Best Financial Advisors in Fullerton

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.
  

• Can clients in Fullerton save taxes in Roth and traditional IRAs?

  If you make a contribution to a traditional IRA in Fullerton, you can take a deduction on your current tax return but the money will be taxable when you withdraw from the account. Withdrawals from a Roth IRA, on the other hand, are tax-free, but you will not receive current tax benefits when you make a contribution.

• How can an advisor in Fullerton help you with financial matters?

  Advisors in Fullerton help people manage their finances and achieve their goals, such as purchasing a home or saving for retirement, by creating plans tailored to their needs. They also develop tax planning strategies for business owners and individuals with complex investments, such as large portfolios and multiple properties, and inform them about changes in the law.

• How does investing in I bonds protect clients in Fullerton from inflation?

  Investing in I bonds helps Fullerton clients looking for long-term cash management. Inflation-protected savings bonds have two components: a rate that adjusts twice a year with inflation and a fixed interest rate. Each adjusted rate is paid on the increasing value of the principal and is federally tax-deferred until the bonds are cashed in. The bonds have 30-year maturities, but individuals can redeem them after 12 months.

• How can clients in Fullerton build their wealth without solely relying on their retirement income?

  Retirees in Fullerton can build their wealth by acquiring real estate or saving money in brokerage, IRA, and savings accounts, as well as 401k plans. Financial advisors can also help individuals maintain a sustainable ongoing retirement income by determining their projected annual spending amount and how much retirees can withdraw each year.

• What kind of clients in Fullerton need the help of financial advisors?

  Advisors in Fullerton help people manage their financial life and achieve their goals. They assist pre-retirees who want to secure their future and retirees who want to manage their money. They also help investors seeking to build their portfolio and business owners who want to protect their families and livelihood from financial risks. Other clients include professionals who are changing jobs and need advice on their previous company’s 401(k) plan and widows and widowers facing major changes in their financial situation.

• 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.