Cfp tax - Study guides, Class notes & Summaries

What is a certified financial planner (CFP) or personal financial specialist (PFS)? - Answer-The professional certification for personal financial planners is CFP (Certified Financial Planning) CPAs specializing in financial planning can earn PFS (Personal Financial Specialist) Do you have to be a CFP or PFS before you can legally do financial planning? - Answer-No Generally, do you have to be licensed to sell investment advice or financial securities? - Answer-Selling financial securitie...

CFP exam Topic 1: Financial Planning Process - correct answer ... 6 step process: EGADIM - correct answer 1. Establish Relationship 2. Gather Information 3. Analyze data 4. Develop plan 5. Implement 6. Monitor Step 1: Establish Relationship - correct answer • Services that will be provided • compensation/billing • Responsibilities of both client/planner • Time frame of relationship Step 2: Gather quantitative and qualitative data - correct answer • It is important tha...

History of Financial Planning - ANSWER-1960's - few stock brokers and insurance salesmen 1970's - industry went from stock and insurance sales to comprehensive financial plans 1971 - College of Financial Planning founded 1973 - first CFP's issued to 42 people 1990's - booming economy entrance of many traditional banks and brokerage houses into financial planning area Name different duties of a financial planner - ANSWER-- comprehensive financial plan - selecting overall asset alloc...

CFP Practice Questions - Fundamentals As a rule of thumb, it is best if consumer debt does not exceed: A. 20% of net income. B. 20% of gross income. C. 3 to 6 months of expenses. D. 36% of gross monthly income. - A. 20% of net income This is a rule of thumb, along with the others that recommend housing debt be limited to 28% of gross income, and total debt not to exceed 36% of gross income. David has won the Illinois state lottery. He must decide whether to receive annual payment...

CFP examTopic 1: Financial Planning Process - correct answer ... 6 step process: EGADIM - correct answer 1. Establish Relationship 2. Gather Information 3. Analyze data 4. Develop plan 5. Implement 6. Monitor Step 1: Establish Relationship - correct answer • Services that will be provided • compensation/billing • Responsibilities of both client/planner • Time frame of relationship Step 2: Gather quantitative and qualitative data - correct answer • It is important that ...

1 © 2019 Pearson Canada Inc. Test Bank & Solution manual for Personal Finance, Fourth Canadian Edition (4th Edition) by Jeff Mad 2 © 2019 Pearson Canada Inc. Personal Finance, Canadian Ed., 4e (Madura) Overview of a Financial Plan True/False 1) Many people who believe they have strong personal finance skills do not really understand some basic personal finance concepts. Answer: TRUE Diff: 1 Type: TF Categories: Benefit From Understanding Personal Finance Financial Type: Qualitative Skill Type:...

A good financial planning report must include an analysis of all of the following except a. where you are now b. where you want to be c. why you failed previously d. how to reach your goals - correct answer c Usual financial planning goals include the following except a. retirement funding b. current lifestyle c. career planning d. estate planning - correct answer c A client's formal financial planning rep...

Net (After Tax) Yield - ANSWER-[(1+After Tax Return)/(1+Inflation)-1]x100 A young couple (both age 30) comes to the financial planner with the desire for assistance in improving their family's financial position. They have two healthy children, ages 3 and 6. The husband is a foreman for a manufacturer of auto parts. His current salary is $30,000 per year. The wife is a marketing professor for a state university. Her current salary is $40,000 per year. The couple recently purchased a riverfro...

CFP Study Guide Exam 2023 Steps to Financial Planning - EGADCIM - CORRECT ANSWER-1. Establishing and defining the client planner relationship 2. Gathering information necessary to fulfill the engagement 3. Analyzing and evaluating the client's current financial status 4. Developing the recommendations 5. Communicating the recommendations 6. Implementing the recommendations 7. Monitoring the recommendations Eight Principal Knowledge Categories - CORRECT ANSWER-1. Professional Conduct ...

Certified Financial Planner (CFP) (Personal Financial Planning) - Answer-Certified Financial Planner (CFP) www.c(p-net Why has the CERTIFIED FINANCIAL PLANNER certification become so sought after by consumers and the financial planners who serve them? The answer is simple. The public is looking for a planner who has demonstrated a commitment to competency, and financial professionals want an established certification that sets them apart in a globally expanding financial planning profession....