Finding The Right Financial Planner (First Time Looking. Please Help!)

Lavenuel on 04/06/2020 - 21:46
Last edited 15/06/2020 - 20:51

Hi all

First time posting on OzBargain.

I am in my late 20s and am looking for a financial planner and am having great difficulty in finding the right one.

I have booked in a couple of free consults with financial planners in town but just looking at their website they look quite expensive and large for my scale?

Just to give you a quick background:

1) I have my own consulting company not generating too much revenue (this is my side business)
2) I am employed by a firm that pays me between $110 - $120k

The financial books of my consulting company is a huge mess because I was too lazy to find a bookkeeper and did all myself. Heaps of director loans too…

So in light of the above what do you think are the right questions I need to ask my potential financial planner?

The difficulty with finding the right financial planner is also because I want the personal and company accounting dealt with by the same company and there doesnt seem to be many small sized practice doing all financial planning, accounting and bookkeeping.

If you have any tips and advices please do let me know!

Thank you for your time!

Financial

Comments

  • plmko on 04/06/2020 - 21:55

    Where you based

    • avenuel on 04/06/2020 - 23:33

      brisvegas :)

      • plmko on 05/06/2020 - 03:57

        PM me

  • StonedWizard on 04/06/2020 - 21:55

    If you're cool with remote chats, you could look at planners interstate or CBD based etc?

    • avenuel on 04/06/2020 - 23:33

      Seems like that's a popular option with the COVID-19, :D!

      (I've even seen some offices requiring clients to wear masks and bring separate pens if they were to meet with them….)

  • miwahni on 04/06/2020 - 21:58
    +6

    Are you sure it's a financial planner you need? Their role is to provide investment advice - it sounds more like you need an accountant to sort out your finances.
    Financial planner will draw up a statement of advice based on your current circumstances, risk tolerance and stated needs, relating to long and short term goals, insurance planning and estate planning, and implement it for you. Expect to pay a few thousand for this advice and ongoing fees for review. Without knowing how much you actually have to invest it's hard to say what questions you should be asking, other than the generic "where should I put my money to get the best return"….

    Should also mention one thing a financial planner won't do, and that's sort out the huge mess that your books are in at present.

    • jug123 on 04/06/2020 - 22:16

      Agree. Sounds like you need a gd accountant. Most decent accountants will not only fix\tidy your books through their firm, they will also offer limited financial advice which is what it appears youre looking for.

    • avenuel on 04/06/2020 - 23:32

      Thank you Miwahni, makes sense. Should've understood their roles better.

  • [Deactivated] on 04/06/2020 - 22:29

    Pay back your director loans stat, you'll be paying a stupid amount of interest to your company - see this:
    https://www.ato.gov.au/Rates/Division-7A---benchmark-interes…
    And
    https://www.ato.gov.au/business/private-company-benefits---d…

    • avenuel on 04/06/2020 - 23:34

      Yes, that's one thing why I need to consult an expert too to see what would be the best way to repay the loan in timely fashion without drastically affecting my other financial commitments.. Thank you

  • HeWhoKnows on 05/06/2020 - 09:02
    +1

    Financial planners all work on the same formula

    Its a "spread the risk" set and forget formula.
    They place you in Growth assets/funds when you are young

    You DONT need a financial planner

    That cant pick the top and bottom of the markets
    They cant rescue you from a market collapse
    They are a waste of time

    So if you want to do what they would suggest look for some good performing equity funds.
    You might look at some property trusts as well.
    Dont place your money with one fund.
    Use maybe 2 or 3.
    Keep cash on had as well as cashing out when the market rops is very costly

  • Seraphin7 on 05/06/2020 - 09:31

    Get your accounting sorted out first and foremost. Speaking very frankly, financial planners do their best work when you have a clean "personal balance sheet". Reading between the lines, it sounds like your affairs are a bit messy at the moment and you could be running up unexpected tax bills. These bills will have a signifincat impact on any financial plan you may put together.

    First things first here.

  • Quantumcat on 06/06/2020 - 22:54
    +1

    What is it with everyone saying "fam" all of a sudden?

  • Terbo on 08/06/2020 - 12:15

    Saying all financial advisers do is give investment advice is like saying all doctors do surgery. It's a common image but actually knly a small part and a specialty, although many practice basic surgical efforts as a GP as do advisers allocating to managed funds.
    Cashflow, a higher level plan and personal awareness are what you need to get right, investing will come but clean up your mess first, have a spending plan to control your directors loans, set some short and medium term goals that actually align with who you are and what you need and want. Many millennial focused advisers around now that help you work on your front end, will likely have friendly accounting contacts that suit your needs too, dont make the accountant your hub, they are quite limited in their scope and awareness and future planning. It will cost money, but you need help and a personal money trainer will set you straight and keep you on track like a good gym coach. Saying Buy some diversified funds is like saying eat well and exercise, too broad and no accountability. After 12 mths you should be much better off with good habits and better understanding of money and your own issues.

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