Finding the Right Financial Advisor After Divorce

Finding the Right Financial Advisor After Divorce

By Conor Jonasson, CFP®, NSSA®, Founder of Jonasson Retirement Solutions

Divorce can significantly change your financial circumstances, whether you've always managed your finances or are taking responsibility for them for the first time. Finding the right financial advisor can help you gain clarity, make informed decisions, and build a more secure financial future. Before choosing an advisor, it's important to identify what kind of help you need. This might include managing investments, understanding retirement accounts, developing a budget, planning for taxes, or creating a comprehensive financial plan that reflects your new circumstances.

If you and your former spouse worked with a financial advisor during your marriage, one of your first decisions may be whether to continue that relationship. There can be advantages to staying with someone who already understands your financial history, but it's important to consider whether that advisor is still the right fit. Were you actively involved in the relationship, or did your spouse primarily communicate with the advisor? Are there potential conflicts of interest if the advisor continues working with your former spouse? Most importantly, does the advisor take the time to understand your individual needs, priorities, and goals?

If you decide to explore other options, Conor recommends interviewing at least two or three financial advisors before making a decision. Recommendations from trusted friends, family members, attorneys, accountants, and professional directories can be helpful starting points. It's also important to understand the differences between professional qualifications. Certified Financial Planners (CFPs) have training in comprehensive financial planning, Certified Divorce Financial Analysts (CDFAs) specialize in the financial implications of divorce, and Certified Public Accountants (CPAs) can provide expertise in taxes and accounting. Depending on your circumstances, you may benefit from working with more than one type of financial professional.

Another important consideration is understanding an advisor's responsibilities and how they're compensated. Ask whether the advisor is required to act as a fiduciary when providing advice to you, meaning they must act in your best interests within the scope of that obligation. Financial advisors may charge a percentage of assets under management, flat fees, hourly fees, commissions, or a combination of these arrangements. Understanding exactly what you're paying, which services are included, and whether potential conflicts of interest exist can help you avoid surprises. You can also research an advisor's credentials, registration, and disciplinary history through resources such as FINRA BrokerCheck, the SEC's Investment Adviser Public Disclosure website, and the CFP Board.

When interviewing advisors, pay attention to more than their qualifications and investment experience. Do they listen to your concerns, ask about your goals, and explain recommendations in language you understand? Do you feel comfortable asking questions, or do you feel pressured to make decisions? A good advisor should help you become more knowledgeable and confident about your finances rather than expecting you to follow recommendations without understanding them. Before signing an agreement or transferring investments, make sure you understand the services being provided, the costs, who will manage your accounts, and any potential tax or legal consequences of moving assets.

Ultimately, choosing a financial advisor after divorce is about finding someone who understands your individual circumstances and can help you build the financial future you want. There is no single approach that's right for everyone. Whether you continue with your current advisor, choose someone new, or manage your finances independently, the goal is to make thoughtful, informed decisions. Divorce represents a major life transition, but it can also be an opportunity to take greater control of your finances, establish new goals, and move forward with confidence.

The full guide also includes a practical Financial Advisor Interview Checklist to help readers compare professionals and make an informed choice.

Written by Conor Jonasson, CFP® professional and National Social Security Advisor (NSSA®) – Senior Wealth Advisor, and Founder of Jonasson Retirement Solutions, LLC

https://divorcenetworkpro.com/professionals/conor-jonasson-cfp