Money coaches: the mentors who focus on financial health, not wealth

theguardian.com:

Dharmesh Patel was sceptical about how much he would get out of sessions with a money coach.

“I thought it might just be about budgeting – how to manage the pot that I’ve got – but it was much more holistic: less about trying to grow your personal wealth and more about thinking about your financial health and wellbeing.” The 31-year-old from east London is now a convert: “I couldn’t recommend coaching enough.”

He saw an advert through work for the option to see a money coach, paid for via a salary sacrifice scheme, which meant it worked out at about £12 a month.

“My wife, Francesca, was pregnant at the time. Things change a lot with money when you have a child but it’s easy to fall into a trap of just managing things as you always have done.”

He says it was valuable to have an independent person reflect on what they were doing already and what they could improve.

Over five sessions, the couple received help with reviewing their outgoings and savings, and thinking about how to manage the cost of getting a child through nursery and what safety net they might need.

The life, business and career coaching industries in the UK are booming, and it’s perhaps no surprise during a cost of living crisis that there has been an increase in the number of people offering their services as money coaches, and a rise in take-up.

Money coaches are often marketed as being like a “personal trainer” for your finances, and a more affordable, accessible and lower-key alternative to traditional financial advice.

There are a number of providers, from independent sole traders to bigger companies, and money coaching is increasingly being offered by employers as a staff benefit. This week, the tax and advisory firm Blick Rothenberg became the latest company