Planning for your future is important. You want to make sure you have enough money to sustain your lifestyle throughout your lifetime. Stockbrokers and accountants can help steer you in the right direction, but the true expertise often comes from a financial planner. Financial planners can recommend investments based on your state of affairs. Those with certification in the field can garner higher wages.
Certification Improves Salaries
In 2013, the average salary of financial planners in general was $99,920 a year, according to the U.S. Bureau of Labor Statistics. Those who are a certified financial planner earned closer to $102,000. Robert Half, a national financial recruiter, estimates that a professional certification can improve salaries. On the low end, pay can increase 5 percent, while some planners may see a bump of as much as 10 percent.
Role Can Impact Pay
In 2014, financial planners with three to five years of experience can earn anywhere from $66,500 to $84,750, according to the BLS. For those with a certification, the salary ranges between $69,825 and $93,225 a year. At the managerial level, certified financial planners earn $92,138 to $128,425, according to the BLS.
Income Varies By Location
Living in New York can boost pay exponentially, with the average salary of a certified financial planner coming in at $123,000, according to the job site Indeed. The same can be said for certified financial planners working in the District of Columbia, where the average was $127,000. In California, salaries averaged $110,000, while Oregon-based certified financial planners earned $98,000. In Idaho, however, certification in the field brings in $69,000 a year, according to Indeed.
Because of the ever-expanding aging population and longer life expectancy, the outlook for financial planners and advisers is good, according to the BLS. Job growth should reach 27 percent through 2022, which is much better than the growth rate of 11 percent for all U.S. occupations. Financial planners who can expect the best employment opportunities are those with a professional certification.
2016 Salary Information for Personal Financial Advisors
Personal financial advisors earned a median annual salary of $90,530 in 2016, according to the U.S. Bureau of Labor Statistics. On the low end, personal financial advisors earned a 25th percentile salary of $57,460, meaning 75 percent earned more than this amount. The 75th percentile salary is $160,490, meaning 25 percent earn more. In 2016, 271,900 people were employed in the U.S. as personal financial advisors.