Chapter 10 of 13
Selecting professional help
Choose and evaluate financial, tax, legal, insurance, and care professionals.
"Qualified financial planner" is not a complete description. Confirm what the person is licensed or certified to do, how they are paid, whether they sell products, what standard applies, and who is responsible for tax, legal, insurance, or investment implementation.
Question Why it matters
What credentials and registrations do you Titles vary. Verify securities/insurance
hold, and can I verify them? registration and relevant planning
designations.Fee-for-service, percentage of assets, How are you paid? commission, salary, referral fees, or a combination can create different incentives.
Do you have a legal fiduciary duty in this Do not assume every advisor or salesperson engagement? owes the same duty in every circumstance.
Will you provide a written scope, A written engagement reduces assumptions, recommendations, costs, and misunderstanding and clarifies what is not conflicts? included.
What products or custodians are you Limited product shelves and proprietary restricted to? products can affect recommendations.
Who prepares tax returns and legal Planning, tax filing, legal drafting, and documents? insurance advice are different services.
How do you model survivor, tax, inflation, Good planning should show trade-offs and care, and market stress? adverse scenarios, not only one projection.
How can I terminate the relationship and Understand exit fees, deferred sales charges, transfer assets? portability, and record access.
Verification: Check disciplinary history and registration through the appropriate securities, insurance, professional, or credentialing body. Ask for references only as a supplement, not a substitute for independent verification.
Educational guide only. Rules and benefit amounts change. Confirm important decisions with official sources and qualified professionals.