AGE Retention Money
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The 6% of TT seems to be a pretty standard offering at LPL. I’ve not heard of LPL giving rent reimbursement. Is there a production threshold you must cross in order to get this?
I’ve not heard of LPL giving rent reimbursement. Is there a production threshold you must cross in order to get this?
Not to my knowledge. They may raise or lower the $ reimbursement based on production. My T12 is @$300k and was offered $1500/mo rent reimbursement for 6 months, plus reimbursement for all ACAT fees I cover in accounts over $50k. This could actually be the bigger incentive. Figure 200 accounts at $75 ea. These extras are ONLY if I complete transition before the end of the year. I was never a fence-sitter, so the timing is no problem for me.
Wachovia Independent is always an option as they have 4 platforms available, oh and you can keep the retention money and go indy there…60% back to firm is not close to accurate when you calculate the bonus and most importantly the profit sharing. Last year at AG 8% was given under Social Security limit for earnings plus 11.5% given on all dollars earned over Social Security limit (untouchable in the industry, the question is will it continue at WB?) San Diego is nice for a few days but I prefer a week domestic or abroad…
28,
You're right, it isn't 60% total to AGE. It was exactly 51% for me in fiscal 2007. Maybe you get 51% value from the firm, but don't get anywhere close to that, in fact, for me, it's a joke. Oh, and that 8% and 11% WILL NOT stay the same at WB. WB will match 6% 401(k) contribution, that's it, so that 51% to firm will only go up. Good luck with that!basically the total compensation will stay around 51-52%, it will just come in a different form. The 401k reduction will be offset by the increased payout (applicable if over $360k gross, that is the 40% payout B/E). Profit Formula could boast that to over 60%, net after expenses and I get to keep the retention. Plenty of options @ WS or elsewhere, if necessary.
I looked at my payout at AGE and after normal payout (40%), bonus, 401K, and the expenses I had to run my business (assitant bonus, marketing expenses, education, hardware & software, cell phone, client events, etc...), my payout was actually more like 32% and without the benefit of tax deductions for most of the expenses (especially assitant salary/bonus). Not only that but the support was not all that great. I shared my assitant w/ 3 other FA's and the quality of support and attitude I would get from the Home Office was average at best. Throw in the crappy technology we had (Broker Vision) and it's not hard to see that financially going independent. I see a lot of people say the get a 50% payout at wirehouses but they just never talk about their out of pocket expenses and the fact that most advisors don't get a high caliber dedicated assistant for free unless you're doing $1MM+ and even at that level you're compensating them. Factor that into the picture and I think the payouts are well below 40% even with all the bennies!
In your case it makes sense to go indy…mine is vastly different and it is closer to 50-51%
Getting back to the original question, which is what to do with the retention check. If I had a mortgage, I would pay it off. Most of the rest will go into American Funds. A little in to a few international ETFs.
By the way, three reliable sources tell me that Wachovia will allow us to move to their independent channel and keep the retention check. That beats the offers from Commonwealth, LPL and RJFS. Plus its much easier. Only downside is we have to wait till the spring of 2009. I agree with all that has been said here about the benefits of independence, I just think it make sense to try it the easy way first before moving my book to another firm.
YHWY,
It's unfortunate that you didn't read the very first sentence of my post...and skipped right into payout which sits at the very top of your list.[quote=illinoisrep]Getting back to the original question, which is what to do with the retention check. If I had a mortgage, I would pay it off. Most of the rest will go into American Funds. A little in to a few international ETFs.
By the way, three reliable sources tell me that Wachovia will allow us to move to their independent channel and keep the retention check. That beats the offers from Commonwealth, LPL and RJFS. Plus its much easier. Only downside is we have to wait till the spring of 2009. I agree with all that has been said here about the benefits of independence, I just think it make sense to try it the easy way first before moving my book to another firm.
[/quote]
Yeah why not take a nice check and still go indy in teh future if that is what you want to do…sounds like a plan to me! Plus it will be seemless to clients why do all that paperwork and acats and lose clients in the process. To each his own
28,
It’s unfortunate that you’re a dipshit. Yes, WB will offer the Finet indy channel, but not for over a year. Additionally, take a peak at Finet’s payout and compare it to, say, LPL. It’s not even the same sport, much less a different ballgame. By all means, stay with the firm that flat-out lied to you and will continue to do so, slamming AGE into WB as it existed pre-merger. Myself, I don’t trust them and would never work for someone I don’t trust. I think I’ll probably always trust myself.
Good luck in the “new, combined” firm! Maybe, if you’re lucky, that “big retention check” will cover the money they take from you for the first 10 years or so.
Climb off that high horse of yours YHWY! Just b/c you obviously have "some issues" doesn't mean that a choice different then yours is wrong. Believe it or not, it is still too early to judge. If you have already made your decision, then fine, move on. At no pt did 28 refer to your choice or intelect w/ a DS comment. For some of us, we have chosen to wait and see, for others, they have chosen to go. Fine!, Respect it. If you feel that strongly the best thing you can do for both yourself and your clients is leave and let the chips fall where they may. Good luck DB.28,
It’s unfortunate that you’re a dipshit. Yes, WB will offer the Finet indy channel, but not for over a year. Additionally, take a peak at Finet’s payout and compare it to, say, LPL. It’s not even the same sport, much less a different ballgame. By all means, stay with the firm that flat-out lied to you and will continue to do so, slamming AGE into WB as it existed pre-merger. Myself, I don’t trust them and would never work for someone I don’t trust. I think I’ll probably always trust myself.
Good luck in the “new, combined” firm! Maybe, if you’re lucky, that “big retention check” will cover the money they take from you for the first 10 years or so.
YHWy,
You mentioned that Finet is not in the same ballpark as LPL, I have to friends that like me produce north of $600K and have been in Finet for 2 years and very pleased with the payout and program. What are the glaring differences between the two programs.. The lower case y in your named seemed appropriate after your last post. Where did you hear a one year wait rule on going indy at Wachovia or is that speculation.I think YHWy is refering to the Feb 2009 conversion. That is what I have heard is the time frame that will open up all channels to AGE reps. Like you, I have several friends at WS in both FiNet and Profit Formula and they have nothing but high marks for both.
[quote=advisor28]YHWy,
You mentioned that Finet is not in the same ballpark as LPL, I have to friends that like me produce north of $600K and have been in Finet for 2 years and very pleased with the payout and program. What are the glaring differences between the two programs.. The lower case y in your named seemed appropriate after your last post. Where did you hear a one year wait rule on going indy at Wachovia or is that speculation. [/quote]If you don't know anything better, of course you'll think FiNet is great.....
[quote=nestegg]
[quote=illinoisrep]Getting back to the original question, which is what to do with the retention check. If I had a mortgage, I would pay it off. Most of the rest will go into American Funds. A little in to a few international ETFs.
By the way, three reliable sources tell me that Wachovia will allow us to move to their independent channel and keep the retention check. That beats the offers from Commonwealth, LPL and RJFS. Plus its much easier. Only downside is we have to wait till the spring of 2009. I agree with all that has been said here about the benefits of independence, I just think it make sense to try it the easy way first before moving my book to another firm.
[/quote]
Yeah why not take a nice check and still go indy in teh future if that is what you want to do…sounds like a plan to me! Plus it will be seemless to clients why do all that paperwork and acats and lose clients in the process. To each his own
[/quote]
The longer you stay the harder it will be to leave and go indy.
And it is widely accepted in the indy world that FiNet is not really indy.
Give it time, you’ll learn one way or another.
I have friends at both LPL and Finet and all are generally happy with their b/d. I have had several sources tell me that we can keep the retention money when we convert to Finet in the spring of 2009. That and the ease of moving the book gives Finet the edge. We can always move later if it does not work out.
[quote=illinoisrep]I have friends at both LPL and Finet and all are generally happy with their b/d. I have had several sources tell me that we can keep the retention money when we convert to Finet in the spring of 2009. That and the ease of moving the book gives Finet the edge. We can always move later if it does not work out. [/quote]
Im with ya Ill!