What is a Financial Planner?
A financial planner is a professional that helps people manage various aspects of their finances. They'll 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 Tennessee Financial Planners
The services offered by financial planners in Tennessee 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 TN financial planners will work with you to construct a comprehensive plan that includes every one of the elements in the list above while others specialize in just one financial area. Look out for people who call themselves financial planners but offer only a few products that they are likely making commissions off of.
Before Hiring a Financial Planner in Tennessee
There are several things to consider before you hire a financial planner in Tennessee. 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 make certain they have the expertise you’re looking for.
Another factor to consider is how the financial planner will be paid. Some financial planners charge a set fee while others charge by the 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 Tennessee
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 Tennessee financial planners. However, the Certified Financial Planner (CFP) certification provided by Certified Financial Planner Board of Standards, Inc. is well known in the profession. There are numerous 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 wish to see what the experience and education requirements are for receiving the certification.
If a financial planner offers suggestions about investments then they should be registered with the SEC and/or the Tennessee securities regulator.