Financial advisors can help you manage your money as well as reach your financial goals. If this is the person that you need these days, then you need to make sure that you are hiring the best. But you have to understand that there are different types of financial advisors. To help you choose the best mortgage brokers and financial advisors, here’s what you need to know before you hire a financial advisor.

Different Types of Financial Advisors

Financial assistance and guidance can be sought through different services offered. It can be from robo-advisors online or from your local financial advisors. Understand each of these types to determine which is the best option for you:

• Robo-Advisors. They are advisors you can find online that can offer you simple and cost-effective financial management services. All you need is to provide information online and a computer algorithm will build an investment portfolio for you depending on your goals as well as your risk tolerance. This is a good choice if you are looking for guidance with your financial goals but cannot afford a financial plan.
• Financial Planning Services Online. If the Robo-Advisor is not a good choice for you, the next step are the financial planning services that you can find online. The services that you will find here are similar to the ones offered by a robo-advisor. The difference is that this offers a comprehensive consultation with a team of financial advisors if you have any questions. This is the best option if you need a financial advisor who can provide you with a holistic financial plan but charges lower compared to in-person advisors.
• In-Person Financial Advisors. This is the traditional way of getting guidance from a financial advisor. They can specialize in financial planning, or they can be stockbrokers, wealth managers, or registered investment advisors. Traditional financial advisors are the best if you are looking for specialized services and if your financial situation is complicated. 

Determine the Services that you Need

Now that you know that different types of financial advisors to choose from, it is time to determine what type of services do you exactly need from them. If what you need is assistance in managing your investments, or maybe you are just starting out, a robo-advisor is a good choice. But if you are dealing with a complicated situation, you would need holistic advice from an expert. If you don’t need to personally talk to an advisor, then a financial planning service is good enough for you. But if you need in-person services, then you have to do it the traditional way.

How Much Are You Willing To Spend?

Another thing that you have to take into consideration is the budget that you are willing to spend for these services. Robo-advisors, they usually charge an annual fee. The online financial planning services usually charge a flat subscription rate or a percentage of your assets, or it can be both. For human advisors, they would usually charge a percentage of the amount they are managing plus a median fee.

Now that you know all about financial advisors, choosing the best for your needs would not be that difficult anymore. So make sure that you pick the right one based on the factors mentioned above.