Blog

Last month, I took seven plane flights, stayed in three hotels, and rented three cars to visit five CFP Board registered programs: St. Joseph’s, William Paterson, Virginia Tech, Texas Tech and Winthrop University. It was my own little version of planes, trains and automobiles! During these visits, I presented to twelve classes, gave two keynote speeches, spoke to a dozen PhDs (faculty members, college deans, and program chairs), and interviewed a few dozen students. Below are some notable ...

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I’ve written and spoken at length about the mistakes new planners make when trying to find their right fit including hearing only what they want to hear, thinking every opening is a good fit, assuming if something isn’t addressed in negotiations it will mysteriously work out as they had envisioned, etc. However firm owners are not blameless and make mistakes, too, which is why I want to share April Joyner’s article in the November 2011 issue of Inc. magazine entitled “Hiring traps: Why is it so ...

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By now you surely have been blitzed with a myriad of resolutions, time management tips, to do lists, etc. so I’m going to spare you from the typical new year pep talk and instead highlight a change you should be aware of, regarding the educational requirements for new financial planners in CFP Board registered programs. In the past, it has been possible for a new financial planner to graduate with an undergraduate/graduate degree or certificate in financial planning without ever having ...

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In an effort to strengthen your year-end employee reviews, this month’s post will address evaluating your new planner’s performance. Simply put, did they fall short, meet, or exceed the expectations both of you set, together, at the beginning of the year? Once you and your new planner know where he/she stands on this, then you can have a more detailed discussion about if and how compensation should be adjusted, and what he/she needs to be striving for over the next year. When we help firm owners ...

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Recently a well known financial planner, who has experienced some frustration in trying to hire, asked an interesting question. ‘What do new planners really want in a position?’ The question needs to be addressed because during the hiring process often times, one (or even both) parties cannot clearly articulate what they are seeking in an employment arrangement. What new planners are seeking is a position where they can learn and experience the business (how to’s) of financial planning ...

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One of the more popular questions that I am asked when traveling around the country speaking to firm owners is: “How much should I pay my new planner?” I liken this scenario to a prospective client walking up to a firm owner asking, “How much will I need to retire?” There are obviously a lot of factors that impact both of these situations. I am going to try to avoid the typical financial planner blanket answer of “it depends” to report on some averages/trends I am seeing nationally and ...

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One of the primary reasons for hiring new planners is to free up time for firm owners to perform the higher level revenue producing tasks their more experienced skill set is suited for, such as working with higher net worth clients and/or securing additional clients. If your goal for your new planner is to truly help free you up for your best or new clients, it’s imperative you get them working with your existing clients as soon as possible. In last month’s post, I discussed ways to ...

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I sometimes get requests from firm owners, as well as other managers, for tips on how to get their new hire up to speed more quickly. Since financial planning currently has no formal apprenticeship program in place, newly minted CFP board registered program graduates have to close the gap between book knowledge and practical application to successfully make the transition from student to client facing advisor. Here are some things you can encourage or require to get your new planner to where you ...

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Last month’s article discussed the benefits of intern programs for financial planning firms. This month we will look at specific projects your intern can do to help alleviate some of your workload. Here are some project ideas that you might consider having your intern work on to maximize your time and their experience: Document processes, sequences, procedures, etc. This is a no brainer if you have someone new come aboard and they are talking to everyone trying to figure out what everyone ...

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Just as in any other industry, financial planning firm owners take on a certain degree of risk when hiring professional staff. For firms that are looking to hire, a quality intern program is a great way to try out potential employees before they sign on the dotted line for a permanent position. In addition to ‘test driving’ future employees, having interns is a good business practice because an extra set of hands to complete work and an additional set of eyes with a fresh perspective is helpful ...

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When I talk to new planners there is a common theme in what they seek in their career: mentorship. New planners are becoming more aware of knowing what they don’t know and realizing they need to learn from someone when starting out before they are ready for managing a high net worth individual’s financial situation without direct supervision. The fact that new planners place such a high emphasis on mentoring is a sign that they desire additional knowledge/wisdom/experience and should be viewed ...

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Last month, I discussed the thought framework an owner should employ before hiring a new planner. Part of that thought process is to resist the temptation to hire an exact copy of themselves. However, notwithstanding the consensus view from consultants that having a bunch of people in an organization with overlapping skill sets doesn’t make the most sense strategically, some firm owners decide to proceed down this road anyway. If that’s the case, and you do decide to hire a ‘mini-me’ - in ...

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