Role Of A Financial Planner, Fees Structure & Charges

                                  Financial   Planner

A financial planner is an educated person who uses his financial planning skills to enable the client to achieve his desired financial goal. Financial Planner does the risk profiling and put his clients amongst the three categories. 

1. Conservative

2. Moderately Conservative

3. Moderate

4. Moderately Aggressive

5. Aggressive

    

                         Categories of Potential Client

1. Young Adult (21-25)

2. Young Family(25-40)

3. Mature Family(40-50)

4. Empty Nesters(50-55)

5. Pre-Retiree/ Retiree(55-65+)

People in the different age group have different goals, liabilities, financial responsibility. Financial Planner makes a financial plan for you to achieve them. 

                         Process of Financial Planning

1. Knowing your client is one of the most important and basic things amongst all the other things to do in financial planning. Financial Planner takes the interview in a little bit informal way so that the client can talk about  it's financial problem & financial issues.

2. Collecting client"s information in various means like the short term goals, medium term goals, long term goals, about his assets and liabilities. Financial Planner is your friend. A relationship of trust is very important. 

3. Data collection forms are also there in which you need to fill the information required by your financial planner correctly.
4. Agreement on the next step if client agrees with financial planner and allows him to make his financial plan.

                       Fee Structure Of A Financial  Planner

Certainly, there is not a definite fee structure. It varies client to client. Sometimes, the client may charge a pre-defined fee to make a financial plan. Accordingly, they may charge a percentage to make a financial plan depending upon the corpus of the client. The fee to review & renew the plan is not very high and it's generally pre-defined mentioned in the agreement.