Because it’s not easy for a couch potato to jump right into a 5-day-a-week workout plan, a good trainer might start with 1 or 2 days and slowly add more as the client begins to make exercise a regular habit,” he says. “The same idea can be applied to your retirement plan.
A planner can help you establish a plan and start with a small, monthly contribution—maybe it’s $20 per month. As you begin to get more comfortable with the process, you can consider adding more where you see fit.”
When it comes to selecting a financial professional, it is important to know how the planner is compensated for his or her time.
A commission-based financial advisor receives a commission when he or she buys or sells a financial product for a client. On the other hand, a fee-only planner does not receive commissions of any form and instead charges a flat fee for providing advice and assistance. This fee is typically billed as a percentage of the investments being managed, a flat project fee, a monthly fee or even an hourly fee.
Schulte explains that the benefit of working with a fee-only planner is to “help eliminate conflicts of interest and receive objective, unbiased advice.”
Contrary to popular belief, you do not need to have a lot of money to start working with a financial planner. Schulte offers monthly and hourly fee schedules to accommodate young professionals who are just starting their careers. Just as you want to develop a relationship with your training clients so as to maintain their business, a good financial planner wants to keep your business for the long run.
To find a planner in your area, go to www.letsmakeaplan.org/.
To view the full article which ran in the November 2014 issue of the IDEA Fitness Journal click here.