Financial Planning Certificate Program

Uploaded by TexasCIE on 24.06.2011

Kenneth Price: Did I mention I've got Anne Gibson here. She's
a member of UT, an employee of UT and she'll be fielding questions throughout our program
that we can answer towards the end. I've got myself, Alan is with us as well, he's our program
coordinator. Alan Pilgrim: Hi everybody. KP: We'll have other people joining in as well.
What we would intend to do is to go over the program highlights.
And before we do that, I'm going to spend some time just talking about the CFP certification in general -
the benefits to it, pros and cons, that sort of thing -
and then I'll bring Alan out to discuss the particulars of UT's
program. I actually work full time as a financial planner here at Austin
Assest Management. We do fee only financial planning. And in our program at
UT, we do get a lot of career switchers and I, myself, am one.
I started.. graduated, actually back in '95 with an Electrical Engineering degree
which a lot of our students find of interest because we do get engineers in our program.
And so I finished the degree there, and it was while in that program that I took the class
'Personal Family Finance' and that's how I got interested in financial planning and realized that
I was more passionate about that then engineering. Worked for about a year as an MIS specialist
and then after that, went full time into an investment..investment arena
working at a full service brokerage firm about 10 years and
then after that, started working in Austin after that. So, been in the profession for about 14 and half years
and.. go through here and
give you an idea of what we intend to cover. I've mentioned
that I'll cover just the scope of the planning profession and how you can differentiate
yourself as a Certified Financial Planner practicioner. And then Alan will go over
specifics of what the University of Texas has to offer and then we'll both be online to
answer questions. If you do have questions, you are more then welcome to just send them. Those who are meeting in the box
you can just send them at will to Anne and she'll organize
and get those questions ready for us as well. The need,
as it stands out there, a lot of people have certain perceptions,
rationalized or unrationalized, about retirement planning and
so I included this stat in here. This is from the Employee Benefits Research
Institute. They do this every year. And just to get a sense of how people are feeling in regards to
retirement. And the information - I'm always blown away at the stats that they give out because
a lot of people assume or feel that they are okay for retirement simply because they're
expected to reach a certain age, whether it's 66 or 67, and they are going to live off social security.
And so the maximum social security, you are looking at about 25 or 30 thousand.
And in addition to that, people typically have 25,000, or somewhere around there, saved
and they expect that the money they get from Social Security, as well as, what they have built up, will last them
for the rest of their potential life. And we are finding that
of course, when you run the numbers, is not the case. A lot of people are in trouble, as far as how much they've saved for retirement.
There's less of an emphasis on
people go to work having pensions, and of course, there's plenty of doubts on what
the state of Social Security is going to be in the future. I've worked with clients who are retired
now, and I always tell them, when they have concerns about Social Security that really it doesn't impact them now,
it impacts me. I'm in my 30's about to be in my 40's, and so it impacts me.
If it's going to change for anybody, it's going to change for me. And that simply means it'll probably be a reduced
benefit or a further out retirement age.
Which means for me right now, it's 67 and it may get pushed back to 70. So that's one of the
big needs or demand for Financial Planners is to help people who are
planning for retirement to think about these things. Long ago,
it used to be that you would work for a company for 30 years, and then they would be able to pay you a pension
or benefits and take care of health care until medicare kicks in. Well,
you know, those days are behind us. There's not as many stout pension plans
in existence today. So a lot of people have to rely on what they have themselves.
Start saving money, not only putting towards Social Security, but saving money in a 401k
or IRA or Roth IRA, That's one of the things that we help,
as Financial Planners. Clients decide what to do and how to adequately plan.
The other thing, and I'm not going to hit evey point on the slide, but I do want to cover some..some of these
points. One of them, is this idea of information overload;
all the information that's out there. We, as financial planners, can utilize and help our clients. They can find out
on their own. There's internet access to sites like Yahoo Finance.
There's Smart Money, or there's a lot of financial journalists that
are blogging or writing about financial planning. Then they have access to magazines
such as Money magazine, Kiplinger's, they can also listen to CNBC's Squawk Box all day if
they desire. So, there is definitely, not a lack of information.
The problem is that it is too much and clients can get overwhelmed, especially with a lot of the information
out there that is conflicting. You can find articles out there that talk about why an IRA is
better than a Roth..or you'll see another article that talks about why a Roth is better than an IRA.
Well, it's our job as Financial Planners, to help go through that information and make it
pertinent and specific to the client and help them better understand which is right for them.
When we look at the markets in general, you know, there's people
who advocate using actively managed mutual funds. There's others
who advocate using passively managed or indexed mutual funds.
And, so, its our job as Financial Planners, to help clients decipher through that information
and realize what's best for them and what's going to give them the highest probability
of reaching their goals. And ultimately, it's about helping them have clarity, so
they are not stressed about what is going on in their financial affairs.
This uncertainty, we are definitely dealing with now,
and throughout. There's business cycles, not only with businesses but even in the financial
planning realm, where we are dealing with more uncertainty at times then others.
The late 90's, everybody was pretty confident about their retirement portfolios;
of how they were doing. It just seemed that every industry or sector was doing
well, no matter where they invested. And then, of course, you had the early 2000's
2001, 2002, where we had the internet bubble bursting.
We've had 2008, where pretty much every assest class people were invested in
didn't perform as well. Late 2009, didn't perform as well.
2010, things looked a little bit better. And now, we're back to where clients are a little bit
fidgety again, just because of what's going on in the middle east;
and how all of those different, political or environmental
events effect their portfolios. You know, you are constantly hearing things
about the national debt. So our job is
to help clients decipher through all this news, and say, 'okay, what..' you know, put everything in perspective and
talk about how this effects them. That's where the disconnect comes between clients.
They see the news. They don't really know how it impacts them or changes
financial affairs. To actually get the
certification.. that's not a requirement to be a Financial Advisor.
There's many ways or avenues into the financial advising or planning
profession and having Certified Financial Planner designation is
one of the ways to do it. It just so happens that this way
is probably the most beneficial to your career. It instantly demonstrates
your credibility; just like a CPA does with the accounting or tax
profession. Someone is looking for someone to give tax advice or to do tax planning
for them. They are usually looking for a CPA or someone who has that designation behind their name.
In the same way, Financial planning is no different, a lot of financial journalists will
write that when they're looking for or when you are looking for a financial advisor, look for someone who is a Certified
Financial Planner. So you will see that a lot from journalists.
There's definitely a way to differentiate yourself, and I'll get into
some of the demographics of the certification here in a little bit and I'll show you how
it can make an impact for those who are pursuing this as a profession or career.
The actual certification - obviously, the disclaimer is -
the award or certification is not given by the University of Texas. The University
of Texas just steps in and provides the educational component that is required to get the certification.
But the actual designation is awarded by the CFP Board and as such there's
requirements that I will go through here in a little bit. Some of the benefits
you'll see listed here. It's definitely in time
you've seen this in practice. I got my certification back in 2003, so
prior to that and now, it's definitely, in my career communicated that instant credibility
with clients. And without a doubt, it's enhanced my career and professional development.
And I'll show you how it does that. And it's definitely, helped me to perform; to
be able to help clients in a number of different situations. Just as I mentioned before, how do you decide whether you do an
IRA or a Roth IRA? How should I organize my portfolio?
Or will you review my insurance coverage and tell me how much life insurance I should need? Or
tell me how much I should have for my family? It's helped out in me being able to
acurately address those questions my clients have.
Looking at the financial aspect of it, here are some stats. In U.T.'s
program, we do get people who are already in the profession and they are wanting to elevate
their profession. And so, here are some numbers, as far as, if you've been within the profession for
1 to 5 years, you should see about a 40% increase in earnings on average.
And then longer than that, 6-10 years, you should see about a 60% increase in earning.
This is several years old survey, but the numbers should
not have changed as drastically. I mentioned that
I would talk about the demographics. There's currently 60,000 Certified Financial Planning
professionals in the U.S. And to give you some perspective,
that the number of Financial Advisors or those that hold themselves out to be Planners in the U.S.
that number is around 700,000. So you can see that
a little bit less then 10% are actually Certified Financial Planners.
Then the demographics they're 76% male, 24% female, that's
only to show that there is a lot of opportunity for females in the profession.
95% of the Certified Financial Planners do have a college degree. That number is only going to
go up because since 2007, it's now a requirement that you have to have an undergraduate
degree in order to actually get the certification.
Now, I'll just walk you through the actual process. I mentioned that
U.T. provides the education component and I am going to talk about that component and certification.
But then after the education, follows an exam and somewhere in between
either prior to the exam, during the exam or after, you've got to meet an experience requirement.
And then, sign an ethics statement. These
listed here, these are the 7 courses that are required for any
program to be accredited with the CFP Board. Now when you register for a program,
whether it's U.T. or sign up online at a program
you're usually going to see 6 courses. And the reason that you'll
see 6 courses, is that a lot of people will combine these 6 courses
they'll have Employee Benefits with either Insurance Planning or
Retirement Planning. And at U.T., they combine - we combine -
Insurance, or excuse me, we combine Employee Benefits with Retirement Planning.
And so, there will be six required courses. Now,
starting in 2012, the CFP Board is going to require
one additional course and that is Financial Planning Development.
And that is a Capstone course and that's where you're taking all the 6 or 7 disciplines, and combining
them into actually writing and developing a financial plan.
So that is one change, that you'll see within a year. But as of right now,
it's just these 7 courses.

The educational component, I listed here that
the CFP Board allows you to actually.. if you have any of these designations that are listed,
allows you to what they call 'challenge' the exam. And that just basically says, look, I've gotten the back ground,
I know a lot about the financial industry and so I feel comfortable
being able to go and take the CFP Board exam test. So they allow that for
those who are in that situation. What they'll usually do is - for instance, if you're a CPA
they may not go and take Income Tax Planning, but they may go and take a refresher course, like
Insurance Planning, because they may not be comfortable with insurance and they may take Investments;
they may not be comfortable with investments. But Retirement Planning, if you think about Retirement Planning
is a tax course because it's all about the rules and regulations associated with
different retirement accounts. So they may not take that, they may not take Income Tax Planning and they may feel comfortable
with Estate Planning if they've done a lot of form 706s or
form 709s which are Estate Planning forms, or even the form 1041.
So they may feel comfortable with that, but just pick up on classes where they're not as comfortable.
Definitely do that, and you can also go to the CFP Board and say, look, you know, my undergraduate degree or my
graduate studies, I've gotten a lot in terms of investments and I've covered
what would require an investment. So they can also review that, and say, look,
as far as the educational component, you don't need to take Investment. We see that you've got the background, so
now you are just required to take the other five. So, you are more then welcome to do that.
The second component of the four E's
that I mentioned is the actual CFP Board Examiniation. And this is
actually done over 2 days. Friday afternoon, you'll have a 4
hour exam and then Saturday morning you'll have a 3 hour exam and then you'll
have an hour break, and you'll go for another 3 hours in the afternoon.
10 hours over 2 days. You know, Alan and I will be the first to tell you that it's
not a, you know, exam to be taken lightly, as you can see with the pass rate.
It's 285 questions, of which, you'll have the Friday
afternoon session, there's going to be a case study that you'll answer questions from along with some
multiple choice questions. And you'll also have a case study in the Saturday morning session.
and Saturday afternoon session. That's probably about half - or not half -
actually about a third of the exam. And it's offered 3 times a year. Actually,
this weekend is the March exam. Those
are the three times. They don't have it Austin yet, but close by, San Antonio,
Dallas and Houston. I actually took mine in San Antonio, when I took it 7 years ago.
And they usually have it at a college location. For instance, in San Antonio, I took it at a school called the
Incarnate Word. There's
a link here, we get a lot of questions regarding experience and we put a link here in the slot
for the CFP Boards website where they'll have frequently asked questions.
But the bottom line is, it's the profession, they treat it like a apprenticeship and
so, before they will even award you the designation, they will require that you have 3 years of
industry experience. And what they are equating for 3 years of industry experience is each year
2000 hours. And so they give you 15
years time frame to get 2000 times 3 or 6000 hours.
And, as with any profession, they don't want your information that you've learned on the CFP Exams
or were tested on to get stale, so they give you this window to get this
exam experience or the financial planning experience. So it starts 10 years
prior to you taking the exam, and then 5 years afterwards. So within that 15 year period,
you've got to get those 6000 hours and that can be in different forms,
which is supervising people who are doing the work of financial planners or directly supporting
people who are doing financial planning or even teaching.
The.. teaching anybody in the area of financial planning.
And one of the things that Alan will get to or talk about is the topic list
and that's where the educational component is centered around. I'm going to pull up
and then if you havent seen it, we can get this out to you. But the educational component,
that U.T. provides - it's all based around
the topic list. And so this is an 8 page document. I'm going to minimize it.
You're not going to be able to read the print, but you'll at least see the sections. So here,
you'll see, you know, the fundamentals or the general prinicipals of financial planning.
If I flip over, there's a section coverage for Insurance Planning and Risk Management
and these are all the topics that are addressed within that particular class.
Here's our seperate section for Employee Benefits that we combine with Retirement.
You'll see that here as well. And then Investment
for Income Tax Planning and then here's Retirement Planning.
And, last but definitely not least, Estate Planning. And
you'll actually see the exam content coverage for each individual section.
And I bring this up as I talk about experience, because when the CFP Board is looking at
experience requirements, they are looking at whether you do anything
that relates to this list. For instance, if you are helping people
with budgeting or debt management, then that's
considered work experience. Or if you're working
in the mortgage finance, helping people with personal loans for
their mortgage; then that's considered applicable experience. So they are looking at anything
that touches on this list to complete that requirement.
The other thing, or the last 'E'
of the four 'E's is the ethics. And when you take fundamentals, which is one of the classes that we're offering
this session, one of the things that you study in
the fundamentals class is this
CFP Board Code of Ethics in Professional Responsibility. And so you're going to
study, as well as, be tested on on the CFP Exam and of course in class
the Code of Ethics and Professional Standards and Responsibility. And so, upon
completion - the course.. the course's completion of the
actual exam, and then ultimately, the
..going through slides here.. Ultimately, you'll find
an Ethics statement that you're going to adhere to that Code of Ethics and Professional Standards
and Responsibility. It will also ask you to disclose any past or pending litigation. And for more information,
I've also included a website there. Now I'm going to give it to Alan and he'll go over
U.T., the highlights of our program, and what U.T. has to offer.
Alan Pilgrim: Ok, Kenneth, I've lost my screen, can you continue with using the
clicker and advance the screen for me. KP: Absolutely. AP: You got that, Anne? AG: Yup.
AP: Ok, so our goals and objectives, is to prepare the credence
to deliver competent and professional and ethical financial planning. We are not really
a test prep course. What we are trying to do is educate you and.. and..
pass this body of knowledge that's needed to thoroughly understand the concepts and principles
but we do cover all the topics that are covered in the CFP
Board's Certification program. So, we do..
we do cover those areas as well. Next.
The .. Ken went over the core topic list, and that's included in our curriculum. We base
the Fundamentals Class on that list and based the Retirement Planning on the topic
that are listed under that heading. We have a traditional college text book curriculum
that may in fact be a text book with 15 to 20 chapters. So if
you're looking at an 11 week program or an 11 week course with a final
at the end, you are looking at covering a sizable amount of material in 10 weeks of class.
So, it is a graduate level course. It's very fast paced. So,
you should be familiar with that when you make your decisions.
Our program is based on real world application. All of our instructors are currently or have
in the past been very active in their fields. So, it's not so much a
imparting of whats in the text book, but they take the techinical material
and actually show you how it applies. They can bring up examples of
things that have happened to them and their experience. So, it's a real world application of that material.
Kenneth went over our courses, as he mentioned,
there are 6 main disciplines. 5 if you consider the Fundamentals
is, in fact, an overview of the other 5. You have the Fundamentals of Financial Planning. That course
covers the ethical process, plus it also goes into
a little bit of Insurance, the Tax Planning, the Investments, Estate Planning and Retirement as well.
And then the final course, which is our Capstone: Strategies and Case Studies, we
we've had this course in our program since it's inception. The
CFP Board has understood that it's important that individuals getting the certification,
know how to work on financial plans, and so they have instituted, as Kenneth mentioned,
this into the requirements for anyone studying for the the 2012 exams.
So, that's always been in our program. But with our course, you must pass
the 6 courses before taking the Capstone. To give you a little bit about
our strategies and case study. What it is is they.. a hypothetical case study is studied every week.
We bring in different instructors to cover the case with you, so you
get an idea of how different instructors approach different case
studies. We'll have the Estate Planning instructor come in one night and do a case.
We'll also have the Retirement instructor come in for a night; so it gives you a well rounded
view of how financial plans are put together.
So each course meets on one night a week, it's either Tuesday or Thursday night, from 6-9pm.
We operate on a quarterly system, which we break into 11
classes and as I mentioned, it's 10 weeks of class, a mid term that's take home
and then a final on the 11th night. It requires approximately,
6 hours of outside study each week and that depends on your familiarity with
the material, your study habits, it may be a little bit more than that. But you should
be able to allocate 6 hours. So that's 6 hours outside of class and 3 hours in the
class. We have a convenient location. It's the Thompson Conference Center, located on the north east edge of the
campus. There's parking available. And it's geared
towards working professionals. Our enrollment is limited. We don't have the auditorium sized classroom.
We have smaller classrooms. We have two of them allocated to
the program here at the Thompson. Our maximum enrollment will be somewhere around
30 students per class. So, you're going to have more interaction with the instructor and other people
in the classroom as well. So, how
long does it take to make it through the program? Well, most of my students
take less then 24 months. They usually take 1 course each quarter, which
is just one class a week. That is the way most of the people do it. You can get aggresssive
with it and really accelerate the program, taking 2 classes each quarter, which, come in on a Tuesday
night and take a class and then take a different class on the Thursday night. And you can get through
the 7 courses and earn the UT certificate in 12 months, if you get aggressive
with it. To understand that better, we talked about it takes 9 hours
to allocate to a class each week. If you're doubling up, and taking 2
classes, you're looking at 18 - 20 hours per week and that's a sizable load for this
graduate level course. So just take that into consideration if you're considering doing something like that. I've had people do it
successfully and it certainly can be done. But you just have to let your family
network and your friends know that you are going to need their support in getting through that.
The entrance requirements are a bachelors degree in any field;
it doesn't really matter if it's business or finance or whatever
and a proficiency in collegiate level math. Now the bachelors requirement,
is the product of the CFP. You have to have an undergraduate degree to use
the marks. For our specific program, we like to do that as well.
If there is anyone that wants to come into our program that doesn't have that yet, you can in fact
get into our program. We can take a look at your past experience and see if
you're ready to take graduate level courses, is our main concern. And in fact,
you can set for the CFP exam without having a bachelors degree, it's just the fact that
you can never use the marks. You can get through all the requirements, but if you don't get the
graduate degree, you can never use the marks. And the proficiency for math is simply
your dealing with numbers here. So anyone who doesn't have a good understanding of
numbers and the mathematical formulas are not going to be happy in the profession.
We have a very flexible program. We tried to center it around the
students and make it easy for them. Because that's really what we are doing is trying get them through
a certificate program and their success would become our success.
So we allow transfer of credit from other programs into our
course. We require that a minimum of four of the classes of the seven classes be taken
at U.T. to qualify for the U.T. certificate. The final class
the Capstone course, must be taken at U.T. but we take in
transfer requests all the time from students that - life comes up, they start to travel,
their boss sends them out of town for a while or things happen in your family,
illnesses have come up - so, we can understand that you can't keep
on our path the entire time. So maybe an online program was best for you for a while.
We allow that transfer request as long as they meet a certain standard that is that they
have a B or better in the class and
so, it has to be from a registered provider with the CFP Board.
So, for the graduation, it's fairly simple. You complete the 7 required courses
with a 70% or better grade and then we have an attendence
requirement, which would be attend 9 of the 11 class sessions for each
course. This line goes over what the approximate
cost would entail. You can see that the tuition is $645 per course, multiplied out
by the 7 courses. And then the books are - that's an average -
of $135. Some of them are more than that. The Capstone course you only need the
text the Kaplan Case Study book, which is $70.
So, it's much less than that as well. So that's an estimation of the cost of the program;
so, it's approximate cost. Then you'll see that there's a Board Exam
Board Application of $100 and then the cost of the Board Exam, giving your total
cost down below. The small writing at the bottom,
is an additional cost that is strictly optional to the
individual, but it something worth considering. Virtually everyone who sets for the exam is wanting
to make the most out of the last two years that they've invested in it and the money
that they've paid for tuition and going up against this exam with a
mid 50's pass rate, they want to increase their chances all they can, and so almost everyone
participates in an exam review course. And these are put on by national companies over
several days. They go through and review the technical materials that you've
gone through. They work problems and then they also coach you on how to take an exam. You know, what
common problems people encounter and how to avoid that and
study for your exam. So, there are different prices, price ranges,
so, that is something, another cost that you should consider in looking at the total cost.
You'll also need a
financial calculator. It's recommended. There are several available.
I've listed 5 here that you might consider using
all from Office Depot but the work horse of the industry is the Hewlett Packard HP12C.
Something like 80% of the advisories use it or people in the
professional field use it. So, it's the standard. But the other,
HP 17BII, 10BII, the TI - those are all
completely fine insturments as well, so.. the calculator is your choice.
So, how is our program
different? And you can go up to the CFP Board website and there's
a vast variety of - I think there's over 300
registered providers of the CFP, educational providers. So,
what makes our program different is that we focus on the practical and how to apply the knowledge that you
gained in the classroom to real life experiences. Our instructors are all experienced
practicioners. And we also have had the Capstone Course actually applying
in doing financial plans at the end of the
program since our inception in 2002. Then you're
looking at the commitment to education in teaching excellence, which is a hallmark of U.T.
And one thing that a traditional in-class program
can offer that is lacking in other methods is the
networking opportunities that you have. Foremost, perhaps, would be the instructors. These are all people that are
professionals, involved in the industry, in the local community, who can become mentors
and resources once you pass through and have graduated and
gone into practice yourself. And also, the time that you spend
in the classroom. You are with people of similar interest
people that are in the business, from all walks of life, are
other people that are trying to get into the business. So, it's a way of networking and
meeting people with similar interests. We've had students meet in the
class and decide to form a partnership after they graduated. I had a CPA
and a Financial Advisor team up and now they have a business and they are practicing here in Austin.
So, the networking opportunities, I think, are very important.
I'd like to go over just a few of our instructors. What we do is have an evaluation
we give to the students for them to evaluate the class and instructor at the midterm and then at the final
so that we can find out how we are doing with the class. These are some excerpts and comments
that we actually pulled off of those evaluations. It shows some of our instructors and
this is Pat Arnold. She's one of my instructors that actually
..she's not actually, currently practicing,
in the field, but she's had over 30 years experience. And
currently, right now, she's a lecturer at the McCombs Business School.
She does our insurance and she does a great job of actually making a difficult program easy;
the knowledge and materials being presented is great and uses examples to illustrate the
lesson. That's a pretty common comment I get through my instructors, that
they use examples to illustrate the lessons.
Next we have Brad Wiewel, he's a state attorney with
Wiewel law firm. He's been with the program for over 5 years. He's an excellent teacher.
He's the best instructor of the CFP series. You'd be surprised how many comments I have
for different instructors telling me the same thing. That they are the best
in the series. But Brad instructs with his colleague in the series, as well,
Paul. They work together at the Wiewel law firm and sometimes
when people do something in tandem in doesn't mesh very well, but they've done an excellent job.
They've been doing it together for 3 or 4 years now.
They are a very good team. Next, we have Todd Centurino.
He's actually a CFA; he works for the Teachers Retirement System
here in Austin but he's extremely knowledgeable, strong teacher, great presentation material
has real world experience. He teaches our Investments course;
he's very qualified for that and excellent at bringing the material.
So, I talked about our program flexibility.
We have an à la carte program, you pay as you go.
If you.. you can come in at any point. If life catches up with you, and you can't
continue with the traditional classroom course, you can set out
to other options, transfer the credit in. We also have the convenient night time
schedule for working professionals. You work your job during the day, study at night and makes
it very convenient. And we also have the multiple course offerings that allow you to
move through the program at your convenience.
The CFP Certification Examination, we
mentioned that the pass rate - the national pass rate- is in the mid 50's
for the years 2007, 2008, and 2009. The pass rate was 55% for the National
rate. The CFP Board gives us a report of our
students, and during that three year period, we enjoyed a 69% pass
rate. Its something for you to consider if you are deciding to go into
financial planning and get the CFP designation. You are going to want to look at the program that can give you
the best opportunities to get through that and I think that you will be very satisfied with our program.
Here I've listed the Spring-
Summer quarter. We're at the end of March, actually, it says April on our slide, but
the end of March, we are going to be starting our Spring quarter. We'll be offering Fundamentals, Retirement
Estate. Someone just now entering the program, would probably consider the Fundamental,
that's not a requirement, but by in large, most of my people spring board into
the program with Fundamentals. But that's not to say that I've had CPA's
start with Tax Planning before. I've had other people start with Insurance, because that was the
industry that they were in. But if you were starting in the spring quarter, Fundamentals would be
the most likely. And then moving into the Summer quarter, which would start
in June and run through September. We're offering Investments, Tax, and then the Capstone course.
So, your opportunity there would be either Investments or Tax; the choice would be yours on that.
Most people would probably go into Investments, I think.
Alright, here we show the Financial Planning Certificate program. This is the certificate of
completion that you get when you finish the U.T. program. And
your success will be reported to the CFP Board, and they will note that in your
application and you will be ready to set for the exam.
Finally, the last slide, we have
contact information. To register, you can go to our website and,
register using the shopping cart there. Or you can phone our registrar at the number provided and
give your payment information to them and they can process it that way. There's my
contact information if you have any other questions. That's it for the slide presentations.
I would be glad to answer questions at this point. Anne Gibson: Hi, Alan. This is Anne.
I do have a couple of questions that I've been sent. One of them
is do you help with job placement?
Alan Pilgrim: We don't have a formalized job placement center. I know that
people will realize that the University of Texas does, but that's where they're
enrolled students. We have.. what we can do and what we have done for our past students,
we have a very good reputation with the local companies,
high visibility. Kenneth actually is the past president of the Financial Planning
Association of Austin, so that's a local non-profit organization promoting Financial Planning.
So, they do offer a career day
every year. It was just in February, last month, but they invite
local companies to set up booths, and they collect resumes and they interview
people for jobs that they have open. And so, I have placed students in that.
In February, I heard from one student that he got 4 interviews and
2 offers and now he took one of those offers and he's currently working in
the field. So, we don't actually have a formal process, but we can help you with that.
There are times when a company will call me or email me and they are looking for interns, which would be
a great way for someone to get experience. So, I have those opportunities come up as well.
Anne Gibson: Excellent. I have a couple of more questions that just came in.
What are the kind of jobs that are available to a CFP?
Alan Pilgrim: Kenneth, can you handle that one? Kenneth Price: Yes, I definitely can.
It depends on what type of firm that you go to. That's when I
pulled up that topic list that shows you the breadth of the Financial Planning profession.
So, if you are specifically looking for comprehensive Financial Planning, then a
way to get a foot in the door is, as Alan mentioned, an internship at a Financial Planning firm.
Or even starting off as what they call a paraplanner and thats someone that directly supports
Financial Planners. Remember when I showed you the slide on work experience, there's the
line item for direct support. Well, that' specifically, what a paraplanner can do.
So those are some opportunities that are out there
and those are salaried positions. Now you can also go to a.. get into a insurance
firm, and help people in selling or getting them to acquire
life insurance, or health insurance or what have you. You can also work
at a Tax Planning firm. If you are more leaning towards doing a
taxes, or like that sort of work. There's a number of ways but
it really comes down to what you actually want to do. One of the
things that I do provide, that we provide in the Capstone: Strategies and Case Studies class is the practice
management session where we cover all the different avenues to
get a job in the profession. Anne Gibson: Okay, excellent.
What else do I have? I have one more; I have two more questions. One is
how do I gain the required experience? Alan Pilgrim: Oh, I can
help with that. You know, as I mentioned, sometimes I get requests from firms asking for interns
I've placed people in that. That would be for someone perhaps that are
career changers. And that's.. that they haven't worked in the industry before and they are trying to break
into it. So the window that Kenneth mentioned. The window that gets your
experience is 10 years prior to the exam and 5 years after the exam. So,
if you were to start the program, say this year, and it takes you two years to get through the program,
you've got a two year period that you can be working on it prior to studying for the exam and then five years
after that. So you have a 7 year window at this point if you've never done anything in the past that qualifies.
So, you can get your experience by
volunteering for a non-profit organization that helps people. Like we have a local
organization here called Community Foundation. Their clients come in
they need help and our students have volunteered time to be financial coaches
advising them, their clients, on how to keep their
bring their credit rating in line, and help them manage their bills.
Community Foundation also asked for some tax preparers, so that their
some free services that their clients can have in that area. And
the Foundation will document your time and provide you with the documentation you need to present
to the Board to show you have experience. Some of my
students have also did part time work for some of the
tax preparation companies. That way they get paid for their experience
as well. So that's another avenue that you can gain the experience needed.
Kenneth Price: One thing I will add to that also, is with the Financial Planning Association
they have what's called a residency program. And think of this as the strategy
and case studies class, but done in a weekend or over 4 or 5 days.
If you attend those types of sessions, and they do it at different colleges around the nation,
those provide six months of work experience. The CFP will recognize
us for that because of how much content is covered and what's done in those. I think it's up to like
6 months that will cover or take the place of work experience.
Anne Gibson: Wonderful. So it sounds like you can get.. There's a lot of different options.
at getting experience, before, during and after. I just have one more
question for you, Alan. When is the last day that people can register for this.
Alan Pilgrim: We don't really have a drop dead deadline. In fact, you could
register the day of the class, if that's what you are wanting to do. But I recommend
to people that they.. I think we put down a date of March the 18th for this
session. That would be tomorrow or Friday. You could do it the first part of next week but what is
important is.. that you get registered, you get processed and then you get the information
for the classroom information and the text book information, because you'll need to procure
the textbooks and then read the material for the first class assignment to get caught up.
Of course, if you wait and put that off till later, it's going to be
harder to get in to get ready to prepare for the first class. So, we would say March 18th
for this coming session. But if you wanted to get in later, we could certainly do that.
do that as well. More flexibility in our program. Anne Gibson: Okay, well that's all the questions
that I have. If you guys have anything else to add. I think that's all we
have. Kenneth Price: No, that's it for me. But I would ask anyone
if they had any further questions, or if anything comes up later on, you have my contact information.
And if there is something that you don't understand, or something that you are trying to work around.
It's probably something that we dealt with before and we'd be glad to help you with it. And I appreciate everyone
for showing up today. AG: Ok, thanks guys.
AP: Thank you. KP: Bye AG: Alright, thank you. See everybody later. Bye-bye.