP Canada.


 The advantage of collaborating with a financial advisor is having someone knowledgeable who remains unemotional about your finances providing guidance on managing your resources. This can be incredibly valuable, particularly when unexpected challenges arise in life.


 Your financial situation might currently be strong, but what happens if your life changes or your health deteriorates, leading to the need for prolonged medical support?


 If you lack insurance coverage, the cost of hiring a home health aide might range from approximately $3,500 to $30,000 each month.
 The Scotia Wealth Management report discovered
 A financial advisor or planner can assist you not just in preparing for such expenses, but also in managing them when they come up.


 Moreover, even though you've demonstrated considerable knowledge about savings and investments by accumulating $3 million before retiring, there might still be gaps in your investment strategy. Consulting with a financial advisor could assist in identifying these areas and ensuring that your portfolio is structured both to generate revenue and endure significant economic downturns or high inflation periods.


 Additionally, with $3 million at your disposal, you might consider leaving an inheritance behind. However, keep in mind that the worth of $3 million now won’t remain the same as $3 million later, particularly if inflation rises sharply. Consulting with a financial advisor will help you explore various estate planning strategies, enabling you to make well-informed choices about the kind of heritage you want to pass along.


 Ultimately, collaborating with a financial advisor might assist you in feeling more at ease during your later years; this shifts the responsibility from you being the expert to someone who keeps up with the latest information.

<h2>
 Managing your finances solo
</h2>

 A clear drawback of collaborating with a financial advisor is the extra expense incurred. This cost might differ based on various factors such as the specific individual you choose, your location, and the fee model utilized by your advisor. Should you handle your finances independently, you would avoid paying these professional charges altogether.


 Suppose a financial advisor charges you a fee equivalent to 1% of your total assets under management. In the case of a $3 million portfolio, this amounts to an annual charge of $30,000 for assistance that might be unnecessary.


 Certainly, numerous financial advisors earn compensation based on a percentage of the assets they manage. This incentivizes them to expand your investment portfolio further so their earnings increase accordingly. However, upon retirement, what might matter most isn’t necessarily growing your wealth but ensuring a consistent stream of income. If this stability is already achieved, then hiring an advisor could seem less necessary.


 If you have successfully built and managed your investment portfolio over the years, you might be well-prepared to keep doing so—particularly if you are an astute investor attuned to market trends and recognize the significance of diversifying your assets.


 Moreover, although a financial advisor may provide advice on estate planning, you'll generally require an attorney to draft a will or trust (or whichever instrument you choose for passing down an inheritance). Thus, even though a financial expert might help guide you towards your preferred choice, you're likely facing additional legal fees separately.


 Before finalizing your choice, consider meeting with one or two advisors to get their input. However, if you've reached $3 million and are handling things effectively, hiring additional assistance might not be necessary right now. Ensure that prior to making significant financial decisions, you gather all the information available. In essence, you're acting as your own advisor.

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<h4>
 Sources
</h4>

 1.
 CPP Investments:
 Almost two out of every three Canadians express concerns about their retirement savings, according to a recent survey released on October 30, 2024.


 
 2.
 Statistics Canada:
 Economic Family Type Assets and Debts by Age Group for Canada, Provinces, and Selected Census Metropolitan Areas, Survey of Financial Security (in millions) (October 29, 2024)
 


 3.
 Cision:
 A vast majority of Canadians are tackling financial planning independently according to the CIBC and FP Canada™ Survey (multiplied by 1,000,000) (November 27, 2023).


 
 4.
 Scotia Wealth Management:
 Why staying at home as we age remains out of reach for numerous Canadians—and what can be done about it (January 9, 2024)
 


 This article
 At age 67, after retiring with a $3 million investment portfolio and owning a home free of mortgage, would it be worthwhile to hire a financial advisor to guarantee our savings will endure throughout retirement?
 originally appeared on Money.ca

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 The content of this article serves solely as information and must not be interpreted as advice. No warranties of any sort are provided with this material.

Retiring at 67 with $3M: Do You Need a Financial Planner to Protect Your Nest Egg?

Unknown financial advice, financial planning, personal finance retirement, retirement, retirement planning

A 2024 CPP Investments survey found that Canadians believe they will require $900,000 for a comfortable retirement, marking a 29% rise compared to the previous year. However, according to Statist…

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 Question:
 
 I'm 70 years old and have not set aside any funds for emergencies or retirement. Who should someone in my situation seek guidance from? Are there steps I can take?


 
 Answer:
 
 Many certified financial planners and other experts in finance typically assist individuals who possess significant wealth, which might make it challenging for others seeking guidance. However, there’s an upside: numerous options allow folks to obtain high-quality, free (you heard correctly) or highly affordable financial counsel.


 
 Encountering problems with your current financial advisor or searching for a new one? Send your queries or issues via email.
 picks@
 .
 

<div class="paywall">
 <ol class="articleList">
 <li>
 
 Think of a financial advisor who volunteers their services for free.
 
 Certain advisors provide their services free of charge to individuals possessing minimal resources. If you're looking for a financial advisor who operates under a pro bono arrangement, consider visiting the XY Planning Network’s Find an Advisor platform where you can look up "pro bono." Additional avenues consist of checking out The Financial Planning Association, exploring the Foundation for Financial Planning’s Pro Bono Planner Match website, as well as examining initiatives offered through the CFP Board’s Pro Bono Program.
 </li>
 <li>
 
 Consult with a certified financial advisor.
 
 You can locate listings for AFCs on the website.
 AFCPE website
 According to certified financial planner Andrea Clark from The Table Financial Planning, AFCs possess both counseling and coaching certifications. These qualifications enable them to help clients make intricate financial choices by providing essential education, information, tools, and resources—regardless of an individual's past financial situation or present monetary standing. Additionally, these professionals act as fiduciaries, ensuring they prioritize your welfare over their own interests. Fees for services provided by AFCs may vary; they often charge anywhere from $25 to $250 per hour based on an hourly rate model.
 </li>
 <li>
 
 Look locally.
 
 "You may want to contact your nearby community action agency—nonprofits focused on promoting self-reliance, often serving those with lower incomes—as they frequently offer free financial advisory services. Additionally, you could explore educational sessions provided at your local library that discuss managing cash flow and accessing resources during retirement," according to Clark.
 Financial Empowerment Centers
 (FECs) can be found in multiple urban areas as well. "The FECs provide individualized financial advice free of charge and assist with planning budgets, managing debts, and establishing financial objectives," explains Mark Struthers, a certified financial planner from Sona Wealth Advisors.
 </li>
 <li>
 
 Check these other places.
 
 Consumers have additional avenues available to them, as detailed below.
 this
 as outlined in the guide, along with this
 one
 .
 </li>
 </ol>
 
 Be aware that there are steps you can take on your own to address your circumstances. "It's important to avoid accumulating credit card debt and establish an emergency fund, even if it covers just one month of necessary expenditures. As much as possible, seek employment, whether full-time or part-time, to boost your Social Security benefits. Additionally, ask the advisor handling your finances to clarify whether extra earnings could lead to partial taxation of your Social Security payments, ensuring you understand how this impacts your overall figures," advises certified financial planner Alonso Rodriguez Segarra at Advise Financial.
 
 
 If part-time positions appeal to you, websites such as FlexJobs, Indeed, ZipRecruiter, and the AARP’s Job Board offer numerous job listings with various openings. These platforms let you narrow down options based on particular interests or locations within your ZIP code, plus many roles allow for fully remote working, so you have the flexibility to operate from virtually anywhere.
 
 
 Given your current stage of life without any savings or retirement accounts, it's crucial to look into every possible avenue. As certified financial planner Ryan Haiss from Flynn Zito Capital Management points out, "Engaging with a professional advisor might assist you in assessing various income streams, like optimizing your Social Security earnings and investigating choices should you have equity tied up in your main home."
 
 
 
 Encountering problems with your current financial advisor or searching for a new one? Send your queries or issues via email.
 picks@
 .
 
 
 
 
 By sending your questions via email to The Advisor, you consent to having them published anonymously on this platform; they might also be featured anonymously across various other media and channels.
 
 
</div>

What's Next for a 70-Year-Old With No Emergency or Retirement Savings?

Unknown financial advice, financial advisors, financial planning, financial services, personal finance

Question: I'm 70 years old and have not set aside any funds for emergencies or retirement. Who should someone in my situation seek guidance from? Are there steps I can take? Answer: Man…