How do you come up with the fees? I know what I would like to charge to meet my business plan goals. But that may not be the price the customer may be willing to pay. Based on my Predictable Minimum Annual Recurring Revenue calculation, I need to charge my clients about $20,000. Will clients be willing to pay that amount for the role of an orchestra conductor?

Article ID: 307

Last updated: 20 Nov, 2019

The short answer to your question is yes. There are many people who will happily pay $20,000 / year to have a professional help them get their entire financial house in perfect order and keep it that way forever. There are a huge number of people who pay a lot more than 20k / year for a lot less.

Your next step is to complete your own personal financial plan so you know how much money you need to fund your present personal lifestyle and how much you must save for your future lifestyle. Then you gross that up for taxes. Gross it up again for business expenses and you have the number that represents what your business revenue goal.

Now you can create an Ideal Client Profile that is consistent with your personal and professional goals and implement your plan to build a community of Ideal Clients.

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I want to create a concise answer to the question of what do we charge. You mention two things and I can't reconcile them. Either "set a Predictable Minimum Annual Recurring Revenue and honor it for all clients" or "use an annual fee of ____ % of their net worth or assets". These seem very different. I'm fine with charging an initial one-time separate $2500 fee for creating the plan. But on going do I charge a Predictable Minimum Annual Recurring Revenue or % of assets/net worth for the 10 deliverables/3 meeting annual on-going process.

Some of my best clients are those who have retired and are using their pension lump sums to fund their retirement income. The markets since 2007 have eroded over half of their pension asset and now their monthly incomes are in real jeopardy of running out. Six years after retiring they may have to go back to work. How can I re-set the stage with them when their goal was to have enough money not to worry and now clearly they do not?? And how do I ask them what their goals are considering that their most fundamental goals are no longer working out.

What would be the ideal software suite for the financial planning Subject Matter Expert to use, or as a tool to tie it all together as the Trusted Advisor? We're looking at either MoneyGuidePro or eMoney Advisor 360 Pro.

What is the process or exact instructions on submitting a recording to Bill for his review and give feedback?

I am in self referral land, and I've had a few occasions when I've been treated like a salesperson (I've already got an investment guy, you're a money guy, etc.). What is your compelling response to that?

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