Edelman Financial Engines review 2026

By Nicolas Straut

Published October 25, 20269 min read

Key takeaways

Edelman Financial Engines charges wealth management clients 1.75% a year on the first $400,000 and lower rates on each slice above it, so you'll pay $8,250 a year on $500,000 and $13,875 on $1 million.¹
Through an employer's 401(k) plan, Edelman Financial Engines' Professional Management service charges up to 0.60% of the managed balance and its Personal Advisor service up to 1.35%, with a $225 quarterly minimum.²
Consider Edelman Financial Engines if you want one planner's team to manage everything and accept a fee that rises with your balance; at $500,000, a flat-fee planner such as Facet Core lists $2,600 a year.

In this article

What is Edelman Financial Engines?
Who is Edelman Financial Engines for?
Edelman Financial Engines pros and cons
How Edelman Financial Engines works
How much does Edelman Financial Engines cost?
How much does it cost to leave Edelman Financial Engines?
Is Edelman Financial Engines worth it in 2026?
Edelman Financial Engines vs the alternatives
Frequently asked questions about Edelman Financial Engines

Edelman Financial Engines, often searched as Edelman Financial, is an SEC-registered adviser with two main services. Wealth management with a planner costs 1.75% on the first $400,000, and managed 401(k) accounts through employers cost up to 0.60%. This review covers who it suits, what it costs, its conflicts, how leaving works, and the alternatives.

What is Edelman Financial Engines?

Edelman Financial Engines is a fee-based investment adviser that manages money for individuals through planners and for employees through their workplace retirement plans. The legal entity is Financial Engines Advisors L.L.C., registered with the SEC since January 14, 1998, under CRD number 104510.³ Its Form ADV shows about $326 billion managed on a discretionary basis as of December 31, 2025, and its homepage lists 1.21 million clients.⁴

Edelman Financial Engines doesn't hold your money. Wealth management accounts sit at Charles Schwab, Fidelity, or Axos, and workplace accounts stay in your employer's plan.

Who is Edelman Financial Engines for?

Edelman Financial Engines is for savers who want a planner to manage their whole portfolio, employees whose 401(k) plan offers its managed account, and retirees who want a steady income from their savings.

Savers who want a planner to run everything

Savers who want a planner to run everything can hand over investing, retirement, and tax-aware planning, if they're comfortable with a percentage fee.

Employees whose 401(k) plan offers it

Employees whose 401(k) plan offers Edelman can use Professional Management, which manages your account inside your plan's fund menu. You can leave at any time without penalty. Check your enrollment notice, because some plans enroll employees automatically.

Retirees who want income from their savings

Retirees who want regular paychecks from their savings have two options. Income Beyond Retirement pays out from a 401(k) at no added fee, and Retirement Paycheck keeps about three years of income in lower-risk holdings. The firm says its payout projections aren't guarantees, and our 4% rule guide explains how withdrawal rates work.

Edelman Financial Engines pros and cons

Edelman Financial Engines' pros are one fee for planning and investing, help inside your 401(k), no commissions, and offices nationwide. Its cons are a high first band, advisor pay tied to your balance, extra costs, and a short list of custodians.

Edelman Financial Engines pros

Planning and investing for one fee

The wealth management fee covers your planner's advice, a managed portfolio, and trading at the firm's custodians.

Help inside your 401(k)

Professional Management rebalances your workplace account within the plan's menu and sends quarterly retirement updates, for up to 0.60% a year.

No commissions on what you buy

Its planners are fee-only and don't earn commissions, though the firm receives a share of commissions on insurance it refers out.

Offices across the country

The firm listed 146 locations as of June 30, 2025, and offers virtual meetings.

Edelman Financial Engines cons

1.75% on the first $400,000

Every client on the current schedule pays the top rate on the first $400,000, which comes to $4,375 a year on $250,000.

Advisor pay grows with your balance

Planners are paid a share of the fee and can earn more for bringing in assets, keeping clients, and getting referrals, which its Form CRS calls a conflict of interest.⁵

Fund and custodian costs extra

Fund expenses and custodian charges, such as transfer and account closing fees, aren't in the wrap fee.

Your account must be at Schwab, Fidelity, or Axos

A managed brokerage or IRA account has to sit at one of those three custodians. The firm also receives marketing support payments from Schwab each quarter.

How Edelman Financial Engines works

Edelman Financial Engines works in three ways: a planner for wealth management, a managed account in your employer's 401(k), or online advice you carry out yourself.

Wealth management with a planner

Wealth management with an Edelman planner starts with a financial plan. The planner then usually places you in one of the firm's model portfolios of mutual funds and ETFs. Higher balances can add direct indexing through outside managers, and the minimum depends on the model, not a published dollar figure.

Not everyone gets an office planner. Clients below an asset threshold or with simpler needs "will usually work with a centralized, team-based group" without in-person meetings, at the same fee, so ask which you'll get before you sign.

Managed 401(k) accounts through your employer

Managed 401(k) accounts through Professional Management set a target mix from your age, retirement date, and plan menu, then trade and rebalance inside the plan. Enrollment is opt-in or automatic, depending on your plan. If your employer offers Personal Advisor, it adds a planner and management of your outside accounts, which currently have to be held at Schwab.

Online Advice you carry out yourself

Online Advice you carry out yourself gives you forecasts and fund recommendations from your plan's menu, and you place the trades. Through an employer, it's paid by the plan, the sponsor, or the provider. Bought directly, it costs up to $300 a year.

For a free projection, use the Tweed 401(k) Calculator.

How much does Edelman Financial Engines cost?

Edelman Financial Engines costs 1.75% a year on the first $400,000 for wealth management, falling in bands to 0.50%, and up to 0.60% for its managed 401(k) service, according to its March 31, 2026 brochures.

The wealth management fee schedule

The wealth management fee schedule charges each slice of your household balance its own rate.

Part of your balance	Yearly rate
First $400,000	1.75%
Next $350,000 (to $750,000)	1.25%
Next $250,000 (to $1,000,000)	1.00%
Next $2,000,000 (to $3,000,000)	0.75%
Next $7,000,000 (to $10,000,000)	0.60%
Next $15,000,000 (to $25,000,000)	0.50%
Above $25,000,000	Negotiable

Household accounts are added together, the fee comes out quarterly in arrears, and some clients keep older rates from legacy Financial Engines or firms Edelman bought.

What the fee costs at four balances

What the fee costs at four balances runs from $4,375 a year on $250,000 to $21,375 on $2 million.

Managed balance	Yearly fee	Effective rate	10 years at that balance
$250,000	$4,375	1.75%	$43,750
$500,000	$8,250	1.65%	$82,500
$1,000,000	$13,875	1.39%	$138,750
$2,000,000	$21,375	1.07%	$213,750

The 10-year column holds the balance flat and leaves out fund expenses.

Run your own balance once with the fee and once without it in the Tweed Retirement Calculator.

401(k) and workplace fees

401(k) and workplace fees depend on your employer's agreement, with caps in the firm's Form ADV.

Workplace service	Fee	Fee on a $100,000 account
Professional Management	Up to 0.60% (up to 0.75% for IRA management), lower above $100,000	Up to $600 a year
Personal Advisor	Up to 1.35%, $225 quarterly minimum	Up to $1,350 a year, at least $900
Online Advice through work	Paid by the plan, sponsor, or provider	$0 to you directly
Online Advice bought directly	Up to $300 a year	Up to $300

The fee comes out of the account quarterly, never out of your paycheck, and your employer may pay some or all of it. Find your exact rate in your plan's fee disclosure.

Costs on top of the fee

Costs on top of the fee start with fund expense ratios. Ask your planner for the model's average expense ratio. The wrap fee also leaves out custodian charges for IRAs, transfers, wires, and account closing, and Retirement Paycheck's fixed income trades cost extra.

How much does it cost to leave Edelman Financial Engines?

Leaving Edelman Financial Engines costs nothing in exit fees, according to its brochures. But the fee is billed quarterly in arrears, and custodian charges for moving or closing an account aren't covered. Tell the firm in writing and ask what you'll owe for the last quarter.

Your account already sits at Schwab, Fidelity, or Axos, so keep it there or move holdings in kind, which means nothing is sold in a taxable account.
Check your custodian's fee schedule for transfer and closing fees.
You can leave Professional Management at any time without penalty, and your money stays in your plan.
Unearned prepaid fees for Online Advice bought directly are refundable by phone.

If a planner suggests rolling a 401(k) into an Edelman account, you're under no obligation, and our best 401(k) rollover guide compares where to move one.

Is Edelman Financial Engines worth it in 2026?

Edelman Financial Engines is worth it in 2026 if you'll use the hands-on help its fee pays for. The services are broad, but a banded fee charges everyone 1.75% on the first $400,000, so the price is set by your balance, not by the work involved. Its own Form ADV says its services "may be available elsewhere at a lower cost."

The firm cites 94% client satisfaction from its own surveys, and its Yelp brand page averages 1.6 stars from 85 reviews as of October 2026.

Consider it if you want a planner's team to manage everything and value local offices, or if your employer offers Professional Management at a rate you've checked. It's a weaker fit if you'd pay $8,000 or more a year for model portfolios you could hold yourself.

Edelman Financial Engines vs the alternatives

Edelman Financial Engines vs the alternatives comes down to two things: whether you'd rather pay a percentage of your balance or a flat yearly fee, and how much in-person help you want.

Edelman Financial Engines vs flat-fee planners

Edelman Financial Engines vs flat-fee planners shows a gap of about $4,300 to $5,650 a year at $500,000. Facet, Range, and Domain Money charge the same price at any balance.

Managed balance	Edelman Financial Engines	Facet Core	Range Premium	Domain Money Essential
$250,000	$4,375	$2,600	$3,950	$3,900 first year, $2,900 after
$500,000	$8,250	$2,600	$3,950	$3,900 first year, $2,900 after
$1,000,000	$13,875	$2,600	$3,950	$3,900 first year, $2,900 after
$2,000,000	$21,375	$2,600	$3,950	$3,900 first year, $2,900 after

Flat-fee planners meet by video and add some fund or portfolio fees. Our Facet review, Range review, and Domain Money review list what each includes. To choose among them, see Range vs Facet and our Facet alternatives roundup.

Edelman Financial Engines vs Fisher Investments

Edelman Financial Engines vs Fisher Investments compares two large national firms that both charge a percentage of your assets. At $500,000, Edelman costs $8,250 a year and Fisher $7,500, and Fisher vs Edelman sets their fees side by side at other balances.

Edelman Financial Engines vs Empower

Edelman Financial Engines vs Empower compares two firms that each run a percentage-fee advisory service and a workplace retirement business. Empower's managed accounts charge 0.89% a year from $100,000 up to $1 million. That's $4,450 on $500,000, against $8,250 at Edelman, as our Empower review explains.

Before you sign an advisory agreement, project your balance to retirement in the Tweed Retirement Calculator twice: once as it is and once with the fee taken out each year. If your money is mostly in a workplace plan, run your contributions through the Tweed 401(k) Calculator first.

Frequently asked questions about Edelman Financial Engines

Is Edelman Financial Engines a fiduciary?

Yes, Edelman Financial Engines says it's a fiduciary for all of its advisory services. It acts as a fiduciary for retirement accounts under ERISA, the federal law for workplace plans, and under the tax code. Because its brochure also names a pay incentive to recommend rollovers, compare fees in writing before you move a 401(k).

Has Edelman Financial Engines been in trouble with regulators?

Edelman Financial Engines reports no legal or disciplinary events material to clients in its March 31, 2026 brochures, and its SEC record lists no firm disclosures. Its Form CRS says some of its financial professionals have disclosures. Look up the planner you'd work with by name on adviserinfo.sec.gov before you sign.

Is Edelman Financial Engines the same as Financial Engines?

Yes, Edelman Financial Engines is the name Financial Engines and Edelman Financial Services have used since combining on November 1, 2018. The registered adviser is still Financial Engines Advisors L.L.C. Clients of legacy Financial Engines from before that date generally keep their original fees.

Where does Edelman Financial Engines rank?

Edelman Financial Engines ranks as the largest workplace managed account provider by retirement plan assets, citing Cerulli Associates data as of June 30, 2026. It also cites eight straight years on Barron's list of top independent advisory firms. Both are rankings the firm publishes on its own site, not measures of investment returns.

Does Edelman Financial Engines charge for a financial plan?

Edelman Financial Engines offers a free first planning session and says the plan is yours to keep. Its Form ADV also allows a one-time fee of up to $10,000 for developing a financial plan, which can be waived in part or in full. Ask in writing whether your plan carries a fee before the first meeting.

Can Edelman Financial Engines manage a 401(k) if my employer doesn't offer it?

Yes, Edelman Financial Engines can manage a 401(k) even if your employer doesn't offer its service, using a third-party platform you link the account to. The money stays with your plan's custodian, and the firm reallocates it among the funds your plan offers. Its brochure doesn't say how that account is billed, so ask before you link it.

What do Edelman Financial Engines complaints say?

Edelman Financial Engines complaints that rank in search mostly concern fees. The top answer in a four-year-old r/portfolios thread about its free 401(k) advice warns about paying 2%, and a 2026 r/boeing thread is titled "Edelman Financial Fees". These are self-selected posts, so weigh them against the filings and your own written fee quote.

Sources

https://files.adviserinfo.sec.gov/IAPD/Content/Common/crd_iapd_Brochure.aspx?BRCHR_VRSN_ID=1034677
https://files.adviserinfo.sec.gov/IAPD/Content/Common/crd_iapd_Brochure.aspx?BRCHR_VRSN_ID=1034678
https://adviserinfo.sec.gov/firm/summary/104510
https://www.edelmanfinancialengines.com/
https://reports.adviserinfo.sec.gov/crs/crs_104510.pdf

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