Which Financial Services Professionals Should You Hire—and When?
I often get asked questions by my clients that start like this: “Do you know a good fill-in-the-blank to help me with ______? Do I need to hire a professional or should I do it myself?” Navigating the world of personal finance can be daunting, especially for busy female professionals juggling careers, family, and life in general. Many of us own the title of CFO for our families and all financial responsibilities lie completely on our shoulders. It’s tough to know when you should invest in professional help. While it’s empowering to handle some aspects of your finances independently, and I always advocate for educating yourself before completely turning over your finances to another person, certain situations call for the expertise of financial services professionals. Here’s a guide to understanding who you might need on your financial team and when it makes sense to bring them on board—or go it alone.
1. Accountants
When to Hire:
Tax Time: If your taxes are complex—e.g., you own a business, are in a business partnership, have multiple income streams, own rental property, or have significant deductions—it’s worth hiring a certified public accountant (CPA). If you have used a tax filing software program in the past and you are not convinced you are capturing everything you need to or are confused by the terminology, you need to hire a professional. You don’t want to create a problem for yourself that will include an audit and fines down the road.
Year-Round Support: For ongoing tax planning or if you face an IRS audit, an accountant is indispensable. The trick here is to find a CPA who is strategic and will offer up suggestions, education, and tools to incorporate smart tax planning strategies. Interview your accountant to make sure they can provide more than just doing your taxes. You need a team member who knows your future plans and is willing to help you be on-top of strategies that can legally help you pay the least amount of tax possible.
When to DIY:
If your tax situation is straightforward and you are an employee without complicated business returns (W-2 income, standard deductions), using tax software can be a cost-effective solution.
2. Insurance Brokers
When to Hire:
Life Events: A major life change, such as buying a home, getting married, starting a family, or starting a business is a good time to consult an insurance broker. Insurance brokers are different than insurance agents, as they are able to hunt for the best insurance policies and providers available. If you go to an insurance agent at “X” company, they will likely only sell you products from that one carrier. You want to find an Independent Insurance Broker to find your best policies. They can help you navigate life, health, auto, business, and home insurance options tailored to your needs.
Specialized Coverage: If you need specialized policies (e.g., umbrella coverage, disability insurance), a broker ensures you’re adequately protected. A good insurance broker will explain the policy well and will be looking for gaps that could potentially cause a financial burden, or devastation, if an emergency came up.
When to DIY:
For simple auto, home, life, or renter’s insurance policies, comparison websites make it easy to shop for competitive rates without professional help. Again, if you have multiple homes, a business, significant assets to protect, and a more complicated financial picture, doing it yourself may not be saving you money. If your financial life is pretty streamlined, you most likely can tackle it on your own.
3. Financial Coaches
When to Hire:
Building a Foundation: If you’re unsure where to start with budgeting, saving, or managing debt, a financial coach can empower you with the tools and confidence to take control of your finances. There are many basic steps that need to be taken before anyone can become financially independent and a financial coach can provide education, tools, and accountability to get your money in order.
Behavioral Guidance: Coaches focus on your habits and mindset around money, helping you align your financial decisions with your values and goals. Having a third party, independent professional guide you on your path can be the difference between reaching your financial goals or not.
When to DIY:
If you already have a solid understanding of personal finance basics and feel disciplined with budgeting and saving, you may not need a coach. If you have no bad debt, ample emergency savings and the ability to save at least 20% of your income to invest, then you may be fine to go it alone.
4. Investment Advisors
When to Hire:
Ready to Invest: When you’ve built an emergency fund and want to grow wealth through investments, an advisor can help create a diversified portfolio. They will sit down with you to understand your goals, time horizon and risk tolerance to craft a plan unique to you.
Complex Portfolios: If you’re managing substantial assets or facing significant life changes (inheritance, divorce, retirement planning), professional advice and asset management is valuable.
When to DIY:
If you prefer a hands-on approach and are willing to educate yourself, low-cost platforms like robo-advisors, brokerage firms, and index funds can make investing accessible. When you are young and just starting out, it is enough to be a disciplined saver and pick a low-cost index fund or two.
5. Financial Planners
When to Hire:
Big Picture Goals: A certified financial planner (CFP) can help you craft a long-term plan for retirement, education savings, or other milestones. They will meet with you to understand your future vision and produce what-if scenarios to determine your savings/investment goals.
Life Transitions: Major events like a divorce or retirement are ideal times to seek a planner’s advice.
When to DIY:
If you have clearly defined goals and a knack for financial organization, you might manage your plan using online tools or spreadsheets. Again, if you are just starting out, you likely are not in need of planning services. You simply need to work on building up that nest egg.
6. Attorneys
When to Hire:
Estate Planning: If you are in need of a trust, an attorney is an important financial professional to have on your team. How do you know if you need a trust? My very simple guideline is if you own assets and property in more than one state, you likely need a trust. Or, if you have accumulated enough assets and have a complicated way you want to structure your estate once you pass, an attorney is definitely needed.
Legal Disputes: If you face financial disputes or complex transactions (e.g.,divorce, business litigation), an attorney can protect your interests.
When to DIY:
For simple legal documents, online legal services can offer affordable templates and guidance. You can find many free or close to free services online to prepare a will, medical directives, business entity formation, or powers of attorney.
Building Your Financial Team
The decision to hire professionals often comes down to the complexity of your situation and the value of your time. Investing in expert advice can save you from costly mistakes, provide peace of mind, and help you focus on what matters most—your career, family, and personal goals.
By understanding when to call in the pros and when to handle tasks yourself, you can take charge of your financial journey with clarity and confidence.
Ready to feel confident with your money? At Upward Personal Finance, we specialize in empowering women like you to build financial clarity and confidence. Let’s create the financial future you deserve. Click here to schedule your free Q+A.