RICP vs. CFP®: Comparing Designations for Financial Advisors

Professional designations can shed light on what an advisor does, and the types of clients they work with. The Retirement Income Certified Professional (RICP) and Certified Financial Planner™ (CFP®) are two popular certifications for financial advisors. There are several ways in which they differ in terms of training and professional focus. Being aware of those differences can help you determine which may better serve your specific needs.

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What Is an RICP?

An RICP is a retirement income certified professional. These professionals specialize in retirement income planning; they possess the knowledge and expertise to help clients:

Identify and understand their retirement needs and goals to determine if they’re feasible and realistic
Develop effective income plans for retirement that are tailored to the specifics of their situation
Evaluate risk factors that may affect retirement planning, including tax and estate planning issues
Utilize risk management tools to build retirement income portfolios

The RICP is offered by the American College of Financial Services. It was created to help meet the needs of an aging population for financial planning.

An RICP may help you shape your financial plan in a variety of areas, such as claiming Social Security benefits, managing company retirement benefits and developing a budget for a financially secure retirement. They may also cover health and long-term care, or offer advice on how best to draw down your retirement portfolio.

What does it take to become an RICP? Candidates must:

Have three years’ experience in financial planning or a related field
Complete two required courses and one elective course offered by The American College of Financial Services
Comply with The American College Code of Ethics and Procedures

Each course has a proctored exam that candidates must pass to earn their designation. Advisors who already have a CFP® designation or are credentialed as Chartered Financial Consultants (ChFCs) only need to complete two required courses.

What Is a CFP®?

A Certified Financial Planner™ (CFP®) can specialize in offering advice on tax and estate planning, investments and insurance, in addition to retirement planning. Some CFP®s take a broad approach, while others focus on just one or two areas.

While CFP®s usually have a particular specialty, they can help you create a comprehensive financial plan. They’ll help you take to:

Take stock of your assets, such as your cash, investments and properties
Evaluate your debts
Assess your goals

The requirements to become a CFP® are among the most rigorous in the industry. Applicants must:

Have at least a bachelor’s degree from an accredited college or university
Have three years of full-time financial planning experience or the equivalent part-time experience (2,000 hours per year)
Complete the CFP® Board registered exam or hold a qualifying certification, license or degree
Complete 30 hours of continuing education every two years
Meet CFP® Board ethics standards

Because CFP®s usually specialize in one specific area, they often hold at least one additional designation that corresponds to their area of expertise. This is where the overlap comes in. For example, a CFP® who deals with insurance might also be a chartered life underwriter (CLU).

There are dozens of financial professional designations like this. FINRA maintains a complete list of professional designations on its website.

RICP vs. CFP®: How They Compare

The RICP and CFP® designations are different and while some advisors hold just one, others may hold both. For example, a certified financial planner who specializes in retirement planning may also be an RICP. The table below offers a basic head-to-head comparison of the two certifications.

	RICP	CFP®
Issuing organization	The American College	Certified Financial Planner™ Board of Standards
Prerequisites	3 years professional experience	Bachelor’s degree or higher and 3 years’ experience or 6,000 hours part-time
Training requirements	3 courses (9 credit hours)	CFP® Board registered exam or hold a relevant license, certification, or degree
Continuing education	15 hours every 2 years	30 hours every 2 years

If you’re wondering which certification is best for you, think about what services you want. If you’re looking for an advisor to take a broad look at the entire range of your financial planning needs, a CFP® might be the right choice. For those looking simply at establishing a retirement income plan, though, an RICP might be better. If you want both, try to find an advisor with both certifications.

When Can Clients Benefit From an RICP vs. a CFP®?

An RICP is typically better suited for clients who are nearing retirement or already retired. For example, a 62-year-old planning to stop working in three years may need help deciding when to claim Social Security, how to draw down 401(k) and IRA balances, and how to plan for rising healthcare costs. An RICP is trained to focus on these income and longevity issues, making them valuable for clients whose main concern is turning savings into a reliable cash flow.

A CFP®, on the other hand, fits clients who need a broader financial roadmap. A 40-year-old professional may be juggling student loans, saving for a child’s education, investing for retirement, and considering life insurance. A CFP® can address all of these needs together and build a plan that balances long-term growth with present obligations.

High-net-worth clients or families often benefit from advisors who hold both credentials. A CFP® brings expertise in tax planning, estate strategies, and investments, while the RICP skills add depth to retirement-specific decisions. For example, a 55-year-old executive with a $3 million portfolio may want broad wealth management plus a detailed income plan for retirement. An advisor with both designations can deliver on both fronts.

Ask yourself:

What areas of financial planning are you most concerned with?
Where are you on your retirement planning journey?
What kind of expertise would you like your financial planner or advisor to have?

Bottom Line

The CFP® is a broad designation that encompasses all areas of personal finance. In contrast, the RICP focuses on issues specific to retirement planning and aging. Choosing between an RICP and a CFP® depends on where you are in your financial journey. If your focus is retirement income and aging-related risks, an RICP can help. If you need a comprehensive plan that covers all stages of wealth, a CFP® may be the better fit. In many cases, the strongest solution is working with an advisor who holds both certifications.

Tips for Financial Planning

A financial advisor can help you build a long-term financial plan. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Whether you need a CFP® or an RICP, it’s important to know how much money you will have in retirement. With Social Security and pensions covering less of the bill these days, you will need your own savings to cover your expenses. Use SmartAsset’s retirement calculator to estimate how much you should have saved.