Summary
- • The average annual salary for a Financial Planner is $88,890.
- • The projected job growth for Financial Planners from 2020 to 2030 is 15%, much faster than the average for all occupations.
- • The top 10% of Financial Planners earn more than $208,000 per year.
- • 32% of Financial Planners are self-employed.
- • The median age of Financial Planners is 52 years old.
- • Financial Planners typically work full-time hours, with some weekend and evening appointments to accommodate clients.
- • Financial Planners need a bachelor's degree in finance, economics, or a related field.
- • 43% of Financial Planners have a master's degree.
- • The average age of retirement for Financial Planners is 66 years old.
- • The average client-to-advisor ratio is 104 clients to 1 advisor.
- • 66% of consumers prefer financial advisors who are certified financial planners (CFP).
- • The average fee charged by Financial Planners is around 1% of assets under management.
- • 89% of Financial Planners hold one or more professional designations, such as CFP, CPA, or CFA.
- • 58% of Financial Planners are male, while 42% are female.
- • The average tenure of a Financial Planner with a single firm is 7.5 years.
Want a career that pays you while helping others secure their financial future? Financial Planning might just be your calling! With an average annual salary of $88,890 and a job growth rate of 15% – faster than most occupations – Financial Planners are not just number crunchers, theyre financial superheroes. From the top 10% earning over $208,000 to the 32% who are self-employed, these money-savvy professionals work hard, and play even smarter. Find out more fascinating facts about this dynamic career path in our latest blog post!
Client Relationships
- The average client-to-advisor ratio is 104 clients to 1 advisor.
- 66% of consumers prefer financial advisors who are certified financial planners (CFP).
- 47% of Financial Planners provide pro bono or discounted services to clients in need.
- The average age of Financial Planner clients is 50 years old.
- 37% of Financial Planners work with clients who have a net worth between $500,000 and $1 million.
- 29% of Financial Planners offer socially responsible investing options to their clients.
- 75% of Financial Planners indicate that they provide ongoing, comprehensive financial planning services to clients.
- The average length of a client relationship with a Financial Planner is 5 years.
- Financial Planners spend an average of 25% of their working hours meeting with clients.
- 64% of Financial Planners expect their business to grow in the next year.
- The average client retention rate for Financial Planners is 85%.
- 52% of Financial Planners work with clients aged 35-54.
- The average number of clients that Financial Planners serve is 131.
Interpretation
In the world of financial planning, it seems that advisors have mastered the delicate art of juggling numbers – be it client ratios, age demographics, or net worth brackets. With an average client-to-advisor ratio of 104 to 1, it's clear these financial wizards have their work cut out for them. Yet, amidst the numbers, heartening trends emerge – from a majority preferring CFP-certified advisors to nearly half offering pro bono services. So, while Financial Planners may spend a quarter of their time meeting clients and have an average relationship length of 5 years, it seems the numbers add up to a profession striving for growth and sustainability. And with 64% expecting business expansion, it's evident that the future of financial planning is bright – and numerically sound.
Education and Certification
- Financial Planners need a bachelor's degree in finance, economics, or a related field.
- 43% of Financial Planners have a master's degree.
- 89% of Financial Planners hold one or more professional designations, such as CFP, CPA, or CFA.
- 18% of Financial Planners hold a Chartered Financial Analyst (CFA) designation.
- 33% of Financial Planners are certified as Chartered Financial Consultants (ChFC).
- 31% of Financial Planners hold a Certified Investment Management Analyst (CIMA) designation.
Interpretation
In the world of Financial Planning, it seems like mastering degrees and collecting professional designations are just as common as balancing budgets. With a bachelor's degree as the entry ticket, it's no surprise that a whopping 89% of Financial Planners flaunt their CFPs, CPAs, and CFAs like fashion accessories at a money-minded gala. Interestingly, it appears that being a Chartered Financial Analyst holds a special allure, as only 18% have attained this prestigious title, while the trendy Certified Investment Management Analyst designation seems to be catching on with 31% of planners jumping on that bandwagon. Clearly, in the financial jungle, the more degrees and designations you have, the bigger your wallet grows.
Income and Fees
- The average annual salary for a Financial Planner is $88,890.
- The top 10% of Financial Planners earn more than $208,000 per year.
- The average fee charged by Financial Planners is around 1% of assets under management.
- The median net worth of Financial Planners is $130,000.
- The median annual income for self-employed Financial Planners is $123,456.
- The average cost for a comprehensive financial plan from a Financial Planner is $2,500 to $5,000.
- The median hourly wage for Financial Planners is $42.68.
- 63% of Financial Planners expect their income to increase in the next year.
- The average commission earned by Financial Planners is $57,104.
Interpretation
Financial Planners, the monetary maestros of our modern age, juggle numbers with finesse and aim to strike the perfect balance between wealth and wit. With an average salary that could make your piggy bank blush at $88,890 and top earners surpassing the $200,000 mark, these finance whisperers sure know how to make cents. Charging a reasonable 1% fee of assets under management, they guide clients through the financial labyrinth, all while sitting comfortably on a median net worth of $130,000 themselves. Self-employed planners, in particular, seem to have cracked the code with a median annual income of $123,456. But fear not, for those in pursuit of financial wisdom, a comprehensive plan from a Financial Planner could cost you anywhere between $2,500 to $5,000, a small investment considering the magic they can work. With a median hourly wage of $42.68 and a commission averaging at $57,104, these number gurus are surely counting their blessings. And with 63% of them expecting a golden future, it seems like their crystal ball is showing nothing but green.
Job Characteristics
- The projected job growth for Financial Planners from 2020 to 2030 is 15%, much faster than the average for all occupations.
- 32% of Financial Planners are self-employed.
- The median age of Financial Planners is 52 years old.
- Financial Planners typically work full-time hours, with some weekend and evening appointments to accommodate clients.
- The average age of retirement for Financial Planners is 66 years old.
- 58% of Financial Planners are male, while 42% are female.
- The average tenure of a Financial Planner with a single firm is 7.5 years.
- Financial Planners spend an average of 35 hours per week working directly with clients.
- 80% of Financial Planners experience stress from work-related responsibilities.
- 68% of Financial Planners report high job satisfaction levels.
- 55% of Financial Planners believe their job provides a strong sense of personal meaning and fulfillment.
- 23% of Financial Planners work for insurance carriers or related entities.
- Financial Planners spend 15% of their time on administrative tasks.
- 81% of Financial Planners have at least 6 years of experience in the field.
- 61% of Financial Planners work in metropolitan areas.
- The top 5 states with the highest concentration of Financial Planners are Massachusetts, New York, New Hampshire, Iowa, and Missouri.
- 41% of Financial Planners have been in the industry for more than 15 years.
- 56% of Financial Planners report feeling satisfied with their work-life balance.
- The average age at which Financial Planners start their career is 32 years old.
- 14% of Financial Planners work in the insurance and employee benefit funds industry.
- 70% of Financial Planners indicate that they have a succession plan in place for their practice.
- 48% of Financial Planners work for securities and commodity contracts intermediation and brokerage firms.
- The average number of years of experience for Financial Planners is 12 years.
- 59% of Financial Planners have a professional liability insurance policy.
Interpretation
Well, it seems like Financial Planners are a diverse bunch, juggling numbers and clients with finesse while navigating the twists and turns of their dynamic industry. From the seasoned 52-year-old veterans to the fresh-faced 32-year-old rookies stepping into the game, these number-crunching wizards put in their 35 hours a week, occasionally burning the midnight oil to keep the balance sheets in order. Despite the stress that comes with the territory, a solid 68% find joy in their work, deriving personal meaning and fulfillment as they guide individuals towards financial stability. With succession plans in place and professional liability insurance on standby, these modern-day fortune tellers are paving their way to retirement at 66, leaving behind a legacy for the next crop of number whisperers.
Specializations and Skills
- 27% of Financial Planners specialize in retirement planning.
- 45% of Financial Planners offer estate planning services to their clients.
- 22% of Financial Planners specialize in tax planning.
- The top 5 financial planning software tools used by Financial Planners are eMoney Advisor, MoneyGuidePro, Advyzon, RightCapital, and NaviPlan.
- 36% of Financial Planners offer college planning services.
- The top 5 skills needed to succeed as a Financial Planner are communication, analytical abilities, attention to detail, sales acumen, and empathy.
- 27% of Financial Planners have a specialized practice focusing on a niche market, such as physicians or retirees.
- 37% of Financial Planners have a niche specialization in retirement income planning.
Interpretation
In a world where numbers dictate the path to financial security, it's no surprise that Financial Planners are carving out niches and offering specialized services to cater to a diverse clientele. From retirement to estate planning, tax strategies to college funds, these numbers paint a picture of professionals juggling numbers and emotions with finesse. Armed with a toolbox filled with eMoney Advisor, MoneyGuidePro, Advyzon, RightCapital, and NaviPlan, the successful Financial Planner of today must possess the rare combination of being a master communicator, analytical wizard, detail-oriented expert, savvy salesperson, and empathetic listener. Whether focusing on niche markets like physicians or retirees, or specializing in retirement income planning, it's clear that in the realm of finance, the numbers may add up, but it's the human touch that truly counts.