The Fundamentals of Financial Planning course is the groundwork for the rest of the required courses. It covers constructing financial statements, business structure, budgeting, comprehensive financial planning and how to gather customer data. The course also covers ethical and professional expectations in the financial market.
CFP students learn about personal insurance, including life and medical. The curriculum includes understanding and advising disability issues, Social Security and insurance investments. At the completion of this course, students can advice clients on all types of insurance and the best investment methods involving insurance.
Investment planning courses provide students with the skills to recognize good investments and the methods used to create profitable portfolios. Market regulation, real estate, risks, return, and domestic and international financial markets are among the topics studied. Students learn how to help clients achieve their financial objectives through proper investment planning.
Students learn comprehensive tax methods that benefit individuals and businesses. Laws governing tax reporting, terminology, penalties, ethics and tax planning are critical aspects of the course. In addition, students learn how to gather information for tax returns that may be complicated by investments, divorce, real estate and perhaps employee benefits.
Learning estate planning gives the new planner skills to give comprehensive advice to clients looking to create a comfortable financial future. It includes federal estate taxation, gifts, trusts, business, life insurance, divorce and estate planning. Also included are wills, probate, power of attorney and living wills.
Business plans that include employee retirement plans and benefits are covered through the study of IRAs, tax-sheltered annuities, retirement plans, Social Security, Medicare, group insurance benefits, tax deductions and distribution options.
The road to certification as a financial planner begins with the four E's: professional ethics, education, experience and examination -- the certification test, which covers 10 hours over two days.