Help finding a Financial Advisor

[donheff]

I need to find a good fee only financial advisor, preferably in the Chicago area. I have a recently retired, close relative who has gotten into a bit of a financial train wreck. Several family crises led them to cash out large chunks of tax differed savings over two years. Only then did they realize the tax, IRMAA and other implications. A lot of water under that bridge.

I have gone over the basics on income sources, portfolio, etc. and recognize that they are going to have to make some very hard decisions, probably even selling their house and moving (a major blow I am not sure they could face) or -horrors- taking out a reverse mortgage. At this point, they don't have a real handle on ongoing, post crisis expenses, so I have them going over all the standard documents. Once they get ongoing expenses identified, I am going to lay out the situation as I see it, but I want them to consult with an FA to work out a plan of action. There is no way I want them relying on me in this situation. I will probably pay the advisor for the first year to make sure they actually engage.

A few years ago, I found a web site for an organization of fee only, index-oriented advisors - our kind of people. You could search it for advisors in your area or nationwide. Unfortunately, I don't remember what it was. If that rings a bell with anyone, please let me know.

If anyone has suggestions for a fiduciary, index-oriented, hourly based, advisor, please let me know here or by PM. Oh, and sympathetic.

Edit: I think NAPFA may be the site I found a while back.

 

[Mark2024]

Would love to find a fiduciary, good track record, hourly based, advisor too.

 

[RunningBum]

Would love to find a fiduciary, good track record, hourly based, advisor too.

I wonder how possible that is. I believe I have an aptitude for this. Had I made this my career and really spent time understanding the tax laws and intricacies we often see here, why would I accept a few for a few hours of work with an individual rather than taking a % of assets under management like most advisors or "advisors" do? Would you sell yourself short if this was your career and you did it well?

 

[gauss]

Perhaps one of the nonprofit financial counseling organizations such as these guys would be even more beneficial to them than an investment advisor.

Here is a third-party review of them on Nerdwallet and it looks like this one has a national footprint.

-gauss

 

[creekstone]

How financially savvy is this relative?

How much hand holding will they need (up front and ongoing)?

Do they have enough discipline to implement a plan themselves or do they need someone to do that for them?

 

[OldShooter]

Perhaps one of the nonprofit financial counseling organizations such as these guys would be even more beneficial to them than an investment advisor. ...

This was my thought as well.

Also, be careful with the term "fee only advisor." In the industry this refers to any FA who is not paid on commission. IOW an advisor paid a fraction of AUM is a "fee only" advisor, where around here people often think that "fee only" refers only to advisors who charge for services on an hourly or project basis.

In addition to NAPFA, I have seen positive comments here for the Garrett Planning Network and the XY Planning Network. I have no direct experience with either, however.

 

[Luvtoride]

It sounds like its too late to implement any meaningful changes or advice and you're looking for someone, other than yourself to give them the cold hard reality of their situation. I think its very admirable as a friend to try to assist but there is only so much that you or a financial advisor can do.
Besides, finding a good financial advisor (many have great credentials and references) is very much about clicking with them personally and them getting a good understanding of the client's goals and objectives.
Good luck.

 

[Car-Guy]

It sounds like its too late to implement any meaningful changes or advice and you're looking for someone, other than yourself to give them the cold hard reality of their situation. I think its very admirable as a friend to try to assist but there is only so much that you or a financial advisor can do.

Without more details, I'm afraid you may be correct. When I hear that a "reverse mortgage" is on the table, it sounds to me like the damage is really serious.

 

[donheff]

In addition to NAPFA, I have seen positive comments here for the Garrett Planning Network and the XY Planning Network. I have no direct experience with either, however.

I think the Garrett Planning Network is the outfit I had seen in the past that is sympatico with my views - at least to a degree. Yes, those of you that opted the damage is done are correct. I’m going to address the hard realities but someone else has to be the primary guide. I’m willing to pay the cost of that guide but I’m it competent to be the guide for anyone other than myself.

If I had to deal with this situation, I would sell the house and move to a midsize town with much lower cost of living. Problem solved. I doubt that will be accepted. Other solutions are dicey less problematic than burning thrugh the portfolio.

 

[teej1985]

https://adviceonlyfinancial.com/

 

[Markola]

We are very happy with Vanguard Personal Advisors.