We all do our best to handle our money, but sometimes, we learn tough financial lessons the hard way. What if we were to approach a certified financial planner? There are experienced, professional financial advisers who can guide us to make smart monetary decisions, provide tips on taxes, identify the right accounts for savings and investments, and most importantly, teach us to enjoy our money responsibly.
We decided to look to Barbara Stanny
, a financial expert and adviser, as well as a former journalist and author of six books, to offer tips on finding a great financial planner. Her goal is to teach people the secret wisdom of creating wealth and asserting power.
She has interviewed several iconic women who earn 6 to 8-figure incomes, and she shares her insights in her first book, Prince Charming Isn’t Coming: How Women Get Smart About Money
. She teaches regular workshops on how to maximize your earning potential. Here are Stanny's 5 tips to hiring a financial planner.
- You don’t need to stick with the professional who’s been advising your family for years if you don’t want to. Be honest with them and politely say you’re shopping around for someone in line with your goals or lifestyle choices.
- You needn’t be afraid of committing forever to a financial planner. Yes, you will need to sign a contract in order to work with them, but don’t be in a rush to sign anything that you are unsure of or do not understand. Ask tons of questions till you are satisfied with their responses. You could even go through it with an experienced friend or another adviser or a lawyer before you seal the deal.
- You don’t have to do everything your adviser tells you to do. If you suspect your adviser is suggesting something for the commission she may earn as opposed to having your best interests at heart, ask a third party who doesn’t have anything to gain from this arrangement. If your feeling persists, you can even switch to a financial planner who works by an hourly fee or an account that’s inclusive of all fees.
- Never let yourself be pressured into buying something you don't want. Even if she says that a certain insurance policy is critical for you or a stock will shoot up in a short time or that the price will never be that low again, don’t buckle. Good financial planning takes lots of time and research.
- You can always change advisers if you’re not happy with the one you’ve chosen. First allow them to explain their actions and respond to your complaints, and if you’re still not content, then go ahead and close your account. Just ensure you fill out all the requisite forms to transfer the details of all the investments to your new broker.