People who work with a financial advisor are three times happier than those who manage their own finances, according to a study released Tuesday by Herbers & Company, a business management consultancy.
The study found that individuals who had a financial advisor were more fulfilled, grateful, intentional and pleased with their effect on the world — which they cited as four predictable keys to happiness — than those who did not have a financial advisor.
In contrast, very wealthy people who did not have a financial advisor became progressively unhappier the more money they accumulated.
The study defined happiness as the feeling that reflects how well individuals' emotional, mental, physical and relational needs are being met and, to a smaller degree, their contentment with their idealized self versus their actual self. Money contributes to people's ability to meet their needs and those of their families.
Herbers & Company said its research confirms that not only are financial advisors critical to clients' financial security, but they can also help with their emotional and mental well-being.
"The study findings are fascinating because it shows the power of financial planning on well-being," Sonya Lutter, director of institutional research and education at Herbers & Company, said in a statement.
"Working with a financial advisor accelerates joy in other key areas in our lives because people who have financial advisors were not only happier with their finances, but they were also far more pleased with their personal relationships and their communication with their partners."
