The job market for newly minted financial planners is wide open. Doubtful? Just ask XY Planning Network co-founder Alan Moore.
“There are more jobs than we know what do to with,” he tells me, adding that young people don’t pursue the career because they still believe it requires cold calling or even door-to-door sales. “We are having a problem finding enough students to get through planning programs, get their CFP and then get jobs,” Moore says. “Right now it’s very much a buyer’s market.”
Even once students realize there’s no door-knocking involved, there are certain hoops firms feel compelled to jump through to attract and keep promising talent. Salary is just one part of the equation, according to Financial Planning Senior Editor Charles Paikert.
“Millennials entering the workforce are going to want more work-life balance, flexibility and firm involvement in community and charitable causes,” Paikert tells me. Firms are paying attention.
Just some of the perks they offer include volunteer days, relocation bonuses for advisors who move closer to the office and “fun committees” that arrange activities such as go-kart racing, according to Paikert, who wrote the main feature, “Pay Day.”
Harish Kapur is the president and CEO of Across America Insurance Services, a specialized wholesale insurance brokerage serving the specific needs of the commercial trucking and transportation industry, including E&S service offerings.
The CFP Board promised to enhance its review processes after an investigation found major shortcomings. A new analysis of CFP data found that the problem has only gotten worse.
Brian Parker is SVP, National HR Consulting and Workforce Solutions Leader at Alera Group. He leads the Alera Group division responsible for helping clients create strategies to attract and retain talent and transform the way they serve employees. His guidance empowers organizations to better engage their people and find the right technology and services to carry out their mission.
“In addition to increasing compensation for employees in a tight job market, RIA firms are making sure employees feel like they’re having fun at work and enjoy working for their employer,” Paikert says. In his story, Paikert mentioned the coffee bar in Homrich Berg’s Atlanta headquarters, but “I wasn’t able to track down the juice bar that at least one RIA reportedly has in their offices,” he says.
Of course, you can’t pay bills with the proceeds from a go-kart race win or savings from free office coffee, so Paikert dived into salary metrics for advisors around the country.
In San Francisco, lead advisors’ total compensation package runs $193,000. Those in Dallas earn about 9% less. Maybe because they’re paying for the fresh-squeezed juice?
