Planning Focused Firms
As the “fee-only” business model continues to grow in popularity, the industry has seen a rise in Planning Focused Firms which generate revenue primarily from fixed financial planning fees as opposed to asset management fees. These models are popular among the wealthiest clients. Detail oriented planners who prefer working with clients instead of constantly searching for new ones may find the team culture a more enjoyable and rewarding career path.
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Advisors on planning teams will typically work either as a business development Advisor generating new client relationships, or as a planning or service Advisor, working to develop and present plans to clients.
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Planning focused Firms tend to offer the highest base salaries for Advisors, typically between $80,000 and $120,000, and sometimes more to experienced Lead Advisors.
Many Firms also offer bonuses to Advisors based on client satisfaction, Firm growth, and new assets and relationships brought to the Firm.
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The Firm will typically own the client relationships and this model tends to attract Advisors who do not desire to own their own books of business.
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Planning Firms tend to be Independent RIAs and operate under their own branding.
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High base salary
Client centric team-based work environment
Employee benefits, including stock options in the company.
Planning focused Firms often have some of the best company cultures and work-life balance.
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Not well suited for ambitious Advisors with entrepreneurial aspirations.
Lower income ceiling when compared to traditional sales cultures. However, Advisors will still have the opportunity to earn well into six figures as their careers Advance with a Firm.
Pay increases tend to come in smaller and less frequent increments, typical of employee-based roles in other industries.