If you would like to work in the expansive world of finance helping individuals and families with their money management, you may want to learn what a financial planner does. Financial planners play an important role in helping people manage their day-to-day finances and also with where to put your money to achieve your long-term financial goals. While there are other advisers in the finance sector that can help give people or business owners advice, a financial planner is the best go-to professional when you need tips on how to manage your current finances or when you need to change your strategy because of a major life event. Read on, and find out just what your roles could be as a Certified Financial Planner.
What Does a Financial Planner Do to Help People Manage Their Money?
There are a long list of different things that a financial planner will do for their list of clients. Their primary goal is to help their clients get past the financial barriers that exist in every person’s life so that they are able to live comfortably and achieve their own future goals. Money and saving can be a difficult subject for many, but it is an important one as well. Without a savings account and a plan, it is virtually impossible to retire comfortably. According to the Financial Planning Association, the responsibilities of financial planners are vast, but the list includes:
- Helping clients set their own financial goals
- Addressing what needs to be done differently
- Addressing which types of accounts or loan products are best
- Help with the development of realistic financial plans to eliminate weaknesses
- Assessment of financial health
- Examination of expenses, income, taxes and estate plans that are currently in place
- Assistance with putting financial plans into action
- Changing plans to meet need personal circumstances or meeting for new approaches at different stages in life
What Skills Do You Need to Work in Financial Planning?
Financial planning may not be for everyone, but it can be helpful to determine if you are a good fit for the role before you pursue an education in finance, according to Investopedia. You will need to take the time to learn about financial accounts and products so that you are a trusted expert that is in a position where you can give advice. You will also need to be a driven professional who can market their brand and can build a customer base and find new clients. You cannot expect customers to just come to you.
How to Become a Certified Financial Planner
The first step to becoming a CFP is to earn a bachelor’s degree in finance, accounting, economics or business. You will need to study estate planning, risk management, taxation, investing, and other financial-related courses to get the knowledge that you need. If your goal is to be certified, you will need to enroll to take the CFP examination so that you can stand out and become a distinguished professional, according to the Certified Financial Planner Board. It may not be required, but certification will help you advance your career.
Related Resource: Become a Stockbroker
Once you are qualified to work as a planner, you can apply for roles with insurance companies, banks, brokers, or financial investment firms. How much experience you will need will depend upon the setting. Be sure to get hands-on experience while you are in school so that you can see what a financial planner does and learn how to do it.
