In theory, theory and practice are the same. In practice, they're different. (attrib Benjamin Brewster, 1860-1941)

There are a few arguments I agree with conceptually, while in real life I do the opposite.

One that's relevant to this board is the continued retention of a financial advisor. I agree that -- especially for those reading this board -- they are an unnecessary, substantial drag on cumulative returns, even if you go to the substantial trouble of finding a CFP fiduciary.

Nonetheless, I have a CFP. And, it occurred to me recently that I gave them to the keys to the castle something over thirteen years ago. For a guy who's been retired for ~6.5 years, that means they were there for what is arguably the most critical period: while I disengaged the autopilot and began the descent to the final destination, as well as the pre-Medicare, ACA, Roth conversion, what-pool-do-I-draw-down years that followed. Pilots do all say the hardest part is the landing.

First, my results: net of all fees, almost exactly 10% CAGR over the last 13.5+ years. I think that's acceptable for a late 50s, peri-retirement nest egg: a few percent inflation, a few percent capital appreciation, a few percent post-retirement withdrawal, all while staying safe enough to sleep at night. As Charles II was reported to have announced after his return from his ignominious four-year skedaddle to France, we are not willing to go on our travels again.

While my CFPs' advice has been almost always accurate, usually helpful, and occasionally invaluable, I find it hard to intellectually justify the position that they're worth the 0.65% annual drag. Over, say, thirty years that's 1-(0.9935^30)= 17.75% less than I would have had otherwise.

For me, the hard stop has been Mrs sutton. She's not interested in any of this stuff. And, while our youngest is almost 30, I know I wouldn't have been adept/confident/judicious enough to manage a multimillion dollar parental nest egg at that age. (A highly hypothetical nest egg, I'll add. Mom was left with a 67% pension, a mortgage, and the inability to work an ATM when we lost Dad and the baton was passed to me. I was 37, with small children and an overbusy career). With things as they are now, should I walk under a falling anvil tomorrow, my relict would be dialed in with the monthly checks proceeding uninterrupted.

To me, it's conceptually not a lot different from the large amount of term life and disability insurance I carried while we were clawing our way into a positive net worth, I was working and the boys were growing up: promises made or implied, but not yet kept. Those policies meant the assurance of four years of college for each of the kids, and a adequate-enough nest egg for their Mom. But the pain involved in writing the annual premium checks (which went up startlingly once I reached 50, despite nary an anvil in sight) reminds me of what I feel now when I look at the CFP quarterly fees paid.

It's clear to me that I would be worth maybe 2x of what I'm worth now if I'd been more comfortable with leverage, as well as contining to fly entirely solo just as I'd done for my first 50+ years (and, if I'd been willing to exploit my junior partners, but that's a whole 'nother story). Mr Buffett looks after around 60%, with the rest mostly laddered individual Treasuries and a little bit in CFP-advised index funds.

But the kids are grown and self-sufficient, there's no debt, I can buy whatever books/groceries I want, and any trip she or I feel like taking fits easily in the budget. The chickens lay more eggs than we can eat.

We have enough, and that's enough.

(But I may get twitchy and fire them yet. Once SS/Medicare in place and the kids mid-30s and up...we'll see)

-sutton
resisting the urge to grab the reins back since 2011