Valuable Benefits of Having a Fee-Only Financial Planner

You can more easily manage your financial planning if you have a financial planner. They can help you meet your long-term financial objectives by creating a balanced plan. When looking for a financial planner to help you, you must know that there are different kinds. One is a broker, and the other is the fee-only financial planner. 

What Is the Difference Between a Broker and a Fee-Only Type? 

First, let’s discuss what their difference is. A broker is a financial planner who receives a commission for every financial product sold. In the simplest terms, broker-type financial planners can also be considered salespeople for the insurance or financial company they’re affiliated with.

On the other hand, the fee-only type of financial planner works independently and does not sell actual financial products like mutual funds or stocks; they are paid a set rate for the services they provide.  As a result, they can give you professional advice all year round and help you with any questions you may have related to financial planning. 

If you choose to work with a fee-only financial planner, there are many benefits including the following:

They Will Look at Your Whole Financial Picture

Fee-only financial planners will not give you financial instruments that are not appropriate for your financial position. Instead, they will evaluate your financial situation to help you create a plan of action for financial security. You will gain advice about your insurance, estate, and retirement planning, unlike commission-based brokers who will sell you products that may not be applicable to your financial situation.

They Are Usually a Fiduciary

It’s simple; fee-only financial planners are personally liable if they give you bad advice, so they are obligated to act in your best interest. They are expected to conform to legal and the highest ethical standards and disclose any conflict of interest. 

They Are Usually Certified

Most fee-only financial planners have a professional affiliation. Specific organizations officially recognize that they are legal, professional, ethical, and meet specific financial planner standards. Fee-only financial planners who have the CFP® go through rigorous training on investments, insurance, retirement planning, tax planning and estate planning. This often means they are more knowledgeable and take a holistic perspective to providing advice. 

They Will Help You with All Aspects of Financial Planning 

Fee-only financial planners can provide you with total wealth management services. They can cover all areas of financial planning, including your retirement planning, estate planning, investment planning and insurance planning. It may be a broad field, but you can ensure that they are knowledgeable enough to help you create a financial plan to achieve your financial goals. 

Conclusion

A financial planner is vital for staying on top of your finances. Through their advice and recommendations, they can help you gain confidence and be ready when financial chaos comes. By partnering with a certified fee-only financial planner, they will customize a realistic plan according to your specific financial position and objectives. 

If you’re looking for a fee-only certified financial planner in Charlotte, NC, Calamita Wealth Management is here to help! We provide comprehensive and objective financial planning and fiduciary investment advice to our clients. Get in touch with us today!