Index funds and low-cost brokerages have made do-it-yourself investing easier than ever, but finding a financial advisor remains daunting, especially for young middle-class families with little money to invest. Many advisors only accept clients with investable assets of $100,000 to a half million, but there's hope for would-be clients with less than $100,000 to invest.

Even clients with modest investing accounts can benefit from an advisor's expertise, says Michelle Waymire, an Atlanta-based financial advisor at Young + Scrappy, which works primarily with new investors. "The earlier you are in the process, the higher level of investing return you'll see."

Plus, middle-class families can't afford to make mistakes. The wealthy generally have a greater tolerance for risk, or at least the means to recover from financial blunders, says Matthew Eads, portfolio manager for Eads & Heald Investment Counsel in Atlanta. Someone with less money may find it difficult if not impossible to bounce back from a major financial loss, he says. "A good advisor might not crush the benchmark on the upside but strives to keep clients out of trouble on the downside," Eads says.

[See: The Fastest Ways to Lose Money in the Stock Market .]

For middle-class investors, the search for an advisor will center on how the person is paid not only to weed out those who only work with high-net-worth clients but also to ensure you're getting the kind of service you need and can afford.

Know your own finances. To get an idea of what kind of help you need, Eads suggests assessing your current financial picture and taking stock of your net worth including current financial commitments such as your mortgage, medical bills, pending college payment, credit card debt and car loans. Then look at your investments and current income, as well as long-term financial goals, such as saving for a child's college education or early retirement. "Delve into every nook and cranny," Eads says. "Understand your assets and liabilities."

Then start shopping around for potential advisors. Friends and family with similar sums of money to invest as you may have suggestions, but also try professional organizations. The Certified Financial Planner Board of Standards has a searchable database on its website, LetsMakeAPlan.org, that lets you screen for potential advisors based on location, any account minimums and how they're paid.

4 Good Reasons to Have a Financial Advisor

Find the fee structure that fits you best. Advisors charge for their services in multiple ways, and you should inquire about all fees and forms of compensation. Ideally, you want a fee-only fiduciary whose only compensation is a percentage of assets under management, typically 1 percent, Eads says. That way, how much the advisor earns depends solely on the portfolio's performance and not on commissions from selling financial products. Beware of hybrid advisors who are only fiduciaries part of the time and may receive compensation from non-clients, says Adam Grossman, founder of Mayport, a fixed-fee wealth management firm in Boston.

Advisors who get paid that way, however, also may be more inclined to limit clients based on their investable assets, so you may need to consider other fee structures, such as an hourly rate. That can range from $125 to $200 an hour depending on the services and the city, Waymire says. "For people starting out, the hourly service can help you get your ducks in a row," she says. "It can give you good tips on how to save your money, so in a few years if you are in a better situation, or your situation becomes more complex, you can come back under the assets-under-management model."

[See: 10 Long-Term Investing Strategies That Work .]

Some financial advisors are starting to offer membership services. For a quarterly or monthly fee, the service provides ongoing guidance to investors who email questions regularly. Waymire offers such a service with a sliding fee scale based on the investor's assets. For example, if an investor has less than $25,000 to invest, she charges an initial $150 for a meeting to discuss the person's risk tolerance and asset allocation, and thereafter $19 a month for the subscription service.

As a last resort, an advisor who accepts commissions may work if you have the investing chops to monitor your portfolio and only need someone who can execute stock trades, Waymire says. No matter which fee structure you choose, don't pay for more financial advice than you need. For most investors, a quarterly statement and one meeting a year is enough, Waymire says. The exception to that rule is a life-changing event that affects your finances , such as getting married, having a child or losing a job.

Test their investing savvy. You're buying a person's investing expertise so check out the merchandise. Ask the advisor for a sample portfolio. Any sample that's hard to understand is a clue to continue shopping, Eads says.

You should also ask about an advisor's track record picking investments for the type of portfolio or plan recommended for you. In fact, that's your cue to find out how well they've helped investors in similar financial circumstances as you before. "A good advisor should be competitive and open about their past performance," Eads says. "Any advisor who suggests or promises future performance numbers should immediately be crossed off your list."

You can also eliminate advisors who tout their stock-picking talents, because it's exceptionally hard for active managers to outperform market benchmarks . "If well-paid professionals backed by scores of analysts can't do it, your small town financial advisor who has a handful of staff probably won't either," Waymire says.

As for whether an advisor should be given authority to move money out of your account on your behalf, "the answer to that should always be no," Eads says, to avoid any "Bernie Madoff" situations. Because account access can sometimes be buried in the mound of new-client paperwork, review all fine print.

[See: 10 Questions to Ask Before You Hire a Financial Advisor .]

Investing is often time-sensitive so ask who your primary contact or account manager will be and how quickly that person generally responds to calls and emails. "You'll want an advisor who will be responsive to your needs, not someone who processes trading requests a week after you email them," Waymire says.

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