A good financial planner can have a profound impact on your long-term financial security – helping you build wealth, plan for retirement, protect your income, and structure your assets efficiently. But the industry has had well-publicised problems with conflicted advice and fees-for-no-service scandals. Choosing carefully is essential. Here is how to do it.
Understanding the New Rules: The Financial Advice Reforms
Australia’s financial advice industry has gone through significant reform following the Royal Commission into Banking and Financial Services. The key change you need to know about: all financial planners (now more formally called financial advisers) must be registered on ASIC’s Financial Advisers Register and must meet ongoing education and ethics requirements.
Anyone who charges a fee for personal financial advice must hold an Australian Financial Services (AFS) licence or be an authorised representative of a licence holder.
Step 1 – Check the ASIC Register
Before you engage any financial adviser, search for them on the ASIC Financial Advisers Register at moneysmart.gov.au/financial-advice/financial-advisers-register. This free tool shows you:
- Whether they hold a current AFS licence or authorisation
- Their qualifications and completed training
- Any banning orders or disciplinary history
- The products they are authorised to advise on
Never engage a financial adviser who is not on this register.
Step 2 – Understand How They Charge
Financial planners in Australia charge in several ways. Understanding the model matters because it affects whether their advice is in your interest or theirs:
- Fee-for-service (fixed fee) – You pay an agreed amount for specific advice. Most transparent model.
- Ongoing fee – A percentage of your investment portfolio, typically 0.5% to 1.5% per year. Can be appropriate for ongoing management, but ensure you receive genuine value.
- Hourly rate – Typically $250 – $500 per hour for licensed financial advice.
- Commission-based – Banned for most financial products post-Royal Commission, but still permitted for some insurance products. Be aware of potential conflicts.
Step 3 – Find a Specialist If You Have Specific Needs
Financial planning is broad. Some advisers specialise in areas that may be directly relevant to you:
- Retirement planning and superannuation – Pension drawdown strategies, transition to retirement, SMSF advice
- Investment advice – Portfolio construction, shares, managed funds
- Insurance and risk – Life cover, income protection, TPD, trauma cover
- Aged care planning – Structuring assets to manage aged care costs
- Estate planning – Wills, powers of attorney, beneficiary nominations
Questions to Ask Before You Commit
- Are you registered on the ASIC Financial Advisers Register?
- How do you charge – and can you give me a written fee disclosure statement upfront?
- What is your investment philosophy?
- Are you independent, or do you have preferred product providers?
- How often will we meet and how will you communicate with me?
- What happens if I want to leave?
Find a Financial Planner Near You
FIZO lists ASIC-registered financial planners and advisers across Australia. Search by location to find qualified professionals near you and contact them directly. Browse financial services professionals on FIZO or look for advisers in your city.