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By SHELLEY HANSON
Staff Writer
MARTINS FERRY -- Trying to figure out how to pay one's bills while also saving for retirement, a new car or a child's higher education is not an easy task for most people.
But there are professionals who can help.
According to the National Association of Personal Financial Advisors, a majority of people in the United States don't do much financial planning, but should. The association notes 60 percent of adults don't have a budget and less than half have a savings plan with goals in mind.
Nearly 30 percent of people don't save any of their income for retirement. About 33 percent have credit card debt they cannot pay off every month.
The association also notes that one in four Americans admit to paying their bills late, while 30 percent of people say while at work they worry about their personal finances.
"Seeking the counsel of an independent, qualified financial planner who has the education, experience, knowledge and character to guide your personal financial needs can help you plan for both short and long-term goals," according to NAPFA.
"When you meet with a financial planner, he or she will ask you about your life goals, values and philosophies about money. Determining your current net worth by identifying your assets and liabilities, and gathering detailed information about your regular expenditures will help your financial planner create a cash flow statement, analyze your spending habits and develop a budget that you can stick to. Your planner will then help you identify your short and long-term goals, and map out the path that will get you there."
To help choose a financial adviser, the national association recommends taking the following steps:
∫ Decide what one's goals are -- such as saving for a house, retirement or both.
∫ Make a list of potential advisers with names from family, friends or websites to choose from.
∫ Do research online of your top potential choices for adviser.
∫ Meet the candidates in person, discuss one's goals and evaluate their experience and knowledge.
∫ After choosing an adviser be sure to evaluate their performance throughout the year. For example, are your goals being met? Are they willing to communicate with you?
According to the Financial Planning Association, using a financial planner can help one get an objective, third-party perspective on difficult-to-make financial decisions.
For example, situations that may arise can include preparing for a divorce or marriage; a birth or adoption; illness, natural disaster or layoff; the death of a spouse or loved one; or the selling or buying of family business.
The FPA notes that not all financial planners offer the same services. They recommend those who are certified professional planners.
"Be wary of people who call themselves financial planners but who appear more interested in promoting specific financial products at the expense of your real needs and goals," the planning association states.
The FPA says financial planners are not regulated by a government body, but they are regulated based on what they sell, such as insurance, securities or investment advice. They also could be regulated by the Securities and Exchange Commission if they also work as a broker, insurance agent or investment adviser.
"Choosing a financial planner is as important as choosing a doctor or lawyer. Working with a financial planner is a very personal relationship. In addition to competency, a financial planner should have integrity, trust and a commitment to ethical behavior and high professional standards. You want a planner who will put your needs and interests first," according to the Financial Planning Association.
Some financial planners charge a fee only, while others are commissioned-based, and still others charge a fee and a commission.