‘Mutually beneficial’: The value of free literacy coaching

Since the Productivity Commission put the amount of money set to transfer across generations at $3.5 trillion by 2050, financial advisers have been grappling with how to engage their clients’ eventual beneficiaries to ensure they are also receiving the advice they need.

According to Ben Neilson, a financial adviser at Complete Wealth, providing free literacy offerings to clients’ children is “essential to develop the capabilities of future clients”.

“We need them to be at a level where they can make decisions fast. Research shows that having financial literacy promotes a high level of wellbeing but very few pieces have assessed how to develop financial literacy levels in bulk quantities,” Neilson told ifa.

“We’re running down the rabbit hole of developing a course content that consumers can access to increase their levels of financial knowledge. The interest is increasing, and the needs and resources are evident.

“Many are looking at how to serve future clients, few are looking to create vast quantities of future clients through mutually beneficial fee endeavours such as financial literacy courses.”

Neilson explained that Complete Wealth provides clients with these free consultations for accessible, no-obligation guidance on their financial literacy needs.

Clients are able to simply book a consultation through the firm’s online scheduling platform, then they discuss any immediate financial questions they may have, as well as broader goals, and essentially deliver general advice and information.

“This might include explaining key financial concepts, discussing budgeting strategies, or outlining the basics of saving and investing. We also provide resources, such as articles, guides, or tools, to help clients continue learning on their own,” Neilson said.

“A significant part of our consultation is dedicated to improving financial literacy. We aim to demystify financial jargon and help clients understand how financial products and services work. This empowers them to make informed decisions and feel more confident in managing their finances.”

When following up after the consultation, Complete Wealth advisers explain how they can then transition to paid advice if the client is interested, though Neilson stressed there is “no pressure to commit to anything further”.

“The free consultation is a standalone service aimed at providing value and building trust,” he said.

“Overall, our goal with the free consultation is to lower the barriers to accessing financial advice, particularly by fostering a greater understanding of financial principles that can benefit clients in the long term.”

Neilson added that having seen firsthand how financial literacy can make a profound difference in people’s lives, he wants to help clients’ children before there are problems, rather than after.

“When clients come to me with financial challenges, it often becomes clear that many of these issues could have been mitigated or avoided entirely with better financial education from an early age,” he said.

“This realisation prompted me to focus on the next generation – helping children understand financial concepts early on so that they can grow into adults who make informed and confident financial decisions.

“On a broader scale, the firm recognised that the financial landscape is becoming increasingly complex, and there is a growing need for Australians of all ages to be equipped with the knowledge and skills to navigate it effectively.

“By helping clients’ children understand financial concepts, we’re not only supporting our clients’ immediate needs but also investing in the long-term financial health of the communities we serve.”

According to Neilson, the firm is currently averaging around 10 appointments per month, which he said reflects a “clear demand for financial literacy guidance among consumers”.

“We’ve noticed an influx of individuals actively seeking to better understand their finances, which is encouraging as it aligns with our mission to enhance financial literacy across the community,” he said.

“Given this trend, we’re considering expanding our services by introducing a monthly group session. This would allow us to reach more people at once, providing them with essential financial education in a collaborative and supportive environment.”

‘Cornerstone of understanding’

Following the strong take-up from clients’ children, Neilson said the firm is seeing clients better understand the implications of their decisions and having the tools to “sit with their partners and make joint decisions”.

“It’s quite a powerful position, both in terms of navigation but also when they eventually reach out to the office, they’re in a better position to understand the advice, the advice process and how the advice acts in their best interest,” he said.

“The best example we have of this is where our office was contacted by a shadow shopper. We explained the literacy offering, went through the regulation hurdles, explained the difference between advice types and mentioned several versions of free financial literacy tools (i.e. Moneysmart).

“The shadow shopper contacted our office again 30 days later and disclosed her initial intent. She said she was so impressed by the thought that she wanted us to manage her family’s funds, and we did and she’s still an ongoing client to this day.”

Neilson said he would “strongly encourage” more advisers to implement a similar offering to provide greater value to their clients.

“Financial literacy is the cornerstone of understanding and when clients have a solid grasp of financial concepts, they can make decisions more quickly and with greater confidence. This, in turn, allows them to act swiftly on opportunities or challenges that arise in their financial lives,” he said.

“The faster clients can make informed decisions, the more efficiently we, as advisers, can serve them. This efficiency not only enhances the client experience but also enables us to assist a greater number of clients, which is a significant milestone for our profession. As financial advice evolves into a more established field, the ability to service higher numbers effectively becomes increasingly important.

“Furthermore, literacy and the tools that support it are essential for our growth as professionals. By empowering clients with knowledge, we’re not just helping them in the short term; we’re contributing to the long-term development and maturity of the financial advice industry. Offering educational services like these is a key step toward making this young profession truly impactful in terms of its reach and service capacity.”