Why Should You Hire a Financial Advisor?

Filed under: retirement planning

JohnDubotsnewOnce you’ve saved up your nest egg and retired from a fulfilling career, you might be tempted to handle the money yourself. After all, you didn’t get this far in life by making bad financial decisions! But the truth is, most people in your position actually do employ the services of a skilled financial advisor. Some even consult with more than one.

For many people, hiring a financial advisor can be a nerve-wracking decision. You will be putting your hard-earned life savings into someone else’s hands. Of course you will investigate your potential advisor’s investing record, interview them personally, and choose an advisor based on their skill level and your personal comfort with them. But no matter how carefully you proceed, this decision can make you nervous.

On the other hand, some people find it very easy to seek the services of a financial advisor. When you know very little about investing or money management, hiring an expert seems to be the obvious solution.

Whether the decision to consult a money expert is an easy or difficult one, it’s likely that you have certain goals in mind. In fact, a recent market survey by Cerulli Associates Inc demonstrates very clearly the reasons that retirees tend to seek the advice of a financial services professional.

  • 31.7percent want to maintain their lifestyle in retirement
  • 19.6 percent are interested in funding a child’s or grandchild’s college education
  • 14.6 percent want to protect their current wealth
  • 14 percent want to aggressively grow their wealth
  • 9.8 percent want to leave a legacy for their heirs
  • 4.2 percent want to give money to charity
  • 2.4 percent need to minimize income and capital gains taxes
  • 1.9 percent want to improve their household cash flow

Sometimes retirees even seek out multiple advisors, as a team approach often works better to solve the many complicated problems of retirement, taxes, and estate planning. In these cases a client might consult a financial advisor, an accountant, and an estate planning attorney to address multiple financial concerns. Each member of the team contributes their own expertise, and the client is happier and more satisfied with their overall financial picture.

To schedule a consultation with a skilled financial planning expert, call Dubots Capital Management at (888) 605-8383. Together we can evaluate your current financial status, and make a long-term plan for wealth accumulation and preservation.