Pension Consulting and Retirement Service Agreement

What a good one includes

• A detailed breakdown of the specific advisory services offered, such as retirement income mapping, pension maximization analysis, or asset allocation advice.
• A transparent explanation of how you are compensated, whether through flat fees, hourly rates, or a percentage of assets under management.
• A clear statement clarifying whether you act as a fiduciary under ERISA or state laws, along with necessary Form ADV disclosures.
• An explicit requirement for the client to provide accurate, timely financial data and update you on major life changes.
• A straightforward clause detailing how either party can end the agreement and how unearned fees will be calculated and refunded.
• A robust privacy clause explaining how you protect sensitive financial documents and personally identifiable information.

Common mistakes to avoid

• Using a generic business service contract that fails to address specific financial regulations like ERISA or SEC compliance.
• Failing to clearly define the boundary between general retirement education and personalized, actionable investment advice.
• Omitting a formal process for updating the agreement when a client's financial situation or requested services scale up.
• Hiding or overcomplicating the fee schedule, which breeds client distrust and can trigger regulatory scrutiny.

Frequently asked questions