This term refers to the method of compensation for the financial planner. "Fee-Only" planners are compensated solely by fees paid by their clients and do not accept commissions or compensation from any other source.

"Fee-Only" planners believe that there is a significant "conflict of interest" if an advisor stands to gain financially from the sale of any product he or she recommends to the client.

Being held to a fiduciary standard means delivering financial planning services that serve the client's best interest - first and always - ethically and legally - with accountability and transparency standards that avoid conflicts of interest with an utmost "duty to care".

What other forms of compensation are used by financial planners?
Some planners are compensated entirely by commissions from the providers of products recommended and sold. Others, referred to as "Fee-based" or "Fee-offset," charge both a fee and receive commissions from selling products and are held to only a "suitability standard".