What Do Financial Planners Do?

[scanne]

Without giving too much personal detail, let's just say that the financial situation my DH and I are in is not the greatest. We have some cc debt, a big mortgage payment and daycare. We don't have car payments, but we do have all the other incidental bills each month - gas, electric, water, phone, cable, etc.

When all is said and done, there's not too much wiggle room.

Periodically, my DH will get all bent out of shape and say "It doesn't make sense." What he means, I have NO idea. When I prod him about it, he tells me what he thinks we should have vs. what we do have. So I bring up that maybe we should see a financial advisor/planner. His retort is "What are they gonna tell us?" and I tell him that I don't know, but it couldn't hurt. He thinks that the "cure" is to stop using credit cards. Well, he needs to take his own advice. I only use my debit card. When I DO use a credit card, I know how I will be getting the money to pay it off - (ex. I use it for work, submit the receipt and get reimbursed before my CC bill even comes in).

So, if anyone out there has any experience using a financial planner, and thinks it would BENEFIT us, please share.

I honestly cannot stand this part of our marriage and every time it comes up, my insides churn with anxiety and pain.

Thanks for listening.

BTW, the reason we can afford our WDW trips is that #1 my parents pay for the big ticket items (hotel, airfare, park tickets) and I save money out of my paycheck for incidentals like Disney spending money and clothes for my kids.

 

[golfgal]

Financial Planners mostly work with you on how to invest your money to save for retirement. They can help you set up savings plans, etc. as well. The first thing I would do is write down everything you are spending your money on and look at it in black and white. That will help you determine where your money is going. Also, any chance on cutting back on the mortgage and getting a more affordable house? That will help the budget. You are right though, credit cards are not a good thing.

 

[clarabelle]

Go over to the budget boards and you will get lots of responses.
Many people swear by Dave Ramsey. If you have an IPod you can get his podcasts for free. He has books that will be at the library probably.
My understanding of a financial planner is like the previous poster said. Retirement and investments.

 

[MrsPete]

My understanding of a financial planner is like the previous poster said. Retirement and investments.

I think most people go to financial planners to talk about retirement and investments: Retirement because there's no "second chance", so we all are a little nervous about that topic since we MUST get it right the first time; Investments because purchasing stocks, etc. is a complicated business.

However, a financial planner CAN help with other things more "mundane" things as well. A good one should ask you WHY you've come to visit, and he should start from that point -- though you'll certainly hit the big topics of retirement and investments eventually.

Judging from the information you gave, I'd look at these things:
Do you have adequate income for the lifestyle you're leading? That is, can you reasonably afford the house you're in, etc.? If so, then where are the "leaks" in your budget?
Your husband is partially right when he says "the cure" is to quit using credit cards. You're paying for yesterday's items, which are already used up and forgotten, PLUS you're paying interest on them. You can never get ahead in this situation; however, if he's the one continuing to charge, you're going to have to get him on the same page.
I see you're paying day care -- remember that this is a temporary thing, and eventually you will no longer need this service. Is there any way you two could work opposite shifts to avoid this need?

 

[The Mystery Machine]

Financial planners are for retirement, estate planning, etc...

What you need to do is get Excel and track every penny.
Do not use credit cards at all, your DH is correct there.

BTW...it stinks, I know.

 

[BalooTheBear]

Go over to the budget boards and you will get lots of responses.
Many people swear by Dave Ramsey. If you have an IPod you can get his podcasts for free. He has books that will be at the library probably.
My understanding of a financial planner is like the previous poster said. Retirement and investments.

Dave Ramsey has a website www.daveramsey.com - he has listings of certified financial planners who are endorsed by him. They are listed by locations nearest to you. You may want to check this out.