FREQUENTLY ASKED QUESTIONS
What is financial planning?
Done right, financial planning is a process that helps you figure out where you are financially today, where you want to be in the future, and then helps you determine the best way to get there. With Pearson Financial Planning, the process involves an initial in-depth review of a client’s current financial situation and then the creation of a blueprint on how to achieve future goals and objectives.
Pearson Financial Planning adheres to the philosophy that the financial planning process has seven distinct steps. Click here to check out 7 Steps to Financial Success for more detail on this unique process.
What is a financial planner or advisor?
Anyone can say that he or she is a financial planner or advisor. That’s why it’s essential to be sure of the qualifications and credentials of any “planner” or “advisor” before you pay anything or entrust them with your financial present or future. Diane offers a no-obligation Get Acquainted Zoom call.
Diane is well-qualified to help you with your financial advisory needs. She is a CERTIFIED FINANCIAL PLANNER™ professional and an independently registered investment advisor with CGN Advisors, LLC. That means that she has taken extensive training, adheres to a rigorous code of ethics, and is independently registered as an investment advisor with the Securities and Exchange Commission (SEC). Diane adheres to the CFP Board Code of Ethics and Practice Standards and the National Association of Personal Financial Advisors Fiduciary Oath.
What’s so different about Pearson Financial Planning?
Pearson Financial Planning provides advisory services on an hourly or project, Fee-Only basis. We do not accept sales commissions or any compensation other than directly from our clients. Clients pay only for the time Diane works with or for them.
Don’t I have to have lots of money to need or get a good advisor?
No. Pearson Financial Planning does not have any income or investment account minimums for hourly engagements.
How can a financial advisor help me?
Anyone, any age looking for financial peace of mind can benefit from working with a good financial advisor either periodically or on a regular basis. Pearson Financial Planning serves people at all income levels and from all walks of life—whether the need is one quick question or ongoing financial assessment, management, and direction. Because the fees are on an hourly or portions-of-an hour or project basis, Pearson Financial Planning offers an accessible option for beginners, middle-income Americans, and do-it-yourselfers to get quality financial and investment advice.
Pearson Financial Planning also provides corporations and organizations financial education programs for employees or members.
Each individual’s situation is unique. Someone just starting out may need a detailed, long-term plan of action while someone else already on the road to achieving their goals simply may need a new strategy, professional insight, fine-tuning or second opinion of an existing plan. That’s why Pearson Financial Planning works to custom tailor their services to meet each individual’s needs.
Goals can be short, intermediate, or long-term. Reducing current income tax liabilities, for example, is a short-term goal, while funding a child’s education is an intermediate one, and enjoying a secure financial retirement is a more long-term goal.
By focusing on cash flow, investments, taxes, pensions and retirement plans, estate planning, insurance issues, savings opportunities, and other general financial matters, Pearson Financial Planning can design a customized financial plan for you.
What if I want or need to buy investment or insurance products? How do I do that?
Pearson Financial Planning does not sell products, only their time and expertise. They do offer specific recommendations and opinions on various products and services that may be appropriate for a client’s situation, and in turn can advise a client where to obtain those products or services. If appropriate and at the client’s request, Diane also can help with plan implementation.
Does Pearson Financial Planning provide just comprehensive financial planning?
No. Although a comprehensive financial plan yields the greatest benefits, Pearson Financial Planning can limit the services to individual, specific needs like cash management and budgeting, investment analysis, or college education funding—whatever is critical to you right now.
My spouse and I need help and guidance getting started building for our financial future. Will Pearson Financial Planning accept us as clients?
Yes. Pearson Financial Planning will be happy to visit with you about your situation. Pearson Financial Planning does not have minimum income levels or net worth requirements. We realize that everyone has financial questions. We are proud to work with people from all income levels and all walks of life.
Remember, you don’t have to have a fortune to start building one. Click the "Schedule A Call" button to schedule a 15 initial call and start building today.
I already have substantial assets and am doing quite well financially—I think. Can you help me?
Yes. Pearson Financial Planning offers many services for those people who need more sophisticated financial planning or advice. If a goal is to simplify your financial affairs, one of our Ongoing Client Programs may be right for you. Or, if you’re interested in a professional review or a second opinion, we can provide that too (be sure to check out our 7 Steps to Financial Success).
I’m in charge of the retirement plans and employee benefits at my company and would like to get more employees to participate. How can you help us?
Education is key in increasing employee participation and appreciation. Pearson Financial Planning can tailor a program for a company’s employees to help them understand the benefits of various programs.
If I use Pearson Financial Planning to develop a financial plan, am I obligated to purchase the recommended products?
Absolutely not! We offer recommendations to meet your needs and objectives, but you are under no obligation to purchase anything. We also recognize the importance of shopping around for the best available product or service. If you need life or disability insurance, for example, Pearson Financial Planning may suggest the type of policy, various riders or additions, and the amounts that best fit your situation. We can then direct you to one or several different providers with quality products at competitive prices.
The extent of Pearson Financial Planning’s involvement in helping with your purchase of a product or investment also is up to you. If you would like, Diane can help you purchase investments and/or set up your accounts with a third-party custodian like a discount broker. Since Pearson Financial Planning is not compensated by commissions on products, you can be assured that the recommendations are based on what is truly in your best interests. Pearson Financial Planning takes our fiduciary role seriously.
What is Pearson Financial Planning’s investment philosophy?
As financial advisors and investment consultants, we believe in the following fundamental principles when it comes to designing an investment portfolio and making specific recommendations:
The purpose of a client’s investment portfolio is to fund current and/or future financial objectives.
The design of the portfolio must take into account the client’s financial objectives, tolerance for risk, needs for current income or liquidity, and special considerations such as income and estate taxes.
The important thing to remember is that no one can predict the future. Difference of opinion makes a market. Investment and economic “experts” provided with the same information often come to different conclusions. We do not suggest that we, or that any of the money or fund managers that we may recommend, will make the correct decision every time. We do believe, however, that studying the historic trends and relationships of investment classes and the philosophies and approaches of successful investment managers can provide valuable insight.
The appropriate allocation of investment assets for your goals and risk tolerance is the most important component in developing an investment portfolio.
We believe that a diversified, well-balanced portfolio, combined with long-term buy-and-hold strategies, affordability, and patience, increases the likelihood that one will achieve his or her long-term financial objectives.
How does Pearson Financial Planning select investments for a client?
Before recommending any investment, Pearson Financial Planning considers current economic conditions, the outlook for a particular asset class or type of security, and how the investment fits within a client’s portfolio given his or her objectives and tolerance for risk.
With equities, the focus is primarily on the philosophies, experience, and track record of the management team. With fixed income investments, Pearson Financial Planning looks for the best yield available for a given quality of security.
As fiduciaries for our clients, we strive to obtain the most appropriate investment vehicles to meet a client’s objectives, while being very conscious of total expenses and risk exposure.
How does Pearson Financial Planning charge for periodic financial advice?
Pearson Financial Planning fees are based on the actual time involved in meeting with a client, researching and analyzing that client’s current situation, and providing specific recommendations and implementation assistance (if appropriate). Pearson Financial Planning will provide prospective clients with firm quotes of their estimated fees at the end of an initial no-obligation Get Acquainted session. Click to schedule a 15 initial call for more information.
Once my financial plan or project is finished, will our relationship end?
No, only that engagement will cease. It’s up to you to contact Diane as the need arises. However, Pearson Financial Planning likes to think of financial advisors as ongoing providers. Just as someone thinks of a dentist as an ongoing provider and has regular dental checkups to maintain good dental health, good fiscal health requires periodic reviews of your personal finances by a qualified financial advisor.
Because financial planning is a process, not an event, Pearson Financial Planning offers ongoing services, periodic reviews, and day-to-day consultation as requested and/or needed if you so desire.
What other questions should I be asking?
The following link is to a financial advisor interview questionnaire to assist you with evaluating individual advisors. Click to view NAPFA Questionnaire