Best Financial Advisors in Mesa

Frequently Asked Questions

• Introduction

  There are many titles for financial professionals, so it's challenging to track what each one means. A financial advisor is probably the term you've heard most often. Financial advisor is a broad term for a professional who helps individuals or companies manage their finances, including investment choices. There are over 100 certifications that financial advisors can obtain.
  

  • Financial planners, wealth managers, and investment advisors are all financial advisors with different focus areas.
  • A financial planner helps an individual or a company make a plan to achieve long-term financial goals.
  • A wealth manager helps individuals maintain their wealth through various disciplines and services, such as taxes, estate planning, and investment advice.
  • An investment advisor offers investment advice and recommendations to individuals or organizations.
    

  There’s a misconception that you have to be extremely wealthy to use a financial advisor. In reality, they can be beneficial for people from any income level. Keep reading to find answers to the most commonly asked questions about financial advisors, so you know which type can fit your specific needs.
  

• How can financial advisors help you secure your legacy in Mesa?

  Financial advisors can help you secure your legacy in Mesa by taking the necessary steps to protect your money or assets for the future generation. They provide a variety of trust structures, including charitable-giving tools that can minimize estate taxes and ensure that your wishes will be carried out. They work with tax professionals and lawyers to create or update your estate plans, wills, and powers of attorney.

• If you change your job or retire in Mesa, what should you do to your employer-sponsored retirement plan?

  If you change your job or retire in Mesa, you have different ways how you can handle your employer-sponsored retirement plan. You can leave the money in the account, transfer the money to another employer plan (only advisable if the new plan allows it), or take the cash and pay income taxes or 10% additional federal tax if you are younger than 59½.

• How does Safe Harbor 401(k)s work in Mesa?

  Safe Harbor 401(k)s are used by business owners in Mesa to contribute to their employees' retirement plans. If you are a business owner, you can maximize your contribution to your own account but should provide a match percentage of compensation from employees. Your contributions can be pre-tax or after-tax. You should also keep in mind that this should be paid on or before the 15th business day following the month you were withheld.

• What common mistakes do financial planners encounter in Mesa?

  Most of the time, financial planners encounter several common mistakes in Mesa. They notice that most individuals do not have an appropriate mix of bonds and stocks in their portfolios. There is a disconnection between clients' financial goals and investment allocation. Oftentimes, people misallocated their investments resulting from overconfidence, misinformation, greed, and fear.

• Who can invest in a 529 plan in Mesa?

  Parents, relatives, or family friends can invest in a 529 plan in Mesa. This plan finances a child's education and if it is used for eligible expenses, individuals do not have to pay any federal taxes on withdrawals. 529 plans fund any type of education expenses, including college fees and tuition, private K-12 education, and books.

• Are financial advisors worth it?

  Whether or not a financial advisor is worth it depends on your personal situation. If your finances are fairly straightforward, then you may be better off handling it on your own. But if you have substantial assets or a complex investment portfolio, then hiring someone to handle it for you can be well worth the cost.