THE ANSWER
Compare the amount and consistency of work, the expertise required and the management time available. In-house capacity may suit a steady workload and close daily collaboration; outsourced support may suit variable demand or a defined work package. A combined approach can address both.
Define the work before comparing the cost
“Paraplanning” can cover different combinations of research, analysis and report preparation. The CII’s description includes all three. A quote for a draft from complete research cannot be compared directly with a service that also undertakes that research and resolves queries.
Write down the deliverables, expected input quality, likely case types, monthly volume and review arrangements. Separate predictable baseline work from seasonal peaks, staff cover and unusual cases. This gives both a prospective employee and an external provider a clearer brief.
Source: CII: paraplanner role overview ↗
Compare three ways to create capacity
The table sets out considerations, not a recommendation that one approach will always be cheaper or better.
| Approach | Potential fit | Question to resolve |
|---|---|---|
| In-house hire | Steady work and close day-to-day collaboration | Can the firm support the full employment cost, management and cover? |
| Outsourced support | Variable volume or clearly scoped work | Are capacity, turnaround, revisions and communication arrangements clear? |
| Combined approach | An internal team with peaks or gaps in capacity | Who allocates the work and keeps the handover consistent? |
Look at the full cost of completed work
For an employment comparison, include remuneration, employer costs, recruitment, equipment, training, management and cover. For outsourced support, include the quoted fees and any onboarding, revisions or work outside the agreed scope. In both cases, include the time your advisers spend briefing and reviewing.
Do not assume every working hour becomes productive case capacity. Meetings, training, annual leave, administration and clarification all affect output. Use your own observed workload and current quotes; there is no market price or salary estimate built into this guide.
Include AI in the comparison without assuming a saving
A tool that reduces drafting time may change how much work each person can complete. It can also add preparation and review tasks. Assess that change using accepted cases and total working time, rather than the number of documents generated.
If a provider uses AI, ask how its use affects the process you are buying: which tasks it supports, who reviews the result and how your requirements for handling information will be met. Avoid treating the use of AI as either proof of quality or a reason to dismiss a service.
Use a defined first work package
A practical next step is a clearly scoped case or small batch, subject to agreed commercial terms and appropriate information-handling arrangements. Record the quality of the initial brief, the queries raised, revisions required and the time to an accepted output.
- Agree the case type and the work included.
- Set the start point for any turnaround measurement.
- Name the people responsible for queries and review.
- Define how work outside scope will be agreed.
- Review the result before committing to a larger volume.
APPLY THIS TO YOUR FIRM
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Work with Steven Calvert on an assessment, a defined pilot or staff training for your IFA business.
Explore AI implementation ↗Prepared with AI assistance. Our examples identify their sources, method and limitations. This article provides business guidance, not personal financial advice, legal advice or a product endorsement. Editorial approach and commercial interests.