It s important to understand the different ways in which financial advisors can get compensated and to feel comfortable with the method yours uses.
Advisors can charge a flat fee, hourly rate or a retainer.
Some advisors apply annual service charges or charge a percentage of the assets managed for you. Those professionals working for banks, credit unions and other organizations with financial planning services usually are paid a salary plus commission. Your financial situation and planning needs will determine which compensation structure suits you best.