Enter Firm Data

Assets Under Management
Fees, commissions, planning fees
Revenue-generating staff
Advisors + Admin + Support staff

Formulas & How to Use The Wealth Management Productivity Calculator

Core Formulas

This calculator derives four distinct efficiency ratios:

1. AUM Per Client = Total AUM / Total Number of Clients

2. Revenue Per Client = Total Annual Revenue / Total Number of Clients

3. Revenue Per Advisor (RPA) = Total Annual Revenue / Number of Advisors

4. Revenue Per Employee (RPE) = Total Annual Revenue / Total Number of Employees

Example Calculation

Consider a firm with $100M AUM, $1M Revenue, 100 Clients, 2 Advisors, and 5 Total Staff:

  • AUM/Client: $100M / 100 = $1,000,000 per client
  • Rev/Client: $1M / 100 = $10,000 per client
  • RPA: $1M / 2 = $500,000 per Advisor
  • RPE: $1M / 5 = $200,000 per Employee

How to Use This Calculator

  1. Enter Total AUM: Input the current market value of all assets managed.
  2. Enter Revenue: Input gross annual revenue from all sources (advisory fees, planning fees, etc.).
  3. Enter Headcounts: Provide the count for Clients, Advisors (revenue generators), and Total Employees (everyone on payroll).
  4. Calculate: Click the button to view your firm's efficiency profile.

Tips for Improving Wealth Management Productivity

  • Segment Your Book: Analyze "Revenue Per Client." If the bottom 20% of clients generate minimal revenue but require high maintenance, consider a service center model or referral out.
  • Optimize Tech Stack: High "Revenue Per Employee" is often driven by integrated technology (CRM, planning software, custodians) that reduces manual data entry.
  • Delegate Non-Revenue Tasks: Advisors should focus on client-facing activities. If RPA is low, ensure advisors aren't bogged down in paperwork that support staff should handle.
  • Standardize Workflows: Create uniform onboarding and review processes. This reduces the time per task, allowing the same number of employees to service more AUM.
  • Review Fee Structures: If AUM is high but Revenue Per Client is low, evaluate if your fee schedule aligns with the value and services being provided.

About The Wealth Management Productivity Calculator

The Wealth Management Productivity Calculator is a specialized diagnostic tool designed for Registered Investment Advisors (RIAs), broker-dealer teams, and practice management consultants. In the competitive landscape of financial services, measuring success solely by "Total Assets Under Management" (AUM) is no longer sufficient. Modern firms must focus on operational efficiency, leverage, and profitability per unit of human capital. This calculator provides a multi-dimensional view of your practice's health by breaking down the relationships between your assets, revenue, and people.

The core metrics calculated here serve different strategic purposes. Revenue Per Advisor (RPA) is the industry's "gold standard" for measuring sales force productivity. It isolates the performance of those responsible for bringing in and retaining business. A high RPA indicates a highly productive front office. Meanwhile, Revenue Per Employee (RPE) measures the efficiency of the entire firm, including back-office operations. If RPA is high but RPE is low, it may indicate a bloated administrative structure. Conversely, AUM Per Client and Revenue Per Client help you understand your target market fit. These metrics reveal whether you are operating a "high volume, low margin" mass-market practice or a "low volume, high margin" boutique wealth office.

Using the Wealth Management Productivity Calculator allows for accurate benchmarking. According to industry studies such as the Schwab RIA Benchmarking Study, top-performing firms consistently track these ratios to guide hiring decisions and technology investments. Understanding concepts like Assets Under Management and operational leverage is critical for valuation. Whether you are preparing your firm for sale, looking to acquire another practice, or simply trying to optimize year-over-year growth, our Wealth Management Productivity Calculator translates your raw data into actionable business intelligence.

Key Features:

  • Multi-Factor Analysis: Calculates four distinct ratios simultaneously for a 360-degree view of firm efficiency.
  • Staff Segmentation: Distinguishes between "Advisors" (revenue generators) and total "Employees" to identify bottlenecks in support vs. sales.
  • Client Profitability: Helps identify if your client count is too high relative to the revenue generated.
  • Valuation Ready: These metrics are commonly used by aggregators and PE firms when valuing wealth management practices.
  • Privacy Focused: All calculations happen in your browser; no sensitive financial data is stored on our servers.

For broader business analysis, you may also want to use our Employee Productivity Calculator for general staff metrics, or the ROI Calculator to evaluate new technology purchases for your firm.

Finance & Banking Related Calculators

Explore all remaining calculators in this Finance & Banking category.

View Finance Calculators

🧮 View All Type Of Productivity Calculators

Explore specialized calculators for your industry and use case.

View All Calculators

Frequently Asked Questions

What is a good Revenue Per Advisor (RPA)?

Benchmarks vary by firm model, but generally, an RPA between $500,000 and $700,000 is considered healthy for independent RIAs. Top-performing solo practitioners or teams with high leverage often exceed $1 million in revenue per advisor.

Why is Revenue Per Employee (RPE) important?

RPE measures your firm's operational leverage. If you hire more support staff, your Advisors should be able to handle more clients. If your RPE drops after hiring, it suggests the new hires are not freeing up enough capacity for the revenue generators.

How do I use AUM Per Client?

This metric helps define your service model. A high AUM per client (e.g., $2M+) suggests a bespoke, high-touch family office model. A lower number (e.g., $100k) suggests a volume-based model that requires efficient technology and standardized portfolios to be profitable.

Does "Total Employees" include the Advisors?

Yes. In this calculator, "Total Employees" refers to the total headcount of the firm (Advisors + Admin + Support + Management). This ensures the RPE calculation reflects the total human capital cost of the business.