Whether for a fixed short-term goal, such as paying off debt, or to chart a comprehensive roadmap for your financial future, a Certified Financial Planner can be essential in the process.
To find a professional you can trust and to get the most out of working with them, consider the following answers to frequently asked questions.
Can I trust this person?
The credentials of a “financial planner” can vary widely. It’s best to ensure that your financial planner is a CFP professional. Certified by the CFP Board, CFP professionals commit to high ethical standards and have made a commitment to the CFP Board to act as fiduciaries, meaning they act in your best interests when giving financial planning advice. They must also acquire several years of experience providing financial planning services and pass a comprehensive exam. These rigorous qualifications can provide you with peace of mind that your financial planner is someone knowledgeable who has your best interests in mind.
Is financial planning for me?
A common misconception is that financial planning is only for those with a certain level of income or wealth, or for those who are nearing retirement. The truth is that financial planning is for everyone at all stages of life.
For example, if you have just graduated and are starting your career, you may need advice on how to pay off student loans while saving for the future. A financial planner can help you prioritize these competing goals. Similarly, if you are already established, a financial planner can help you manage and protect your wealth for the next generation.
What value does a financial planner offer?
A CFP professional will learn about your financial goals and needs and can develop a holistic financial plan tailored specifically to you. Their education and experience make them uniquely qualified to help you choose investments that align with your time horizon and risk tolerance, to help you save on taxes, and to assist you in planning for the future – including the unexpected. With a CFP professional by your side, you can feel more confident about your financial future, whether planning for college, retirement, or family growth.
Source: StatePoint