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Hi fellow fishies!
Can someone please explain what is “SUPPLEMENTARY allowance” in my payslip??? It is the highest in my entire payslip, more than basic salary. Basic is lets say ₹7 lac annually and supplementary bonus is ₹7 lac 40 thousand.
Can someone please explain why this exists in my paylslip, is it good or bad from tax perspective and shall I ask my HR to decrease it???
Please help asap.
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I left EJ and I couldn’t imagine giving up the freedom and autonomy for a bank; I’d only consider indy - which is the route I chose. No, no, no. Even with a slow build you’ll be better off staying put. Anyone that goes W2 to W2 is crazy in my mind - even with the 2x-3x payout Wells is offering. Stay put or go 1099 but expect challenges. It really comes down to handcuffs or freedom - if you choose handcuffs your next question has to be how long - which has a direct correlation with the payout on the front end.
FA2 every b/d is different, every FAs book is different and math will help you answer your question. For me, I knew I would be comfortable if I could bring $25M in fee business because my expenses are very reasonable. Average EJ advisor pulls 50% but has a lot to do with tenure and whether the book was inherited or built.
If you change you should be moving in the direction of the final destination you want to be at. I was at Ed jones for 13 years, was a partner and regional leader. I left edj to become more independent evaluate it was where I wanted to end up. 32 years later I have a large independent firm. Your move here is a lateral move. If you are going to be captive there is no better firm than EDJ.
I was also approached by Chase Bank with similar ideas. While the consistent leads sounds nice, it means you work bankers hours and lose a lot of your autonomy. You would be working weekends, 8-6 everyday, and starting with 2 or 3 weeks paid vacation.
For me, the immediate increase in business wasn't worth giving up autonomy and running my business how I like
The grass is no greener on the other side. If it is greener, it is because they are using a lot of natural fertilizer.
Grass is much greener away from Jones. And depending on the individual situation, there are some Bank relationships that are very good and you DONT take a huge haircut in revenue grid. Do your homework and you will see
I am an independent RIA. I was approached by EJ years ago. They told me how much they were going to do for me by paying my overhead which included an assistant. I kept asking about the payout which they kept avoiding. When I finally nailed them down they said 50%. At the time I was getting a 90% payout with my broker dealer. At the time my GCD was around $200,000 and having them pay all my expenses seemed like a great idea but doing the math I knew that my overhead, which was fixed, would not grow in proportion to my GDC. Today my AUM is $120MM. I am in a far better position because I stuck it out and paid my overhead rather then going with EJ.
As for Edelman, I know people who worked for them. Since the buyout by the private equity firm, and the merger with the mutual fund store, the leads are not as good, or plentiful, as they used to be. Their payout is low and the demands are high. It’s not the same company it was when owned by Rick Edelman.
If you’re really entrepreneurial go completely independent and become a fee basis advisor
Would you recommend going independent or joining up with a team of people that are just absolute rock stars and growing like crazy... for a 50% payout...?
Did this. Do not do it. The leads are not at all consistent nor good quality. The bank channel is horrible. These leads are not guaranteed they just use that to entice. You have develop a referral process with the bankers/tellers, and while this is easier than traditional prospecting, it’s still not worth it. I’m with Jones and considering elsewhere. Take a look at Edelman’s website... says they don’t want u to worry about prospecting because they generate so many inbound leads.
Expect that anywhere you go that gives you clients will take more than the average haircut.you are taking less risk
I’ve never heard of someone who went to a bank that was truly happy. If you’re going to leave jones so Indy. Don’t end up in another employee model.
I think the bank model will not exist in 10 years. How many of the clients are under 50? No one goes to the bank anymore, everything is mobile or direct deposit. There will be no more traffic there.
Bank model will change. WF isn’t going anywhere. Will it look different, sure. Too much revenue - no one gives that up because technology changes the landscape.
If your leaving Jones to work in bank because of “referrals” it sounds like you may not be doing the work now. I’m sure you have not received any profitability bonuses yet, because of you did, you would not be thinking about leaving to go to a bank you would be thinking to go independent. I would just work hard and keep your head down, get your book built up. Truly don’t mean to be rude, just telling how it is.
If you brought in 15 million in ten months literally do that for the next five - seven years and you’ll be a level 10 producer. Who cares what they think of the bank, Steve your clients and obviously keep doing what you’re doing - and you’ll be more respected then the bank by the time this is all over
When you build a practice and then get to truly reap the benefits, then having control is what it’s all about. Having foot traffic into a bank branch is not what I want at this point in my career.
Give me 200 households with average of $500k (around half in managed money) and I can make that math work all day long.
The independent arm of Ameriprise is not bad...comparable to LPL or RayJay. But that’s not what you’d be getting into in your situation there. They own you
I work in a Wells Fargo Bank Branch as an FA. I can’t speak for Ameriprise but I know I have autonomy and flexibility to do what I want. The X factor is the branch and licensed bankers you will be working with. If you work and train them correctly , you can build a great business model. I started as a baker 15 years ago and worked my way up to an FA. If you want or need more info , I will give you my personal email and we can discuss it privately. I know there are pros and cons to every firm , it all depends on what your lookin for.
I will keep you in mind. Thank you!
Sounds great in theory, but what they aren’t telling you is that you’ll have regular comp cuts and if you keep making more, they’ll just add more advisors and carve out some of your book.
If the bank is starting up the wealth management program from scratch, be prepared to spend a lot of time coaching up the personnel on what a referral is.
I LOVE working for Ameriprise. There is such great support and I never feel like I have to do things on my own. I have tons of help. That being said, I’m part of of independent side. Lots of flexibility with my time and schedule. Ameriprise did the bank channel back in the early 90s and I was surprised when they announced they were going back. Again, love Ameriprise. You could maybe pitch to them that you’d like to go independent sometime and see what they say.
LPL where are you located? Good input - completely agree; left EJ for independence - any insight for the long haul?
In Louisiana. Realize that cold calling might feel good and I did my share , but spoiling clients and being honest will get referrals. Do client appreciation events instead of free steak dinners to people
you don’t know. Have at least four client functions
Per year.
I work at Wells Fargo, been FA there for 6 yrs. I enjoy it. I can do whatever I want, my schedule is my own. You do have to deal with some bank BS but it’s not a big deal. Built $75mm book and sun setting another $45mm book. I have a great licensed banker who refers great deals. My payout though is 32% and I take a referral haircut of 12.5% gross commission off my NET pay (basically 40% haircut)