Certifications for Estate Planning

If you’re a finance, accounting, or legal professional and are considering a career in estate planning or want to hire an estate planner, consider some of the specific certifications associated with the role. Some of the most common include the chartered trust and estate planner (CTEP), accredited estate planner (AEP), certified trust and fiduciary advisor (CTFA), and other related designations.

Role of Estate Planners

Estate planners typically work with individual investors, family offices, business owners, and high-net-worth individuals (HNWIs). Their role is complex and involves many moving parts.

An estate planner works with clients to formulate and implement a tax-planning strategy to efficiently pass assets to heirs and other beneficiaries, according to the client’s wishes. Other aspects of estate planning range from bequeathing charitable contributions to choosing life insurance.

Some major estate-planning providers integrate their practice with financial advisory and wealth management services. Wealth managers, trust officers and trust administrators, investment officers, lawyers, accountants, and financial planners all could have an interest in pursuing certifications.

Chartered Trust and Estate Planner (CTEP)

The Global Academy of Finance and Management is the certifying body for the chartered trust and estate planner designation, which has an emphasis on professionals who serve HNWIs. Earning a CTEP requires at least three years of experience in estate planning or trusts.

Candidates must also have:

• A post-secondary degree (undergraduate, graduate, or doctorate) in finance, tax, accounting, financial services
• Work experience
• Five or more approved and related courses
• A certification training course
• Annual continuing education (CE) requirements, which vary

Accredited Estate Planner (AEP)

The AEP designation is awarded by the National Association of Estate Planners & Councils. Candidates must be or have the following:

• An active practice in accounting, insurance/financial planning, law, philanthropy, and trust services for at least five years
• Spending 1/3 of your time doing estate planning
• Three professional references from people who engaged you for estate planning services
• Membership in a local estate planning council
• Two graduate courses through the American College of Financial Services

Candidates should also be designated as one or more of the following::

The association also requires candidates to have an active license to practice law, MSFS, and/or MST.

Certified Trust and Fiduciary Advisor (CTFA)

The CFTA is awarded by the American Bankers Association (ABA). The requirements include:

• A minimum of three years of experience in wealth management and completion of one approved wealth management training program
• An ethics statement
• Passing an exam

To maintain the designation, 45 credits of continuing education are required every three years.

Related Wealth Management Advisory Certifications

There are also different certifications related to estate planning that may be useful. These include the following:

Estate Planners Education and Experience

Most estate planners have law, accounting, or finance degrees and certifications—and for good reason. Estate planning is a complicated maze of federal and state laws, Internal Revenue Service (IRS) rulings, and judicial interpretations.

These affect how assets and income are treated for tax purposes based on a wide array of types of transactions, transfers, triggering events, individual profiles—age, single or married, etc.—and entities. Creating and managing these transactions requires understanding fiduciary duties and responsibilities.

Constantly changing laws, as well as shifts in the judicial and political climate, make estate planning a highly dynamic field in which advisors engineer transactions that must hold water with authorities. Certain practices and insights can have a short shelf life.

In addition to various advanced financial degrees, law degrees, and certifications—a master of business administration (MBA), MPA, JD, CPA, and CFA—the specific, complex, and constantly changing nature of the field makes special certifications helpful. Having one or more of these certifications also gives estate planners added credibility, which provides clients with an extra degree of trust and helps in growing their business.

The Bottom Line

Becoming an estate planner can be difficult and requires experience and a breadth of knowledge, including law, accounting, and finance. Earning an estate planning certification enhances the skills of estate planners and their credibility, especially in the eyes of potential clients.