- I Have $3 Million Invested With My Financial Advisor and Pay a 1% Fee. Am I Paying Too Much?
“Financial advisor” covers a wide range of services, ranging from simple counsel and budgeting to tax preparation, long-term planning and portfolio management. What you pay, and how much, will depend on the services you engage and the kind of firm you hire. You’ll generally pay less for smaller and more discrete services. For example, a… read more…
- I Have $1.4 Million Invested with My Advisor Who Charges a 1% Fee. Am I Paying Too Much?
The fee your advisor charges is based on the services you’re receiving, the individual advisor’s fee structure and other factors, including the amount of money you have to invest. With $1.4 million invested, many advisors would likely charge about 1% of the account balance as an annual fee. However, this could vary widely among advisors.… read more…
- I Have $2.5 Million Invested With My Financial Advisor and Pay a 1% Fee. Am I Paying Too Much?
How much should you pay a financial advisor? The answer is, there are a lot of answers to this question. The simple one is: around 1%. That’s the average rate that a professional financial advisor charges to manage your money. The better one is: it depends entirely on what services you need and how much money… read more…
- How Does Retrocession Work in Investment Management?
Retrocession in investment management refers to the practice where a portion of the fees or commissions received by a financial institution, such as a bank or investment firm, is shared with a third party. This third party is often an intermediary, like a financial advisor or broker, who has facilitated the transaction or brought the… read more…
- I Am Paying My Advisor 0.75% of My $2M Portfolio. How Do I Know If I’m Getting My Money’s Worth?
An advisor fee of 0.75% of assets under management (AUM) is not outside the range of normal. That doesn’t necessarily mean you are getting your money’s worth, however. To further evaluate your advisor, you can take a step back and decide whether you’re getting the right value out of them and whether you’re a good… read more…
- What Is the Cost of Changing Financial Advisors?
The exact expense of changing financial advisors can vary depending on factors like account types, investment holdings and advisory agreements. When switching advisors, common expenses can include exit fees, which some firms charge when transferring accounts, along with potential tax consequences if any investments are sold during the process. New advisor fees may also arise,… read more…
- What Does It Mean If a Financial Advisor Is Fee-Based?
If a financial advisor is considered “fee-based,” it means they can earn compensation through a combination of both client-paid fees and forms of compensation related to selling certain products. Although the two terms may sound similar, a “fee-only” financial advisor is quite different. These fee-only advisors only charge clients fees directly related to their services,… read more…
- I’m Thinking of Using a Financial Advisor. How Much Would It Cost?
As published recently in their annual report by the financial blog, Kitces, pricing in finance is dominated by one model above all others: Assets Under Management (AUM). This is a fee structure that, in theory, incentivizes your financial advisor by paying them more as your wealth grows. This can work well in some cases, particularly… read more…
- What Is a Flat Fee Financial Advisor?
Whether you’re planning for retirement, saving for a child’s education, or simply aiming to grow your wealth, understanding how financial advisor fees work can significantly impact your financial strategy and overall satisfaction. One common fee structure is a flat advisor fee. This type of fee charges a fixed fee for services, whereas other advisors can… read more…
- What Is a Fee-Only Financial Planner?
If a financial planner, financial advisor or another type of financial professional is fee-only, that means they receive compensation solely from the fees clients pay for their services. They do not earn commissions for recommending certain products. A fee-only structure… read more…
- I Have $2.2 Million Invested With My Advisor Who Charges a 1% Fee. Am I Paying Too Much?
When it comes to advisor fees, there are two numbers to keep in mind: 1% and 0.02%. The first is the average fee that financial advisors tend to charge. If you are looking for comprehensive financial management, in general you should expect to pay about 1%. The second is a representative fee for a well-indexed… read more…
- I Have $1.7M Invested With My Advisor and I Pay a 1% Fee. Am I Paying Too Much?
When it comes to financial advice, what you pay can vary based on what you get. An advisor who simply sets you up with a passive S&P 500 index fund might not be worth a 1% fee, while an advisor who helps you manage taxes and cash flow, plan for retirement and save for your… read more…
- I Have $2 Million Invested With My Financial Advisor and Pay a 1% Fee. Am I Paying Too Much?
Paying a 1% annual fee to a financial advisor for managing a $2 million investment portfolio is pretty typical, but that doesn’t necessarily mean it’s the right amount for every investor. Even small-sounding financial advisor fees can seriously erode long-term returns when compounded over years or decades. A 1% annual fee on a $2 million… read more…
- How Much Does a CPA Cost for a Small Business?
If you’re a small business owner, you’ve probably already suffered through a few tax seasons. While taxes for individuals can be complex, filing business taxes is arguably even more challenging. Hiring a CPA, a certified public accountant, can help, but… read more…
- 5 Strategies to Lower Financial Advisor Fees
Hiring a financial advisor can be a smart move – but it doesn’t always come cheap. Fees may cut into your budget and might even disrupt how you plan to save money down the line. We’ll discuss strategies that can… read more…
- Are Financial Advisor Fees Negotiable?
When choosing a financial advisor, cost is an important consideration. After all, you want to make sure that you’re getting value in exchange for the fees you’re paying. If you’d like to keep costs as low as possible, you may… read more…
- What Are Brokerage Fees?
So you’re starting your investment journey and are researching brokerage accounts. It should be no surprise that brokers charge fees for their services. Let’s break down different types of brokerage fees and how they impact your investing. A financial advisor… read more…
- Flat-Fee vs. AUM-Based Financial Advisors
Working with a professional financial advisor can make or break your long-term financial goals, but how are they paid and how do you pick one? Most financial advisors are paid through a flat fee or by being paid a percentage… read more…
- Investors Are Woefully Ignorant on Financial Advisor Fees: Are You Different?
Investors don’t understand the fees they pay for investment products and advice especially well, according to a recent State Street Global Advisors survey. State Street’s Low-Cost Investing Survey found a general lack of understanding when it comes to the management… read more…
- How Much Does a Divorce Lawyer Cost?
Professional services are hard to price. Whether you’re looking for a doctor, a contractor or, yes, a lawyer, it’s difficult for customers to get a clear sense of their budget. In part, this is because professional rates range widely. One… read more…
- How Much Does a Divorce Cost?
Divorces are one of life’s most challenging circumstances. They can be acrimonious, emotionally draining and expensive. Legal fees for a divorce aren’t cheap, and deciding not to hire a lawyer can cost even more, given the likelihood of mishandling self-representation… read more…
- A Guide to Financial Advisor Compensation Models
Working with a financial advisor can help you gain a better understanding of your situation and develop a plan for making the most of your money. Financial advisor services are not free, however, and it’s important to consider what fees… read more…
- Non-Profit Financial Advisor Services
You might wonder why a nonprofit would need a financial advisor. After all, generating cash flow is not generally a central part of a nonprofit’s mission. But nonprofits have finances just like the rest of us. Their money must be… read more…
- Financial Planner Fees: What You’ll Pay
While many financial advisors focus on investments, some can also help you with holistic financial planning including planning for retirement, saving for a child’s college tuition, planning your estate and more. How much a financial planner charges will depend on… read more…
- Advice-Only Financial Advisor: Services and Fees
Financial advisors are people and services that help you create a plan for meeting your financial goals and manage it along the way. With the help of a financial advisor, you could reduce your debt, save more and invest in ways that might not have been possible if you did it on your own. However,… read more…