Questions to Ask Before Hiring a Financial Planner

Author : William Jones | Published On : 11 Nov 2026

The following questions may be worth asking. Understanding them may help investors approach the selection process with greater clarity.

How Is the Planner Compensated?

Compensation structures vary across the industry. Some planners charge fees based on assets under management. Others charge flat fees, hourly rates, or retainers. Some receive commissions on the products they sell.

A “financial planner near me” search may surface advisors with different compensation models. Understanding how a planner is paid may help investors assess whether the arrangement aligns with their preferences.

There is no single structure that works for every investor. What matters is that the investor understands how compensation works before entering the relationship.

What Services Are Included?

Some planners focus exclusively on investment management. Others provide comprehensive planning that may include retirement projections, tax-sensitive strategies, estate coordination, and insurance review.

Investors may wish to clarify what is included and what falls outside the scope.

What Credentials Does the Planner Hold?

If you've searched for a certified financial advisor near me, you may have found professionals with different credentials and registrations. That search phrase does not identify a particular certification. Verify each professional's specific designation, who issued it, and whether it is current before evaluating whether their services fit your needs.

CFP® certification is issued by CFP Board and involves education, examination, experience, and ethics requirements. CFP Board requires CFP® professionals to act as fiduciaries when providing financial advice to clients. Certification does not guarantee investment results or establish that a professional is appropriate for every investor. Investors should also consider relevant experience and the services offered.

Is the Planner a Fiduciary?

An investment adviser owes clients a fiduciary duty of care and loyalty within the scope of the advisory relationship. Broker-dealers making securities recommendations to retail customers are generally subject to Regulation Best Interest, which requires them to act in the customer’s best interest at the time of the recommendation without placing their own interests ahead of the customer’s. These standards differ in scope, including their application to ongoing advice and monitoring.

Some financial professionals offer both advisory and brokerage services. Before engaging a professional, ask: In what capacity will you act for me? When does a fiduciary duty apply? What ongoing advice or monitoring will you provide, and what conflicts of interest should I understand?

What Does a Typical Client Relationship Look Like?

Some planners meet with clients quarterly. Others meet annually or on an as-needed basis. Some provide ongoing monitoring and proactive outreach. Others are more responsive than proactive.

Investors may wish to understand how communication typically works, how often reviews occur, and what level of involvement to expect.

What Is the Minimum Account Size?

Some planners work with clients at any asset level. Others have account minimums. Some charge minimum annual fees regardless of account size.

Investors searching for a financial planner near me may wish to clarify this early to ensure alignment.

How Does the Planner Approach Investment Management?

Investment philosophies vary. Some planners emphasize passive, low-cost strategies. Others use active management. Some build portfolios in-house. Others use third-party models.

Understanding the approach may help investors assess whether the philosophy aligns with their views.

Will the Planner Coordinate With Other Professionals?

Many investors work with CPAs, estate attorneys, or insurance professionals. Some planners coordinate actively with these professionals. Others operate independently and leave coordination to the client.

For investors with complex situations, understanding how the planner approaches coordination may be relevant to the decision.

What Happens if the Relationship Does Not Work Out?

Investors may wish to understand how accounts are held, what the process looks like for transitioning away, and whether there are any contractual commitments, account transfer or termination fees, surrender charges on certain insurance or annuity products, or tax consequences if positions are sold.

Advisory agreements may allow clients to terminate at any time, subject to their terms. But understanding the logistics upfront may provide peace of mind.

Conclusion

Hiring a financial planner benefits from clarity on both sides. Asking questions upfront may help investors understand what they are entering into.

Virtue Asset Management is an independent, fee-only investment adviser registered with the U.S. Securities and Exchange Commission. Registration as an investment adviser does not imply any particular level of skill or training. The firm's team includes CFP® professionals who provide investment management and financial planning as part of ongoing advisory relationships. Virtue acts as a fiduciary when providing advisory services and does not receive commissions from the sale of financial products, insurance, or securities in connection with those services. Not all services are available to all clients, and services are provided pursuant to the terms of each client's advisory agreement. To learn more, visit virtueam.com.