How To Find A Good Financial Planner

"How do we find financial planners, or estate plannersas a CPA, or a financial planner on the side. If so, and
to help execute in our best interests?" It's a greatyou like him, start asking him the questions. Your
question. The standard reply one would get from aboss is generally a good place to ask too. Don't be
talking head on CNBC is "Find a licensed Financialembarrassed, in fact, keep your head up. If your
planner, and then get at least three references, thenemployer is successful, chances are he's gone
make sure that you see if he is working towards histhrough the same questions you are going through.
own goals and not yours, etc etc" That's a fineFind out who he uses. We have found that the
canned response, but what's it really mean? Nothuman resources department of mid sized companies
much.are often a treasure trove of info like this. You can
As you know, we believe that the person mostbet that if your HR person is nailing down 150 grand
suited for your personal finances is You. No onea year, he's talked to many planners both on the
cares about you, like you. So, premise one is thatcorporate level and personal level. Ask him. First he
you actually care about what's going on and want towill be shocked because most people don't think
take the action steps necessary to achieve your gols.about using him for that info, but then he will take a
What I find is that too many people tend to thinkcertain pride in feeling that you find him important
that estate planning is too overboard for their abilitiesenough to ask.
and they pass along the responsibility to someoneIf "Joe" is a square guy, he will give you a couple
else. That isn't particularly an attractive way to go.names that will help you. It's your job to weed
Here is what I suggest.through them and see if any of them fit the bill.
The hardest part of finding good financial planning isWhat's the most important thing to ask your new
to find a person who really knows his "stuff" but hasprospect? I can sum it up in one paragraph. Ask him
the time to deal with you on a personal level. Inif he thinks it's okay to "stay the course, suffer
other words consider your tax preparer. Once a yearlosses now, because in the long run you will win" If
you trot into his or her office with a box load ofhe gives you that line of crap, say "Sorry no thanks"
papers, you wade through it for a couple hours andand move on. If you ask him "how can I maximize
you're done. You probably won't see them again formy returns, while limiting my risks, and avoiding the
a year. With a financial planner this is a major no no.tax man to the best of my ability", and he replies, I
An awful lot can change in the course of a year andlike to stay liquid, and safe. I take risks when
you want the ability to contact this person andappropriate, but only when we can maximize the
discuss changes in tax laws, stock directions,return and minimize the tax liability" this is a guy you
allocations, real estate, etc. on at least a monthlywant to meet. The economy changes, the stock
basis. So, along with finding a skilled person, onemarket changes, and your planner should be flexible.
needs to find one who won't blow you off when youMake sure you tell this person that you want to stay
call. But more importantly, not only shouldn't he blowinvolved, and that a personal relationship is paramount
you off, he has to listen to your concerns and maketo success. If he's not willing to field phone calls at 9
movements based on your feelings too.pm after you've had an usettling day, then move on.
How do you find a person like that? Well it's notPay him well for his services, but make it known that
easy, but it's possible. The first thing to do is this,you will be involved and you will want interaction.
contact the person who handles your house and orThat doesn't mean call him ten times a day. That
life insurance. No, you don't want the salesman, youmeans that if you see something changing, you want
want the brokerage owner. For instance, my friend'sto talk about it and the ramifications of it. Suppose
house is insured by State Farm and his local broker isyou have several homes and you start seeing
a wonderful guy who's been in the insurance andproperty values dipping in your area because of poor
"money" business for 28 years. Even if you don'tmanufacturing employment. We'd certainly be on the
know your broker personally, he has a reason tophone asking him "when should we sell one and then
listen to your question and help you. See, you paywhat should we do with the proceeds?". He might
this man through your premiums. He will try and helphave suggestions you haven't thought of and a
you if he can. So, start there. A common line ofdiscussion is probably necessary. He'll know if you can
thought would be "Hey Joe, I'm looking for a financialsell the home without taking a tax hit, and if so, how
planner to help me get things set up for myto minimize it by applying the proceeds to another
retirement, help with my taxes, and help me build aavenue. That's his job.
secure environment. I don't want some pushy guyFinally, don't think your planner is going to be on top
who is going to try and sell me all sorts of services, Iof everything. The guy will have a lot of clients if he
want to pay someone for his knowledge. Do youis any good, and he won't know everything that is
know of anyone that sounds right for the job?" Willgoing on in your accounts every day. It's going to be
Joe know someone who can help? Probably, financialyour job to keep track of certain things and "get
planners contact insurance companies all the timeback to him" about them. Never stray too far away
trying to increase business.from your own records and ask the right questions
Your life insurance provider is also a good place towhen they arise. Remember, it's YOUR money, not
start, although so many life insurance companies havehis. If you have a gut feeling that you are doing
financial advisory services that are nothing more thansomething wrong, tell him about it, tell him why you
offices run by 20 somethings that are reading the oldthink it's flawed and come up with something that
company script. This is obvously not acceptable, butsatisfies both of you.
in some cases your insurance man may be doubling