Financial Information Service Officers compared with Financial Planners
Nov 1, 2024
Financial Information Service Officers provided by Centrelink/Services Australia can help provide factual information in some situations but often get confused with a financial planner. I have highlighted some differences between financial service professionals below:
Financial Information Services Officers (FIS) at Centrelink: They aren’t financial planners, so they can’t necessarily consider all of your financial goals and give you specific recommendations to meet them - nor can they make product recommendations in relation to investments etc. However, they can be a good starting point to get factual information around the age pension system and other Centrelink entitlements at no cost.
Industry fund financial planners: These can be a cost-effective way to receive financial advice, though they typically still charge around $3,000 for their services, which can vary and be more or less. From an investment perspective, they generally only look at the industry fund you are currently in and will likely recommend that option, which might be perfectly fine. However, some of their advice can be limiting and “cookie-cutter” to cater to high demand.
Other financial planners: Some are licensed through companies that own their superannuation funds (and you will generally end up in that super fund). In contrast, professionals like me are not licensed through a company that “makes” a super fund, and others may be self-licensed. These financial planners will hopefully provide a bit better advice and more comprehensive than the two options mentioned above! I say hopefully because everyone is different in their service offering and what advice they cover.