A planner from New World Financial is paid in one or more of the following ways:

“Commission: The planner is compensated if you purchase financial products to implement a financial planning recommendation. In some cases, the commission is paid by the suppliers of financial products such as an insurance company. In other cases, you pay the commission, for example, if you buy shares of a publicly traded company. Commissions are usually a percentage of the amount you invest in a product.

Salary: The company for which the planner works pays the planner a salary. The planner’s employer may get its revenues from fees paid by clients such as yourself or in commissions paid by clients making a purchase, or by the suppliers of financial products.

Fee-for-service: Planners paid on a fee-for-service basis may charge an hourly rate, set a flat rate for a specific service or be paid a fee based on a percentage of assets or income. In some cases, compensation would be a mix of fee and commission. You should also ask if the planner or organization receives any benefit other than commission, such as advertising and promotion”

- Source: FPSC: 10 Questions to Ask Your Planner