What Is a Certified Financial Planner™ (CFP®)?

The Certified Financial Planner™ or CFP® designation is a widely recognized and popular certification that many financial advisors and financial planners earn. A CFP® can help you create a financial plan to set you on track to reach your long-term goals, like retirement, sending your child to college, buying a home or just about anything else. These professionals often have specific areas of focus, such as tax planning, estate planning, insurance planning, retirement planning, investing and more.

A financial advisor will answer all your questions about credentials, fees, and investment philosophy so you can decide if they meet your needs.

What Is a Certified Financial Planner™ (CFP®)?

A CFP® is a financial advisor or financial planner who has met extensive education, examination, experience and ethical requirements. CFPs® typically work with clients to determine their financial goals and build a plan to reach them. They can help make financial decisions and offer recommendations on taxes, investments, retirement accounts and more.

To earn the CFP® credential, advisors must pass strict requirements that involve ongoing education, experience and exams. These exams are distributed and managed by the Certified Financial Planner Board of Standards, Inc. If you’re looking for a financial advisor who will focus on helping you with your financial plan, a CFP® can help.

How to Become a Certified Financial Planner™

According to the CFP Board’s website, candidates must prove themselves across the “4 E’s” to become a CFP®. These “4 E’s” stand for education, experience, exam, and ethics. The CFP Board will also conduct a background check on all candidates. Candidates must also disclose to the board any criminal history, customer complaints, or employment issues.

Candidates must hold a bachelor’s degree from an accredited university or college. You won’t need the degree to take the CFP® exam, but you will need it for certification. CFP® candidates also need further financial advisor education. This includes a college-level program of study in personal financial planning and a CFP Board-registered capstone course. If you already hold a higher business degree (CFA, CPA or others), you may be able to skip some of these requirements.

Of course, taking classes isn’t everything. The CFP Board requires candidates to prove they have completed 6,000 hours of professional experience in the field. Someone with 4,000 hours as an apprentice may also qualify, though additional requirements apply. ¹

CFP® Exam

In accordance with the next “E,” candidates must take the CFP® exam. To do this, you must have already completed and documented the CFP Board coursework requirements. This computer-based exam comprises two three-hour sections with a total of 170 multiple-choice questions. Questions cover topics like professional conduct, communication, risk management and more. As of October 2026, the exam’s historical pass rate for the last 10 years was 63.4%. However, 66% of candidates passed the exam that was administered in July 2026. ²

Finally, the CFP Board requires credentialed financial planners to adhere to specific ethical standards. CFPs® must apply this code of ethics and standards in their practice. Specifically, this means that CFPs® must practice integrity, fairness, competence, confidentiality and objectivity. Advisors with the CFP® certification have a fiduciary duty to act and advise in your best interests and not their own when providing financial advice.

Continuing Education Requirements for CFP®

Once a person has fulfilled the “4 E’s,” they may receive the prestigious title of CFP®. It’s good to keep in mind that even if you pass all four, the Board still holds the final say in whether a candidate earns the certification.

That’s not the end of it, however. In order to maintain integrity in the certification, CFP® professionals must renew their certification every two years. This requires another application and completion of further education.

The 30-hour continuing education requirement includes 28 hours of education covering CFP Board principal topics and two hours of CFP Board-approved ethics education. This renewal ensures that all CFPs® maintain and update their knowledge on financial matters on a regular basis. Starting after the first quarter of 2027, the CE requirement increases to 40 hours every two years. ³

Should I Work With a CFP®?

Again, you’re not alone if you don’t have the time or expertise to deal with your finances. Even if you do, it can always help to have an expert eye. Plus, financial decisions can be emotional, complex and demanding. Having an advisor who is qualified to help you can lift a huge burden off of your shoulders.

A CFP® can help you with a range of services from setting goals to making a budget to handling an inheritance windfall. If you need financial help, a CFP® may be able to provide the guidance you seek. You will just need to determine whether the cost of a CFP® is worth the assistance you receive.

Note that there is a difference between a financial counselor and a financial planner. A financial planner does more of what we’ve discussed above, like helping you save for retirement. If you’re in more dire straits and need help getting out of debt or repaying bills, you may want to hire a financial counselor instead of a financial planner.

CFP® vs. CFA: What’s the Difference?

While a CFP® focuses on comprehensive financial planning for individuals, the CFA designation is centered on investment analysis and portfolio management. CFA charterholders are typically involved in roles such as asset management, research analysis or institutional investing. The program places a strong emphasis on financial markets, valuation methods and investment decision-making.

While both credentials require rigorous coursework and exams, they serve different purposes. A CFP® is generally aligned with personal financial advice, while a CFA is more specialized in investment management and analytical roles.

How to Find a CFP®

Before you start looking for a CFP®, you should know exactly what you want in an advisor. For example, if you’re looking for help with retirement savings, you may not want an advisor who mostly works in insurance.

Once you know what you need, you can start looking for an advisor with CFP® certification. It helps to do your homework on each advisor so you know what they bring to the table. You can even interview potential advisors to make sure you can both work well together. If you don’t know where to start, you can ask family and friends for recommendations before searching online.

You can go directly to the CFP Board website to find an advisor on your own. You can also verify an advisor’s certification through the CFP Board if you find them elsewhere. Your finances affect your well-being, so choosing the right advisor is as significant as choosing a doctor or lawyer. Make sure they’re right for you before picking a financial advisor.

How to Verify a CFP® Professional’s Credentials

Before hiring a CFP®, you can check whether the advisor currently holds the certification and review their professional background. The CFP Board maintains an online verification tool that allows consumers to search for financial planners by name.

The search results show whether an individual is currently certified and whether the CFP Board has publicly disciplined them. You can also review information about former CFP® professionals whose certifications are no longer active.

However, CFP® certification is not the same as a government-issued license to provide financial services. Depending on the services they offer, CFP® professionals may also need to register as investment advisers or hold securities or insurance licenses.

You can research an advisor’s regulatory background using FINRA’s BrokerCheck or the SEC’s Investment Adviser Public Disclosure database. These resources can provide additional information about professional registrations, employment history and certain disciplinary events.

For example, suppose you find a financial planner who advertises CFP® certification and offers investment management services. You could use the CFP Board’s verification tool to confirm the certification, then review the advisor’s regulatory record and fee disclosures before scheduling a consultation.

These checks can help you evaluate an advisor’s qualifications, but they do not establish whether the advisor is a good fit for your financial needs. You should also ask about the services provided, how the advisor is compensated, and whether they have experience working with clients in circumstances similar to yours.

Bottom Line

When looking for a financial advisor, you’ll want to know that they’re qualified and trustworthy. Financial advisors with the CFP® designation have gone through a rigorous certification process and passed a 170-question financial planning exam. These professionals also must adhere to a code of ethics that requires them to act as a fiduciary.

Tips for Choosing a Financial Advisor

• The process of selecting a financial advisor can be difficult to do on your own. Finding a qualified 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 free introductory calls 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.
• The most important qualification to look for in a financial advisor is an adherence to fiduciary duty. By working with a fiduciary advisor, you ensure that they are legally bound to act in your best financial interests.

Next Steps

Do you want to learn more about financial advisors? Check out these articles:

• Financial Planner vs. Financial Advisor
• Investment Advisor vs. Financial Planner
• What Is a Fee-Only Financial Planner?
• How to Find a Certified Financial Planner™ (CFP®)

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