Ring in the new year with a list of questions to ask your financial planner. Even the most basic questions are encouraged as you want to get to know who your financial planner is just as much as they want to get to know you. You want to be able to trust who is going to help you achieve your personal goals and come to terms with possible candidates as you narrow down your results. To help you, here are a few questions you can ask:
- What is your level of expertise and what type of clients do you usually work with?
If you did not already know, a financial planner must first hold a professional certification and go through training. By asking what their level of expertise is, you can dive into the topic of how many years they have worked in the field. It is preferable to have three or more years of experience as they pass their CFP board. Ask about specifics, such as where they worked and why they worked there. Along with the answers they give you, make sure to ask what type of clients they usually work with (proven success stories are always welcome). Be sure you can connect with a financial planner that can handle similar situations as you, meet your specific needs and can give you examples of how they excelled at other client’s financial planning goals.
- Ask how realistic their projections are based on real clients and how far they go to make sure they are keeping up with return rates.
A financial planner should be transparent as possible when it comes to all aspects of their work. This includes being realistic about projections such as retirement planning and how far they go to make sure they are keeping up with your return rates based on assets. You can do your own research prior to every appointment, but it would defeat the meaning of a planner doing the work for you. They should be able to keep up with the current economy, be aware of inflations, help you make decisions on investing in the stock market and overall guide you through the percentages that fit your financial habits.
- How much will your service cost me?
After you’ve spoken to a financial planner, it is time to get down to business and talk about costs for their services moving forward. After all, you are investing your time and hard-earned money into not only saving, but investing in the financial planning process. Ask if there are hidden fees to look out for such as a broker’s mutual funds. The upside to paying a service fee no matter what their structure looks like is that you will ultimately decide up to how much you want to invest and in turn pay the financial planner. By carefully reviewing the service fee options, you get to see where you can save the most while still progressing in your financial planning journey.
Care Financial is a privately owned and operated business providing families, individuals and businesses with comprehensive wealth management strategies. Contact us online at www.carefinaicialonline.com or call us at 251-633-7122.