CFP Board today released a new resource to help CFP exam candidates, as well as CFP Board Registered Programs and exam-prep providers, prepare for questions related to provisions of the SECURE 2.0 Act of 2022 that took effect as of January 1, 2024, and will appear on subsequent administrations of the CFP exam.
The 12-page “CFP Board Key Elements: SECURE 2.0 Act 2022” guide, which is available online, focuses on aspects of the SECURE 2.0 Act that relate to items on CFP Board’s Principal Knowledge Topics list. They include the following:
• The increase of required minimum distribution (RMD) age to 73
• The indexing of IRA catch-up limit increases to inflation
• A new workplace savings plan exception for certain emergency expense distributions
• A new allowance for employers to make additional nonelective contributions to SIMPLE IRA plans
• Increases to contribution limits for SIMPLE IRA and SIMPLE 401(k) plans
• A reduction in the excise tax on missed RMDs
• Penalty-free domestic abuse distributions
• Elimination of RMDs from the Roth portion of 401(k) plans
Each section of the new guide addresses one change under the SECURE 2.0 Act, identifies the related items from CFP Board’s Principal Knowledge Topics list, assesses the change’s impact, offers related planning opportunities and considerations, and provides suggested learning objectives regarding the change.
Also included in the guide is analysis of several changes that were examined but await clarification before they will be tested on the CFP exam. The comprehensive SECURE 2.0 Act legislation document was released by the Senate Finance Committee.
CFP Board reports record number of CFP pros
Yesterday, CFP Board reported a record number of new CFP certificants in 2023. As of December 31, 2023, the number of CFP professionals reached an all-time high of 98,875, an increase of 3.9% over 2022 numbers. Last year also had the most exam-takers in CFP Board history, with 9,839 people sitting for the exam.
“As we enter the 51st year of CFP certification, the value of the CFP mark is only growing,” said CFP Board CEO Kevin R. Keller, CAE. “CFP Board is dedicated to building a sustainable, diverse financial planning profession that reflects the communities we serve—it’s one of our strategic priorities. We aim to attract talent and insights from all backgrounds to meet the growing demand for competent and ethical financial planners.”
Overall, the class of 2023 welcomed 6,089 new CFP professionals. Of these new certificants, 56% are under age 35. In addition to trending younger, this new class of CFP professionals represents the most diverse class in CFP Board’s history, with the most new women and racially and ethnically diverse CFP professionals in a single year:
- The number of new women CFP professionals grew to 1,692, an 11.5% increase over 2022. The overall number of women CFP professionals increased to 23,484 (23.8% of all CFP professionals).
- New racially and ethnically diverse CFP professionals grew to 858, a 12.6% increase over 2022.
In 2023, the overall ranks of CFP professionals hit all-time highs for each demographic:
- The number of racially and ethnically diverse professionals increased to 9,408 (9.5% of all CFP professionals), reflecting a growth rate of 7.9% and representing twice the overall growth rate of all CFP professionals:
- Hispanic CFP professionals grew by 11.3%. The number of Hispanic CFP professionals increased to 3,016 (3.1% of all CFP professionals).
- The number of Black CFP professionals grew by 7.5%. There are now 1,899 Black CFP professionals (1.9% of all CFP professionals).
- The number of Asian or Pacific Islander CFP professionals increased by 5.5%. There are now 4,096 Asian or Pacific Islander CFP professionals (4.1% of all CFP professionals).
- American Indian or Alaskan Native CFP professionals increased their numbers by 6.6% to 241 (0.2% of all CFP professionals).
- Multi-ethnic CFP professionals grew by 20.0% to 156 (0.2% of all CFP professionals).
For more information on CFP professional demographics, visit CFP.net/demographics.
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Veteran financial services industry journalist Brian Anderson joined 401(k) Specialist as Managing Editor in January 2019. He has led editorial content for a variety of well-known properties including Insurance Forums, Life Insurance Selling, National Underwriter Life & Health, and Senior Market Advisor. He has always maintained a focus on providing readers with timely, useful information intended to help them build their business.
