Is it Possible to Work Part-Time as a Financial Coach?

First and foremost, do I believe this is an alternative worth considering? Without a doubt — without a doubt!

I’m not sure what your work’s timing constraints are. Is this something you could do on the side? Obviously, I am unaware of your family’s circumstances. Do you have little children? Do you have a spouse? If this is something you’re enthusiastic about, you might have to sacrifice some of your family time?

Maybe not, since you’re just really good at what you do. And you can do it in a situation where you aren’t being tugged in a million other directions. If that’s the case, I applaud you and encourage you to go for it!

What’s the Difference Between a Financial Coach and a Financial Planner?

Before I get into the meat of your issue, I think it’s necessary to clarify the distinctions between a financial coach, a financial planner, and a financial adviser. There isn’t much of a distinction between the two. A financial coach and a financial adviser will both assist individuals with their finances, which is often more about money management. Budgeting, tracking their expenditures, and prioritizing their savings are all examples of this.

A financial coach differs from a financial planner in that a financial coach will not provide you with particular investing advice. They can’t, in reality, since it’s against the law. If you want to give particular financial advice, you’ll need a securities license (such as a Series 7 or Series 65).

You don’t want to go into problems, thus this is crucial. If you want to be a financial planner in the future and you’re already delivering financial advice, such as particular investment recommendations, you might end yourself in hot water with the SEC or FINRA.

Is a Financial Coach Required to Have a Specialized Certification?

It’s also worth noting that having a certification or a financial coaching degree isn’t required to work as a financial coach. Having said that, there are financial coaching certificates available. Okay, so why do they have them if I don’t have to have one?

That’s a fantastic question. I’m simply going to say, I presume that’s because people will pay for a financial coaching certification if we can give it. I believe that in certain circumstances, individuals try to appear professional as if they are legitimate. It may be more difficult to establish trust if you don’t have any of these credentials to back you up.

The gold standard for Accredited Financial Counselors comprises the following:

• A qualified financial counselor can help you with your immediate financial problems by delivering a complete life cycle financial education that provides the information and skills to assist clients in making complicated financial decisions.
• Make a strategy for achieving your specific objectives and ambitions.
• Laying a solid basis for long-term financial security
• A licensed financial counselor can provide all of these services to their customers.

Is this qualification, however, required? You don’t have it. You may be a money coach if you desire to be a financial coach or a money coach and have a love for assisting people in achieving financial success.

How Do You Go About Finding Clients For Your Financial Coach Business?

You’ll need to figure out how to locate individuals ready to pay you for your coaching services now that you’ve shown you have a love for assisting people with their finances. I believe the first and most important thing you should do is figure out what your “money narrative” is.

What’s your financial backstory?

If you’re thinking about becoming a financial coach like Chris, I think the first thing you need to do is figure out your own personal financial narrative. What has been your success in managing money, and this is really crucial. It’s crucial as a marketing tool, but it’s also critical to gain the trust of the people you’re attempting to assist. You must tell a tale that people can relate to.

I began my career as a financial counselor. When I was looking for new clients, I already had my securities license. Because I was younger, I told my tale over and over again. Aside from my Series 7 and Series 66 securities licenses, I didn’t have any additional credentials. I wasn’t a Certified Financial Planner at the time, but I did have a finance degree. So, while I had some of those “credentials,” I lacked certificates. I didn’t have an MBA, and my business card didn’t have any ‘alphabet soup’ at the end of my name.

What was most important to me was to figure out what my financial narrative was. It was crucial because individuals who wanted to work with me needed to be able to trust me and understand why I was doing what I was doing. Is it because I’m attempting to take advantage of them or sell them something?

Perhaps I will earn a large commission or be able to support my personal and financial aspirations (cars and houses). Is this something about which I am sincerely passionate? I’m not sure whether I did it on purpose, like if I thought I needed a money narrative. I believe the more I met new individuals, especially prospective new clients, the more I discovered that question came up a lot. They were curious about my financial situation. They didn’t ask me that; instead, they wanted to know why I chose finance or became a financial planner.

The majority of my tale revolved around both of my parents filing for bankruptcy, my father dying with a negative net worth, and is making some of the same financial mistakes, and discovering who I didn’t want to be. Then I made a significant shift in how I viewed my money by prioritizing saves and living within my means, and simply presenting that information, not in a sales manner, but in a clear and honest manner.

I had no idea I’d wind up selling the firm and focusing more on the internet site, but I still have a strong interest in money and finance. That is why I record this podcast, maintain a YouTube channel, and continue to write for my site, Good Financial Cents. It’s just the way I’m wired. I simply enjoy it, which is why I do it. That’s my financial tale.  It’s critical that you understand your financial situation.

So be it if this is a means for you to brag about yourself. ‘Oh wow, I was $100,000 in debt, then I went on an extreme debt repayment plan where I sold everything I owned and worked two jobs, and I paid off all of my debt in like two years.’

That may be your financial tale. It makes no difference what it is. It’s simply a question of identifying your passion and pursuing it. People want to hear your enthusiasm. They’re interested in knowing what you’re enthusiastic about. They want to know that they, too, can achieve whatever you’ve accomplished. That’s how you’re going to try to discover like-minded people to mentor through this process.

After you’ve established your financial narrative, the next thing you’ll want to know is what your specialty is.

To whom are you going to provide a hand? – Finding Your Specialty

In the instance of Chris, he stated that he worked in the software business. He describes himself as a financial coach who helps people and families get their finances in order before transitioning into full-time financial planning. Individuals and families, I believe you should be a little more targeted or specialty.

What is your area of expertise? Is it new families, and let’s think about families, is it fresh families, perhaps with small children, or is it families with older children who are going to begin college? If you attempt to find out what sort of group you want to support, it may be folks trying to pay off college debts, freelancers, men, or women. The more you concentrate on expertise or niche, the simpler it is to communicate. Also, for individuals to refer you to others.

Because you work in the software sector, Chris, you might wish to target others who work in the software industry. Maybe they struggle with budgeting as you did, or maybe it’s simply your background and family history, but there’s something there. If you enjoy running marathons, fishing, or music, it may be another approach to concentrate on that sort of niche. Eventually, you’ll be able to widen the range of people you wish to assist.

Read Also: Why Bitcoin (Crypto) is a Better Investment Than Real Estate

My Specialty

I began by assisting seniors, but as a result of having young children, I became acquainted with younger people, and they gravitated toward me. Then I launched a blog and began performing additional internet activities.

I had a lot of entrepreneur types who were drawn to me for the same reasons you found me on social media and why you’ve been following me. You were drawn to my style, the content I was creating, or simply the stories I spoke about my personal experiences. In any case, something compelled you to keep following me. I would advise you to figure out what it is for you so that people will be drawn to your narrative and what you have to say organically.

• What is your area of expertise?
• What is your answer for them specifically?
• What will you do to help these people?
• Do you want them to have a precise debt payback plan or a well-defined budget within 30-90 days?
• What is the one-of-a-kind solution you can provide?

People purchase because of the advantages.

They could hire you because you appeal to them. However, if individuals don’t know you very well, the majority of the time, the reason they’re willing to pay you money is because they have a specific goal in mind. For whatever reason, you’ll be able to assist them in achieving that specific goal through your tale or skill. And that, my friend, is a major issue. So, what will you be able to give as a solution? Another thing to think about is how much you’re going to charge.

What is the cost of your services?

Because I’ve done consulting, I can’t provide much useful advice. I’m sure you could work on an hourly basis or create a package. This may be accomplished in a number of different ways.

I know there are a lot of Finn Connors who are also financial coaches since I have some information and experience with the FinCon group. There’s one I’ve never seen in person, but I’ve seen her at FinCon, the financial blogging convention. Whitney Hansen is a financial coach and her name is Whitney Hansen. She also has a variety of programs available, such as becoming a financial coach. She provides a course that teaches you all you need to know about being a financial coach. She’s been doing this for the past ten years.

You might be able to apply what you’ve learned from her tale to your own. This way, you’ll have a better idea of the sorts of clients you’re looking for as well as how much you want to charge. Make a list of everything you want to give; there are so many different ways to slice and dice it. The idea is that you want to charge what you’re worth for your offers. Don’t be hesitant to charge for your time, skills, and services.

Kelsa Dickey of FinancialCoachAcademy.com is another financial coach worth checking out. She recounts her experience transitioning from part-time to full-time financial counseling so you can see how difficult it may be.

What was the most significant thing I did to start my own company?

I approach things in a variety of ways, but one of the most important aspects of developing my financial planning practice was finding as many individuals as possible to convey my story too. Then figuring out what’s causing them to pain in terms of money or investing? What were they seeking to accomplish that they didn’t understand and for which I could provide assistance?

Roth IRAs, 401 K college savings plans, and the more I was able to share, the more I learned about what other people were going through. Finding someone ready to meet me for lunch or coffee to discuss my financial situation was also a means of networking with other professionals. This may or may not apply to your case. But it was as if I wanted to connect with other attorneys, CPAs, and other professions, and truly connect with them simply to get to know them. They could learn more about me and my values, which enhanced the possibility that they would recommend me to others. That’s something you might want to investigate.

Making Contact With Other Financial Advisors

You might look for additional money coaches or financial coaches in your region and see what their specialties are. You could choose to concentrate on student loans, young families, or something else that interests you. “This is what I’m passionate about, this is what I do, and this is the sort of individuals I’m seeking,” you might be able to say.

They now have a strong knowledge of the services you provide and your areas of interest. If they come across someone who doesn’t suit their program or services, they’re more likely to send them to you. This is just another method to connect and meet people, find out what they’re up to, learn about their financial situation, and keep those relationships going.

Damon Day, not so much a financial counselor, is someone who can help me. I had this thing called The Debt Movement whenever I got really into this, helping individuals pay off debt. This was years ago, and I had a number of individuals contacting me for aid with debt repayment.

Some of them had looked into debt consolidation since they were in so much debt. This was not the kind of customer I was searching for; instead, I was seeking folks who were more interested in investing. As a result, I was able to contact Damon Day, a financial coach. I’m not sure what he calls himself; perhaps a debt counselor. Basically, he assisted those who were in a lot of debt and had already tried and failed at various debt relief methods. He wanted to assist these folks, and I was able to introduce him to a few people.

However, that made perfect sense to him. I was able to recommend folks to him simply because we had created that relationship. So don’t be afraid to reach out to others who are building these connections; you never know who you’ll meet or how it may benefit you in the future.

Final Thoughts — Part-Time Financial Coach

That is my opinion on working as a part-time financial coach. Is it a feasible option? If you truly want to grow this thing, why not share a lot of your knowledge on social media, whether it’s on Facebook or, if you’re good at TickTocks, maybe a YouTube channel, maybe a podcast, something where you’re sharing your story, your money story, and also just sharing what you’ve learned by talking with others about their finances. This is actually a positive development.

If you truly want to succeed and expand this business. It’s a terrific method to develop that foundation, especially if you’re a financial coach without a securities license. You don’t have the same compliance requirements as licensed financial advisers, so you don’t have to be concerned about that for now. It’s something you’ll have to deal with once you’ve earned your license as a financial adviser.

I hope that some of this information and my experience may be useful to you or anybody else who is considering working as a part-time financial counselor.