Should I Hire a Financial Advisor to Do My Tax Planning?

Should I Hire a Financial Advisor to Do My Tax Planning?

It’s a safe assumption that you have a list of preferred professionals in your life that you trust and regularly visit for specific services. You more than likely have a respectable primary care physician for overall health, a reliable dentist for oral hygiene, and a massage therapist for stress relief and wellness. 

Did you research to find the perfect professionals that fill your expectations? After all, why would you settle for just anyone in the industry when you know that you deserve the best? This is the exact case for hiring a financial advisor.

Do your homework to maximize your tax returns through strategic tax planning. Work with a financial advisor in Rochester, NY, who has the qualifications and experience to support you!

Compass Wealth, LLC advises the goal should be to find the right financial planner for you, who will focus on your financial health and economic security. It’s nice to see that you are doing your homework! That tells us you, too, are serious about wealth sustainability. 


Why should you hire a financial advisor?

You should feel a sense of relief knowing that you are well on your way to having a tax planning specialist who has dedicated half of their lifetime studying the tax code, investment management, and retirement planning with years of experience. Well, take caution—not all who claim their titles have credible enough backgrounds to claim success. 

This is why you must do your research and look for red flags.  


Credentials Matter

In your surrounding areas, there are many financial services offered by dozens if not hundreds of firms. What matters most is researching financial advisors to ensure you are not settling. When looking at financial planning services for tax planning and beyond, look at credentials first. 

Examples of certified tax preparers are authorized agents, certified public accountants (CPAs), tax attorneys, and enrolled agents (EAs). Each requires candidates to pass an exam to acquire an IRS preparer tax identification number (PTIN).

“As fee-based financial fiduciaries, we employ a team of knowledgeable CPAs, PFSs. We do not employ salespeople.”

We understand that jargon can be confusing. Allow us to define a list of credentials that will help in your tax planning research:

  • Fiduciaries: held to the highest ethical standards in the financial service industry. Much like taking an oath, to be honest, in all work-related matters – working with professionals with this credential will help minimize your financial risk of being taken advantage of, which happens more than it should.


  • CPA (Certified Public Accountants): distinguishes licensed accounting professionals committed to protecting the public interest. CPAs offer financial statement audits and other attestation services, helping inform investors of the financial health of organizations.


  • PFS (Personal Financial Specialist): an individual with a degree offered and recognized by the American Institute of Certified Public Accountants (AICPA) can work as a tax planner, retirement planner, and more. This provides certification to CPAs allowing them to expand their expertise and offerings to include financial planning and wealth management.


  • EA (Enrolled Agents): have earned the privilege of representing taxpayers before the IRS by either passing a comprehensive three-part IRS test covering individual and business tax returns or through experience as a former IRS employee. This is the highest credential the IRS awards. This status must adhere to ethical standards and complete 72 hours’ worth of continuing education courses every three years.


Since many of the terms are often used in the interview process, understanding certifications will aid future discussions with these professionals. It’s essential to Compass Wealth, LLC that you feel more at ease in financial conversations when this matter might feel a little intimidating or confusing. 

“We aim to provide professional relationship security at all times.”


A Financial Advisor understands every aspect of your finances. 

Tax planning maps out your asset allocation and capital deployment in the most efficient manner. And since taxes are an integral part of being a proud U.S. citizen, this endeavor can become an enjoyable process – if you allow it (and hire the right financial advisor).

Taxpayers with higher wealth or complicated tax situations often choose CPAs for tax planning services. These financial advisors are qualified to prepare your taxes and far beyond. Because your taxes tie into the whole picture – they can assess and advise on other financial matters such as tax-efficient investments, asset allocation, retirement planning, charitable giving, etc. 

Unlike a tax filing service that you utilize once a year, a CPA works and assists with all your financial needs on an ongoing basis. Even with diverse areas of expertise, CPAs have the financial qualifications needed to sign off on tax returns. 

“At Compass Wealth, LLC, we provide separate and fully integrated combinations of financial advice and services to our clients.”

As certified fiduciaries, this ensures respecting your financial preferences. Multiple services are used in your best interests, to help you accumulate and preserve assets for future use.


A Financial Advisor knows the tax codes, deductions, and credits.

Hiring a financial planner for tax planning can take time-consuming and frustrating tasks off your shoulders. After all, you were not trained or educated in deciphering IRS rules, forms, deductions, and credits – we are! You have more than likely done the best you could for many years, or you have hired the wrong person, which often does more harm than good.

As an overall summary of tax codes, deductions, and credits:

  • Tax credits slash your liability on a dollar-for-dollar basis
  • Deductions reduce income subject to tax
  • The most valuable write-offs are typically above-the-line deductions and refundable tax credits

Of course, you should run the numbers to see which options are best on your return. Again, this is something your hired professional should do for you.

Financial advisors will be by your side and advise what is best for the long haul. They stay in touch regularly with your financial goal on the front lines at all times and offer trackable measurements with real-time reporting. You should never worry or wonder about your financial health. If in doubt, you should access a team member for time-sensitive support. 

“You deserve financial advice from a team of experienced professionals you can trust.”

Ready to connect to explore your financial goals? Talk with a financial advisor in Pittsford to ask us your questions?


Compass Wealth, LLC believes that your valuable asset is your time and energy. You can’t get time back – and time well spent is a life well-lived. Hiring a financial advisor to do your tax planning will save you time and reduce stress. 

We are here so that you can live your best life. Tending to your financial health is our lifelong dedication. Reach out today to schedule a complimentary session to get to know us and ask all the questions that have been on your mind.

Read: Tax Planning Strategies for Investors


eBook: Will the Impending Tax Changes Impact My Retirement Plans?

Securities offered through Cetera Financial Specialists LLC (doing insurance business in CA as CFGFS Insurance Agency), member FINRA/ SIPC. Advisory services offered through Cetera Investment Advisers LLC. Cetera entities are under separate ownership from any other named entity. Home offices at 1450 American Lane, Ste 650, Schaumburg, IL 60173; phone 888.528.2987.
For a comprehensive review of your personal situation, always consult your tax and/or legal advisor. Neither Cetera Financial Specialists LLC nor any of its affiliates offer tax or legal services.

About the Author: Rob Chapman, CPA, PFS, CMA

Rob founded Compass Wealth in 2000 and has been helping clients achieve their financial dreams since then. With over 30 years of experience in financial services, Rob specializes in financial, estate, retirement, tax strategies from Chapman & Co. P.C. and planning, investment management, and risk management through Compass Wealth, LLC.
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Will the Impending Tax Changes Impact My Retirement Plans?

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