Financial Advisor Fees
How Financial Advisors can be remunerated
There are a number of ways that Financial Advisers can be paid fees, this article will give you a quick breakdown of the options. Its noteworthy to mention that advice fees can be charged from superannuation for advice that is related to super. This can help from a cashflow point of view and allow you to access Great Financial Advice no matter what stage of life your at.
Fee For Service
Percentage of assets – This is a more old school method of charging fees where a percentage of the funds under advice initially and ongoing is agreed. An example is if you had $100,000 invested and the advice fee was 1% the dollar amount equates to $1,000.
Commission received in relation to insurances –
In most part advisors are remunerated by commissions from the insurance companies for providing the advice. Its also allows the advisor to act as a claims assistant when it comes time to claim so you don’t have to deal with large institutions.
Other types of Professional Fees
Self Managed Super Fund Administration Fees
Fees to set up a Self Managed Super Fund can range from a few hundred dollars into the thousands depending on which professional account/solicitor you use to set up this entity.