At Howard Wright Financial Planning, we have been helping individuals and families with their finances since the 1930s, offering expert advice across the UK. One of the most common questions we receive is, “How much does a financial adviser cost?”.
This is an important consideration for anyone looking to manage their wealth, plan for retirement, or invest wisely.
The cost of a financial adviser can vary depending on several factors, including the services required, the complexity of your financial situation, and the adviser’s fee structure.
Here’s an overview of the typical fee models you might encounter when working with a financial adviser.
Fee Structures
1. Fixed Fees
Many financial advisers charge a fixed fee for specific services, such as creating a financial plan or reviewing your investment portfolio. This fee is agreed upfront and doesn’t change, no matter how long the process takes. At Howard Wright, we aim to provide clear, upfront pricing, so you know exactly what to expect. Fixed fees can range from a few hundred to several thousand pounds, depending on the complexity and level of service required.
2. Hourly Rate
Some advisers offer an hourly rate for advice. This is ideal for clients who only need occasional advice or specific guidance on particular aspects of their finances. Hourly rates for financial advisers in the UK typically range from £150 to £400, depending on the adviser’s experience and qualifications.
3. Percentage of Assets Under Management (AUM)
A popular fee model is a percentage-based fee, where the adviser charges a percentage of the assets they manage on your behalf. For example, Howard Wright charge a fee of 1% of the value of the investments up to £1,500,000 with excess over £1,500,000 charged at 0.20%. This model is commonly used for ongoing investment management services and tends to work well for those with significant assets looking for continual support and guidance.
4. Retainer Fee
Some advisers, particularly those providing more comprehensive financial planning services, charge a retainer fee. This is a regular, often monthly or annual, payment that covers all advice and services provided throughout the period. Retainer fees can be particularly useful for clients who need ongoing advice across multiple financial areas, such as investments, tax planning, and retirement. Howard Wright offer Financial Planning only service which costs £1,500-£2,000 per annum (subject to VAT).
Value of Professional advice
While the cost of financial advice might seem like a significant outlay, it’s essential to view it as an investment in your financial future. A professional financial adviser, such as those at Howard Wright, can help you make informed decisions that could save you thousands of pounds in the long run. Whether you’re looking to optimise your tax situation, grow your wealth, or ensure you’re on track for retirement, tailored financial advice can provide peace of mind and long-term financial security.
Factors Affecting the Cost of Advice
1. Complexity of Your Financial Situation
More complex financial situations, such as those involving multiple income streams, investments, or inheritance tax planning, will generally require more detailed advice, which can increase the cost.
2. Level of Service
Some clients may only need a one-off consultation, while others may require ongoing management of their investments or more detailed retirement planning. The more extensive the service, the higher the cost is likely to be.
3. Experience and Qualifications of the Adviser
More experienced advisers or those with specialist qualifications may charge higher fees. At Howard Wright, our advisers bring decades of experience to the table, ensuring you receive expert guidance.
Is Financial Advice Worth the Cost?
In many cases, yes. The benefits of professional financial advice often outweigh the costs. A good adviser can help you avoid costly mistakes, take advantage of tax breaks, and make sound investment decisions, that can significantly improve your financial future. At Howard Wright, we pride ourselves on delivering value-driven services tailored to each client’s unique circumstances and goals.
Get in Touch with Our Team Today
Financial advice costs can vary, but at Howard Wright Financial Planning, we aim to provide transparent pricing that reflects the quality and value of our services.
Whether you need one-off advice or ongoing reviews, investing in professional financial advice can help you make confident, informed decisions about your future.
Contact our team of Chartered Advisers today, to learn more about how we can support your financial journey and what our services would cost to help you, your family and business. Call us on 0345 688 4939 or email us at [email protected] or complete our 10 second enquiry form here.
We look forward to hearing from you and seeing how our Chartered Advisers can help.
Disclaimer: This article contains information from sources believed to be reliable but no guarantee, warranty, or representation, express or implied, is given as to its accuracy or completeness. Howard Wright Ltd does not undertake any obligation to update or revise any future statements. Past performance is not a reliable indicator of future results. Investments can go down as well as up and actual results could differ materially from those anticipated. This article is for information purposes only and has no regard to the specific investment objectives, financial situation or particular needs of any person as such, the information contained in this article is not intended to constitute, and should not be construed as, investment or financial advice. Appropriate personalised advice should be taken before entering into any transactions. No responsibility can be accepted for any loss arising from action taken or refrained from based on this publication. Howard Wright Ltd is Authorised and regulated by the Financial Conduct Authority.