The author of the book Making Your Money Work, Francisco J. Colayco defines financial planneras a person or someone who can give you advice on matters related to saving, investing, taxes, insurance, household money management, real property management and retirement.
What products or services a financial planner offers to his clients? A planner should be able to help his clients do the following:
- He prepares their statement of assets and liabilities.
- He makes a budget so that they live only within their chosen lifestyle and follow the principle of: Income minus Savings equals expenses.
- He allocates their assets to ensure a diverse investment portfolio.
- He ensures that they have sufficient insurance for themselves, their families and their properties.
- He keeps his clients taxes payments at the lowest cost within the law.
- He plans for their children education and their retirement.
- He helps them prepare legal documentations to protect their financial interests while they are living.
- And he prepares a plan for their heirs in the event of their deaths.