What Does a Paraplanner Do? Role & Responsibilities Explained
If you’ve ever wondered what does a paraplanner do, you’re not alone. While financial planners are often the face of client advice, paraplanners play an equally crucial role behind the scenes. They ensure that advice is accurate, compliant, and tailored to client needs, acting as the backbone of financial planning practices.
In this blog, we’ll break down the paraplanner role, responsibilities, skills required, and even explore options like outsourced paraplanning services.
Who is a Paraplanner?
A financial paraplanner is a professional who supports financial planners by preparing and managing the technical, research, and compliance aspects of financial advice. Think of them as the planners’ right-hand person, helping transform client goals into actionable financial strategies.
In Australia, paraplanners are officially classified under occupation code 531932 in the ABS’s OSCA classification system, described as professionals who provide administrative and client-services assistance and perform financial planning and analysis for financial advisers and planners.
Unlike financial planners, paraplanners usually do not give advice directly to clients. Instead, they work behind the scenes to ensure everything is accurate, compliant, and ready for the planner to present. Their work allows financial planners to focus on building client relationships and strategizing high-level advice.
There are different types of paraplanners depending on their focus:
- Technical paraplanners – specialise in research and financial analysis.
- Compliance-focused paraplanners – ensure advice meets regulatory standards.
- Generalist paraplanners – provide a mix of technical, compliance, and administrative support.
Understanding what does a paraplanner do starts with recognising that their work is a mix of research, documentation, compliance, and administrative tasks.
Key Responsibilities of a Paraplanner
The paraplanner job description can vary between firms, but there are several core responsibilities that are almost universal.
1. Preparing Financial Plans
One of the primary duties is assisting in the preparation of financial plans. This includes:
- Collecting and reviewing client information, such as financial statements, superannuation accounts, and insurance policies.
- Conducting fact-finding sessions and risk profiling to understand client goals and tolerance for risk.
- Assisting in developing comprehensive financial strategies that align with client objectives.
This part of the paraplanner role is critical because it ensures the advice clients receive is tailored and accurate.
2. Research and Analysis
A financial paraplanner spends a significant portion of their time researching financial products and investment options. This includes:
- Comparing superannuation funds, insurance products, and investment options.
- Analysing market trends and tax implications to inform financial advice.
- Preparing detailed reports for the planner to review before client presentation.
The research work ensures that the financial planner’s recommendations are backed by data, not guesswork.
3. Compliance and Documentation
One of the most vital aspects of a paraplanner’s role is ensuring that all financial advice documentation meets regulatory requirements. Tasks may include:
- Drafting Statements of Advice (SOAs) and Record of Advice (ROAs).
- Checking that recommendations comply with regulations like ASIC standards in Australia.
- Maintaining client files, documenting advice decisions, and managing audit trails.
Strong compliance work not only protects the business but also reassures clients that the advice they receive is legitimate and trustworthy.
4. Administrative Support
Paraplanners also handle a variety of administrative duties to keep financial practices running smoothly:
- Scheduling client meetings and follow-ups.
- Preparing client correspondence.
- Maintaining databases and document management systems.
While these tasks might seem routine, they free up financial planners to focus on higher-value client interactions.
5. Client Interaction (Limited)
Though paraplanners are not usually client-facing, they may assist with:
- Collecting client information.
- Answering straightforward queries under the supervision of the planner.
- Coordinating with clients to ensure all required documents are submitted on time.
This limited client interaction helps ensure the planner can dedicate their time to strategic advisory work.
Skills and Qualifications Required
Understanding a paraplanner’s role also involves knowing what makes someone effective in this role.
Essential skills include:
- Technical knowledge – investments, superannuation, insurance, and tax regulations.
- Analytical ability – evaluating complex financial information and identifying the best solutions.
- Attention to detail – critical for compliance and accurate reporting.
- Communication skills – for drafting clear reports and liaising with planners and clients.
Qualifications often include:
- A Diploma or advanced certificate in financial planning.
- Certifications like CFP (Certified Financial Planner) or RG146 (in Australia).
The Importance of Paraplanners in Financial Planning
A financial paraplanner plays a pivotal role in ensuring the smooth functioning of financial practices. By handling research, documentation, and compliance, they allow financial planners to:
- Spend more time building client relationships.
- Focus on strategy rather than administrative or technical tasks.
- Reduce the risk of errors and regulatory breaches.
The result is a more efficient, accurate, and professional service for clients. For firms, investing in paraplanning can improve client satisfaction and business growth.
As reported in a news.com.au article, despite a slowing Australian economy, the job market remains resilient, job vacancies rose by 2.9% in the three months to May 2025, with around 339,400 vacant roles now advertised.
This suggests that even in challenging economic conditions, businesses are expanding staffing, a trend that could drive increased demand for paraplanner roles and outsourced paraplanning services.
Outsourced and Contract Paraplanning
Not all businesses need a full-time in-house paraplanner. This is where outsourced paraplanning services or contract paraplanning come in.
Outsourced Paraplanning Services
- Offer flexibility for firms that don’t require a full-time paraplanner.
- Provide access to experienced professionals who can handle complex tasks efficiently.
- Reduce costs associated with hiring, training, and maintaining in-house staff.
Contract Paraplanning
- Allows businesses to bring in paraplanners for specific projects or seasonal workloads.
- Ideal for handling compliance reviews, large-scale paraplanner financial planning updates, or business expansion periods.
Both approaches allow financial planners to scale their operations without overburdening their teams.
Tools and Software Used by Paraplanners
A paraplanner’s efficiency often depends on their familiarity with industry software:
- Financial planning platforms – Xplan, Midwinter, or AdviserLogic.
- Research and analytics tools – for investment, superannuation, and insurance comparisons.
- Document management systems – to maintain accurate records and support compliance.
Using the right tools allows paraplanners to deliver precise and timely support, enhancing the planner’s ability to advise clients.
Challenges in the Paraplanning Role
While rewarding, the paraplanner role comes with challenges:
- The need for high attention to detail to avoid errors in financial advice.
- Keeping up with ever-changing financial regulations and product updates.
- Balancing multiple responsibilities, from research and compliance to administrative tasks.
Despite these challenges, paraplanning can be a highly satisfying career for those who enjoy problem-solving and contributing to clients’ financial well-being.
Career Path for Paraplanners
Many paraplanners start in junior support roles and progress to senior paraplanner positions. With further qualifications and experience, they may advance to financial planner roles. Contract and outsourced opportunities also allow paraplanners to gain diverse experience across multiple firms and client profiles.
Conclusion
So, what does a paraplanner do? In short, paraplanners are essential pillars in the financial planning industry. They ensure advice is well-researched, compliant, and accurate, allowing financial planners to focus on strategy and client engagement. Whether in-house, on a contract basis, or via outsourced paraplanning services, their contribution cannot be overstated.
If you’re considering a career as a financial paraplanner or looking to enhance your financial planning business, understanding and leveraging the paraplanner role is key to delivering professional, compliant, and client-focused financial advice.
