Financial Planner Career Guide and Counseling

Question: How can I get required financial work experience to become a Certified Financial Planner while still teaching? I’m interested in becoming a Certified Financial Planner, but I’m facing something of a “Catch 22.� In order to complete the requirements for the formal certification as a financial planner, a person has to have 3 years of financial work experience. I’m currently a full-time high school social studies teacher, and would like to make the transition to the new career as quickly as possible after I retire from teaching (in about 10 years). What can I do while I’m still a full-time teacher to get the financial work experience I need so that I can make the transition to a Certified Financial Planner without having to spend 3 years getting this experience after I retire from teaching? Thanks in advance for your time, ideas, and information.

Answer: That's tough, since I'm sure you have a busy schedule. Contact Life/ Health insurance agents and financial planners in your area and see if any of them have summer positions open. Maybe some of them are open on Satudays? (Long shot.) Maybe you'll find someone who will take you under their wing in a mentor/ mentoree relationship. You could always get your life and health insurance license and start selling annuities (considered a financial product). From there you can get your Series 6/63 and/or 7 licenses so you can sell variable interest products. You can do all of this on your own, working for yourself. Perhaps you can ask other financial planners how they got their start? Best wishes.

Question: What is it like being a Financial Planner? Is a CFP or MBA more valuable in this field? Hello! I am interested in persuing a career path in the Financial Planning field. I am 26 now, and currently a Financial Planner in a Fortune 50 company. However, I'm questioning whether I want to work in corporate America all my life, or if I want to persue a career path in more "private" financial planning - mainly for individuals. So for those of you who are Financial Planners right now - whats it like? What are the best aspects...and the worst aspects....of your job? Is getting the CFP worth it - or is an MBA more valuable? I'm questioning right now which path to take - 1) get an MBA or 2) get a CFP ($$ is not an issue since my company will pay for my full education). Any insight you could provide into the field would be greatly appreciated. Thank you! Only one answer? Are there any Financial Planners out there?????

Answer: As you already know financial planning is the process of meeting your life goals through the proper management of your finances. Financial planning provides direction and meaning to your financial decisions. It allows you to understand how each financial decision you make affects other areas of your finances. I'd study for the nationally licensed CFP b/c it will carry much more weight over time IF you go into private practice. To the public you can stress "A CFP demonstrates they're committed to competent and ethical behavior when providing financial planning. Individuals certified by CFP Board have taken the extra step to demonstrate their professionalism by voluntarily submitting to the rigorous CFP® certification process that includes demanding education, examination, experience and ethical requirements." We know financial advisors are all around you, but few possess high ethical standards, a comphrensive financial background, and possess the necessary work experience to objectively help clients. Once you get your CFP which takes on average at least four years (2 for the academics, 2-3 for the work experience requirement); you can work with a brokerage or go into private practice. Good luck and keep us posted.

Question: How do I become a financial planner on my own without working for a company? Im getting ready to enter college this fall and I know I have a long time to go before im ready and knowledgable to open my own business but I would like to start planning and know the prerequisites now. I'm interested in starting a business in financial planning and I wanted to know if anyone could help me and tell me what things will I have to learn to become a financial planner, what should I study, and what major would be the best to take in college.

Answer: A financial planner, or financial asset manager is knowledgeable in: 1. Developing a stocks and securities portfolio, 2. Insurance, annuities, and banking products 3. And real estate investments. A CFP is licensed in each field, and meets experience, education, and ethics requirements. Accounting is a good major, tax law, business, economics, and estate planning. Also it might be possible to take CFP Board-Registered Programs at your school.

Question: What charges are associated with using a financial planner for retirement funds? My wife and I are planning to retire in the next few months and will receive several hundred thousand dollars from our retirement funds. We need to work with a financial planner to be able to roll most of this money into accounts that won't be taxed until we withdraw funds to spend. How much should we anticipate having to pay a financial planner to arrange this. Also, if anyone knows about these things will it be possible to make such a rollover? I am 63 and my wife is 64.

Answer: There should not be any charge to roll your funds over and set up your new accounts. There will be fees associated with the particular funds you purchase and trading costs. But with the amount of your investments, account fees should be low. Check with your current bank and find out what investment services they offer. Then do the same thing with a large bank such as Bank of America. Next check out a broker, Charles Scwab or Vanguard. Compare their fee structures and products. Keep in mind that they will all be after your money, so be careful and don't sign up until you have compared several companies and carefully considered the pros and cons of each. You should be able to place your money in a variety of products. Some conservative growth funds to protect you from inflation as well as tax free bond funds. Ideally you will be able to roll your retirement proceeds into a ROTH IRA. That will make all future proceeds tax free.

Question: What is meant by certified financial planner and is it important to be certified? What is a CLTC and how do I know if I need a CLTC or a financial planner. I'm just trying to get someone to help me manage my $$ and plan for my retirement! I don't know what I need!

Answer: Financial planning isn't a rigorously regulated field, like medicine, where credentials really mean something. The alphabet soup credentials of the planner indicate some amount or other of professional training, but the extent of the training can be small or large. More important than paper credentials are: 1. Compensation: does the planner take compensation from just you (the client) or does the planner take payments from financial companies whose products he sells? If the latter is the case, steer clear of that planner. 2. Honesty and conscientiousness: does the planner really listen to you and try to serve your needs, or is the planner working off of a checklist or template? The best financial planning requires careful judgment tailored to your personal needs. Ask around for referrals--and pay attention to the referrals from people who are financially savvy. Don't put much weight on a referral from someone who is clueless about money because that person may not be able to tell a good planner from a bad one. 3. To the extent that you focus on credentials, find out if the planner is a registered investment adviser. Registered investment advisers are "fiduciaries" and, as such, have the legal obligation to put your interests first. Go to the webpage listed below for more info.

Question: What is the best way to find a financial planner? I'm looking for a financial planner in San Antonio, TX. How much does a planner usually charge? Any recommendations?

Answer: Do you know anyone there who uses one? The best way to find any professional is word of mouth. A satisfied customer is the best recruiter. If you don't know anyone, ask any Financial Planner you find (however you find one) to give you some names of clients who would agree to talk to you. If he doesn't have any, that is a warning sign. Also, check with the Better Business Bureau for complaints.

Question: How can I get Certified as a Financial Planner? I've worked nearly my entire career in finance, working with consumers to help them understand simple to complex financial concepts. I've also written financial articles for several magazines. But, since I did not work for a brokerage, I do not know how to get accredited as a certified financial planner.

Answer: Have a look at the Certified Financial Planner website. http://www.cfp.net/

Question: Where can I find a certified financial planner? I would like a certified financial planner to assist me with a financial budget and show me how to make my money grow for the long haul ahead please help me. In southern calif.who has had a least 3 or more years experince in financial planning and who has been exposed to a variety of general work ie(income tax,state funding,life insurance educational funding,retirment,just someone who knows about all this an more a CFP with all these experiences.

Answer: I don't personally know anything about this site though found it by searching yahoo.com: http://www.cfp.net

Question: What is the best route to becoming a financial planner with a non-business major? I have a business administration minor and have worked in the banking, accounting, and insurance fields the past 5 years. I'm not sure if I should just take some courses to get a B.S. Finance, get an MBA, or just take a financial planner certification program.

Answer: You certainly don't need a business degree to become a financial planner. You don't even need a business degree to become a cretified financial planner. I've attached some information from the CFP board. There is good informatino on this site. Good luck!

Question: What is the best degree for a future financial planner? The educational requirement is a degree in one of the business disciplines. I have mostly core and some basic business credits, but haven't picked a focus yet. I know it varies from school to school, but which will best prepare for a career as a certified financial planner?

Answer: Doesn't matter too much. It's all about sales. I guess marketing would be good.

Question: How to be a successful financial planner these days? With so many financial planner out there, how to really be the one who can make it and do well?

Answer: Nothing succeeds like SUCCESS !! According to http://en.wikipedia.org/wiki/Financial_planner "A Financial Planner or Personal Financial Planner is a practicing professional who helps people to deal with various personal financial issues through proper planning, which includes but is not limited to these major areas: cash flow management, education planning, retirement planning, investment planning, risk management and insurance planning, tax planning, estate planning and business succession planning. The clients should repose 100 % confidence in you, since you are dealing with their finance and its planning !!

Question: What questions should I ask a financial planner? I just 'won' e-mail services from an established financial planner. I would like to know what I should ask and how to maximize the 6 months of asking I have. Thanks so much!

Answer: I'd be leery about winning email services from a financial planner. That sounds like an opporutnity to clear out your bank accounts. That major concern aside, here are some questions/issues I work with my financial planner on. I've discussed my current income, outside sources of income, various debts, and my different current and future assets. To help give him a full picture of my financial state. Then, I speak with him about my goals and my current saving levels, such as how much money I have going into my 401K and Roth IRA. We've also discussed various alternative investments, such as real estate, collectibles, etc. Just becasue you have "won" these services, it doesn't mean you should accept them because they are free. Its a good idea and highly recommend to speak with several planners before you start working with one. Think about it, they are working for you. You should interview them as you would interview someone applying for a job at your company. The planner needs to be right for you and you need to feel comfortable with him/her. Also, many financial planners don't charge for their services. My planner works at my bank, so his service is "free" because of all the banking I do there. However, he gives me good investment guidance and I am free to make the choices of funds and such that I want to make. In exchange for that, I have my Roth IRA through them and he gets some commission for my trades. Its a fair trade off for his guidance.

Question: How to become a Financial Planner or Adviser? I'm interested in becoming a Financial Planner or Adviser. How do you go about being certified as one (I live in Australia)? What does the job entail? For those of you who are already Financial Planners or Advisers, what made you follow this career path? What are the good things and the bad things about this job?

Answer: If you want to be a true finacial planner, study finance or accounting. Become a CFP, but STAY AWAY FROM INSURANCE COMPANIES!!! Insurance companies advertise positions as so called "financial planners" but they are really just insurance salesman. I would say one of the most important things to understand is the difference between insurance salesman and true finacial planners.

Question: Questions about becoming a Financial Planner career? I have some questions about becoming a Financial Planner career? 1. What kind of education do you need to become a financial planner? 2. Do you need experience to become a Financial Planner? 3. Would a company hire a Financial Planner without having some experience? 4. Would a company hire a Financial Planner without a degree?

Answer: Most companies prefer that you have @ least a Bachelor's degree in Finance or Accounting and some kind of relevent experience such as an internship or some type of financial officer, such as being a treasurer in an organization.

Question: What sort of jobs count as work experience towards being a financial planner? I want to be a certified financial planner and by april I'll have the educational requirements for a CFP, but absolutely no experience. I think I will also need to take either the CSC mutual funds course or the LLQP insurance licensing course. I can have either of these done by april as well. What sort of jobs will give me the best experience to become a CFP, but again will take me with no experience except sales and customer service?

Answer: A Bank or Building society!

Question: How hard is it to start your own business as a personal financial planner? I am thinking about starting my own business as a financial planner. Do I need to obtain certifications to enter the business in the us? Is there a lot of competition? Basically, anything you can tell me about this business will be helpful...

Answer: One of the wonderful things (and horrible things) about the US is that anyone can call themselves a financial planner. All it takes to go into business is some business cards and some stationary. If you do go into financial planning you will find yourself competing with every life insurance salesperson operating in your community plus some dedicated financial planners who don't sell life insurance. Since adequate insurance is a key element of financial planning I think you should investigate obtaining both insurance and financial planning certifications. Hope this helps Jerry-the-bookkeeper