Best Financial Advisors in Aurora

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 much do you need to save to have a comfortable retirement in Aurora?

  If you are a working individual in Aurora, the savings amount you need depends on different factors, such as retirement expenses and projected lifestyle spending. For an individual earning in their 20's, you can keep 10% to 15% of your earnings. However, if you intend to travel or retire early, you may need to save more money.

• What are the red flags for investment fund scams in Aurora?

  In Aurora and throughout Illinois, you should exercise discretion when being offered an investment. Some things to watch out for include being pushed into signing up and releasing money immediately without receiving the correct financial product orientation. In addition, a red flag is raised when the returns are too high and beyond the normal rates.

• Do you have any tips on how you can save money in Aurora?

  Being able to save money will depend on how you have built your lifestyle in Aurora. You may start by paying yourself a small sum every week and place it in a separate savings account. In addition, you can participate in employer-sponsored retirement plans while you are young. Furthermore, you may put your money in tax-deferred accounts, such as an IRA.

• How do you create a budget plan if you live in Aurora?

  There are many ways to create a budget plan in Aurora. The first thing you need to do is list down all your income, regardless if it's flexible or fixed. After deducting your expenses and calculating your net income, you should consider your tax obligations. From your net proceeds, you will have an idea if you need to either cut back your expenses or if you will need an extra source of income.

• If you live in Aurora, what is the difference between saving in a bank versus investing through the Illinois Secure Choice?

  There are differences between saving in a bank in Aurora and investing your money through the Illinois Secure Choice, though both financial instruments aim to grow your money. Banks mainly offer savings and checking accounts with set interest rates, while the Illinois Secure Choice was designed for retirement savings. Your retirement plan contributions are managed through securities, bonds, and mutual funds.

• 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.