If you’re lucky, you have a retirement fund that will allow you to retire comfortably in the next few decades. However, if you’re not focused on investing and managing your finances, it might be time to consider prioritizing this area of your life. Forming a professional relationship with a financial advisor is the most proven way to receive risk-friendly advice and assistance with your money goals.
Fee-Only Financial Planners
A fee-only financial professional is typically a credentialed individual who only charges an hourly rate or a fee-for-service basis. They can work with providers who offer a la carte financial management and investment services.
If you have an ideal financial situation but need a second opinion, then a fee-only financial professional can help you review and manage your investments. This individual can also provide recommendations. You can also choose a complete financial plan that includes a comprehensive analysis of your money concerns.
Before you hire a fee-only financial professional, it’s important that you thoroughly research the services and charges of the individual. You can also check the broker check of the Financial Industry Regulatory Authority (finra.com).
Benefits of a Fee-Only Financial Planner
Unlike other financial advisors, fee-only firms do not charge commissions or accept other forms of compensation. This eliminates the possibility of conflicts of interest. Many people recommend working with a fee-only financial planner for this reason. When it comes to providing planning services and investing money for clients, financial advisors are required to act in their client’s best interests. This means that they must always disclose any potential conflicts of interest.
One of the main advantages of working with a fee-only firm is that it allows the financial advisor to provide an unbiased second opinion to help clients manage their financial situation. This can be done on an as-needed basis or through a regular financial review. These services can include reviewing your investment portfolio or developing a comprehensive financial plan.
As you begin your search for a financial planner, it’s important that you understand the unique benefits of fee-only advisors. This type of firm won’t be able to offer you incentives to sell you something for their own gain but will instead work towards your best interest.