A financial planner can help you plan for retirement.There are different types of financial planners. They primarily work for insurance companies, banks, and some of them are self-employed. According to the United States Bureau of Labor Statistics, the average pay for financial planners was $64,750 per year in 2010. How do financial planners help people? They help clients accomplish short-term and long-term financial goals. They interview clients and analyze financial information. They also monitor outcomes and make recommendations.
First, financial planners meet with individuals to discuss their short-term and long-term financial goals. You may have a long-term goal to retire with a million dollars in the bank. A personal financial advisor can help you. For example, the advisor can tell you how much money you will have to save based on your age, your income, and your personal situation. Your short-term goals might be to pay-off all credit cards and personal loans.Financial planners can also help you with tax issues as explained in the Financial Times.
Next, financial planners will interview potential client(s) and explain what services their company has to offer. These agents may sell financial services such as annuities, bonds, stocks, and insurance products. Agents may be responsible for marketing their services to individuals, families, groups, and companies. A good agent will answer questions and explain the levels of risk associated with each investment. They also use computers to analyze financial information. The computers can assist the agent and the client(s) in making the best investment decision. There are many financial strategies that planners use to help clients.
Then, financial planners also monitor outcomes and make recommendations. If you invest your money with a financial planner, it is their responsibility to protect your interests. The financial planners works for the clients. When the stocks and bonds are not meeting your objectives, it is the agent(s) duty to inform you. The personal financial advisor should be ready to make other recommendations that will lower your risk and protect your principle. You should keep in mind that all investments carry a risk and most financial products are not insured. Here is a list of the 50 largest financial planning firms so you can really find out what personal financial advisors do.
Finally, financial planners have many duties and responsibilities. Make sure your agent provide you with at least the basic services. They should help you accomplish your financial goals and analyze your financial information based on your personal situation. They should also be able to provide assistance and make recommendations that will help protect your money.