Thursday, July 10, 2008

Why Financial Coaching?

There are many options available to you and your family regardless of whether you're doing great with money, or very poorly.

You could visit a CPA, financial advisor, financial planner or even a financial coach.

As a financial coach, here's my outlook on the different types of services.

CPAs are usually focused on your taxes and not necessarily very helpful in developing a budget. They should be able to help you set up a list of expenses vs. your income, but that's only about 20% of the budgeting process.

Financial advisors and planners can be very helpful as well, but keep in mind that they only make money if you buy insurance or investment products from them. That's not a good combination if you want an objective view of your money.

As a Financial Coach, my focus is to have a global overview of your life. My coaches and I look at your insurance, investments, your tax strategy and your estate plan. More importantly we work on the important part of budgeting, the 80% that most other professionals leave out.

This is personal finance and 80% of it is your behaviors and habits. Our focus is to help you determine a plan that works for you and your family. We teach you about insurance and investments, but don't sell any. While there is nothing wrong with making commissions, my team and I are unable to offer the best advice if we get kick-backs from products. Instead, we teach you what you need and show you where to get it.

You may be able to get a great plan from many different people. My advice is to schedule a meeting with a few professionals and interview them. If they won't meet with you for at least 30-minutes for free, then move on to someone that will.

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