If you are planning for a future in finance, you should know that a professional does need accounting degree to become a financial planner. As a finance expert who advises individuals and helps them face their personal financial challenges, you need to be trained in the sector and prepared to deal with clients in an emotional state. While some planners that are working in finance do not have a degree, people who want to start a new career path in today’s competitive financial planning industry will need to have formal training under their belt. Read on, and learn just what type of degree is best for Certified Financial Planners.


What Type of Degree Do You Need?

The qualifications to become a financial planner are much more stringent than the requirements to become an adviser. If your goal is to become a professional who offers advise on investment strategies and tax planning services, getting your CFP credential is a must. Certified Financial Planners have an extensive education so that they can learn the ins and outs of the sector. You will need a Bachelor’s degree at a minimum but may want to complete a graduate degree program to expand your knowledge. You can major in business, finance, economics or a related area that requires you to complete coursework in finance, investments, business, marketing, management, economics and ethics.

What Are the Eligibility Requirements to Become a CFP?

The Certified Financial Planner Board administers the national examination so that those who meet the training requirements can test for their credentials. If your ultimate goal is to work as a financial planner with your certification, you will need to first meet the eligibility requirements before you can sit for the exam. Before you are eligible to test, you must hold a bachelor’s degree from a regionally accredited college. The college must be registered with the board and address the financial planning areas that are important in personal planning. Some of the courses that you must take include:

  • Insurance planning
  • Income tax planning
  • Principles of financial planning
  • Estate Planning
  • Retirement planning
  • Professional conduct & ethics
  • Capstone course in financial plan development

Why is Getting Certified So Important?

In the financial planning industry you are handling something that is most important to people, which is their money. If you are contemplating becoming a finance professional, but you are not convinced that getting certified is best, you need to understand why the credential is crucial. By holding a CFP credential issued by the Financial Planning Association, you can show investment firms and prospective clients that you are committed to the industry and an expert in personal finances. The credential is prestigious, requires experience, and includes a strict code of ethics that CFP’s stick to.

Related Resource: Financial Accounting

It is important that you plan for your financial future before making any type of career change. If you want to pursue a title that is going to pay well and keep your family living comfortably, knowing the average salary reported in financial planning is imperative. Currently, the national average reported by the Bureau of Labor Statistics is $90,820. The actual salaries vary dramatically from region to region and setting to setting. Since you need accounting degree to become a financial planner, be sure that you price the cost of a degree and choose a practical accredited program.