Common Myths About Financial Planners: Financial Planners Aren’t Worth the Expense

Through the many rises and falls of the economy in recent years, a great number of people cut back on costs deemed ‘unnecessary’. Oftentimes, we cut out the expenses of things we believe we can handle ourselves, including financial planning. In this week’s blog post we’ll tackle the myth that financial planners aren’t worth the expense.

Where does this myth stem from?

Like many myths, there is little to no factual evidence to back up the claim. This line of thinking stems from two roots: the fact that some people like trying to do everything themselves, thinking that only they know how to handle their finances; and the occasional need we all have for short term cost cutting. While there are exceptions to any rule, in financial planning it is rare. Here’s why.

Realities versus myths

While we may need to cut costs for ourselves and our businesses, nine times out of ten, it ends up costing more in the end. And doing it all yourself? If you are a skilled financial planner, educated and trained in the field, maybe. But the rest of us are wise to ask for help from a professional.

It could be said that no matter how much you plan to invest or manage, the real investment is not the cash or assets. It’s the initial time spent finding the right-fit financial planner. If you pick right, the rest is easy. And likely way more profitable than going it alone, or cutting back.

Finding a planner should be seen then as your first step at successful capital management on the path to reaching your goals.

A certified financial planner has not only a very in-depth education in financial planning, but resources and tools at their disposal to help you, including the resource of time. His or her job is to spend as much time as needed researching your best options. Your planner knows where to look for such information, much more than do-it-yourself online resources. He or she also is paid to be unbiased. So you are more likely to get clear, strategic and non-emotionally-based recommendations than if you were advising yourself.

What about cutting back? Truth is, you will usually save much more money and time paying a professional than possibly making mistakes with your money and losing some in the process. Consider the amount of errors you will be willing to accept and if you can withstand taking a hit financially.

Free resources can be used to decrease your risk. But we recommend using them more to increase your financial education and knowledge base—putting you in the position of the educated consumer when choosing and working with a financial planner.

Seeking to learn more? Contact us at GCW Capital Group today to explore options, and the right fit for you or your business. We look forward to dedicating our time, knowledge, and resources to help you achieve the best possible outcomes for you, no matter what your goals might be.

GCW Capital, LLC is registered as an investment advisor with the SEC and only transacts business in states where it is properly registered or exempt from registration. Primary office located at 38 Lake Street, Hamburg, NY 14075. Before making any investment decisions, please contact our office at (716) 256-1682 or to obtain a copy of our firm ADV Part 2A for more information and fee schedules.