Why You Should Hire a Willingboro Township Fee-Only Financial Planner
The first big decision is what type of Willingboro Township financial planner to hire. Among Certified Financial Planners (or CFPs), the industry gold standard, there are three types of compensation models that may affect the type of experience you have:
- A Commission-Based Financial Planner receives 100% of their compensation from commission sales. Their incentive is primarily to sell you one of their products, rather than provide sound financial advice. A simple analogy would be a car salesman at a dealership trying to push you toward an expensive sports car even though you have made it clear you need a family-friendly that meets your budget and safety requirements. The salesman clearly does not have your best interest at heart, and you’ll have a frustrating experience as a result.
- A Fee-Based Financial Planner earns a small fee from their clients in addition to commission sales. This is an effort to get a planner more invested in their client’s success as opposed to getting the sale, but the majority of their compensation is still based on selling products, so there is still a conflict of interest. Imagine another car salesman who points you towards the family car you are looking for, but keeps pushing expensive features you do not want or need.
- A Fee-Only Financial Planner earns 100% of their revenue from their clients. They do not receive any commissions or compensation of any kind on the financial products they recommend. There are no conflicts of interest, and their only goal is their client’s success. In the case of the car dealership, this salesman shows you the car you need, helps you decide which features you need and which you do not, and tells you how you can get the best deal.
Benefits of Choosing a Willingboro Township Fee-Only Financial Planner
A Fee-Only CFP® is not only qualified, but they also have your best interest in mind. What exactly is it that makes a fee-only financial planner a better option for most people than the other options? We have three reasons for choosing a Westampton fee-only financial planner in your best interest.
- Fewer conflicts of interest. A fee-only financial planner has no incentive to pitch options or promote funds that would benefit them more than it would benefit their client. While fee-based planners can provide perfectly good service to their clients, it does open up questionable relationships between clients, planners, and investment options. You can avoid any questionable intent by working with a fee-only financial planner.
- The focus is on financial advice. Fee-only financial planners are there to provide the best financial advice, and not try to sell financial products. Providing good advice on where to put your money is good for you, which will end up being good for them too. It’s a win-win situation.
- Percentage-based payment options. Most fee-only financial planners will charge a percentage of the amount of money they manage. Once again, this incentivizes a fee-only financial planner to be as efficient as possible with your money, as the returns will ultimately benefit both parties. If you make money, they make money too.
Make Sure Your Financial Planner is a Fiduciary
On top of choosing a fee-only financial planner, you should also make sure they are fiduciary. This means they must act in their client’s best interest when handling retirement investments. A financial professional who is not a fiduciary has no legal obligation to put the needs of their clients ahead of their own.
Contact a Virtual Willingboro Township Retirement Planner Today
If you are living in Willingboro Township , NJ, near or in retirement, hiring a Westampton Certified Financial Planner you can trust is important. Zynergy Retirement offers virtual retirement services for our Willingboro Township , NJ clients. As a fee-only CFP® and fiduciary, we build successful, productive long-term relationships with our clients through unbiased, objective financial advice. Contact Zynergy Retirement Planning today to learn more!
Retirement Planning in Willingboro Township , NJ
Willingboro was one of the original nine divisions in the organization of Burlington County within West Jersey, and was originally formed as the “Constabulary of Wellingborrow” on November 6, 1688. At the time, it included present-day Delanco Township, New Jersey. The original name of Wellingborough was after the community in England, which was the hometown of Thomas Olive, who led the original settlers into what would become Willingboro Township. Contact Zynergy Retirement Planning today to discuss how a Westhampton Fee-Only Financial Planner can help you plan your ideal retirement.