I’m a Financial Advisor: 3 Things Not to Do When Selecting a Financial Advisor

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Choosing a financial advisor is an important step in your financial journey.

Here are the top three mistakes people make when choosing a financial advisor and what they can do to ensure they are making the right choice.

Alleson Tate, CFP® is the Founder of Avere Wealth Management, an independent Registered Investment Advisory (RIA) firm based in Atlanta, GA specializing in wealth-building and tax reduction strategies for business owners.

Not Checking Experience and Credentials

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Determine the three main financial planning goals you wish to focus on with an advisor. During your introductory call, ask if they can help you with those items and ask how they would address each goal. This is critical as every advisor has different strengths and experiences.

There are very different needs, such as creating a budget, helping you save on taxes, developing a plan for your equity compensation, and educating you on Medicare plans. Choose an advisor with a strong track record in the specific areas of finance that you need help with.

Ask who their clients are today. If you are approaching retirement and want to know when to start Social Security and how to position your investments for retirement, you may not be the best fit for an advisor who primarily works with millennials. Alternatively, if you prefer to DIY your financial plan and just need someone to manage your investments, you may be better suited to work with a money manager.

Last, ask for and verify their credentials. Look for an advisor who is a CERTIFIED FINANCIAL PLANNER™ professional. They are the gold standard of financial advisors and prioritize your interests over their own.

Not Asking About the Fee Structure

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Some people may not fully understand how financial advisors are compensated because we are like doctors. We have different specialties and work for different institutions. Some of the fee structures can lead to conflicts of interest. Advisors

may be commission-based, fee-based, or fee-only, and each model has its implications.

During your introductory call, ask how the advisor is compensated. Ask them to describe the difference between their fee structure and one of the others listed above. You should feel comfortable with their response. For the record, fee-only advisors typically have fewer conflicts of interest.

Not Assessing Communication and Compatibility

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Working with a financial advisor is the most intimate relationship you will ever have with a professional. Revealing your finances to a stranger requires deep vulnerability and trust. You want to ensure that they are a good listener, that they respond to your questions in a manner you can understand, and that you can connect with them on a personal level. You don’t have to be best friends, but the more comfortable you are sharing your fears, doubts, and concerns, the better the advisor can assist and comfort you. For example, I identify as a lesbian and have a number of LGBTQIA+ clients. A level of comfort, familiarity, and respect bolsters the level of trust with my clients.

Try to meet the advisor in person or via Zoom during your initial consultation. This will help you better understand the advisor’s communication style and ensure they are interested in understanding and aligning with your financial goals.

20 Frugal Tips From the “Grandparents Generation” That Still Apply Today

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Many of today’s grandparents had parents or grandparents who lived through the Great Depression. They adopted many of the frugal living tips they learned and passed them on to their own children.

Grandkids sometimes think that they know everything and that their grandparents are out of touch with today’s world and reality. And while there might be a kernel of truth to that, grandparents still have a wealth of knowledge that can really help. They may need to be tweaked to fit the current world but they are still valuable.

20 Frugal Tips From the “Grandparents Generation” That Still Apply Today

30 Super Simple Ways To Save Money at Home in 2024

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Looking for some ways to save money at home? Now is the time to cut expenses, save some money, and keep your money in your wallet. Here are some simple ways to save money at home this year. Whether it’s as simple as switching what you buy when you go to the store or being a little more creative in the ways you use items in your home, maybe some of these ways will work for you!

Here are 30 ways to save money at home and put more in your pocket.

30 Super Simple Ways To Save Money at Home in 2024

20 Poor Hacks Frugal People Use on a Fairly Regular Basis

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Even if you’re not poor, you sometimes feel that way, and you probably have some tricks and tips for coping with that. In this article, we’ve compiled several poor hacks that people utilize at least a few times a month or even a week. It’s always good to share these hacks; we hope some of them help!

20 Poor Hacks Frugal People Use on a Fairly Regular Basis

28 Practical Ways Frugal People Save Lots of Money

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Saving money doesn’t have to mean saying goodbye to life’s little indulgences. With a few smart tweaks, you can stash away cash for that dream vacation, rainy day fund, or splurge-worthy purchase without feeling like you’re on a constant budget patrol.

Think of it as a side hustle that pays off without the extra hours. Whether you’re looking to conquer debt or simply boost your bank account, these tips are guaranteed to put more money in your pocket, painlessly.

28 Practical Ways Frugal People Save Lots of Money

I’m Frugal: Here Are My Top 30 Frugal Living Tips to Save Money

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I’m super frugal, and one of my passions is sharing my frugal living tips with everyone.

Here are some of my absolute favorite frugal tips to help you get started on your journey to frugal living.

I’m Frugal: Here Are My Top 30 Frugal Living Tips to Save Money

Author: Alleson Tate, CFP

Bio:

Alleson Tate, CFP® is the Founder of Avere Wealth Management, an independent Registered Investment Advisory (RIA) firm based in Atlanta, GA specializing in wealth building and tax reduction strategies for business owners.

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