What do 'fee-only' and 'fiduciary' actually mean for an advisor?

A fiduciary is legally required to put your interests ahead of their own – that's the standard you want. 'Fee-only' means the advisor is paid solely by you (hourly, a flat fee, or a percentage of assets) and earns no commissions for selling products, which removes a major conflict of interest. Watch for the lookalike term 'fee-based,' which means they charge fees and can also collect commissions. Not every salesperson who calls themselves a 'financial advisor' is a fiduciary; insurance agents and brokers often work to a weaker 'suitability' standard. Before hiring anyone, ask directly: 'Are you a fiduciary 100% of the time, and how exactly are you paid?' Get the answer in writing, and check their record on the SEC's Investment Adviser Public Disclosure site.