Do you really need a lawyer, not a financial adviser?

Lawyer or financial advisor: which one do you need?

Investors hire financial planners to provide advice on wealth management and financial planning. Lawyers also provide financial planning advice that protects your assets. When it comes to a lawyer or a financial advisor, what do you need? Let’s break down when you can use the services of either or both. A financial advisor could help you create a financial plan to manage and protect your wealth.

What does a financial adviser do?

A financial advisor offers wealth management and financial planning advice. Their expertise covers a variety of topics, including investments, retirement plans, insurance, estate planning, saving for college and more.

There are many different types of financial advisors, each with different certifications, licenses, and expertise. And some financial planners specialize in certain products or types of clients.

It’s important to find an advisor whose expertise and skills match your financial goals and needs. Here are seven types of services offered by financial advisors:

What does a lawyer do?

Lawyer or financial advisor: which one do you need?

Lawyer or financial advisor: which one do you need?

Lawyers advise their clients on legal matters and represent them in court to protect their interests. The lawyer and his legal team file documents in court to represent them when suing a person or company or defending their client in civil or criminal court. They advise their clients on the best course of action, research evidence to protect their clients, and research case law to support their positions.

While some people think that lawyers only focus on court cases, their expertise goes beyond that part of the profession. Other services provided by lawyers include:

  • Revise or draft a contract

  • Create a will or an inter vivos trust

  • Prepare real estate transaction documents

  • Design a partnership agreement

  • Mediation of disputes

  • Negotiate the terms of an agreement

  • Send a letter of formal notice

Lawyer or financial advisor: which one do you need?

Although both a lawyer and a financial advisor can provide estate planning advice, their services generally do not overlap. Instead of approaching it as a lawyer or a financial advisor, most investors should have both professionals on their team.

The Financial Advisor provides financial advice and discusses strategies to reduce your risk using tax codes or financial products. A lawyer reviews these contracts and advises you on the risks you may face when entering into these agreements. The lawyer can also create estate planning documents that complement the estate planning strategies recommended by your financial advisor.

Together, a lawyer and financial advisor can maximize your benefits, while highlighting areas of risk in your financial plan.


Lawyer or financial advisor: which one do you need?

Lawyer or financial advisor: which one do you need?

When deciding between a lawyer and a financial advisor, you need to understand what each professional does and how they fit into your financial needs. A financial planner specializes in wealth management and financial planning, while a lawyer creates legal documents and provides advice regarding the law. For investors, the best approach is to create a team of advisors who work together to protect your assets and position you for success.

Tips for protecting your assets

  • Financial advisors and lawyers offer services and products to protect your assets. One of the easiest ways to protect your assets is to purchase life insurance. This is an affordable option that provides money to your heirs to replace your income and ensure they are taken care of. Our life insurance calculator estimates how much life insurance you need based on your answers to a few quick questions.

  • To protect your assets, it is a good idea to build a team of professionals who will guide and advise you when you need it most. SmartAsset’s free tool connects you with up to three financial advisors who serve your area, and you can interview your matching advisors for free to decide which one is right for you. If you’re ready to find an advisor who can help you reach your financial goals, start now.

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Geraldine L. Melton