Family Office Cost Calculator

Estimate what your single family office will cost to run each year, in dollars and in basis points of assets, and compare it with what a multi-family office would charge on the same assets. Free, no login, and nothing you type leaves your browser.

Attendees networking beneath a covered terrace at a Family Office Club event — Photo: Family Office Club

AssetsAssets the office will oversee ($)Cost of living for staff and office

TeamSenior executives (CEO, CIO, CFO or COO)Base salary per senior executive ($)The Single Family Office puts top family office executives at $200,000 to $400,000 base.Senior bonus (% of base)Junior and mid-level staffBase salary per junior or mid-level person ($)The book puts junior to mid-level staff at $50,000 to $125,000.Junior bonus (% of base)Benefits and payroll taxes (% of pay)

Systems and outside servicesTechnology and software per year ($)How to Start a Family Office: many offices spend $20,000 to $100,000; larger ones often spend over $200,000.Legal per year ($)Tax and accounting per year ($)Audit per year ($)Insurance per year ($)Other outside services per year ($)Office rent and running costs per year ($)

Your Results

Estimated annual cost

Cost as a share of assets

People

Technology

Outside services

Office

A multi-family office at 80 to 150 bps would charge

How the Calculator Works

The calculator adds four lines. People cost is each salary plus its bonus, plus benefits and payroll taxes, adjusted for the cost of living where the team sits. Technology, legal, tax, audit, insurance and other services are added as you enter them. Office cost is rent and running costs, adjusted by the same city factor.

The total is then divided by the assets you entered to show basis points (1 bp is 0.01%). That figure is compared with the 80 to 150 basis points most multi-family offices charge for core services, as described in our answer on multi-family office fees.

Assumptions and Sources

Senior executive base pay of $200,000 to $400,000, plus a performance bonus. Source: The Single Family Office, by Richard C. Wilson
Junior to mid-level staff at $50,000 to $125,000. Source: The Single Family Office, by Richard C. Wilson
Technology and software at $20,000 to $100,000 a year, and over $200,000 for larger offices. Source: How to Start a Family Office, by Richard C. Wilson
Multi-family offices charge 80 to 150 basis points for core services. Source: The Single Family Office, by Richard C. Wilson
Legal, tax, audit, insurance, payroll load and office figures are starting defaults only. Replace them with quotes from your own providers.. Source: Family Office Club default inputs

Questions About This Calculator

What is a normal family office budget?

The Single Family Office includes the view of a family office executive we interviewed who would budget up to 1% of net assets a year to set up and grow a small office. Larger offices spread fixed costs over more assets, so their cost in basis points usually falls as assets grow.

Why compare with a multi-family office?

Because that is the usual alternative. If your own office costs more in basis points than a multi-family office would charge, a shared or virtual model may serve you better until assets grow. Run the break-even calculator to find that point.

Informational only, not financial, legal or tax advice. Confirm figures with your own advisors.