Whether you run a successful business, or you are just trying to get your personal finances more organized, hiring a financial advisor may be in your financial future’s best interests. This may seem like a luxury that only the fiscally blessed need, but in reality, it is a service that almost everyone can benefit from. Before we get into why you might want a financial advisor and how to find the right one for you, let’s first determine what one of these professionals actually does, and how we define this position at ProVision.
What is a Financial Advisor?
A CFP (certified financial planner), or a financial advisor, is a professional who has studied and passed specific testing required by the Certified Financial Planner Board of Standards. While this certification is more of a formality than a determining factor of quality, some advisors choose to pursue it in order to further their education on personal finance. CFPs focus almost solely on preparing for your financial future by setting aside money along the way, and not much more than that. In contrast, we prefer to call our financial planners and advisors “Wealth Strategists” because we believe you deserve more than to just get by in retirement. We believe that you should be building wealth as well. Whatever your financial goals are, our wealth strategists can help you achieve them, going above and beyond just financial planning and advising.
Why You Need a Planner
Knowing the basics of budgeting can only get you so far in your financial future. While this is a great way to make sure you are saving some money and keeping track of your bills, simply budgeting may not be the best approach to building a wealth empire. For some, hiring a financial planner or wealth strategist is simply about having accountability and someone there to bounce ideas off of when you are considering multiple directions with your finances. For others, they are too busy to manage their own finances, and are looking for someone to completely hand over their budgeting and financial planning to.
Many of these professionals have dedicated countless hours to educating themselves and are far more knowledgeable about personal finance than the average individual. These planners and advisors can guide you in investing, saving, budgeting, and more, and they bring a level of expertise to your personal situation to ensure that you are successful in your financial endeavors. If you have any financial goal that you are trying to achieve, hiring a strategist can be extremely beneficial to you.
Picking a Planner
Financial planners, advisors, or wealth strategists. Whatever you decide to refer to them as, they are all there solely to assist you with bettering your financial situation. Since they will be in charge of your life in finances, it’s important to know what to look for when you go about picking one out.
With financial planning, there are a handful of different pay structures that exist. Some planners are strictly fee-based, whether it’s a flat one-time fee or a yearly percentage. Some planners lean more towards a commission-based salary, making money off of certain financial endeavors. Some planners charge by the hour for their services. Each of these pay structures has pros and cons, and it’s important to look into the difference before deciding who to go with.
Background and Credentials
When hiring an individual, it’s best to thoroughly vet them before trusting them with your financial information. Perform some background checks on them, utilizing some free databases to see if any red flags pop up immediately. Verify their certifications and credentials, seeing if their license has been revoked at any time. This information should all be public and readily available if you invest the time into looking for it. It can also save you a tremendous amount of time and money in the long run by preventing you from trusting the wrong person with sensitive information and access to your finances.
If vetting your personal finance planner seems like more work than you want to commit to currently, consider hiring someone at a reputable company. These companies have already done the work to make sure the advisors they employ are of the utmost quality, as the company’s reputation is staked on the work they perform. At ProVision, we hire only the best. You can rest assured that our wealth strategists have your best interests in mind, and will collaborate with you to see all of your financial goals achieved. If you’re interested in our wealth strategy services, contact our experts today.