Daily Money Managers

May 31, 2022 | Business & Employment, Everyday Finances

Daily financial tasks such as paying bills and budget tracking can build up and become overwhelming. Whether you are a busy, high-net-worth entrepreneur or a recently widowed spouse, managing your finances can be stressful.  While SageVest coordinates comprehensive wealth management services spanning the totality of your finances, we’re not able to direct bill payments under SEC rules.  When this need arises, we often recommend a daily money manager as a solution.

 

 

 

What Is a Daily Money Manager?

A daily money manager (DMM) is a financial professional you can hire to complete a variety of money-related tasks. They work with many types of individuals and small businesses, and generally charge an hourly fee for their services. Below is a list of some of the daily tasks they complete:

  • Pay bills
  • Set up auto-pay
  • Balance checkbooks
  • Make bank deposits
  • Organize tax documents
  • Manage mail
  • File financial documents
  • Track budgets

Who Needs a Daily Money Manager?

Daily money managers can serve a beneficial purpose for many different types of people and scenarios including:

  • Elderly individuals (or couples)
  • Busy professionals
  • Individuals with disabilities
  • High-net-worth individuals
  • Small businesses

Hiring a DMM might allow a busy professional to enjoy more free time and can give an elderly person peace of mind about their finances.  A small business owner can gain the expertise of a DMM without having to pay a full-time staff member. Most importantly, a DMM can ensure that essential financial tasks are being completed in a timely manner.

5 Daily Money Manager Facts

  1. Daily money managers generally charge an hourly fee for their services, but some may charge a flat fee.
  2. DMMs can coordinate and interface with other financial professionals including CFP®s, CPAs, insurance agents, etc.
  3. CDMM®s are certified daily money managers with additional expertise. CDMM®s must pass an exam and meet other requirements.
  4. The American Association of Daily Money Managers (AADMM) has a useful search tool that can help you find a DMM in your area.
  5. Some daily money managers provide additional services such as notarization.

Questions to Ask a Prospective DMM

Before hiring any financial professional, do your research.  Here are some important questions to ask before hiring a daily money manager:

  1. What is your professional experience?
  2. What are your credentials?
  3. Are you a CDMM®?
  4. What is your scope of work?
  5. How often will I receive updates and reports from you?
  6. How do you bill?
  7. What are your standards of practice and code of ethics?
  8. Will you collaborate with my financial planner, CPA, insurance agent, attorney, etc.?
  9. Is there a confidentiality clause in your contract?
  10. Will I retain full access and control of my own accounts? (The answer should always be yes.)
  11. Can you provide references?

SageVest Wealth Management knows that managing your finances can feel overwhelming, but that doesn’t need to be the case.  We work with clients to help them fulfill their life and family goals while simplifying complex matters into understandable, manageable and successful strategies.  For some clients, working with a daily money manager can further assist in making finances more manageable.  We invite you to contact us to discuss how we can help you achieve your financial goals while gaining the time and peace of mind you want and deserve.

Prepared by SageVest Wealth Management. Copyright .
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