As we continue to simplify our lives in order to operate with ease while caring for others, we need to make sure that we have our house in order –our financial house that is! We may be running around to hospital and doctor visits which leave us spent and just plain exhausted. But can I ask you a question? If you are too busy because you’re handling everyone else’s stuff – who’s watching your pocket? This is a very good question. I want to emphasize that we do not want to neglect our finances and put everything else on the back burner because a life event for your loved one has popped up! There are certain times of the year that you may want to visit what’s going on in your finances. I recommend mid-year and/or a review annually on your birthday and to have one especially if a major life event pops up such as illness, loss of a loved one or even the addition of a new family member. Be prepared so you can know exactly what’s going on. You’ll be able to make adjustments as appropriate and when necessary. Also this is a way to make sure that you’re on track to have what you need when you need it! 
To do this you need to add another member to your team. Remember we talked about having a CPA on deck as part of your team. The next addition you need in your life is a financial advisor. Why you might ask? Well someone else whom you trust can make sure that while you are assisting your loved one and keeping your household running together you can be sure that you’ll have the financial resources you need to navigate the different stages of life. Attack those life goals, anticipate transitions and keep you moving into having enough for retirement and plan for the what ifs or just in case situations that may pop up. I really started to think about this more when my Dad became ill and as an only child, I started to think about who would be looking out for me should something happen. With the rising costs of everything thoughts about affording things in retirement or being able to handle an emergency that may come up. Unfortunately the unexpected does happen –I mean I never expected to be caring for both parents simultaneously – that was truly something I couldn’t have anticipated. However, I can get prepared to have what I need for myself and my family’s future.
What to Look for In An Advisor
You’ll want to find someone who has a fiduciary responsibility. That means that they have a legal duty to act in your best interest. You’ll want to interview at least 3 advisors and assess whether they have the qualifications to meet your needs.
Some key areas that you may want to consider are:
1.Experience: Ideally you’ll want someone who has at least 10 years of experience since they’ll have likely experienced a full market cycle and witnessed and managed through fluctuations of the market.
Ask the following:
- How long have you been managing wealth?
- What licenses do you hold?
- Tell me about your credentials and about those on your team.
2. Fees:
Ask the following:
- How do you charge for your services? Is it a fee for service or a percent of assets under management? Do they sell specific products? (You may want to stay away – as they may be influenced to sell more of that product because they get kick backs.)
3. Strategy/Support: Seek an advisor who sees managing your assets as an important part of helping you to manage the changes you’ll experience as you go through life.
Ask the following:
- What’s your investment strategy?
- How will we work together and how often will we meet?
- Where will my assets be held? ( It’s best that they be managed through a reputable independent firm such as Fidelity, TD Ameritrade or Charles Schwab)
- Do you offer other services such as insurance, tax and estate counseling?
4. Their Record: You may want to verify if your advisor really holds the credentials they claim to hold . Check the following websites including FINRA Broker Check, the SEC, the North American Securities Administrators Association or the CFP Boar .
Ask the following:
- Do you have any complaints on your record?
- May I see 3 client references?
5. Picking an Advisor: Once you’ve narrowed down your 3 candidates, do an inner check. How do you feel sharing information with this person? Do you feel comfortable? Are they willing to listen? Can they explain terms, ideas, and strategies in ways that are easy to understand? The goal is to seek someone who has your best interests in mind and create a strategy that’s tailored to your specific needs while making it easy for you to understand.
By keeping these things in mind, you can be sure that you’ll a have a good idea of who’s watching your wallet so you can have peace of mind and tend to things you need to do for your family.
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