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Financial Planning continues its annual analysis of base pay for advisors by looking at payout rates for those with $400,000 in production in 2022.
This is the first of four parts of our annual survey. The other pay comparisons can be found at the links below.
- Pay for the $600k producer
- Pay for the $1 million producer
- Pay for the $2 million producer
Data was collected by Arizent and analysis conducted by compensation consultant Andy Tasnady and his firm, Tasnady & Associates.
A note about this year’s analysis: A number of special policies are not included because they do not affect 100% of the advisor population evenly and therefore are more haphazard to compare. Individual results can vary dramatically based on the mix of business and policies at each firm. For example, pay can increase from special bonuses and fall from penalties such as discount sharing, small client limits and ticket charges.
Assumptions for basic pay (prior to special policies/contingent bonuses):
- 25% in individual stocks; 25% in individual bonds; 25% in mutual funds; 25% in fee-based (wrap accounts, managed accounts, etc.)
- Year-end basic bonuses are shown in deferred totals.
- Length of service is assumed to be 10 years.
- Assumes no impacts from bonuses based on growth, asset-based bonuses or other behavior-based awards.
- Excludes voluntary deferral matches, 401(k) matches or profit-sharing contributions, unless otherwise noted.
- Does not include: T&E expense allowance, discount sharing or ticket charge expense assumptions, small household or small ticket policy assumptions, or value of any options awards.