Facet Wealth Financial Planning review
Pay a flat fee based on the complexity of your planning needs rather than the investments in your portfolio.
Facet Wealth Financial Planning’s dedicated CFPs hope to make investing more accessible by providing personalized financial planning and investment strategies regardless of your net worth. However, there are no branch locations, so you can’t meet your adviser in person. And the only assets Facet Wealth manages are ETFs.
- Consider Facet Wealth if you’re looking for personalized advice and 1:1 meetings with a certified financial planner.
- Look elsewhere if you prefer to manage your investments independently.
What we think of Facet Wealth
Facet Wealth is a straightforward way to get help from a Certified Financial Planner (CFP), a fee-only planner who isn’t paid to recommend specific products. You get a dedicated CFP — who are all fiduciaries obligated to act in your best interest — and fees depend solely on the complexity of your finances and planning needs.
Customers also have the option of receiving guidance on assets they wish to hold on their own — for instance, an existing individual retirement account (IRA) you wish to keep with your broker — or transferring assets to Facet Wealth. But Facet Wealth only works with exchange-traded funds (ETFs). This means transferring your assets could result in the liquidation of your positions, with a new portfolio built entirely of ETFs.
How does Facet Wealth approach investing?
Facet Wealth uses a personalized approach to help customers work toward their financial goals. Its strategy can be broken down into five steps:
- Introduction. Visit the Facet Wealth website to schedule a 30-minute introductory call.
- Sign up. Provide your income information, assets, risk tolerance, financial goals and other details.
- Match. Facet Wealth will match you with a dedicated certified financial planner (CFP).
- Plan. Your CFP helps you develop a plan to reach your financial goals.
- Manage. Your adviser provides ongoing management of your investments and assets and offers advice when you need it.
What should I expect when meeting with my financial planner?
After your introductory call, Facet matches you with one of its CFPs. Before your first meeting, you’ll receive an introductory packet and login credentials to Facet’s online questionnaire. Your Facet CFP will use the information you provide to tailor your planning experience.
Meetings with your CFP can be held in the daytime or evening and are conducted by phone or videoconferencing — whichever you prefer. Facet suggests that during the first year, their clients tend to meet more frequently with their adviser, but that there’s no predetermined number of required meetings. You’re free to meet with your adviser as frequently or infrequently as you’d like.
What financial services does Facet Wealth offer?
Here’s a breakdown of Facet Wealth’s financial services:
- Dedicated CFP. A personal CFP can speak to you over the phone or via videoconference to help you meet various financial goals
- Wealth planning blueprint. Design your own personal financial plan complete with one-page plans for individual goals.
- Lifestyle and expense planning. Plan for the future of your family by factoring in potential expenses.
- Debt management. Tackle outstanding debt by creating a debt management plan.
- Portfolio management. Build a personalized investment portfolio designed to cater to both your short- and long-term financial goals.
- Investment management. Learn how to construct and diversify your investment portfolio to better manage your assets.
- Retirement planning. Outline your retirement goals alongside your CFP and create an action plan to utilize going forward.
- Tax planning. Minimize the impact of taxes while keeping your financial goals in sight.
- Estate planning. Take care of your loved ones after your death by drawing up an estate plan with the help of your CFP and personal attorney.
- Retirement income. Track your retirement income and create a distribution plan from your savings.
- Trust and legacy planning. Structure your finances to provide for future generations and preferred charities in your absence.
What investments does Facet Wealth offer?
Facet Wealth only offers management of ETFs, according to a Facet Wealth CFP that we spoke with. So regardless if you transfer assets from another account or construct an entirely new portfolio with Facet Wealth, expect a portfolio of only ETFs. They told us they choose from both domestic and international ETFs and will construct a diverse portfolio based on the client’s goals and risk tolerance. Investments are monitored daily, and Facet Wealth will perform any necessary rebalancing.
Assets you can transfer to Facet Wealth include IRAs and assets from taxable brokerage accounts. While you can’t transfer a 401(k) to Facet, they will still provide rebalancing recommendations and guidance on these accounts.
Facet Wealth Financial Planning fees
Facet Wealth charges flat fees for its services that range from $1,800 to $6,000 a year depending on the complexity of your financial plan, according to the company’s website and the Facet Wealth CFP we spoke with. The lower end of that price range would apply to a single person with straightforward planning needs, while the higher price would apply to someone with complex finances, such as a business owner or someone with numerous rental properties, the CFP told us. Most families can expect to pay around $2,400 a year.
But the company’s Form ADV, which was filed as recently as April 14, 2022, shows a price range of $1,800 to $8,000 a year. Because of this discrepancy, we recommend calling and speaking with a CFP regarding your specific needs to get the most accurate price.
Facet Wealth also offers a discount if you pay the fee up front for the year, which comes out to two months of free planning. So instead of $2,400, you could pay $2,000 by paying in full for the year. Note that this is nonrefundable. You also have the option of paying quarterly, but there’s no discount for this option.
Pros and cons
Here’s what you can expect when working with Facet Wealth.
- Dedicated advisers: You will work with one CFP or more depending on the number of services you need. CFPs are fiduciaries, which means they’re legally required to provide advice only in your best interests. They don’t receive commissions for recommending particular investment products.
- Flat fees: Facet Wealth charges flat fees based on the complexity of services provided. According to its official Form ADV, these negotiable fees can range from $1,800 to $8,000 per year.
- Account linking: Facet Wealth uses the encryption services of Finicity and Plaid to link your banking and investment accounts so you and your CFP can view these on one platform.
Despite its unique online platform and flat fees, Facet Wealth still has a few drawbacks to watch out for:
- Limited track record. This provider has only been around since 2016 and has less than $50 million under management.
- No branches. While you can get in touch with your CFP whenever you need assistance, there are no branches and you can’t meet your adviser in person.
- Fees can be high: Facet Wealth’s fees will rise as the scope of its services do. According to its website, annual fees can range from $1,800 to $6,000. But its Form ADV indicates it can climb to $8,000.
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Facet Wealth Financial Planning reviews and complaints
Though Facet Wealth has been around since 2016, there aren’t many customer reviews across the major review sites. As of April 2022, it has an unclaimed profile on Trustpilot with one 5-star review and its Better Business Bureau page has only four complaints. Most complaints report issues with getting a fee refund after closing their account.
The good news is that Facet Wealth has no Consumer Financial Protection Bureau complaints, and it’s registered with the Securities and Exchange Commission.
How do I get started?
Facet Wealth requires a phone call to apply for financial planning, but you can get started online:
- Visit the Facet Wealth website and choose Get Started.
- Select a date to schedule a phone call with an adviser.
- Get matched with a CFP who will complete a free financial review.
- Start the application process if you’re satisfied with the service, which your CFP will walk you through.
- Provide all requested information and submit your application.
Facet Wealth’s services are only available to US residents who are at least 18 years old. To open an account, you need to provide the following information:
- Name, date of birth and address
- Contact information such as email and phone number
- Social Security number
- Employment information
- State-issued identification
To create an accurate financial strategy, you may be asked for more details such as:
- Risk tolerance.
- Investment goals.
- Debt statements.
- Balance sheet of current assets.
Facet Wealth’s transparent, flat-fee schedule means there are no surprises when it comes time to pay your adviser. However, it’s only been in business since 2016. If you’re looking for a more established financial planner, compare other financial planning options to see what else is out there.
Frequently asked questions
Which Facet Wealth plans include life insurance?
Facet Wealth’s plans don’t include life insurance. However, the company also sells insurance, so it may be recommended as part of your financial plan.
What is a fiduciary?
A fiduciary is a person legally responsible for another person’s assets. In this case, your CFP has a fiduciary responsibility to make financial decisions that would benefit you.
How do I cancel my Facet Wealth policy?
Contact your CFP and ask to cancel your policy. They will then walk you through the steps. There are no cancellation fees when you cancel a policy.
How do I meet with my adviser?
Your dedicated CFP can be available by phone or video call.
What is a Certified Financial Planner (CFP)?
A Certified Financial Planner is a professional designation awarded by the Certified Financial Planner Board of Standards. Financial planners attain this designation by meeting the CFP Board’s criteria, which include formal education, work experience, professional ethics and successfully passing the CFP Board’s exams.