Are you wondering how much you can make as a financial coach? Well, let’s dive into this question, because, honestly, there’s no one-size-fits-all answer.

Working for a Company vs. Running Your Own Business

The average salary for financial coaches employed by companies, like banks, is around $59,277 according to Indeed. But remember, when you work for someone else you don’t get to pick your clients, your working process, or specialize in an area of money that you’re passionate about. You’re also representing their brand, not your own.

Why I Chose to Run My Own Business

I chose to run my own business because I didn’t want just another job. I wanted to help people on my terms, set my own hours, and build something that’s genuinely mine. Plus, the journey of entrepreneurship is something you just can’t get when working for someone else. You get to set your prices, pick your clients, and evolve your programs as you see fit.

The Sky’s the Limit

As a financial coach and small business owner, the sky’s the limit in terms of earnings, but be prepared for a longer runway at the start. There’s a lot to figure out, and it might take longer to get going. Financial advisors sometimes add coaching as a value-add, but this isn’t always counted in the typical salary formulas.

What About Earnings Over Time?

What you earn at the start isn’t what you’ll be making in a year, or two, or five. You’re in control. You set your rates and when you hit capacity, you can charge more. It’s a growth journey.

FCU Coaches: Earning Potential

We surveyed our Financial Coaches Unite Facebook group, a free community of more than 8,000 financial coaches, to find out what they were earning. Of those who responded, their earnings look like this:

  • 6% earn $49/hour or less
  • 27% earn between $50-$149/hr
  • 48% earn $150-$299/hour
  • 3% earn $300-$499/hour
  • 1% earn $500+/hour

Remember, this isn’t a complete picture – some coaches haven’t yet secured paying clients yet.

Building a Client Base

Gaining your first paying client can happen right away for (23% of the coaches surveyed), or within 6 months {for 20% of the respondents). Once you have a client, they often stay with you for a lifetime, debunking the myth that you’ll constantly need new clients.

Tailoring Your Business Model

You can design your business model to suit your income goals. How many 1:1 clients would you need to meet your target? We’ll explore program design in future episodes.

Group Coaching and Courses

Transitioning from 1:1 to group coaching or courses is an option, but it requires a different skill set. Group coaching demands attention to everyone’s energy and non-verbal cues. It’s a skill that takes practice.

The Bottom Line

You can start financial coaching part-time, making a few hundred extra dollars each month – for a fun, rewarding side hustle. Or, you can aim higher, charging thousands per month for high-end private coaching.

Your Journey, Your Choice

And remember, where you start doesn’t have to be where you end up. Your goals might evolve as you grow in this field. Whether it’s a side hustle or a full-fledged business, the choice – and potential – is yours. Happy coaching!