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Are you looking for a personal financial planner but cringe when you hear the fees? If visiting with your advisor online rather than in-person but having access to a dedicated CFP sounds like a good compromise, check out Facet Wealth.
Facet Wealth is the perfect compromise for certain investors. Check out our review – what we like and don’t like and, most importantly, who should use Facet Wealth.
What Is Facet Wealth?
Facet Wealth is an online (virtual) financial advisor. Think of it as a cross between a robo-advisor and a traditional advisor.
You get the best of both worlds – more personalized help than a robo-advisor would offer, yet lower costs than a traditional financial advisor charges.
You get the same level of help as you would from a personal financial advisor you see in person, including support for questions in between your scheduled check-ins.
You work one-on-one with a financial professional who gets to know your needs, wants, and goals, helping you to create the perfect financial plan.
How Does Facet Wealth Work?
The process is simple (and starts for free). First, you undergo a 30-minute introductory call. During this call, you talk about your current financial status, financial goals, income, and lifestyle. This call gives Facet Wealth a chance to determine the right plan.
Once you’re matched with a planner and sign up, you’ll have a one-hour consultation. The CFP will go over your financials and come up with a plan.
The plan determines how they’ll handle your finances, what you’ll do with your money, and how much the Wealth Facet plan will cost you (the more complex, the more it costs).
What Financial Planning Services Does Facet Wealth Offer?
Facet Wealth offers a large number of financial planning services, including:
Retirement planning and retirement income
Facet Wealth helps you put together a plan to save for retirement, given your timeline and goals. You’ll set up a plan to help you achieve those goals starting today.
Your CFP will also help you determine where to withdraw money from during retirement, considering your retirement plans and Social Security to ensure you have enough money to last you through your lifetime.
Life/goal planning
Your planner will help you determine what steps you must take to reach your life goals, such as buying a house, retiring early, taking a dream vacation, etc.
Education planning
If you have children, Facet Wealth will help you plan to save for your child’s college education in the most profitable and tax-friendly manner.
Insurance planning
Insurance should be an important part of your financial plan. Your CFP will analyze the insurance plans you have now and recommend plans that will better suit your financial situation.
Asset management
Investing should be a part of your financial plan, and Facet Wealth will help you set up the plan and manage it.
Your CFP will help you adjust your plan as needed when life changes.
Tax planning
Tax planning is important if you want a solid financial future. Your CFP will help you minimize your tax liabilities and understand tax strategies.
Legacy and estate planning
No one likes to think about their death, but planning now is important for your loved ones.
Your CFP will help you determine the right strategies to minimize the costs for you and your beneficiaries, including tax minimization.
Facet Wealth Features and Benefits
Affordable, Fixed Fees
Most financial planners charge a percentage of assets under management which can get costly. Facet Wealth charges a flat fee no matter how much money you have in assets.
Full-Service Financial Planning
Robo-advisors only manage your portfolio, they don’t provide financial guidance, and in-person advisors offer full-service planning but at much higher costs.
Facet offers the best of both worlds at prices most people can afford. You can ask questions about any aspect of your finances and expect full guidance on the situation.
Certified Professionals
When you pay for help with your finances, you want a dedicated professional with plenty of training, and that’s exactly what you get with Facet Wealth.
The CFPs undergo an incredible amount of education and testing, and they must undergo continuing education throughout their career.
All CFPs at Facet Wealth are fiduciaries, which means they must operate with your best interest in mind and not their commission.
Tailored and Customized Portfolios
Your portfolio won’t be the same as any other Facet Wealth client’s portfolio. CFPs create each portfolio based on a client’s risk tolerance, income, and financial goals.
The portfolios consist of low-cost ETFs. They focus on high levels of diversification and low fees to maximize your portfolios.
Compatible with Multiple Brokerages
Facet Wealth works directly with three major brokerages, including Charles Schwab, Fidelity, and TD Ameritrade.
They directly manage accounts at these brokerages, which means you don’t have to worry about transferring your assets to another broker, incurring unnecessary fees, and changing up what you’re used to using.
What Are Facet Wealth Fees?
The Facet Wealth fees vary based on the complexity of your finances and plan. The fees range from $1,200/year – $6,000/year ($100/month – $500/month).
Facet Wealth Investment Strategy
Like most robo-advisors, Facet Wealth has four main portfolio options:
- Conservative
- Moderate
- Moderately Aggressive
- Aggressive
They trade mostly mutual funds and ETFs, minimizing your costs, but they do throw in the occasional stock or bond investment. Because each portfolio is customized, every investor has a different string of investments.
If you have an account at Schwab, TD Ameritrade, or Fidelity, Facet Wealth will manage your account directly. Direct management means periodic reviews and updates as needed.
How to Sign Up with Facet Wealth
Signing up with Facet Wealth is simple with these steps:
#1. Sign up for an introductory phone call with a Facet Wealth CFP
In your introductory call, you’ll provide your personal financial information so the planner can create a plan to help you reach your financial goals
#2. Receive your welcome package
Review your welcome packet, so you’re familiar with Facet Wealth’s financial planning services and its role as a fiduciary.
#3. View your dashboard
Once you complete the questionnaire and sign up, Facet Wealth creates a dashboard that highlights your financial life, including your investments, real assets, liabilities, and scores your financial wellness.
#4. Work with your dedicated CFP
Your final step is to create a relationship with your CFP so you can reach your financial goals. You can contact your CFP with questions at any time or just meet (online) at your designated times.
Facet Wealth Pros and Cons
Pros:
- Advisors are fiduciaries not working on commission, so you get honest advice
- You work with a human advisor, not a computer like robo-advisors offer
- The initial call is free, so you can decide if it’s a good fit
- You can cancel at any time without paying a penalty
- Offers direct investment management at top brokers
- Creates customized portfolios
Cons:
- High fees if you don’t have many assets yet
- You can only visit with your planner online
- Doesn’t offer just investment management, you must have financial advising too
Who Should Use Facet Wealth?
If you are well-established, have a large number of assets, and want financial advice without the high fees, Facet Wealth is a good option for you.
The advisors work as fiduciaries, and you pay a flat fee versus a percentage of your assets under management.
On the other hand, if you’re a beginner or have only a small amount of assets, the fees may be too high.
Also, if you like to be hands-on with your investments and finances, you may not need the services Facet Wealth offers.
How Does Facet Wealth Compare to Other Financial Advisors?
#1. Facet Wealth vs. Personal Capital
Personal Capital is a robo-advisor with a personal financial advisor option too. They charge a percentage of your assets under management (0.89%), which can be high if you have a large number of assets.
They require a minimum balance of $100,000, and you have access to a team of advisors, not a dedicated advisor like Facet Wealth offers.
#2. Facet Wealth vs. Betterment Premium
Betterment Premium also has a $100,000 minimum requirement. This robo-advisor with a premium offers unlimited access to CFPs over the phone and charges 0.40% of your assets under management annually.
Betterment automatically rebalances your portfolio based on your chosen goals.
#3. Zoe Financial vs. Facet Wealth
Zoe Financial is a middleman, helping investors find financial advisors based on their needs. Zoe can set you up with a CFP, CPA, or CFA based on your needs.
There are no minimum assets required or fees directly from Zoe, but you’ll pay fees according to the structure set by the advisor you’re matched with and decide to use.
#4. Vanguard Personal Advisor Services vs. Facet Wealth
Investors need just $50,000 to use Vanguard Personal Advisor Services, a cross between a human and a robo-advisor.
They charge 0.30% of assets under management and offer both virtual services and human services (over the phone).
Frequently Asked Questions
Is Facet Wealth a Good Company?
Facet Wealth has an A+ rating with the Better Business Bureau and has been in business since 2016. They’ve helped thousands of investors handle their finances and reach their financial goals.
They work as fiduciaries, so you don’t have to worry about feeling pressured into investments you don’t want or can’t afford.
Is Facet Wealth Secure?
Facet Wealth takes security seriously, ensuring all data is encrypted. They also use top-notch security to link to your investment account at some of the top brokerages.
Is Facet Wealth Worth It?
If you have a large number of assets invested and prefer the human touch, Facet Wealth can be worth it. If you’re just starting out or don’t have a lot of money invested yet, you may be better off with a robo-advisor that offers access to a team of CFPs, since you’ll pay fewer fees.
Bottom Line: Facet Wealth Review
If you have complex financial issues or like to work with a human advisor but can’t fathom the high cost of an in-person advisor, Facet Wealth offers the perfect compromise.
Its flat fees make it easy to budget, and the unlimited access to your dedicated CFP provides you with the attention and awareness you need to meet your financial goals.
Methodology
SimpleMoneyLyfe employs a rigorous rating methodology for financial advisors. During this review, we analyze the advisors service offerings, fees, reputation, industry credentials, portfolio strategies, security, and transparency. Our goal is give you valuable information that helps you make a simple financial decision. We gather data through the use of third-party sites, expert interviews, and publicly-available data. All reviews adhere to our editorial guidelines, are written by experts, and are unbiased.
