Career in Financial Planning
The Career in Financial Planning could be super-rewarding if one naturally has the dream of being self-employed. A Financial Planner would not just make a difference in others’ lives; what flows through him would always stick to him so well. It will be like the teacher can learn more than the students. If chosen to work for corporates, a Financial Planning Analyst will be responsible for making Operational, Financial, and Strategic decisions for the senior management. In addition, they will work with the Treasury team to discuss the cash flows and the expenditures directly with the development of any venture.
Educational Requirements for a Career in Financial Planning
The basic qualification is the Bachelor’s degree in the streams such as Accounting, Finance, Economics, Business, Mathematics, or Law.
A strong fundamental in accounting and understanding the financial statements are a must. Taking courses in Financial Planning is the best to achieve it. Being skilled in Excel and its shortcuts, formulae, and functions are expected. There are Excel courses to sharpen. Adding further to these, Performing valuation and financial modeling should be learned through Advanced Financial Planning courses. Good knowledge of cash flow modeling is also appreciated.
For students with the above qualifications, there are flooding opportunities in several sectors. One must be CFP (Certified Financial Planning) certificated as it is one of the prestigious courses accepted and respected by the Global Financial Community. Companies also tend to give importance to professionals with certifications. It is ideal for students who are done with their graduation in commerce.
Career Path in Financial Planning
The levels of remuneration differ in the market for the areas where the Financial Planners are needed. Therefore, one should be in constant touch with the market changes in the Financial Planning Strategies, Products, and Trends in order to provide the best advice to the clients.
A career in Financial Planning would benefit anyone in the following ways:
- With the advent of the internet everywhere, there are a lot of people who want Financial Advice from professionals for their Financial decisions and investments.
- Certified in Financial Planning would be recognized across the Globe.
- Even as a student, one could be empowered by providing advice and services to Individuals.
- Not just gratification, it could also give one the most important work satisfaction which many other fields lack.
- Even as an individual, it helps one get hold of the Financial Planning for himself.
- The competition is very less as there are only countably fewer people in the field.
Job Positions or Application Areas for Career in Financial Planning
One could expect opportunities in sectors like:
- Banking and Finance
- Wealth and Money Management
- Income Tax Planning
- Funds Management
- Portfolio Management
- Investment Banking and Consultancy
- Retirement Planning
- Insurance Products and Investments
- General Insurances
- Financial Advisory Services
- Real-Estate Planning
- Financial Products Designing
- Financial Products Marketing
The National average salary for an entry-level Financial Planning analyst would be around 4.61 Lakhs per annum which is referenced from Glassdoor.com.
In addition to the salary, a Financial Planning Analyst could also expect Profit sharing from any company and also the commissions.
With reference to the information provided on Payscale.com, a Financial Analyst earns up to 1 million per year.
Career Outlook in Financial Planning
The important factors that could make one a successful Financial Planning Analyst are his high degree of proficiency in analyzing the accounts-related data. One must also possess the skills to determine economic, statistical, and financial risks and organize the real-world solutions in every project he involves. With years of expertise, and Financial Planning analyst will be expected to mentor a team of analysts. Which would comprise tasks like assigning tasks, reviewing them, determining risks and their rewards? They should also motivate others in developing new skills and enhancing their existing skills.
Any small-big-sized company would require a financial planning analyst. The size of the company and the work environment shall vary, but the important task includes providing support to various areas of the company importance that the position holds doesn’t. The roles and responsibilities could include traveling between officers or even globally. However, as the complexities of the work may vary from company to company, the role that any financial analyst is required to satisfy will also vary according to subject to the business and the critical deadline for money to the management.
The roles and responsibilities include providing financial analysis and support to various areas of the company; Preparing detailed annual financial budget and monthly financial forecast for the company and the management; assisting with the preparation of weekly, monthly, and quarterly financial analysis schedules of the actual vs budget variances of the company and its management. The proof of becoming a financial advisor or a financial planning analyst is that the role will provide a range of opportunities that is not widely available in many career fields. In addition to offering valuable advice to the clients, the financial planning advisors will also have the privilege of having unlimited earning potential and flexibility in work schedules and would also have control over the practice.
In a world full of consumers, it is very important for anyone to choose the most rewarding career. Unfortunately, in general, consumers are all too often overwhelmed and confused regarding their choices in investments or the insurances that they should opt for. So here comes the role of the financial advisor, who has the privilege of playing a pivotal role by educating the client in taking suitable decisions to succeed in financial life. The success of any client will equate to the success of a client’s financial advisor.
Finding a balance between the work and financial life would be challenging for any professional, but for someone who would choose to be a financial advisor, it is easy to have the privilege of limiting his working hours. And he could also choose to be a seasonal advisor and take advantage of scheduling the client meeting based on his personal calendar.
The projected growth rate would be around 15% by the end of 2024, which is significantly higher than the average job outlook, which would be around 7 percentage according to the bureau of labor statistics.
This has been a guide to Career in Financial Planning. Here we have discussed the education, career path in financial planning, job position, salary, and career outlook in financial planning. You may also look at the following articles to learn more –