The Ultimate End-of-Year Checklist for RIAs: Don’t Miss These Key Compensation & Compliance Tasks

2 min read

Dec 19, 2025 11:24:53 AM

As the year winds down, RIA operations and finance teams are deep in the details wrapping up compensation, prepping for tax season, and ensuring nothing falls through the cracks. When the pressure is on, a smooth close depends on reliable processes, accurate reporting, and confidence in the systems supporting it all.

Here’s your practical, AdvisorBOB-approved checklist to help you finish strong and start the new year with confidence.

1. 1099 Preparation: Get Ahead of Tax Season

Why it matters: Accurate 1099s are non-negotiable for compliance and advisor trust. Missing or incorrect forms can trigger IRS headaches and erode confidence.

What to do:

Review all compensation records for the year to ensure every advisor, solicitor, and vendor paid $600+ is flagged for 1099 reporting.
Validate tax IDs and addresses in your compensation system. AdvisorBOB’s export-ready data makes this step a breeze.
Coordinate with your payroll or accounting provider to confirm deadlines and e-filing requirements.
Double-check splits and overrides. Multi-rep arrangements can complicate reporting, so use AdvisorBOB’s audit trails to verify every payout.

2. Vendor Receivables: Close the Loop

Why it matters: Outstanding receivables from vendors (think: solicitor agreements, third-party managers) can distort your year-end books and delay advisor payouts.

What to do:

Run a receivables report for all vendors and partners. Identify any unpaid or disputed amounts.
Reconcile payments against your compensation dashboard. AdvisorBOB’s real-time visibility helps you spot gaps fast.
Communicate with vendors to resolve open items before year-end close.
Document any write-offs or adjustments for your finance team’s records.

3. Affiliation Fees: Don’t Let Renewals Sneak Up

Why it matters: Annual affiliation fees (for broker-dealer, RIA, or hybrid status) are easy to overlook but critical for maintaining good standing and uninterrupted business.

What to do:

List all affiliations. BDs, custodians, state registrations, and professional memberships.
Check renewal dates and fee schedules as many are due in Q4 or early Q1.
Budget for upcoming payments and ensure funds are allocated.
Update your compensation system to reflect any changes in affiliation status or fee structures for the new year.

4. State Renewals & Processing Fees: Stay Compliant

Why it matters: State registration renewals and processing fees are a compliance must. Missing a deadline can mean fines, or worse, a lapse in your ability to do business.

What to do:

Compile a list of all states where your firm and advisors are registered.
Track renewal deadlines and required documentation. AdvisorBOB’s reporting can help you segment by branch or advisor.
Submit payments and paperwork well before the cutoff to avoid last-minute scrambles.
Document confirmations and update your compliance files for audit readiness.

Bonus: Leverage AdvisorBOB for a Stress-Free Year-End

Automate calculations and reporting to eliminate spreadsheet errors and manual reconciliations.
Export compensation data in bank-ready formats for easy 1099 prep.
Monitor advisor profitability and net payout to inform next year’s compensation planning.
Keep audit trails and permissions tight for compliance peace of mind.

Final Thought:

Year-end doesn’t have to mean year-end stress. A smooth year-end close benefits everyone. With the right processes and technology in place, firms can reduce stress, support advisors, and start the new year organized, confident, and ready to grow.