FINANCIAL PLANNING AND INVESTMENT MANAGEMENT QUESTIONS

What is a fiduciary?

A fiduciary is a person or organization that acts on behalf of another person or persons, putting their clients' interests ahead of their own, with a duty to preserve good faith and trust. Being a fiduciary thus requires being bound both legally and ethically to act in the other's best interests.

What is comprehensive financial planning and how much does it cost?

We know there are a lot of moving parts to a financial life, so we created financial plans that address the various parts—insurance coverages, estate planning, taxes, employee benefits, retirement planning, investments and more. We help our clients formulate and implement a plan to meet their specific needs. What makes us different from other financial advisors is we do not sell any products—we work for our clients at an hourly rate.
The fee for comprehensive financial planning depends on the complexity of the situation, but the fee for a new client engagement generally ranges between $2,500 to $3,500.

What does the CFP® certification really mean?

CERTIFIED FINANCIAL PLANNER™ certificants complete rigorous training and experience requisites in order to earn the CFP® mark. Additionally, they are held to high ethical standards. The demanding expectations prepare CFP® professionals to make the best possible recommendations to their clients in the ever-changing financial climate. A CERTIFIED FINANCIAL PLANNER™ professional will combine all areas of your financial life, from education and retirement planning to tax services and budgeting.
Please note that not all "financial planners" are CERTIFIED FINANCIAL PLANNER™ certificants.

What does the CDFA® certification mean?

The Certified Divorce Financial Analyst® and CDFA® are professional certification marks granted by the Institute for Divorce Financial Analysts (IDFA™). To attain the right to use the CDFA® marks, an individual must have satisfactorily fulfilled three years of professional experience in finance or divorce, hold a Bachelor's degree, passed the comprehensive certification exam and abide by the IDFA Code of Ethics and Professional Responsibility. Individuals who become certified must complete 15 hours of divorce-related continuing education every two years.

Do you have an investment minimum?

The minimum for our investment management services is $500,000. However, we do not have a minimum for our comprehensive financial planning services.

Do I have to be an investment client and a financial planning client?

We do not require our financial planning clients to move their investment accounts to us.

What are your fees? Are they transparent?

As a fee-only firm, we do not sell any products, and there are no hidden fees in which we are compensated; we operate with full transparency. Our financial planning fees are billed at an hourly rate. Depending on the complexity of your situation, the fee for a new client engagement for comprehensive financial planning generally ranges between $1,800 and $2,500.
Our annual fee for investment management is 0.5% of the value of the managed assets. Fees are calculated and billed quarterly at 0.125% per quarter.

How much do you charge for investment management services?

Investment management is 0.5% per year.

TAX SERVICES QUESTIONS

What sets CPAs apart from general tax preparers?

The answer in short: A lot. CPAs typically begin their careers with years of college and graduate education. To become licensed, they must take the demanding Uniform CPA Examination, which tests their knowledge on a wide range of topics over a period of 14 hours. Additionally, CPAs must meet an experience requirement before being licensed by a State Board of Accountancy to practice. After earning the CPA accreditation, they must meet continuing education requirements to update their knowledge of new developments. They are held to a strict code of ethical standards. Armed with this rigorous training, CPAs are on the job year round, ready to help individuals and businesses address their own unique challenges.

What do I bring with me to my appointment?

Upon making your initial appointment, Smitson Erhart-Graves will request to have your prior two years’ income tax returns, both federal and state. If you have ownership in a business, those returns will be requested as well. These income tax returns will help us to better understand your current tax situation and act as a facilitator to develop an objective tax plan and prepare an accurate return.

I received a tax notice. Can you help me?

Worley Erhart-Graves Financial Advisors is affiliated with Smitson EThe IRS and state tax departments issue letters and notices for a multitude of reasons. Many are simple and painless, merely saying what the tax department did or has on file. Sometimes these letters are correct, and sometimes they are not. Each letter or notice should be read carefully to identify what was changed or what is being requested, whether or not you agree or disagree, what you are to do now, and by what date you are to respond. If you are not sure if it is correct or you wish to contest the notice, it is usually better to have a professional respond. It is possible that we can help you, even if we did not prepare the return.