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Service

Description

Typical Timeframe

Compensation

Examples

1

Comprehensive Financial Plan

Although not required, this is normally the first step in the financial planning process. See Steps To Success. This service is oftentimes related to a major life transition such as: starting a new job, retirement, getting married, having first child, divorce, death of spouse or receiving an inheritance.

Three or four meetings. Usually takes a couple months to complete.

Fixed bid. Client pays a down payment up front and balance at presentation meeting.

Planning for retirement, funding college education, rollover of retirement funds, life insurance needs review, portfolio review, estate-plan review, evaluation of employer-sponsored retirement plan, etc.

2

Asset Management

Client moves all or a portion of investable assets to SFP's preferred custodian(s) in order for SFP to manage assets on an ongoing basis.

Ongoing. Includes at least an annual review meeting.

Varies. Can be flat dollar fee per month, flat % per month or tiered % per month. Based upon assets managed and ongoing services required.

Rollover of and management of 401k or 403b, management of IRA or Roth IRA, management of college savings (529 plan), management of brokerage account, etc.

3

Retainer Services

Client desires on-going financial planning and advice, but does not have assets to manage or prefers to not move assets to SFP's preferred custodian(s).

Ongoing.

Normally a flat dollar fee per month. Based upon client's assets, income and ongoing services required.

Budgeting, advice on management of assets held outside of SFP's preferred custodians, funding retirement, business planning, etc.

4

Risk Management (Insurance)

Client has risk management needs such as: life insurance, disability insurance or long-term care insurance.

Varies greatly. May take one or several meetings.

Compensation for all insurance products is based upon commission.

5

Employer- Sponsored Retirement Plan

Client is a small business that requires an employer-sponsored retirement plan. The business may be sole proprietorship with one employee, a small corporation with many employees, or anywhere in between.

Normally takes a couple of meetings with owner and at least one meeting with employees (if any) up front. Annual review and ongoing support.

Varies. Can be flat dollar fee per month, flat % per month or tiered % per month. Based upon assets in the plan and ongoing services required.

SIMPLE, SEP, 403b, 401k.

6

Ad Hoc Financial Advice

Client requires advice on one topic and does not need or cannot afford a Comprehensive Financial Plan.

Varies greatly, depending upon the complexity of issues.

Fixed bid. Client pays a down payment up front and the balance at the last meeting.

Cash flow analysis, budgeting, debt reduction, sale of assets, etc.