The Rachel Cruze Show - 9 Questions to Help You Choose the Right Financial Advisors

Starting point is 00:00:01 So managing money comes with a lot of personal responsibility. That's why it's called personal finance. In parts, though, when it comes to our money are very, very complicated. And it could end up costing you thousands of dollars if you don't know the right way to do things or have the right people in your corner. Because again, personal finance is a lot about common sense building habits, but there's these little pieces of it that can get really complicated, really fast. So that's why I recommend working with a pro because, part of building wealth is getting into those complicated areas and making sure that you're doing it correctly. And people that live and breathe this stuff in these specific areas are going to be able to help you. So today I'm going to share three financial pros that you need in your life and three important questions to ask each of them to determine if they are a right fit for you. Now, before we begin, make sure to subscribe and share this episode with a friend who you think may find us useful. All right, first up is real estate. So finding a great real estate agent is something I recommend because when it comes to your house,

Starting point is 00:01:10 it is going to be for most people the largest purchase you ever make. And if you sell your house, hopefully it has gone up in value. So you're going to have some equity there. You want to make sure that you're selling it in the right way for the best price. So anything dealing with real estate, I usually recommend always hiring a real estate agent to help you in this process for both selling and buying. So if you are working with a real estate agent and you start interviewing a couple, here are some questions that you can ask them. Ask them how many houses they have sold in the last year because

Starting point is 00:01:42 that's going to give you a great indicator on how much inventory they're doing and honestly, probably how great they are at selling. I would also ask them what their schedule and availability looks like, because when you get into the real estate agent world, there are some really high performers and this is their full-time career and it's like seven days a week. They're there for you. if they're your client, it's like they're just, you know, they're running and gunning, where some people are like, oh, they only want to sell a few houses a year, and they're going to be more strict with their schedule because they're just doing this part-time. So it's good for you to know on the front ends. And then also, when it comes to real estate percentages, when it comes to real estate percentages, it's gotten a little complicated over the last few months. So I would go ahead and just ask up front what their expectation is. So those are some questions that you can ask. But again, when it comes to any of these pros, interview a couple of them when it comes to real estate agents. And, Find the one that fits best with you because if you are in the home buying or home selling market, you're probably going to be with this person a lot and there's going to be a lot of communication. So make sure that you like them.

Starting point is 00:02:42 All right, before I share more about some other financial pros you need in your life, I want to tell you about one of our sponsors, delete me. One third of the U.S. population's background info is now public. So for 115 million of us, data breaches mean that our info is out there for anyone to find. So this is stuff like our names and addresses and phone numbers and more. And this is why I love Delete Me because they find and remove information from hundreds of data broker websites that will buy, sell, and trade your personal data. So take control of your online privacy with Delete Me. Individual Delete Me plans start as low as $9 a month.

Starting point is 00:03:22 Sign up today at Join DeleteMe.com slash Rachel for 20% off or click the link in the description. They're amazing, so make sure to check them out. All right, the next pro you need in your life is a tax professional. So having somebody to look over your taxes because we don't want to mess this up. Now, there is a case for some of you out there that self-filing may make sense. So if you don't have a very complicated system when it comes to your taxes, it's like, yeah, you know, maybe you just work a 40-hour-week job and there's no freelancing or there's no extra income coming in elsewhere, you know, not multiple properties or anything. And it's, you know, you haven't had a baby or you haven't gotten married. Like, it's a pretty simple filing situation.

Starting point is 00:04:08 But if you do have a little bit more of a complicated situation, or maybe you're just a little concerned and you're like, I'd rather sit down with a human. Then getting a tax professional on your side is really key. So some questions to ask a tax professional as you start digging into this. I would ask how many clients do they balance at once? Because again, you'll kind of understand the firm maybe that they're working for or if there's multiple pros there, if it's just them, just kind of getting an idea of their time frame and their ability to work with you, depending on how busy they are. I would also ask how much experience that they have with clients who may have complicated financial situations. So this is everything

Starting point is 00:04:49 from moving states, you know, taxes can change there, selling a business, if you get a divorce. So kind of knowing that they've been in the industry for a bit is always helpful because If you ever run into a situation that gets more complicated, trust me, you want a good tax pro on your side if that ever comes up. And then I would also just ask them how often do they recommend meeting? Because if you do want someone face-to-face, you do want a tax pro that will sit down with you in person or over Zoom or however you choose to do it. But some level of communication, if you're looking over different things or if something comes up in your life that you're able to go and talk to them and that they're available. So, again, interview a couple, find the one that you like, but especially if you have a complicated. tax situation, have a pro in your corner so you don't mess it up because taxes, they can be

Starting point is 00:05:33 complicated. They can be simple, but they can also be complicated. And if it's complicated, we want to make sure we're doing it right so we don't go to jail. This is what we want to avoid. We want to avoid penalties and late fees, all the things, doing our taxes on time and the right way is very important. All right. Another pro that I really think you need in your life is a smart vester pro. So this is someone who's going to help you when it comes. comes to your investing. And usually an investment professional is going to look over your entire financial scope. This is everything from like estate planning. They may even talk about wills. They could even talk about taxes with you. I mean, you're giving so much happens when you have an investment

Starting point is 00:06:15 professional on your side. So as you start entering the investment world, it's a great time to get an investment professional. All right, before I share my three questions, I would ask a tax pro as I'm interviewing them. Just remember, meet with them in person and see if you genuinely like them. I think even more than real estate and tax, I think your investment professional, you want to like. And if you feel like they're sleazy or you don't like them, you don't trust them, like, get out now, find someone that you enjoy because the goal is to be with this person for decades to come, that they're going to be walking with you through your financial life. And I think it's really important that you have a good feeling about them. So three questions I would ask them as you're

Starting point is 00:06:54 interviewing them. I would ask how they're compensated, you know, some investment professionals are paid a fee, some are off of commission. This would not be a make or break for me. I think either way is fine, but it's always good to know. We had a call recently on the Ramsey show, and this guy inherited $2 million. It must be nice, right? Two million dollars from his parents when they passed, and the guy that he was using for his investment professional, you know, he put the money and invested, and the guy's fee went up, you know, up to like 5 percent, I think is what he was taken out. So it went up a lot when he put $2 million, and he was like, am I getting the value of this? And so, like, it was just good questions to ask. So I think the way they're compensated could make you maybe feel a certain way,

Starting point is 00:07:36 but also to know the value that you're getting and that you feel good about that is really important. They're going to get paid. You're going to pay them for them helping you. So that's 100% okay and great. Just making sure you feel good about it on the front end is important. Also, I would ask if they understand and respect your goals. So if you're doing your money the Ramsey way and you are, you know, trying to pay off your house, you're investing 15% of your income, you know, you're doing some things in a specific order, and that's where your values are, that's the choices you're making, that they honor that, because you will meet some investment professionals that are like, why would you pay off your house? You could keep all that money in the market, you know,

Starting point is 00:08:12 say you had $200,000, you could just keep it in the market and it could be making 10 to 12%, why would you ever take that off and pay off your house? You had a great rate at 3%. Why would you do that? So, like, mathematically, like, I get what they're saying, and that's a big, argument we always have. But if you have an investment professional, that's where they lean all the time, then it's going to conflict with what you want to do if one of your goals is, yeah, I want to be completely debt-free. That's all I want to do is pay off my house. That's my next big goal. And if they don't understand and respect that, that's going to cause you to butt head. So make sure they know your plan. Because remember, they are working for you. This is your money.

Starting point is 00:08:46 So make sure that they respect your plan. And then I would also ask them just the range of income and assets they have for other clients they serve because I think it is important as you level up and you continue to grow financially, that they have the bandwidth to be able to help you in more complicated situations. Because as your wealth grows, and maybe you start diversifying in different things, and there's different things with taxes, like there's so much that can get really complicated, making sure that they've done this a lot, and they're able to walk with you very smoothly in the wisest best way when it comes to building wealth. So we have real estate and tax pros that are Ramsey trusted. So if you're looking for a great real estate agent or tax pro,

Starting point is 00:09:22 We have multiple in different zip codes or different areas around the country. So click the link below to find one. And also, if you're looking for a smart vester pro when it comes to your investing in your overall financial picture, I'll also put a link down there as well. All right, I think getting connected again to these pros is really, really key because they're going to be able to help you in these areas that can start to get complicated when it comes to your money. And having a person that you trust and that you know is so knowledgeable to help teach you and guide you is so, so key. All right, you guys, remember to take control of your money and create a life you love.

The Rachel Cruze Show - 9 Questions to Help You Choose the Right Financial Advisors

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