Jul
22
by Chia-Li Chien, PhD candidate, CFP®, PMP® July 22, 2018
Dr. John Grable introduced the help-seeking 5-step framework for financial planning in 2001 research. Help-seeking means a person intentionally seeks help from a secondary source. Chia-Li Chien describes a medical situation resulting in seeking a doctor’s help. Then she describes a succession-planning scenario resulting in her client seeking her advice. Both scenarios demonstrate the help-seeking 5-step process. What triggers help-seeking in financial planning? Buy-sell agreement triggers may apply (death, disability, termination of employment, retirement, bankruptcy or insolvency, divorce, or loss of professional license), but other common triggers include health problems, emotional and physical drain from owning the business, family pressures, lack of capital, and company struggles. Clients should know to seek help when business and personal pressures mount even though there may be a buy-sell agreement in place. Five common plans for business sustainability will help the business owner.
Jul
19
Here’s Why Becoming a CFP® Pro Might Be For You
With many recent graduates looking a rewarding career with growth potential, work-life balance and satisfaction of helping others, the profession of financial planning should be top of mind.
Demand for financial planners is growing. In fact, it’s expected to grow 4 times faster than other occupations, according the Bureau of Labor Statistics. And there are financial rewards, with the Bureau reporting that financial planners earn a median salary of $89K.
A career in financial planning also provides you the opportunity to make a difference in lives of individuals and families by helping them reach their life goals. “There’s so much transformation in one’s life when they get their finances together,” says Brittany Castro, a Los Angeles-based CFP® Professional. “It’s a great feeling because I know I helped them get there.”
By becoming a CFP® Pro, you can further distinguish yourself with employers in the financial services industry who are increasingly seeking out CFP® certification as the most desired credential in this growing field. Today’s CFP® Pros are key parts of their communities, helping people achieve their dreams through financial planning. From budgeting and planning for retirement to managing taxes and insurance coverage, CFP® pros help their clients bring all the pieces of their financial lives together.
Check out 5 facts that might surprise you about a career in financial planning:
- It’s not all about math. The key to a flourishing career in financial planning is creative problem solving, relationship building and communication skills. CFP® pros help people take a holistic, “big picture” look at their finances to help them reach their life goals
- It offers freedom and flexibility. Talk to successful CFP® professionals and you will learn that what they value the most in their work is the freedom and flexibility to balance their personal and professional lives.
- Demand for financial planners is growing. Job growth for financial advisors is expected to grow 4 times higher than other occupations, according to the Bureau of Labor Statistics.
- It’s not a one-size-fits-all career. From striking out on your own to working at firms big and small, there are a variety of career pathways for CFP® professionals. In 2014, about 1 in 5 personal financial planners were self-employed, according to the Bureau of Labor Statistics.
- It allows you to build your future by helping others. This exciting career brings personal satisfaction of helping others, as well as financial rewards. According to the Bureau of Labor Statistics the median pay for personal financial planners is $89K.
Contact clugrad@callutheran.edu or (805) 493-3325 to learn more about our MBA in Financial Planning degree Program Tracks.
Additional Resources Available from CFP Board
- Visit I am a CFP Pro website to see videos and stories from real CFP® pros and why they chose a career in financial planning
- Request a copy of the Professional Advantages of CFP® Certification guide to learn why the CFP® certification matters
- Learn about scholarship programs available from the CFP Board Center for Financial Planning to enable qualified individuals to complete the education requirement for attaining CFP® certification
- Search the CFP Board Career Center for job and internship postings, support and mentorship
Jul
19
CFP® Examination Update
The most recent administration of the CFP® Certification Examination took place during a testing window of July 10-17, 2018. Official results will be released to exam takers during the week of August 16, 2018.
The final CFP® exam administration of 2018 will take place during the testing window of November 6-13, 2018. The November 2018 CFP® exam will be the first to test the federal tax law changes adopted in January 2018.
Discounted Early Bird Registration is available now through September 12, 2018. Please encourage your qualified colleagues to continue their pursuit of CFP® certification, and remind them to register for the CFP® exam early for the best date and site availability. Learn more and register at www.CFP.net/exam.
Resources for Colleagues on the Path to CFP® Certification
Growth in the number of CFP® professionals strengthens the profession and the certification. These resources to help a colleague along the path to CFP® certification.
- Why CFP® Certification guide that outlines the reasons pursuing CFP® certification is a great career move.
- CFP® Exam Candidate Preparation Toolkit, which helps candidates develop study strategies, manage time and build support from employers and peers as they prepare for the CFP® Exam.
- Watch video of CFP® professionals discussing the different pathways they took to gain the professional experience required for CFP® certification.
- Refer your colleagues to CFP Board so we can introduce them to CFP® certification on your behalf.
May
9
by Chia-Li Chien, PhD candidate, CFP®, PMP® May 9, 2018
Strategic Succession Planning Allows You to Smoothly Sail into the Sunset
Is your retirement dream to sail into the sunset on the profits from cashing out your business? Following this advice can make the difference between sailing on a yacht or a dinghy.
You may be surprised to learn that one-third of all businesses in the United States closed without the owners’ cashing out, according to the Small Business Administration, as cited in my book Work Toward Reward. One-third of U.S. businesses transfer internally, and one-third sell to third parties. However, according to the 2015 Capital Markets Report by Pepperdine University, 11 percent of those who sell to a third party never close the deal due to insufficient sustainable cash flow.
The lesson? To finish well, you need careful succession planning now.
This article will help you prepare for your business succession to transition you into retirement with practical succession planning strategies to reduce risk while you build equity value. (Read this article originally published in May 2018, Speaker Magazine from National Speakers Association.)
May
8
by Chia-Li Chien, PhD candidate, CFP®, PMP® May 8, 2018
“Succession is the process during which managerial control of the business is transferred from one generation to the next: it includes the dynamics preceding the actual transition as well as the aftermath of the transition,” according to a research study in 2000 (Shepherd & Zacharakis, 2000). For family businesses, there are greater challenges. Some families want to have control remain in the family; some prefer to sell to third parties. But only 23% of family businesses have formal success plans in place, according to PwC’s eighth family business survey (PwC, 2017). Without a formal succession plan in place, especially for internal transfers, the next generation may not have the attitude, aptitude and readiness to take over or assume leadership responsibility.