EA, NSSA®, CTRS, TPCP®, AFSP, CETF®
MPA, CAP®
PhD, CFP®, CLU®, CTP
Ethics In Financial Services Insights
Rethinking Support for the Advisor Shift
The American College Cary M. Maguire Center for Ethics in Financial Services and the American College Center for Women in Financial Services partnered with InvestmentNews on September 23 to host the webcast, “The Advisor Shift: Rethinking Strategic Support for the Workplace of the Future,” which explored how firms can better attract, support, and retain the next generation of advisors.
Moderated by Kaylee Ranck, PhD, director of the Office of College Research, the session featured insights from Azish Filabi, JD, MA, managing director of the Center for Ethics in Financial Services, and Lindsey Lewis, MBA, ChFC®, CFP®, managing director and chair of the Center for Women in Financial Services. Together, they discussed the changing landscape of the industry with a focus on Gen Z’s career motivations and expectations.
The webcast examined what motivates Gen Z to pursue careers in financial services, the barriers they face early in their careers, and how firms can adapt to meet their expectations. Findings from the study revealed that competitive pay, work–life balance, and a sense of purpose are top motivators, while unclear career pathways, lack of training, and communication gaps often create friction.
Drawing from the Center for Ethics in Financial Services’ recent “Voices from the Field: Ethics Challenges in Financial Advisory Practices” research, Filabi highlighted how conflicts of interest tied to compensation structures, inconsistencies around fiduciary duty, and the constraints of proprietary products shape the ethical challenges advisors encounter early in their careers.
The webcast highlighted how aligning incentives, governance, and mentorship can help firms reduce ethical dilemmas and strengthen client trust.
More on Supporting the Advisor Shift
- Watch the on-demand webcast to discover how fostering ethics and transparency can strengthen advisor development and long-term trust The Advisor Shift: Rethinking Strategic Support for the Workplace of the Future.
- Download the full Voices from the Field report to explore the findings and gain critical insights on how financial advisors navigate trust in practice management.
FSCP®, MS
Tax Planning Insights
Comparing Tax Credentials
Standing Out as an Expert
Tax planning is highly complex and constantly subject to change. As such, clients often look for someone who has proven themselves as a verified expert in the field. In order to set yourself apart as an expert clients can trust, you may want to pursue one of many designations available to tax planning specialists.
Designations that set a financial professional apart as a tax expert include the Enrolled Agent (EA), the Certified Public Accountant (CPA), and the Tax Planning Certified Professional® (TPCP®). These are awarded by the Internal Revenue Service (IRS), American Institute of Certified Public Accountants (AICPA), and The American College of Financial Services, respectively.
Additionally, while each of these titles may serve as a validation that a financial professional has proven themselves an expert in the field of tax planning, they all have different prerequisites, expectations, and outcomes once they have been earned. It is highly important that anyone looking to prove themselves in the field of tax planning understand the differences between them and understand which choice suits them best.
Enrolled Agent (EA)
In the words of the IRS, an Enrolled Agent (EA) is a person who has earned the privilege of representing taxpayers before the IRS. Enrolled agents, like attorneys and Certified Public Accountants (CPAs), are generally unrestricted as to which taxpayers they can represent, what types of tax matters they can handle, and which IRS offices they can represent clients before.
EA is the highest title offered by the IRS. Prerequisites to use the designation require the applicant to apply for a preparer tax identification number (PTIN), sign up for the certification exam, and pass all parts of the exam.
The title can be earned in 12 months or less once the applicant has passed three exams. In total these exams cost $801 ($267 per test). Upon passing all three tests, applicants must pay an additional $140 fee to formally be recognized as an EA.
Once recognized, an EA is able to offer their services to clients. According to the National Association of Enrolled Agents (NAEA), “Enrolled agents advise, represent, and prepare the tax returns of individuals, partnerships, corporations, estates, trusts, and any other entity with tax reporting requirements. EAs prepare millions of tax returns each year and their expertise in the continually changing field of taxation enables them to effectively represent taxpayers audited by the IRS.”
An EA is highly qualified to assist an individual or business in preparing their taxes and ensuring they are compliant with all forms of tax law.
Certified Public Accountant (CPA)
The Certified Public Accountant (CPA) is designed for professionals to ensure financial expertise of those seeking advanced tax compliance and reporting expertise who help individuals and businesses maintain and improve their financial health and reporting procedures.
Prerequisites for this certification can differ, but generally, an individual wishing to become a CPA must hold a bachelor’s degree and have completed between 120 and 150 college credit hours, including a number of business and accounting courses. The specific amounts required may vary by state.
Prospective CPAs must also pass all four sections of the CPA exam with a score of 75 or greater. The CPA exam assesses knowledge and skills in accounting, business law, taxation, and auditing.
Finally, a prospective CPA must also have one to two years of work experience involving accounting, attest, compilation, consulting, financial advisory, management advisory, and tax skills.These requirements may also vary from state to state.
Earning a CPA takes several years to earn when factoring in the requirement of a bachelor’s degree. This also places the CPA as the most monetarily costly title of the three.
Once an applicant has earned the title of CPA, they are eligible for greater career flexibility and recognition. Typically CPAs work in accounting, business, and finance, but many other options are afforded to CPAs as well.
Tax Planning Certified Professional® (TPCP®)
The Tax Planning Certified Professional® (TPCP®) designation is designed for client-facing financial professionals who seek advanced knowledge in tax planning and tax professionals, including CPAs, who seek a stronger background in how to position tax planning as part of their holistic financial planning conversations.
The TPCP® requires passing three courses and their associated final exams, all of which can be completed in under 12 months for the cost of $2,495. To use the designation, financial professionals must also hold three years of professional experience, adhere to The American College Code of Ethics and Procedures, and participate in the annual Professional Recertification Program.
The TPCP® offers designees expertise to identify, evaluate, and implement advanced tax strategies for individuals and businesses owners, focusing on maximizing tax benefits while ensuring compliance with current legislation. By ensuring a financial professional is well-versed in each of these fields, the TPCP® designation allows its holders to better serve clients needs by including tax-savvy advice as part of a holistic financial plan.
Rather than focusing on preparing taxes like a CPA or working directly with the government like an EA, a TPCP®’s goal is to take long-term tax implications into consideration as another part of a client’s financial planning and factor it into other aspects including retirement planning, insurance, philanthropy, and more.
Conclusion
Ultimately, the best fit for you comes down to individual needs. However, pursuing any of these recognitions is likely to provide your career with a boost thanks to the validity they offer. As with many major decisions, the choice should not be taken lightly. Research and education are your friend in making this decision. The American College of Financial Services offers both of these things and can help you on your path as you look to a career as a financial professional.