Family Office Cost Calculator
Estimate the total annual cost of running a family office, from staffing and technology to office space and professional services.
Single Family Office Annual Cost
Estimate the full annual operating cost of a dedicated single-family office.
Multi-Family vs Single-Family Office
Compare the cost of a single-family office versus using a multi-family office service.
Family Office Cost Efficiency
Analyze your family office costs as a percentage of assets under management and compare to industry benchmarks.
About the Family Office Cost Calculator
A family office is the ultimate wealth management solution for ultra-high-net-worth families, providing comprehensive financial, legal, and lifestyle services under one roof. Our Family Office Cost Calculator helps wealthy families evaluate the true cost of establishing and operating a family office, whether as a dedicated single-family operation or through a shared multi-family office arrangement.
The decision between a single-family office and a multi-family office often comes down to assets under management and desired level of customization. Industry consensus suggests that a single-family office becomes cost-effective at approximately $100-200 million in assets, where the all-in cost of 1-2% of AUM compares favorably to alternatives. Below this threshold, multi-family offices offer similar services at 0.5-1.5% of assets.
Staffing is typically the largest expense, accounting for 50-70% of total family office costs. Key roles include a chief investment officer ($300K-$1M+), controller/CFO ($150K-$400K), tax professionals ($100K-$300K), and administrative staff. Technology, office space, legal compliance, and professional services make up the remainder.
Frequently Asked Questions
How much does it cost to run a family office?
A single-family office typically costs $1 million to $3 million annually to operate, with larger offices spending $5 million or more. Costs include staff salaries ($500K-$2M), office space ($100K-$500K), technology ($50K-$200K), legal and compliance ($100K-$300K), and professional services. Most advisors recommend a minimum of $100-200 million in assets to justify a single-family office.
What is the difference between a single-family office and multi-family office?
A single-family office (SFO) serves one ultra-wealthy family exclusively, offering maximum privacy and customization but at higher cost. A multi-family office (MFO) serves multiple families, sharing costs and infrastructure. MFOs typically charge 0.5-1.5% of assets under management, making them accessible for families with $20-50 million. SFOs require $100M+ in assets to be cost-effective.
What services does a family office provide?
Family offices provide comprehensive wealth management including investment management, tax planning and preparation, estate and succession planning, philanthropy management, risk management and insurance, bill paying and cash management, family governance, next-generation education, real estate management, lifestyle management (travel, art, collectibles), and sometimes concierge services.
When should a family consider establishing a family office?
Consider a family office when your affairs become too complex for a single wealth advisor, typically at $50-100 million in net worth. Triggers include multiple investment entities, significant real estate holdings, active philanthropy, complex tax situations, and multigenerational family dynamics. Start with a virtual or multi-family office before committing to a full single-family operation.