Best Financial Advisors in Greeley

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.
  

• Why should a person generally not work for free in Greeley?

  A person in Greeley should generally not work for free because time is a valuable resource that can be translated into money. A person who gives away services without charging is wasting time instead of spending hours and minutes on a job that actually pays. The exception are activities that cannot be valued in terms of cash, like time spent with family or watching children grow.

• What is the advantage in Greeley of going with a fee-only financial planner?

  In Greeley, a fee-only financial planner is advantageous because these professionals enjoy a level of independence others in the finance field do not. Since these individuals do not receive commissions from the providers of financial products, their advice is optimized to consider only the client's needs, and there is no obligation to sell any specific options from particular companies.

• If tech stocks in Greeley are doing unusually well, is it okay to place all of one's investments in the technology sector?

  No, even if tech stocks are doing unusually well in Greeley, it is not advisable to put all of one's investments in that sector. Diversification is essential, and the individual has to put money into other fields, like hospitality or education. Placing all of one's bets in a single area is extremely risky and could tank one's earnings as soon as any economic downturn happens.

• Can a business in Greeley generally use a net operating loss deduction if it exclusively experiences losses on the sale of capital assets?

  No, a business in Greeley generally cannot use a net operating loss deduction if it records losses exclusively from the sale of capital assets. The law usually does not permit capital losses to be used as the basis for requesting these deductions. The impact has to come from ordinary assets that the venture ordinarily offers to the public.

• Why does it make more tax sense in Greeley and elsewhere for a business to buy a big SUV instead of a small car?

  In Greeley, it makes more sense tax-wise to get a heavy SUV for business purposes because of how tax depreciation rules work. There are maximum caps on how much a car can be depreciated each year before being sold. These caps do not exist when the vehicle concerned is an SUV or a truck, letting a seller heavily reduce or zero out capital gains tax faster.

• 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.