How much should you pay for F.Planning

Me too Clayton,

Did you do your degree at RMIT?
Loved CFP...
I'm in Sydney.

Most of us try to contribute our knowledge to this message board on giving basis to help other members.

Cheers,

Dan

hi,

no i did mine at Griffith uni (it was a new course back then) yr 2000, yeah CFP was ok, enjoyed the degree more

i enjoy FP, doing senior paraplanning work at the moment with another 2 advisers, worked for Westpac as a Planner, didnt like it, too pushy and too much sales oriented, so i gave up that went back to paraplanning as i enjoy the technical side of it, but i do have my Auth Rep in which i can give advise through the licensee.

5% is extremely high...anyway, commissions are going to be a thing of the past soon...I'm sure

Hi Alexandria,

As a risk specialist, doesn't your licensee get paid via commissions?
Commissions are paid everywhere, real estate agents, car dealerships, etc.

Realistically there is no "perfect" way to charge fees, it depends on what the client prefers, giving the client the options to choose is the best.

Unfortunately the commission vs fee debate is the same as the property vs shares debate and they both just keep on going around in circles.

Cheers,

Dan

Yes, our dealer group does get some % of the commission. And this is also disclosed in our SOA.

This forum is about fees on investments though, which is what I was referring to.

If they got rid of commissions on life risk, it would be catastrophic for the industry, Australia is already under-insured...insurance needs to be sold, people don't just go out and buy it - and by taking away commissions they'd be making it much less attractive; to advisers AND consumers.

Hi Marion

With regard to Asgard products, it is true that they are only available through a financial planner.

With regard to commissions, as a qualified financial planner, I would never charge an initial 5% commission for an allocated pension product. I would only ever charge a flat dollar fee (between $275 and $2,750) based on the complexity of the advice, the amount of research involved and the time taken to provide the advice.

I also agree with Dan's comments about seeing a tax adviser and seeing other financial planners.

All the best with your enquiries.

I totally agree with you Alexandria.

Unfortunately the legislated minimum is too low. Personally I think that automatic insurance should start with at least $250,000 and then it should scale down as age increases with the ability to opt-out.

No one ever complains about paying the premium when a claim is paid.

Cheers,

Dan