Thinking about the future isn’t always easy, but making the right decisions now can save a lot of stress later. Whether you’re looking to protect your assets, provide for your family, or secure long-term financial stability, you might wonder: Do I need an estate planner or a financial planner?
At Jordan & White, we’ve spent 13 years helping Massachusetts families handle estate planning, probate, and real estate matters. Many of our clients ask about the difference between estate planners and financial planners, so we’re breaking it down for you. Understanding the roles of each professional can help you decide which one—or both—is the right fit for your needs.
What is an Estate Planner?
An estate planner is a legal professional who focuses on protecting your assets and ensuring they’re distributed according to your wishes. Estate planners help individuals and families create legally binding documents that determine how property and finances are handled both during life and after death.
Key Responsibilities of an Estate Planner
Estate planning is about more than just writing a will. It involves a range of legal strategies to protect your assets and ensure your wishes are carried out. Here are some of the ways an estate planner can help:
Creating Wills and Trusts
Estate planners draft wills and trusts to dictate what happens to your assets when you pass away. A will names devisees and appoints a personal representative to manage your estate, while a trust can provide more control over how assets are distributed. Trusts also help avoid probate, ensuring a smoother transition of wealth.
Tax Planning
Estate planners develop strategies to minimize estate taxes, inheritance taxes, and other fees. Proper planning can reduce the financial burden on your devisees and preserve more of your wealth for your loved ones.
Guardianship Arrangements
For parents of young children or individuals with dependents, estate planners help establish guardianship plans. This ensures that minor children or loved ones with special needs are cared for in the event of a parent’s or guardian’s passing.
Incapacity Planning
Life is unpredictable, and an estate planner can prepare documents like powers of attorney and healthcare directives. These allow a trusted individual to make medical and financial decisions if you become incapacitated.
Addressing Legal Issues
Estate planners assist with the legal aspects of estate administration, probate proceedings, and potential disputes. If conflicts arise over a will or a trust, they work to resolve them in accordance with the law.
Asset Protection
An estate planner helps protect assets from potential creditors, lawsuits, or financial mismanagement. This is especially important for business owners, real estate investors, and high-net-worth individuals.
When to Work with an Estate Planner
If any of the following situations apply, an estate planner can help if:
- You need a will or a trust to distribute your assets.
- You want to minimize estate and inheritance taxes.
- You have minor children or dependents and need to name a guardian.
- You own significant real estate or business assets.
- You have a complex family structure, such as a blended family.
- You want to protect your assets from creditors or legal disputes.
What is a Financial Planner?
A financial planner helps individuals and families manage their money to reach their financial goals. They focus on growing wealth, reducing financial risk, and planning for long-term stability.
Key Responsibilities of a Financial Planner
While estate planning focuses on legal protections, financial planning is centered around managing and growing wealth. A financial planner can assist with:
Financial Assessment
Financial planners evaluate your current income, savings, expenses, and debts. They help you understand where you stand financially and identify areas for improvement.
Setting Financial Goals
Whether it’s saving for retirement, funding a child’s education, or buying a home, financial planners assist in setting and achieving financial milestones.
Investment Planning
A financial planner can advise on investment opportunities that align with your risk tolerance and financial objectives. This includes stocks, bonds, mutual funds, and other financial products.
Tax Planning
While estate planners focus on inheritance and estate taxes, financial planners help with income tax strategies, deductions, and investment-related tax efficiencies.
Risk Management and Insurance Planning
Financial planners assess financial risks and recommend insurance coverage, such as life insurance, long-term care insurance, or disability insurance, to protect you and your family from unexpected financial hardships.
When to Work with a Financial Planner
Consider consulting a financial planner if:
- You need help managing your current finances.
- You want to build an investment portfolio.
- You’re planning for retirement and need guidance on savings strategies.
- You need advice on reducing income taxes.
- You’re looking for ways to manage debt and create a solid budget.
Estate Planner vs. Financial Planner: How Do They Compare?
Both estate and financial planners play a role in securing your future, but their focus areas are different. Let’s break it down:
| Feature | Estate Planner | Financial Planner |
| Main Focus | Legal asset protection, estate distribution, probate | Wealth growth, investment strategies, tax efficiency |
| Key Documents | Wills, trusts, powers of attorney, healthcare directives | Financial plans, investment strategies, retirement savings plans |
| Tax Considerations | Estate taxes, inheritance taxes, asset protection | Income taxes, tax-efficient investments |
| When Needed | End-of-life planning, asset protection, guardianship planning | Retirement planning, wealth management, financial security |
How They Work Together
In many cases, estate and financial planners collaborate to create a comprehensive strategy. For example:
- An estate planner may draft a trust, while a financial planner ensures it’s properly funded and aligned with investment goals.
- Estate planners minimize estate taxes, while financial planners optimize income tax strategies.
A well-rounded plan often involves both professionals working together to secure your financial future.
Which Do You Need? Finding the Right Fit
Choosing between an estate planner and a financial planner isn’t always straightforward. The right professional depends on your current needs and future goals. Here’s how to determine which one is the best fit for you—or whether working with both is the smartest choice.
Consider Your Goals
Deciding between an estate planner and a financial planner depends on your specific needs. If you need legal documents such as a will, trust, or power of attorney, an estate planner is the right choice. If your main focus is financial growth, investment strategies, or retirement planning, a financial planner will be more beneficial.
For those with significant assets, business interests, or complex family situations, working with both professionals may be the best approach. Together, they can ensure your wealth is both protected and efficiently managed.
The Importance of a Coordinated Plan
Estate planning and financial planning go hand in hand. A strong estate plan ensures that your financial assets are distributed according to your wishes, while a sound financial plan helps maximize those assets during your lifetime.
At Jordan & White, we help our clients understand when an estate planner is necessary and can work alongside financial planners to create a seamless strategy.
Secure Your Future with Jordan & White
For 13 years, Jordan & White, has provided Massachusetts families with trusted legal guidance in estate planning, probate, and real estate law. Whether you need to draft a will, establish a trust, or discuss legal asset protection, we’re here to help.
If you’re unsure whether an estate planner, financial planner, or both are right for you, we can assess your needs and guide you in the right direction. Contact us today to schedule a consultation and take the next step in securing your future.
Call us at 978-744-2811 or visit our Contact Us page to schedule a consultation. We look forward to working with you.