The FisCalc
// ADVICE COST ANALYSIS

Financial Advice Cost
Calculator

See exactly how much financial advice fees are dragging on your returns — and at what asset level ongoing advice actually pays for itself.

// CONFIGURE
Enter your situation to calculate the real cost of advice.
Your Asset Base
Advice Fees
Ongoing fee type
YEAR 1 TOTAL ADVICE COST
$7,700
1.93% of your asset base
// PAYBACK_SCENARIO
If advice improves your annual return by this much, when does it break even?
Year 8
With a +1% annual return premium, advice pays for itself by year 8.
// ADVICE FEES: High relative to your asset base
Your ongoing advice fee is 1.10% of assets ($4,400/yr). Industry benchmark is under 0.5% for advice to be cost-effective. To justify this fee structure, your asset base should be at least $880,000.
Fee as % of return14.67% of annual return eaten
Annual Advice Fee
$4,400
1.10% of assets
Total Cost (20yr)
$91,300
incl. initial SOA
Balance Gap (Yr 20)
$204,559
cost of advice over time
// PORTFOLIO_WITH_VS_WITHOUT_ADVICE_FEES
Compounding impact of advice fees on your portfolio balance.
No advice fee (self-directed)
With advice fees
Yr 1
-$7,948
Yr 3
-$18,314
Yr 5
-$30,294
Yr 7
-$44,139
Yr 9
-$60,138
Yr 11
-$78,627
Yr 13
-$99,994
Yr 15
-$124,685
Yr 17
-$153,219
Yr 19
-$186,194
Yr 20
-$204,559
// WHEN_TO_ENGAGE_AN_ADVISER
▸ SOA Only
One-off Statement of Advice. Pay for a plan, implement it yourself.
$2,000–$5,000 once
▸ Periodic Review
Annual review appointment. Ongoing but not continuous.
$2,000–$4,000/yr
Full Service
Comprehensive ongoing advice, proactive management.
$5,000–$15,000/yr
▸ indicates the most appropriate advice model for your current $400,000 asset base.
Fee ranges are indicative of the Australian market as at 2024–25. Individual adviser fees vary significantly. Return premiums from advice are modelled only — actual outcomes depend on advice quality, your situation, and implementation. Not financial advice.

How much does financial advice cost in Australia?

Australian financial advice fees vary widely. A one-off Statement of Advice typically costs $2,500–$5,500 for a comprehensive plan. Ongoing advice retainers range from $3,000–$15,000 per year depending on complexity. Some advisers charge a percentage of assets under advice — typically 0.5–1.0% per year.

The real cost is compounding drag

The danger of ongoing advice fees is not the dollar amount in year one — it is the compounding drag over 10, 20, and 30 years. A $5,500/year fee on a $500,000 portfolio represents a 1.1% annual drag. Over 30 years at 7.5% growth, that equates to a portfolio roughly 28% smaller than if you had invested without the fee. This is not an argument against advice — it is an argument for making sure the advice is genuinely worth what you pay.

When does financial advice actually pay for itself?

Research from Vanguard's Adviser Alpha and Morningstar's Gamma studies suggests quality advice can add 1.5–3% per year in returns through behavioural coaching, tax optimisation, asset allocation, and estate planning. If your adviser delivers even 1% above what you would have achieved alone, the fee breaks even within a few years on a meaningful asset base.

What is a reasonable financial advice fee in Australia?
ASIC considers ongoing advice fees above 1% of assets as high for straightforward situations. For a $500,000 portfolio, a reasonable fee range is $3,000–$6,000/year (0.6–1.2%). For a $1,000,000+ portfolio, fees of $8,000–$15,000 (0.8–1.5%) are common for full-service advice. Always request a fee disclosure statement.
What is a Statement of Advice (SOA)?
An SOA is the formal document your financial adviser must provide before implementing advice. It outlines the strategy, recommendations, costs, and the basis on which advice was given. Under the Corporations Act, all personal advice must be accompanied by an SOA. Costs typically range from $2,000–$5,500.
How do I find a fee-for-service financial adviser?
Fee-for-service advisers charge only fees — no commissions (which were banned for most products under the Future of Financial Advice reforms). Look for advisers on the ASIC Financial Advisers Register and ask specifically if they are fee-only. A good question to ask: "Do you receive any remuneration beyond what I pay you directly?"

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