Experience Requirement for CFP Certification
To benefit and protect the public accessing the services of CERTIFIED FINANCIAL PLANNER™ professionals, and to promote professionalism among those seeking to use the CFP marks, FPSB Ireland requires candidates for CFP certification to have worked in a personal financial planning-related position for a certain length of time.
FPSB Ireland’s work experience requirement provides those interested in CFP certification with the opportunity to:
- enhance their existing knowledge, skills and abilities;
- improve the quality of their personal financial planning recommendations;
- develop a set of behaviors that will inform their professional practice of personal financial planning; and
- apply their personal financial planning knowledge in diverse and/or complex client situations.
Pro-bono experience is accepted as long as (1) there is a client and (2) the practitioner is acting as a personal financial planning professional who is capable and qualified to offer objective, integrated, and comprehensive financial advice to or for the benefit of individuals to help them achieve their financial objectives using the personal financial planning process.
Qualifying experience of candidates for CFP certification must fall into the following six primary elements of the personal financial planning process:
- Establishing the client-planner relationship including explaining issues and concepts related to the overall personal financial planning process; the services provided by the personal financial planner and his or her firm; and clarifying the client’s and the personal financial planner’s responsibilities.
- Gathering client data, including obtaining information from the client through interviews/questionnaires about financial resources and obligations; determining the client’s personal and financial goals, needs and priorities; assessing the client’s values, attitude and expectations; determining the client’s time horizons; determining the client’s risk tolerance level; and collecting applicable client records and documents.
- Determining the client’s financial status by analyzing and evaluating the client’s data, including current cash flow needs, risk management, investments, taxes, retirement, employee benefits, estate planning, and/or special needs.
- Developing and presenting client-specific personal financial planning recommendations tailored to meet the goals and objectives of the client, commensurate with the client’s values, temperament, and risk tolerance, including presenting and reviewing the plan with the client; collaborating with the client to ensure that the recommendations meet the goals and objectives of the client, and revising as appropriate.
- Implementing the personal financial planning recommendations, including assisting the client in implementing the recommendations; coordinating as necessary with other professionals, such as accountants, attorneys, real estate agents, investment advisers, stock brokers, and insurance agents.
- Monitoring the personal financial planning recommendations, including monitoring and evaluating the soundness of the recommendations; reviewing the progress of the plan with the client; discussing and evaluating changes in the client’s personal circumstances; reviewing and evaluating changing tax laws and economic circumstances; and making recommendations to accommodate new or changing circumstances.