William (Bill) Green, CFP, FMA, FDS, CIM
Q: What is the difference between a Fee-Based Advisor and a Fee Only Advisor/Hourly Advisor?
A: A Fee-based advisor charges a percentage fee either based on the assets that they are managing or as a percentage of your Net Worth. These fees can add up to very large amounts very quickly and can cost you a ton of money over your lifetime. IE On a $1,000,000 account at a 1% fee you are paying $10,000 a year. An Hourly Planner works like your Lawyer or your Accountant and charges you based on the amount of time they spend working on your file.
Q: Why would I pay a fee for a Financial Plan or Financial Checkup. I get my Financial planning done for free by my Investment Advisor/Insurance Advisor/Bank?
A: People do not usually work for free, you may not see the fee you are being charged, but somehow you are likely paying the person that is doing the planning for you. Starting in 2017 Fees paid to investment advisors are going to be reported. However, this new reporting might not provide you with a true total cost. Please check with your Financial Planner to determine the total price you are paying. When dealing with anyone that is being paid a commission, a fee or a bonus based on the assets they manage, or the products they sell there is always a potential for a conflict of interest. That said there are many great commission/fee for service planners and sales people out there, but it never hurts to have a second opinion.
Q: How long does it take to write and present a Financial Plan?
A: That depends on how complex the plan is, and how much preparation work the client is willing to do. Bill provides each of his hourly clients with a detailed fact finder and a list of required documents. If the client provides all this information upfront, a plan can often be produced in 5-10 hours.
Q: Are Bill's hourly fees tax deductible?
A: Unfortunately, they are not. Only Investment counsel fees are deductible, and since Bill does not provide advice on individual investments, his fees are not deductible.
Q: I notice that Bill has another website (www.BillGreen.ca) ) and that he sells Insurance and is Insurance Licenced, if he is an Hourly Financial Planner why is this and will he try and sell me Insurance products?
A: Bill runs two separate business, his Hourly Financial Planning Business, and his Insurance Business. Before he starts working with a client, he provides them with a written disclosure statement and agrees not to sell any products to his Hourly Fee Only clients. Bill does a considerable amount of Estate Planning work and finds that Insurance is often a great solution; he does not charge an Hourly Fee to his Insurance Clients. Also, keeping his Insurance License gives him access to behind the scenes information and Insurance software, with this, he can provide unbiased hourly advice to his clients that are considering purchasing Insurance from another insurance advisor.
Q: I noticed that Bill's hourly rate is $150 to $250 an hour, what is the difference and what will my rate be?
A: The rate charged depends on the complexity of the planning required, and is disclosed in writing after the information is gathered and before the plan is started.
Q: I have noticed that other Fee Only Advisors charge in the range of $3,000 to $10,000 for a plan, why is Bill's rate based hourly and not a fixed price?
A: Charging hourly usually results in price savings to the client as Bill can create some plans in as little as 5 hours, resulting in a fee as low as $750.
Should you have other questions or concerns about the services that Bill provides and how he maybe able to help you, please do not hesitate to contact him.
Bill is a Certified Financial Planner (CFP), Financial Management Advisor(FMA), and a Financial Divorce Specialist (FDS). He holds his Chartered Investment Manager (CIM) designation, and he is a member of the Nazrudin project, an international advisory think-tank. Bill has over 25 years’ experience in the financial services industry and has worked for both small and large firms and with a large Canadian bank brokerage and their retail banking division.
Like his website Bill believes in the KISS principle and he provides simple easy to understand plain English solutions and advice.
For a more detailed description of the SERVICES OFFERED click here