What is a Financial Planner?
A financial planner is a professional that helps people manage various aspects of their finances. They will usually draft a financial plan for their clients to follow with the goal of improving the client’s financial security now and in the future.
Services Offered by Arizona Financial Planners
The services offered by financial planners in Arizona are quite broad. Basically whatever could possibly affect your finances can be managed by a financial planner. Financial planner’s expertise includes:
- Estate planning
- Taxes
- Savings
- Investments
- Insurance
- Retirement planning
Some AZ financial planners will work with you to put together a comprehensive plan that includes all the elements listed above while others concentrate on just one financial area. Be aware of people who call themselves financial planners but only offer a few products that they are likely making commissions off of.
Before Hiring a Financial Planner in Arizona
There are a number of things to consider before you hire a financial planner in Arizona. Because financial planners offer such a range of services it’s essential that you understand just what it is that your financial planner can offer. It’s equally important that you know what it is you need from a financial planner to ensure they have the expertise you’re looking for.
Another thing to consider is how the financial planner will be paid. Some financial planners charge a flat fee while others charge per hour. It’s also possible for a financial planner to work off of commissions or a mixture of fees and commissions.
Before you hire a financial planner you must be fully conscious of how the financial planner will be compensated.
The Importance of Finding a Certified Financial Planner in Arizona
You’ll need to make sure that your financial planner is certified to make certain they are knowledgeable and meet ethical standards that have been set by official organizations.
There are several certifications for Arizona financial planners. However, the Certified Financial Planner (CFP) certification supplied by Certified Financial Planner Board of Standards, Inc. is well known in the profession. There are a variety of designations that FINRA has outlined in their handbook ‘Understanding Investment Professional Designations’.
Before employing a financial professional, ask about their certifications and then check with each organization to make sure they in fact earned the certification and that they are still in good standing. You may also want to see what the experience and education requirements are for receiving the certification.
If a financial planner offers advice on investments then they must be registered with the SEC and/or the Arizona securities regulator.