How to Become a Financial Planner: Steps to Earning Your CFP® Certification

Key Takeaways:

• Demand for financial planners is high and continues to grow due to factors like longer life expectancy and more emphasis on retirement planning.
• Financial planners support the holistic financial health of clients as they build wealth and plan for a secure future.
• Becoming a CERTIFIED FINANCIAL PLANNER® professional requires a bachelor’s degree, CFP Board-approved coursework, passing an exam, 4,000-6,000 hours of work experience, and adherence to ethical standards.
• While anyone can become a financial planner, those best suited to the field are client-focused, outgoing, analytical, and dedicated to improving financial literacy.

For those who want to help others through their work, it may seem like there are only a few career options. However, people need support in all areas of their lives, including their finances. And with 47% of adults in the United States reporting that money has a negative impact on their mental health, it is more important than ever to have a strong sense of financial literacy.

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What Does a Financial Planner Do?

Financial planners evaluate the income, expenses, investments, and debt of clients to develop strategies that match their short- and long-term financial goals. Their clients are typically individuals or families, but some financial planners work on behalf of small business owners.
A financial planner’s day typically involves:

• Conducting financial assessments and goal-setting sessions
• Developing investment and savings strategies
• Recommending insurance coverage and tax strategies
• Planning for retirement, college savings, and estate distribution
• Monitoring portfolios and adjusting plans as conditions change
• Communicating status and progress with clients
• Answering questions as they come up

There are no federal or state requirements for financial planners, but the most in-demand financial planners hold the CERTIFIED FINANCIAL PLANNER® certification. This certification demonstrates a high level of professionalism, education, and ethical commitment. Boston University’s online Financial Planning Program fulfills the education requirement of this credential through a flexible, CFP Board-registered curriculum.

Financial planners pair analytical skills with expertise in finance to help individuals and families achieve well-rounded financial security. This career offers a great deal of professional satisfaction, but financial planners also benefit from long-term growth opportunities, high earning potential, and a very stable job market.

What Specializations Can Financial Planners Pursue?

Some financial planners work independently, while others find employment with firms or financial institutions. The right specialization often depends on an individual’s interests, client base, and preferred work environment. Some options include:

• Retirement planning
• Estate planning
• Investment management
• Tax planning
• Insurance and risk management

Planners may also prefer to work with clients at particular life stages. For example, some planners serve young professionals who are building wealth for the first time while others focus on retirees managing income distribution.

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What Is the Career Outlook for Financial Planners?

The financial planning field continues to grow as more people need professional guidance to manage an increasingly complex and regulated financial environment. Demand is also being driven by an aging population who have longer life expectancies and want to focus on retirement planning.

Employment for personal financial advisors is projected to grow by about 10% from 2022 to 2032 — more than double the average rate.

— U.S. Bureau of Labor Statistics

The ability to develop lasting client relationships, make sense of changing regulations, and communicate clearly about financial concepts will remain valuable for years to come.

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5 Steps to Becoming a CFP® Professional (+ How To Maintain Certification)

Becoming a CERTIFIED FINANCIAL PLANNER® professional requires a combination of education, certification, and hands-on experience. This career path comes with a lot of responsibility, so the process is designed to be rigorous, with each stage of the process enhancing your expertise and credibility.

Step 1: Earn a Bachelor’s Degree

Those interested in CFP® certification need to hold a bachelor’s degree from an accredited institution. The degree can be in any field, but majoring in business, economics, finance, or accounting can provide a very strong foundation for financial planning topics.

The bachelor’s degree can be earned before or after the other requirements. If you do not have a bachelor’s degree before sitting for the CFP® exam, you will need to earn it within five years of passing the exam.

Step 2: Complete a CFP Board Registered Program

Before sitting for the CFP® exam, candidates are required to complete specialized coursework in financial planning through a CFP Board Registered Program.

CFP Board Registered Programs are vetted to ensure that the coursework covers the core areas of financial planning.

• Foundational financial planning principles
• Insurance, investment, retirement, tax, and estate planning
• Risk management
• Psychological factors in financial planning
• Professional conduct and regulation
• Developing financial plans

Programs also must cover all 70 Principle Knowledge Topics, so coursework will go into even greater detail than the six core areas.

Boston University’s Financial Planning Program is a CFP Board Registered Program, and the comprehensive curriculum is closely aligned with the CFP Board’s learning objectives.

Step 3: Pass the CFP® Exam

logistical considerations to be aware of:

• The exam consists of 170 multiple choice questions
• It takes six total hours to complete the exam, divided into two sessions
• The exam is offered three times per year (March, July, November)
• The exam is typically taken in person at a testing center, but you may apply for remote proctoring
• You can register for the exam before your coursework is completed, so long you complete your program before you take the exam
• Accommodations are available for persons with disabilities
• Registration fees vary depending on how early you register for the exam

The test is rigorous, but manageable. Many candidates supplement their coursework with review sessions, practice questions, and group study.

Step 4: Gain Work Experience

In addition to passing the exam, candidates must also gain professional experience to ensure they can serve clients effectively. This experience also helps financial planners develop client-facing skills, deepen financial understanding, and establish their professional credibility.

The work experience requirement can be fulfilled through 6,000 hours of professional experience related to the financial planning process or a 4,000-hour apprenticeship that meets additional requirements.

These hours can be completed at any time during the preparation process. However, all experience hours must be completed within 10 years before and/or 5 years after successful completion of the CFP® exam.

There are many activities you can report as qualifying experience. Visit the CFP Board’s website to learn more about the specifics of what qualifies.

Step 5: Submit Your Application and Agree to Ethical Standards

Once you’ve completed all of the above, you’re ready to apply for your CERTIFIED FINANCIAL PLANNER® certification. There is an application fee, as well as an initial certification fee for accepted applicants.

The application process is also when you will officially declare your fitness to serve as a financial planner. The most important thing to demonstrate is that you always have, and will continue to, act in the best interest of your clients — not your own financial gain.

To meet the ethics requirement, you will:

• Review the CFP Board’s ethics resources (including Fitness Standards, Code of Ethics, and Standards of Conduct)
• Sign the ethics declaration within your application

From there, the CFP Board will conduct a background check and ensure your conduct meets its fitness standards. They will notify you if your application has been accepted, or if they need more information.

Step 6: Keep Your Certification Current with Continuing Education

Congratulations! You’re now a CERTIFIED FINANCIAL PLANNER® professional. You’ll want to keep your certification current to ensure that your work is up to date with evolving regulations, new financial tools, and best practices.

To maintain certification, you will also need to complete a renewal application every year, which includes a recertification fee. Every two years, planners need to complete 30 hours of continuing education, including two hours focused on ethics.

Should I Become a Financial Planner?

Financial planning can be a great career path for individuals who enjoy problem-solving, relationship-building, and lifelong learning. They need to be able to balance technical expertise with active listening so that they understand each client’s needs.

If these qualities align with your strengths, a career in financial planning can offer meaningful work and strong growth potential. Boston University’s online Financial Planning Program provides a flexible path to develop the skills needed to succeed and meet the education requirements for the CFP® exam.

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Frequently Asked Questions

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Build Your Future with the Financial Planning Program at Boston University

Boston University’s self-paced, fully online Financial Planning Program is made for professionals from all backgrounds and experience levels. Whether you’re changing careers or an established finance professional looking to expand your expertise, you’ll learn to deliver reliable financial advice and design client-specific plans.

You’ll finish the program as a thoughtful and responsible financial planner—ready to help clients build strong financial futures. This program also satisfies the educational qualifications needed for the CFP® exam.

As part of Boston University’s Metropolitan College, the Center for Professional Education (CPE) helps professionals adapt to changes in their industries, maintain best practices, and prepare for important certification exams. Taught by recognized industry experts, the Center’s high-quality, non-credit programs focus on updating knowledge, honing current skills, and developing new abilities.

Start your registration for the online Financial Planning Program and advance your career today!