What Is a Certified Retirement Financial Advisor (CRFA)?

The Certified Retirement Financial Advisor (CRFA) was a designation issued by the Society of Certified Retirement Financial Advisors (SCRFA) for professionals who advise clients on retirement-related investing, taxes and financial planning ¹ . The designation required a self-study program or seminar, a four-hour exam and 15 hours of annual continuing education. If you are looking for an advisor with retirement-specific credentials, similar designations that remain current include the Chartered Retirement Planning Counselor (CRPC), the Retirement Income Certified Professional (RICP) and the Certified Financial Planner™ (CFP®). All of these require ongoing education and are available from active accrediting organizations.

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What Was the CRFA Designation?

The CRFA designation is no longer active. The Society of Certified Retirement Financial Advisors (SCRFA), which issued the credential, no longer operates.

However, the services associated with the CRFA are still widely available through advisors holding current designations. These include the Certified Financial Planner (CFP®), Chartered Retirement Planning Counselor (CRPC) and Retirement Income Certified Professional (RICP) designations.

A financial expert with the CRFA designation is well-versed in the complexities of retirement planning. They can help in several ways.

• Advising clients on estate taxes
• Helping reduce capital gains
• Devising a strategy to maximize Social Security benefits
• Educating on insurance products and estate planning
• Recommending funding sources for grandchildren’s college education

A retirement-focused advisor can help you develop a detailed view of your overall financial picture. They may ask you about your assets and outstanding debts, as well as your plans for part-time work in retirement. They’ll also ask about any potential inheritances you may receive and how to invest the proceeds.

If you previously worked with a CRFA, verify that your advisor holds a current credential from an active accrediting organization.

What Requirements Did Advisors Have to Obtain the CRFA?

The CRFA credential was formerly issued by the Society of Certified Retirement Financial Advisors.

It demonstrated a finance expert’s commitment to advising on retirement-related topics. While other industry certifications, like the (CFP®), require rigorous training and testing ² , the CRFA was a lesser-known, modest designation requiring much less of the candidate. However, today, the SCRFA is no longer active, and the designation is not currently granted.

While the program was active, anyone could apply for a CRFA, as there were no prerequisites. However, the granting organization suggested that applicants have significant relevant work and educational experience.

Specifically, applicants were recommended to have three years of work experience in the financial services industry. This could include working in the investment or insurance industry, or doing tax planning and preparation as a tax professional. Alternatively, applicants may have had specific job skills or classroom training in the financial industry.

Advisors who previously held the CRFA may still practice. However, clients should confirm that they hold a current credential, such as the CFP®, CRPC or RICP.

Overview of What the CRFA Program Offered

CRFA certificate holders received the equivalent of 24 hours of live classroom training or self-study. This covered several areas, including insurance, securities, taxes, trusts and estates. They also had to pass a test, follow a code of ethics and pursue continuing education. The CRFA program is no longer active, but the following details describe how the certification worked when it was available.

Students only had to pass the exam, which cost $595, to receive a CRFA. They didn’t have to complete a specific course of study before applying to take the test.

However, they could take a three-day seminar, either live or online, to prepare them for the exam. They also had the option to self-study using any training materials they preferred. If they chose the self-study route, applicants had to show 24 hours of secondary education in professional financial services.

The final exam covered six main topics:

• Retiree tax issues
• Retirement investment concepts
• General retirement principles
• Social Security and other government programs
• Estate planning
• Ethical standards

After completing the seminar or their self-study program, students took a four-hour, closed-book proctored exam. According to the SCRFA, 72% of applicants passed the exam on the first try, and 90% passed on the second.

After receiving the certificate, holders agreed to take 15 hours of continuing education annually to maintain the designation. Renewing the certificate was $345 a year or $295 for charter members of the association. Certificate-holders who let their certifications lapse by failing to pay the renewal fees had to retake the final exam.

If you are looking for an advisor with retirement-specific training, consider a current alternative. This includes CFPs®, Chartered Retirement Planning Counselors (CRPC) and Retirement Income Certified Professionals (RICP).

Services Other Retirement Advisors Can Provide

Although the CRFA is no longer active, the services it was built around remain widely available through advisors holding current designations, such as the CFP®, Chartered Retirement Planning Counselor (CRPC) or Retirement Income Certified Professional (RICP).

These credentials are organized around the same core topic areas that underpin retirement-focused financial guidance. Many of these designations require more rigorous training than the CRFA did, giving holders a deeper familiarity with the core decisions retirees and near-retirees face.

A client who consults a retirement advisor can expect a retirement-oriented conversation that addresses multiple aspects of their financial life. In this vein, the advisor may help in several ways.

• Review current savings rates and project whether they are on track to meet retirement income goals.
• Walk through the trade-offs of claiming Social Security at different ages.
• Identify gaps in insurance coverage that could create financial exposure later in life.
• Flag estate planning mistakes, like outdated beneficiary designations or the absence of a will or power of attorney.

The kinds of problems these advisors helped with were practical and planning-oriented, rather than highly technical. An advisor can help someone five to ten years from retirement without a formal plan, a recent retiree wondering how to generate income from savings and Social Security, a client unsure whether to take a lump-sum pension buyout or keep the monthly annuity and an individual seeking a second opinion on their current investment mix.

Where retirement-focused advisors are most relevant is at the transition point between working and retired life. These professionals can address several issues:

• Deciding when to retire
• Estimating how long savings need to last
• Understanding the taxation of different income sources in retirement
• Thinking through healthcare coverage between early retirement and Medicare eligibility at 65

These are high-stakes decisions that many people make only once. Therefore, even a modest level of professional guidance can help avoid costly mistakes.

The depth of advice an advisor can deliver depends on the credentials they hold. Designations with more rigorous training, such as the CFP® or CFA, are more appropriate for issues like complex tax optimization strategies, advanced estate planning for trusts and multi-generational wealth transfer and institutional-level investment management.

Clients with more intricate financial needs should verify their advisor’s credentials and whether they cover the range of services required.

How Much Do Retirement Advisor Professionals Cost?

Retirement-focused advisors come from varied professional backgrounds, including insurance, investment advisory, tax preparation and general financial planning. As a result, no single fee model defines the profession ³ .

An advisor whose primary business is investment management may charge a percentage of the assets they oversee. One who focuses on insurance and annuity products may earn commissions rather than charging advisory fees directly. A tax professional also providing retirement planning support may bill hourly for consultations, in addition to standard tax preparation charges.

The total cost of a retirement advisor depends on both the advisor’s business model and the scope of engagement. A one-time retirement readiness review generally costs less than an ongoing advisory relationship that includes portfolio management, annual plan updates and regular check-ins. Clients who need help with a single decision, such as when to file for Social Security or whether to roll over a 401(k), may be able to engage an advisor on a limited basis at a lower cost than a comprehensive planning engagement.

A financial advisor’s compensation model may vary based on the advisor’s credentials, experience and practice model. An advisor holding a CFP® and Series 65 license with 20 years of experience may price their services very differently from a newer professional with a single designation. The credential alone does not dictate pricing, with the advisor’s full background, licensing and practice model all playing a role.

Clients who want a specific advisor’s compensation structure can check whether the advisor is registered as an investment adviser. Search the SEC’s Investment Adviser Public Disclosure database to see if a Form ADV Part 2 is on file ⁴ . If so, it will provide advisor fees, services and potential conflicts of interest in a standardized format.

Advisors who earn commissions from insurance products or operate solely as tax professionals may not have a Form ADV filing. In this case, clients should request a written explanation of their compensation structure.

Straightforward questions can go a long way toward avoiding billing surprises. Before moving forward, consider asking your advisor a few key questions.

• Whether the advisor charges a fee for their retirement planning services or earns commissions on the products they recommend
• What a typical engagement looks like in terms of meetings, deliverables and timeline
• Whether there are ongoing costs after the initial plan
• How the advisor’s compensation may change based on a specific insurance or investment product

A few minutes spent on these questions can give a client better clarity on what they will pay and why.

Other Comparable Certifications

The CRFA was a modest credential that did not grant holders any particular powers or privileges beyond those offered by other certifications. It was an optional certification that told prospective employers and clients that an advisor had pursued education, passed a test and agreed to follow a code of ethics. At the end of 2014, only 110 people had acquired the certificate, according to the SCRFA.

Several current designations cover retirement planning with more rigorous requirements.

• Certified Financial Planner (CFP®). The CFP® requires years of coursework, a comprehensive exam covering insurance, tax, retirement, investment and estate planning, thousands of hours of professional experience and ongoing continuing education ⁵ . It is widely considered the standard credential for broad financial planning.
• Chartered Retirement Planning Counselor (CRPC). The CRPC designation is issued by the College for Financial Planning and considered a graduate-level course of study ⁶ . A CRPC has specialized training in creating retirement benchmarks for clients, as well as expertise in asset management and estate planning.
• Retirement Income Certified Professional (RICP). The RICP is issued by The American College of Financial Services. It focuses specifically on generating retirement income, covering Social Security optimization, annuities, portfolio withdrawal strategies and healthcare funding ⁷ .

Clients who previously worked with a CRFA holder should ask whether their new advisor has one of these current designations to confirm their training is up to date.

Bottom Line

Having a CRFA indicated an advisor had reached a level of expertise in retirement planning with a commitment to ethical practices. The CRFA was one of several early-career financial advisor designations. It was neither prestigious nor well-known, and it was not difficult to get. However, the designation is no longer active. Consumers looking for help with retirement planning can find advisors with current credentials that demonstrate more rigorous education and accomplishment. These include the CFP®, CRPC and RICP.

Tips for Retirement Planning

• Consider working with a financial advisor as you begin preparing for your future retirement. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
• Even for those with more advanced knowledge of investments and tax laws, planning for retirement can be a major task. As you start planning for life post-career, take stock of how much you need to retire comfortably. With SmartAsset’s free tools, you can estimate how much money to expect from your 401(k) as well as how much you’ll receive in Social Security benefits.

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