By Derrick Longo, Partner and Senior Wealth Advisor
For younger generations, financial decisions often come with more complexity and unclear starting points. Debt payments compete with savings goals, market headlines shift constantly and access to reliable guidance can feel limited. That’s where an advisor can make a difference, by helping create structure and clarity at a time when both are in short supply.
Millennials and Generation Z are often still building their income, and many carry student loans or other financial obligations. That can make saving feel secondary or out of reach. But developing early habits, even small ones, matters. A modest monthly contribution toward a long-term goal helps build consistency. That consistency, more than timing the market or choosing the perfect investment, moves things forward. Advisors can help define those goals and make them achievable, removing some of the guesswork that often gets in the way of progress.
Many young investors assume they need to reach a certain net worth before an advisor will talk to them. While that’s sometimes true, there are other entry points. Some employer retirement plans include access to an advisor. Others may be able to connect with an advisor through a parent or family relationship. Even a single conversation can prevent common missteps and give someone the confidence to keep going. Access is not always as limited as it seems.
Another reason advice matters is accountability. Without it, it’s easy to delay or get stuck. A regular check-in creates an external reason to stay engaged, adjust where needed and keep moving forward. That’s especially valuable during transition periods, when routines change and it’s easy for financial planning to fall down the list.
Time is one of the biggest advantages Millennials and Gen Z have. A 25-year-old investing $200 monthly at a 7% annual return could build over $525,000 by age 65. Starting at 35 could require twice the monthly amount to reach the same result.¹ An advisor can help model those trade-offs and underscore the impact of early action.
It’s also worth clarifying the difference between saving and investing. High-yield savings accounts, now paying close to 4%,² are great for emergency funds. But they are not a long-term strategy. Keeping too much in cash for too long can hold back progress. Advisors can help evaluate how much should be kept readily available and how much should be working toward longer-term goals, whether that be buying a house, planning a wedding or purchasing a car.
An advisor can still be useful for those with little room in the budget. They can discuss options like ways to increase income or reprioritizing spending. But the most important thing is to have a plan in place so that the next steps are clear when cash flow improves. You don’t need a full strategy on day one, you just need to start.
If you or someone you care about is figuring out where to begin, we’re here to help. A few small changes now can create real momentum over time; the earlier those changes happen, the more they’re worth. If you have any questions, feel free to reach out: dlongo@exencialwealth.com.
Sources:
- SmartAsset (7/30/25) – “How Much Will Your Savings Grow Over Time?”
- Bankrate (8/12/25) – “Average High-Yield Savings Account Rates in August 2025”
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