Cetera has announced that 401(k) participant advice is now available to clients of Cetera’s advisers through its new fee-for-service payment model.
With the launch of this new capability, billing for comprehensive financial planning services can now be done more holistically, bundling 401(k) participant advice along with other financial advice and consulting services in a single payment.
“Clients seek help with every aspect of their financial lives—everything from whether they should max out their annual 401(k) contribution for the year or use those funds for a down payment on a house instead. Now with advice to an individual’s 401(k) account as part of fee-for-service, advisers can navigate those conversations, and bill for that service,” says Jon Anderson, Cetera’s head of retirement plan solutions.
According to Cetera, fee-for-service payment models that provide the option for a one-time or subscription-based payment allow advisers to broaden access to an “advice-centric experience” to more investors. It helps advisers grow their client base by appealing to Generations X and Y, Cetera says, by lowering the cost of entry and simplifying the transactional experience.Earlier this year, Cetera announced the launch of a program for advisers who wish to move towards a fee-based model, which provides technology and business consulting services. Cetera leverages the AdvicePay technology platform for electronic payment processing and subscriptions.