How do you know if you could benefit from the services of a qualified financial planner? You may not have the expertise, the time or the desire to actively plan and manage certain financial aspects of your life. You may simply want help getting started. You may benefit from an objective, third-party perspective on what are often emotional, difficult decisions. And in today's hectic and uncertain world, it can be beneficial just to have a financial expert looking over your shoulder to double check your planning efforts and make sure you follow through with your financial plans.

I have met many people who felt that financial planners were not for them. However, they made that decision before they learned all of the facts. They were afraid they didn’t have enough money to seek advice from a professional, or didn’t know what to ask or what to expect when meeting with one. This kind of uncertainty can be a barrier when using a planner would make sense.

Some Events That Might Prompt You to Seek Services of a Planner

Saving for retirement, or rolling over a pension 401(k) or IRA

Handling an inheritance or other unexpected financial windfall

Preparing for a marriage or divorce

Planning for the birth or adoption of a child

Facing a serious illness, layoff or natural disaster

Caring for aging parents or a disabled child

Coping financially with the death of a spouse or close family member

Funding a child’s education

How Do You Choose The Right Financial Planner for You?

Choosing a financial planner is as important as choosing a doctor or lawyer, and working with one is a very personal matter. In addition to competency, a financial professional should have integrity, trust, and a commitment to ethical behavior. You want a planner who will put your needs and interests first. You want one who will perceive your unique needs and address them to your satisfaction.

Because this process is so very personal, interview at least three planners to find the right one to serve your needs. A face-to-face interview is a good idea.  Does the person seem forthright in his or her answers? Do you have a sense of trust and rapport? Is the person focused on your needs, and not just selling products?

What Information Should You Ask For?

The planner's basic approach to financial planning

Areas of specialization

Any minimum net worth or income requirements

How the planner might address your particular needs

Whether the planner or others will implement recommendations from the plan

How the planner is paid for services, and the typical charges

Who is the typical client? Does this typical client sound like you?

How often will they contact you; and, can you contact them?

What will prompt their calls?

Will they provide the names of a few clients as references, particularly ones that resemble you and your situation?

Do they have discretion to act without your approval?

 Educational background, training and work experience

Licenses to sell certain financial products, such as life insurance or securities

Why Is 'Full Disclosure' Vital As You Pick A Planner?

At the heart of any working relationship with a financial planner is trust. Trust is built on two factors: the planner acting in your best interests, and full disclosure by the planner.

Full disclosure means the planner is forthright in providing answers to all of your questions-- without hesitation.  Any questions regarding work experience, compensation, methods of planning and the like should be welcomed.  Anything less is a sign that this person may not be the right fit for you.