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| Hiring a financial planner is a big decision - one that can affect you, your family and your business. But it's also a decision that can pay off - over and over again. |
| The Benefits of Advice |
| Ready for Advice? |
| Charges and Fees |
| What to Expect |
| The Benefits of Advice |
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With six children and 22
grandchildren, I appreciate the value of family. That's why three years ago I took the time to sit down with my financial adviser and prepare an estate plan. Now I know exactly what will happen with my assets and possessions when I'm gone, and I know my family will be taken care of. The peace of mind that gives me is priceless. Planning does pay off! |
| A financial adviser can help simplify
your life. In today's world of new investment options, changing tax laws, rapidly evolving insurance products and volatile economic cycles, you may be searching for a clear direction in your financial life. Unfortunately, the busier and more successful you become, the less time you have to sort out these issues. Many simply deal with their day-to-day financial needs while hoping that everything will just "work out in the end." A financial adviser can help simplify your life by sorting through all the information and sifting through investment choices for you. Even if you've been handling your own finances, you can probably think of times when you would have liked some expert guidance. Your financial adviser can look over your shoulder and help you resolve some of these complex issues, leaving you with more time to focus on other more important things. And who couldn't use more time? |
| A financial adviser can help you set realistic financial and personal goals. |
| A financial adviser is someone who will listen and
evaluate your needs, then develop a plan to help you
reach your goals within your comfort level. First you must begin with the end in mind - what are your goals? Discovering your goals, clarifying your objectives and setting priorities are critical to your financial well-being. After all, how can you know if you're heading in the right direction if you don't know where you want to go? A financial adviser will ask you questions that will start you thinking about - and clarifying - the important issues in your life, such as the state of your health, your relationships, your career, your plans for retirement, your personal values and tolerances for risk. Your financial adviser will help you gain the focus and perspective you need to continuously work toward your future financial health. |
| A financial adviser can help you develop a plan to meet those goals. |
| Once you understand where you want to go, a financial
adviser develops a financial plan - or a roadmap - of how
you can get there. This acts as your guide for financial
decision-making and can include estate planning,
insurance and investment strategies, and more. Comprehensive financial advisers offer consolidation of all aspects of your financial life into one coordinated plan developed to meet your specific and unique needs. In this plan, your adviser will identify areas where you need help and offer suggestions to overcome any barriers - such as building up a retirement income, improving your investment returns, buying or selling an insurance policy and tax saving suggestions. |
| A financial adviser can help keep you focused on your goals. |
| Developing the plan, your roadmap, won't take you
very far by itself. You've got to hit the road and
implement your plan! Your financial adviser will help you
put your plan into action - and coach you to keep you on
track, focused and disciplined. Along the way, you'll encounter many forks in the road. It can be difficult to tell which way will take you toward your goals - and which way will leave you short-changed. Your adviser will be your partner and guide through those confusing choices. |
| A financial adviser will help you update your plan and goals through all the stages of your life. |
| Your life is constantly changing: you
start a business, you start a family, you inherit some
money, you get married or divorced, a parent becomes ill,
you buy or sell a home... The list goes on. When your life changes, your financial adviser will evaluate these changes, determine their effect on your objectives and suggest changes in your financial plan to keep you on track. The financial markets and tax laws also are constantly changing, often creating confusion for those not well versed in finance or economics. When these changes occur, you'll have questions. Your financial adviser can answer those questions, helping to clarify what these economic changes mean for your unique situation. |
| A financial adviser can help you secure your financial future now. |
| Financial planning helps you reach your
life goals and face the financial challenges that arise
in every stage of your life. Together, you and the financial adviser embark on an ongoing journey to help you manage your finances, reach your goals and prepare for any unexpected surprises life may throw your way. Simply, a financial adviser can help you discover how planning pays off! |
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| Ready For Advice? |
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Five years ago when I was
considering opening my own medical practice, I was faced
with a lot of tough decisions. How many nurses should I
hire, and what kinds of benefits should I offer my
employees? Should I buy a building or rent space? Did I
want to look for other partners, or fly solo? My financial adviser helped me analyze my needs and the area I planned to practice in, and today I operate one of the most successful pediatric offices in the city. I'm living proof that planning pays off! |
Chances are you could use some expert
financial advice if:
Another good indicator: you've got money to invest. If
you find yourself living paycheck to paycheck, now might
not be the time to pay for financial advice. But you can
still engage in the financial planning process. |
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| Charges and Fees |
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As a single, young professional, I've
taken a big hit at tax time in the past. But not this
year! I've started working with a professional financial adviser who's helping me structure my investments to take maximum advantage of the latest tax laws. Plus, I'm getting a head start on investing for my future. I enjoy that sense of independence, so planning's paying off for me. |
| If you decide to seek professional advice, you must
be prepared to pay for it. After all, advisers have to
secure their own futures, too! To make sure the adviser's compensation method is suited to your needs and goals, you should take time to understand and be comfortable with the charges and fees collected by your adviser. |
Generally, financial advisers are
compensated in one of four ways:
In some cases, advisers may offer more than one payment option. Fees are generally controlled by the adviser, while commissions are determined by the company providing financial products. Adviser-controlled charges include fees, service charges and charges based on a percentage of assets managed. Fees can be paid one time, at an hourly rate or on retainer. Service charges may be applied to your account annually or as needs arise. Advisers who manage a sum of your assets may charge a percentage of those assets for their services. Non-adviser-controlled charges include commissions on products such as investments, insurance and mutual funds. Other charges may include account fees for Individual Retirement Accounts (IRAs) or redemption fees when mutual funds or insurance products are sold or surrendered. Financial advisers who work for banks, credit unions or other organizations offering financial planning services are most often paid a salary. You will probably pay a fee or commission to their employing institution. What compensation method is best? That's a decision you've got to make for yourself, based on your financial situation and what you're comfortable with. But most importantly, your adviser should fully disclose and explain completely how much you will be paying for his or her services and what additional charges will be applied for the purchase of products. If you don't understand, ask. It's not rude, and you have a right to know! |
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| What To Expect |
| The bottom line is a financial adviser is your
partner, someone you can turn to for guidance and
reassurance as you move toward your life goals. Your
adviser should deal with you honestly and openly. And
your adviser should always put your needs above all else. An
overwhelming 92 percent of clients of financial
professionals say they're comfortable with their
financial situation. Could you use that peace of mind? |
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