Fee-Only vs. Fee-Based Financial Advisors

Fee-only advisors are paid only by the fees their clients pay them, such as planning fees, asset-management fees, or subscription fees. They don't earn commissions on financial products. This structure is often viewed as having fewer potential conflicts of interest.

Fee-based advisors are paid by a combination of client fees and commissions from financial products, such as insurance, when those products are part of the plan. Fee-based advisors disclose any potential conflicts of interest and explain how they are compensated.

The most important factors are transparency and fiduciary responsibility. A fiduciary must act in your best interest. When evaluating any advisor, it helps to ask three questions: How are you paid? Do you act as a fiduciary? What is included in your services?

Money Planning is fee-based, not fee-only. Most of our compensation comes from monthly subscription planning and optional investment management. We may earn a commission when insurance is the right tool for your plan, and we disclose how we are paid in every case, so you always know.