What to Bring to Your First Meeting with Your Financial Adviser
Come to the table prepared for progress with these three types of information.
More than half of Americans do not work with a financial adviser, according to recent research. And yet studies have shown that people who work with a financial adviser tend to be better prepared for retirement and more confident in their future.
Oftentimes, the reason that many Americans choose not to work with a financial adviser is simply paralysis by analysis. They don’t know where to start or what types of information an adviser needs to help them, so they instead choose to DIY their financial future.
For pre-retirees who are keen to harness a financial adviser’s expertise, but aren’t sure where to begin, here is what information to gather to prepare for that first meeting.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
1. Your financial priorities
Your goals can be as broad as retiring by a certain age, or they can be incredibly specific (have you always been dreaming about getting that boat?).
Before meeting with an adviser, figure out what is important to you, what you’re trying to accomplish and why.
2. Information related to your income, spending and expenses
One of the first things a financial adviser should do is conduct a cash flow analysis. In other words, determine if you are spending less than you take in.
For most people, retirement will be the crux of the conversation, so gather and bring statements or other documents to show 401(k) and IRA balances, as well as jot down or know how much you are contributing to each of those accounts. Additionally, any other accounts you have earmarked for retirement should be included in the discussion.
This will allow the adviser to determine where the money to fund that goal could come from.
3. Data related to your net worth
Your net worth isn’t defined by how much money you have in the bank or an IRA. Rather, it’s defined as what you own (homes, investments, investment properties, etc.) less what you owe (mortgage, loans, etc.).
Once you have these three key boxes checked, you should be ready for the first meeting with your financial adviser. And don’t worry if you can’t find all of the information noted above or if you are unsure if what you have is relevant. The adviser should be able to help you figure everything out and track down anything that may be missing.
After your adviser has had a chance to review your priorities, cash flow analysis and net worth, he or she should be able to help you figure out the answers to these critical questions:
- What do you want to accomplish?
- When do you want this to happen?
- How much do you think it is going to cost?
- Where will this money come from?
Remember that there are some intangibles when it comes to working with an adviser. He or she should make you feel comfortable, take time to answer your questions and give you personalized advice specific to your situation and goals.
Important Investor Information: Brokerage and insurance products are: not FDIC insured, not bank guaranteed, not a deposit, not insured by any federal government agency and may lose value.
Securities products, brokerage services and managed account advisory services are offered by PNC Investments LLC, a registered broker-dealer and a registered investment adviser and member FINRA and SIPC. Annuities and other insurance products are offered through PNC Insurance Services LLC, a licensed insurance agency.
To continue reading this article
please register for free
This is different from signing in to your print subscription
Why am I seeing this? Find out more here
Rich Ramassini is the Director of Strategy and Sales Performance for PNC Investments. He has primary responsibility for leading the Strategy, Financial Planning, Communications and Sales Performance teams for the firm. He joined PNC in 2011.
-
Is a Phased Retirement Right for You?
Want to keep working, just not as hard? A phased retirement may just be the answer.
By Kimberly Lankford Published
-
Four Tips to Make Your Sales Presentation a Winner
Being prepared and not being boring can go a long way toward persuading a potential customer to buy into what you’re offering.
By H. Dennis Beaver, Esq. Published
-
Four Tips to Make Your Sales Presentation a Winner
Being prepared and not being boring can go a long way toward persuading a potential customer to buy into what you’re offering.
By H. Dennis Beaver, Esq. Published
-
Pros and Cons of Waiting Until 70 to Claim Social Security
Waiting until 70 to file for Social Security benefits comes with a higher check, but there could be financial consequences to consider for you and your family.
By Patrick M. Simasko, J.D. Published
-
Now Could Be Time for Private Investors to Make Their Mark
The venture capital crunch may be easing, but it isn't over yet. That means there could be direct investment opportunities for private deal investors.
By Thomas Ruggie, ChFC®, CFP® Published
-
How to Stop Boredom From Ruining Your Happy Retirement
Retirees who explore new interests and have an active social life are more likely to find joy — and even greatness — in the newfound freedom of retirement.
By Richard P. Himmer, PhD Published
-
The Life-or-Death Answers We Owe Our Loved Ones
How our life ends isn’t always up to us, but that question too often must be answered by loved ones and health care workers who don’t know what we would want.
By Joel Theisen, RN Published
-
Hot Tips for Home Buyers and Sellers Right Now
Real estate looks to be especially hopping this spring, thanks to pent-up demand and buyers adjusting to higher mortgage rates. Here’s how you can prepare.
By Pam Krueger Published
-
Is 100 the New 70?
Eating well, exercising, getting plenty of sleep and managing chronic stress can help make you a SuperAger. Funding that long life requires longevity literacy.
By Phil Wright, Certified Fund Specialist Published
-
Nine Lessons to Be Learned From the Hilton Family Trust Contest
Disclaimers, good communication, post-marital agreements and more could help avoid conflict in a family after the owners of a wealthy estate pass away.
By John M. Goralka Published