As you get older, it becomes more important to have your finances under control and have a good grasp on your income, investments, and retirement funds. Over 17% of people in the UK over the age of 55 have little to no retirement funds, while in the US, over half of women and 47% of men in the 55 to 65 age bracket have no retirement funds or plans in place.
Whether you plan on retiring as soon as you hit the retirement age or you want to work for as long as possible, you need to be confident you are making the best financial decisions in the future. A great way to do this is to take financial advice from someone who can advise you on how best to manage your money, investment options to help you build a nest egg, or simply what to expect when you retire.
But picking a financial advisor shouldn’t be done lightly; the last thing you want is to get bad advice and find yourself in a worse position than you are currently. These tips can help you to find the right financial advice for your situation.
Decide What You Need Advice On
Before you sit down and talk to a financial advisor, you need to know precisely what you need help with. This can be anything from retirement planning to debt advice, investment opportunities, insurance advice, or even writing a will. Once you know what you need to talk to them, you can be confident you are getting the right advice and have everything prepared ahead of time to get the most from the experience.
Know The Different Types of Financial Advisors
You can get in touch with different types of financial advisors, and knowing what each one does can help you decide what is right for you.
Some financial advisors work on a commission-only basis, meaning that your consultation is free, but they get a commission on any products you buy; others work on a percentage of your investments, while others work for a flat fee. You might also find some advisors are restricted as to what information they give out, which limits them to certain products, while others don’t have these restrictions. Do your research and learn more about the different advisors and their services.
Regulations and Experience
There is a range of databases that can give you more insight into the different advisors available, their relevant experience, and what standards they adhere to. This will differ depending on the type of work they do and the company they work for. But you can use free databases of financial advisors to check out all of this information and look at whether they adhere to gips standards or have had complaints filed against them, for example.
Choosing a financial advisor should be done carefully and after much research. Ask family and friends for recommendations and peers, too. This will help you narrow your search and get first-hand feedback from people you trust to help you make the right decision.