Let Me Clarify
Do You Need an Advisor?

I’ve been asked plenty of times if someone needs an advisor or not. Of course, I believe that everyone can benefit in one way or another by working with a qualified Financial Planner/Advisor, but there are situations that you may be able to tackle alone.

First, let me explain that I am referring to circumstances that are less complex, without many moving parts, that wouldn’t require expertise in any given area. We can find an answer on Google for just about anything today, but that doesn’t always paint a full picture to implement a cohesive plan that pieces everything together. I don’t know about you, but WebMD has let me down a time or two.

Regardless, no matter how “simple” the situation may be, there are three important things you should consider before you attempt to make financial decisions on your own.

  1. Knowledge. This is perhaps the biggest requirement for attempting anything on your own. Without true background knowledge, we may never fully understand the situation to identify the real issues at hand. Without that, how will we ever be confident in our decisions around it?
  2. Time. Time is a key component of financial decision-making. This can range from the ability to act immediately on time-sensitive information or gauging how much time it will take to review and monitor the plan you’ve created. Financial markets, legislation, solutions, and life in general, change constantly; lacking the necessary time to keep up with it all could have permanent negative impacts and wreck any financial plan.
  3. The Desire/Willingness. No matter how much knowledge or time you have, you’ll be doing yourself a disservice without the desire to follow through. Admittedly, I’ve ordered take-out plenty of times (more often than I probably should) even when I had the time and ability to cook.

If your situation is simple and you have the financial knowledge, time, and desire, then you can probably set yourself up for success without an advisor. However, only checking one or two boxes above likely won’t be enough to avoid costly mistakes.

While you should never blindly work with somebody before determining whether he/she is a good fit, remember that help is out there. Even if you’re comfortable going at it alone, it doesn’t hurt to have a system of checks and balances; and it never costs anything to chat with a professional to bounce around ideas or ask basic questions.

As we embark on this clarifying journey together, we encourage you to submit any ideas, topics, or questions to info@clarifywealth.com. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and no guarantee of future results. All investing involves risk including loss of principal. No strategy assures success or protects against loss. All investing involves risk including loss of principal. No strategy assures success or protects against loss.

“Let Me Clarify” is our periodic blog containing Clarify’s insights and thoughts about a variety of topics. To learn more about Chad, click here