How often should an average person living in the United States visit the doctor?
The general recommendation for individuals to visit their Primary Care Physician is once per year. The frequency of visits may depend on your age or your underlying health status. The appointment with your primary care provider consists of blood pressure check, weight, and possible early signs of chronic diseases.
As we age, routine tests with your primary doctor include more extensive work including blood tests, mammograms, skin checks, colonoscopies, and vaccinations. Your primary care providers are doctors trained to be a patient’s first point of contact into the health care system. These doctors are trained to be able to diagnose a wide variety of medical conditions and are experts in tracking your trending health conditions. When more complex issues arise, you are referred to specialists and your health records are carefully coordinated to ensure proper patient care.
Financial Wellness Determinants
Your financial wellness is no different.
Transactional banking, short-term savings, wealth building, retirement, and asset protection are all part of the financial wellness ecosystem. Bankers, financial advisors, insurance agents, and CPA’s all play significant roles in the system. Each one counsels and coaches on specific topics aimed at both short- and long-term financial success.
Like the relationship between a PCP and specialty physicians, each advisor should work together to provide a holistic picture with a comprehensive plan.
Role of Relationship Bankers
Bankers providing services to individuals are typically classified into two different categories.
Two Types of Bankers
1) Personal Bankers - First, personal bankers usually work in in retail bank branches and assist customers with a variety of needs. The day-to-day responsibilities of personal bankers include helping customers open new checking and savings accounts, servicing accounts, and help with general lending such as auto loans and home equity lending.
2) Private Bankers - Second, private bankers perform much of the same work as personal bankers; they are different in that provide highly personalizes financial services to high-net worth individuals. These specialized bankers define financial goals with more complex clients, develop plans to execute the goals, then manage the client’s portfolio. Private bankers are the quarterback of a team.
Whether a customer is classified as high-net worth or not, both the personal banker and private banker serve similar roles, bringing in specialists when needed.
Mortgage Lenders - Loan Officers
A mortgage loan officer is exactly what the title suggests. They specialize in finding the right loan type and mortgage terms for you to buy or refinance your primary or secondary home. These lenders work for a bank or independent lender to assist borrowers in applying for loans.
Every loan officer is required to be licensed through the Nationwide Mortgage Licensing System & Registry (NMLS) and are specialized in residential lending.
Your loan officers are your direct contact with the lending company. They research and review your financial history and capacity to repay a mortgage. Once the mortgage application is underway, they work with the underwriter, real estate agent, and closing attorney to streamline the process.
Financial Advisors Retirement and Tax Planning
Financial advisors do more than just execute trades in the market on behalf of their clients. Great advisors plan a thorough profile tailored to the individual client. Their recommendations should not only encompass retirement planning but also savings, budget, insurance, and tax strategies.
While specific licensing requirements vary among different types of financial advisors, they are generally required to have various security and insurance licenses based upon the products sold. The broad licenses advisors hold help uncover many needs, including types of accounts needed, proper insurance, and long-term planning.
Even though financial advisors hold all these licenses, they often use high specialized partners, such as insurance agents, to provide a comprehensive plan for customers to reach their long-term goals.
Insurance Agents Role in Wealth Planning
In a nutshell, insurance agents sell life, health, property, and other various types of insurance to meet the needs of their clients. Since insurance is state regulated, insurance agents must obtain the proper licensing in their respective state.
The most important aspect about working with an insurance agent boils down to who they represent. Some insurance agents solely represent one company and are restricted to selling products from their respective company.
On the other hand, independent insurance agents represent many different insurance companies offering a wide variety of options and pricing. The advantage of an independent insurance agent allows a customer to choose from the insurance carrier, price, and terms. When a claim situation or billing question arises, your independent insurance agent can be your advocate and work with the insurance company on your behalf.
Certified Public Accountant (CPA)
CPAs are trusted financial advisors who must pass the CPA Exam among other requirements. CPAs are accountants, but not all accountants are CPAs.
CPAs help individuals and businesses with financial planning, investments, and taxes, just to name a few. Complexities increase when significant wealth is involved. Navigating the year-end tax filing is only the culmination of a CPA’s work. The relationship between a client and CPA should be more of a personal advisor role providing a holistic view of managing wealth throughout the year.
How to navigate the partnerships
In a perfect world, all financial partners would communicate and work together, rather than siloes, to help each client reach their long-term goals. Clients use different partners based upon who they trust or were referred to.
While overlapping competition may exist between some partners, each financial professional has specific skills and training. The best client strategy, with the permission of the client, involves open reviews of any life changes, product changes, or goal adjustments. Communication between the partners saves clients time instead of pivoting between advisors.
With so much uncertainty and change, collaboration has become more important between advisors. Partnerships prove value while providing strategies clients might otherwise miss.
The next time you sit down with your partners, provide them with the name and company of your other advisors. Discuss the opportunities that were addressed. If you need a partner, ask one of your current advisors to refer you to a trusted resource to help create your complete support team.
Montgomery & Associates Insurance & Financial Services is a trusted source in personal and commercial insurance in Tennessee and across the nation.
Call for a free insurance review today: 855.207.9492.