Spending vs. Saving: How to Guide Your Financial Clients


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At ReminderMedia, we are always encouraging financial advisors to be more than just money managers. A central part of our coaching is about being a guide—a trusted partner who cultivates relationships and is eager to point clients in the right direction.

As a guide, you want to help clients build their wealth through consistent behavior. In terms of finances, that behavior typically comes in one of two forms: spending and saving. Whatever your philosophy is concerning both practices, it’s important to be able to give tailored advice based on who you’re talking to.



If clients or prospects solicit your guidance when it comes to their spending, make yourself available to help them build a budget that will support their long-term goals. Empower them to dial in their spending smartly, especially in regard to credit management. There are ways to profit from spending, and you can help them by finding ways to make their purchases work for them and their wealth.

If clients are thinking of making a large purchase, maybe a second home or a luxury expense, lend your services and help them understand whether their purchase will be an investment or a liability.

A beach house, for example, can appreciate greatly over the years. In many cases, one can also be purchased in a state with a favorable tax code. If your client is looking to purchase a boat or an expensive car, you can play the responsible advisor and remind them that these are depreciating assets.



As far as saving is concerned, one of the things you can help with is not just what to do with savings, but how to go about building them consistently. Disciplined spending over a long period of time is one of the most powerful means of building wealth. But saving can be difficult.

That’s why educating prospects is a great way for financial advisors to gain exposure amongst people who might not have enough money to warrant your services. If you give them tips on how to build their money, one day they will be in the market for your services. When that happens, you’ll be top of mind.

Every day, people are faced with a decision to spend or save their money. Take advantage of this fact to help as many people as possible make the right choices for their futures, and watch your business grow as a result of the guidance you provide.

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