Tips on finding, hiring a financial planner

Dear Savvy Senior:

Can you help with recommendations on finding and choosing a financial planner? My wife and I are in our late 50s and would like some advice on preparing for our retirement years. — Seeking Advice

Dear Seeking: With all the different financial planners, advisers and services available today, finding and choosing a trusted professional can be confusing. Here are a few suggestions.

Where to look

A good place to start is by asking friends or relatives for recommendations. If you don’t know anyone who can give you a referral, and you’re looking for broadbased financial advice, hire a certified financial planner, or CFP, considered the “gold standard” in the industry. CFPS must act as fiduciaries, putting their clients’ best interest above their own.

To get the CFP credential, they must have a college degree and be educated in a wide range of personal finance subjects, pass a rigorous certification exam, have three years professional experience, meet continuingeducation requirements and abide by a code of ethics.

CFPS are taught to look at the big-picture view of your finances, talking you through goals and advising you.

You’re also probably better off hiring a fee-only CFP, versus one who earns a commission by selling financial products. Fee-only planners charge only for their services — for example you might pay $150 to $350 an hour for a financial tune-up, a flat fee per project or an asset-based fee.

To find a fee-only planner in your area, use the National Association of Personal Financial Advisors (napfa. org), which carefully vets members and offers an online directory. Or see the Garrett Planning Network (garrettplanningnetwork. com), a network of feeonly advisers. Or the

Alliance of Comprehensive Planners (acplanners.org), a community of fee-only advisers that charge annual retainers.

If your needs are more specific, some other financial professionals to consider are a Registered Investment Adviser (RIA) who is registered with the Securities and Exchange Commission or a state securities regulator to manage investment portfolios; a Chartered Financial Consultant (CHFC), who specializes in insurance and estate planning; and a Certified Public Accountant (CPA), who can help with tax planning.

How to choose

After you find a few candidates in your area, call and schedule meetings with them. Examine their experience, expertise and the types of services they provide; whether they’re fiduciaries; how they charge and how much; their investment philosophies; and how will they handle your ongoing questions or financial needs.

It’s also wise to do a background check on your potential adviser. At letsmakeaplan. org, you can verify a planner’s certification as CFP (click on “Verify CFP Professional Status”). You’ll also see any information on the planner’s disciplinary history with CFP Board and on bankruptcy filings in the past 10 years.

To vet a registered investment adviser, go to investor.gov where you can search an individual’s name and click on “Detailed Report” to see information on qualifications, employment history, disciplinary actions, criminal convictions and more.

To check out a broker, visit brokercheck.finra.org where you can search an individual or firm’s name to get details such as years of experience, licensing, exams passed and regulatory actions.

Send senior questions to: Savvy Senior, P.O. Box 5443, Norman, OK 73070, or visit Savvysenior.org.