Tips on recruiting a financial dream team

Fall is here once again — kids are back to school, the leaves are turning, and football season is well underway. It’s all-too easy to get wrapped up in tailgates, holiday preparations, and fantasy football, and forget that tax time is right around the corner.

Next time there’s a bye week, we recommend spending some time on recruiting a fantasy financial team.

“Putting together a well-rounded team is essential for creating a solid financial plan,” said Katie Seay, CFP®, Director of Financial Planning at The Trust Company. “Having a financial plan is a lot like having a playbook, except this playbook is for the big game — your life!”

In both sports and finances, a successful team consists of people who each perform a specific role. The Super Bowl has never been won by a team full of running backs. Likewise, a financial team needs to be knowledgeable and skilled in a variety of areas. And while it’s important that each member of the team performs his or her individual tasks, it is equally necessary that they all work together for a common goal.

“Each member of your financial team should have your best interests in mind, and achieving your goals will often require coordination among your team,” said Lucy Williams, Vice President of The Trust Company and a CERTIFIED FINANCIAL PLANNER™ professional. “It’s a good idea to designate a ‘financial quarterback,’ someone who is going to communicate with and lead your team.”

The ideal financial quarterback will understand the other players’ roles and pay close attention to detail, making sure there aren’t any missing pieces or overlapping efforts. While any member of the team can play the quarterback position, there are certain criteria that can help determine the best fit. (See the qualifications of an ideal financial quarterback at the end of this article.)

When forming a financial team from the ground up, here are the “positions” to fill to create a winning lineup:

Financial Planner/CFP®

A CERTIFIED FINANCIAL PLANNER™ professional is specially trained and certified to understand a client’s complete financial picture — including savings, debt, estate planning, insurance and investing. CFP® professionals must abide by rigorous ethical standards and make recommendations in their clients’ best interests. With a broad understanding of all the moving parts, a financial planner is often a good candidate for the financial quarterback position.

Accountant/CPA

Many people think of a CPA as someone to visit at tax time, but a good accountant can be helpful throughout the year. With specialized training in business, finance, and legal and tax issues, a CPA is an important part of a financial team, especially during times of change such as marriage, divorce or retirement. A CPA can provide expertise on how those events will affect a client’s tax situation and overall goals.

Insurance Agent

When it comes to insurance, most people have the basics (health, auto, home and life) covered, but there’s more to consider when it comes to long-term financial goals. A good insurance agent understands how his or her products influence an overall financial situation, as well as the finer details of legal and tax impacts.

Estate Planning Attorney

No one wants to be caught off guard, especially in a time of crisis. An estate planning attorney is the team member who will handle all the legalities needed to safeguard a client’s estate — and peace of mind. From wills to living trusts, an estate planning attorney will make sure all the necessary paperwork and planning is in place.

Investment Advisor

Each person’s financial goals and dreams are unique. For those who don’t particularly enjoy the stock market and have time to devote to it, hiring a professional investment advisor is a wise choice. An investment advisor helps clients define their goals, risk tolerance, and complete financial picture. Letting a pro handle the daily strategic management of investments can contribute greatly to feeling secure and at ease.

After establishing a financial dream team, communication is key. From major life events to salary changes to kids’ college expenses, every teammate needs to be aware of changes big and small that may affect the “playbook.” A successful team will work together to adapt and act accordingly, always with a victory in their sights.

“No matter how well you plan, life is always full of unexpected changes, and your goals will shift over time,” said Seay. “But if you have a team of trusted experts who are just a phone call away, you’ll be better prepared to meet life’s challenges and keep working toward your financial dreams.”

Top Qualities to Look For When Selecting a Financial Quarterback

1. Has your full trust and confidence
2. Understands your big-picture financial situation, as well as short- and long-term goals
3. Takes the initiative to make sure all the players are doing their part
4. Understands the roles of the other players, and can effectively evaluate their input while keeping your interests in mind
5. Is easy to talk to and be around (someone you can speak frankly with)
6. Is able to be objective, straightforward and honest (not afraid to disagree with you, even if it means hurting your feelings)
7. Makes time to discuss your concerns, even when it may not be convenient for him or her
8. Fully discloses his or her fees in a way that’s easy to understand

Extra point:

Having a fiduciary as a financial quarterback is particularly beneficial, as fiduciaries are held to the highest of ethical standards and are required to act solely in the best interest of their clients.