The benefits of using an Hourly Financial Planner for a specifics needs

In today’s increasingly complex world, managing personal finances can be a daunting challenge. Between bills, savings, investments, and planning for the future, it’s easy to feel lost and overwhelmed. That’s where financial counseling comes in.

Who wouldn’t like to be in their day-to-day life reassured that their finances are in order? Or why did they go to financial counseling?

A financial advisor can provide the guidance and support you need to make informed decisions and reach your financial goals. That’s why hourly financial planning is becoming an increasingly popular option.

As I commented in the previous Blog  “How much money do I need to retire, am I doing well?”. It’s never too early, or too late to plan your finances or check if you’re on the right track.

Managing your finances can be complex, because when it comes to making decisions, personal finances are more personal than finances.

You may also have specific needs that require expert expertise. From the most complex to something very simple, in any of these scenarios you will need expert financial guidance.

So, whether you’re looking to address immediate financial concerns, plan a specific goal for the future. Or simply have clarity about your current financial situation, it is important that you opt for a meeting with a financial advisor.

Consequently, today in this blog we will show you the benefits of hiring a Financial Planner by the hour. And in turn, how this approach can allow you to make informed financial decisions with confidence.

Hourly Financial Planning

Hourly financial planning is a flexible approach to financial counseling. It allows you to pay for the services of a financial advisor based on the amount of time you need.

This means you can get specific advice on topics that interest you without having to commit to a comprehensive financial plan.

So, hourly Financial Planning gives individuals the opportunity to consult with a CERTIFIED FINANCIAL PLANNER™ (CFP®). It acts as a fiduciary without the need to transfer investments or have to commit to paying ongoing fees.

This flexible modality allows you to schedule sessions as needed, ensuring that you can regularly review your financial progress. It also validates that they are on the right track to achieve their goals.

It even offers expert advice to identify potential areas that may have been overlooked in your financial strategy.

This way, you ensure that your financial plans remain sound and aligned with your goals.

Hourly financial planning is personalized

Hourly Financial Planning offers a unique option, a certain plan is made based on your needs. Since each case is different and different solutions are needed.

Sometimes, we see that many people are forced to start over because of changes in their life. These changes can be after a divorce, job changes, family matters, illness, or other setbacks.

And of course, being in control of your finances in difficult times is often a significant challenge. Therefore, opting for financial counseling is a step toward improving your current financial situation.

What are the benefits of hourly financial planning?

There are numerous benefits of hourly financial planning, including:

• Flexibility: You can schedule sessions, allowing you to get advice when you need it without having to stick to a rigid schedule.
• Cost-effectiveness: You only pay for the time you need, which can be a cheaper option than a full plan, if your situation is simple.
• Customization: The advisor focuses on your specific needs and goals, providing you with personalized advice that is tailored to your unique situation.
• Focus on education: Hourly financial planning often focuses on educating you about your finances, allowing you to make informed decisions for yourself in the future.
• Short-term relationship: You don’t have to commit to a long-term relationship with an advisor, allowing you to explore different options before finding the right one for you.

When does hourly financial planning make sense?

Hourly financial planning may be a good option for you if:

• You have simple or specific financial needs.
• You have a limited budget.
• You want advice on a particular topic.
• Prefer an educational approach to financial planning.
• You’re not ready to commit to a long-term relationship with an advisor.

Fiduciary Financial Planner

Why is it important for you to seek out a fiduciary financial advisor?

Financial planners, as we have been discussing, are professionals who help people achieve their financial goals. Now, a fiduciary differs from the traditional one in that they are legally obligated to act in the best interest. 

This means that you need to put your customer’s needs ahead of your own. When looking for a fiduciary financial planner, it’s important to look for one who is certified.

A study conducted by the Financial Planning Association (FPA) in 2023. It found that 87% of clients who worked with a fiduciary financial advisor reported making significant progress toward their financial goals.

Wide range of services to meet your financial needs

Fiduciary financial advisors offer a wide range of services that go beyond investing.

• Comprehensive financial planning: Developing a comprehensive financial plan that encompasses retirement, education, insurance, tax planning, and debt management.
• Investment: advice on selecting suitable investments to achieve your financial goals, taking into account your risk tolerance and time horizon.
• Risk Management: Identifying and assessing financial risks that may affect your plans and developing strategies to mitigate them.
• Tax planning: strategies to minimize your tax burden and maximize your tax benefits.
• Estate planning: Creating a plan to transfer your assets to your beneficiaries efficiently and according to your wishes.

How to choose a fiduciary financial advisor?

Choosing the right fiduciary financial advisor is crucial to maximizing the benefits of this service. Here are some helpful tips:

1. Ask for recommendations: Ask for recommendations from friends, family, and colleagues who have worked with fiduciary financial advisors.

2. Look for licensed advisors: Be sure to choose an advisor who is licensed and regulated by your state.

3. Check the advisor’s history: Research the advisor’s history to check if they have any history of complaints or disciplinary actions. Through Brocker Check by Finra you can do this verification.

4. Interview multiple advisors: Meet with several advisors before making a final decision. This will allow you to compare your qualifications, experience, and find someone you feel comfortable with.

5. Ask questions: Don’t hesitate to ask the advisor questions about their qualifications, experience, fees, and investment philosophy.

How much does a fiduciary financial planner cost?

Fiduciary financial planner fees vary depending on their experience, location, and the complexity of their needs. Some planners charge by the hour, while others charge a flat rate per project.

It is important to discuss the planner’s fees before hiring them. At Advise Financial, our CFP’s® fees are hourly and we start with a totally free exploratory financial meeting.

So if you have complex financial goals or need help making important financial decisions. A planner can help you develop a comprehensive plan that helps you achieve your goals and protect your financial future.

In addition, it is important to note that the peace of mind that an experienced expert is focused on working on your case is unique.

When advisors are compensated solely for their advice rather than the sale of financial products. They are often more inclined to spend a lot of time providing them.

According to Reed C. Fraasa, CFP and founder of Highland Financial Advisors in Wayne, New Jersey. About 80% of customer interactions involve comprehensive planning. They focus solely on making financial decisions rather than selling products.

So we can say, that the cost of a financial planner really means an investment.

In conclusion, hourly financial planning can be a valuable way to get personalized and targeted financial advice. Without having to commit to a full financial plan or ongoing fees.

If you’re looking for help making informed decisions about your money, hourly financial planning may be the right option for you.

Alonso Rodríguez Segarra – CERTIFIED FINANCIAL PLANNER™

Which provides hourly financial planning services, meeting fiduciary and exclusive payment criteria. He has over 20 years of experience in the financial world and has been named among the Top 100 Financial Advisors in the US by Investopedia.

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Note: The comments given in this guide are for educational purposes only. Before making a financial decision, you should consult with your financial advisor or conduct appropriate research. Remember that historical results are not a guarantee of future returns. This guide does not take into account tax impacts in the comments provided. Always consult your particular case with a specialist. We are not your financial advisor and remember that each case is different.

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All rights to this guide are reserved, occasional mention of third-party brand names is made solely for educational and reference purposes, without any interest in financial gain. This information is for educational purposes only and does not represent an offer of products or services.