Lesser known RRSP facts

Baby boomers taking their first steps towards retirement need retirement planning advice, but where do they go to get it — a bank? a stock broker? a life insurance consultant or a financial planner?

Many people within these fields are capable of retirement planning. They can find software that will help them figure out how much you need to retire based on some simple assumptions. If that is all you need there are a lot of financial and retirement calculators online at MoneySense.ca.

There are a lot of professionals with designations like CFP (Certified Financial Planner), CLU (Chartered Life Underwriter), ChFC (Chartered Financial Consultant), to name a few. But if you want individuals that specialize in the field, take a look at some of the new designations designed to cater to retirement planning.

Certified Senior Advisor (CSA)

This designation is offered by the Canadian Academy of Senior Advisors. The CSA designation originally came out of the U.S. back in 1996. The CSA is also offered and recognized internationally.

Elder Planning Counselor (EPC)

This designation is offered by the Canadian Initiative for Elder Planning Studies (CIEPS).

These organizations are remarkably similar in terms of their objectives and approaches. In order to get your designation, you must take a comprehensive three-day course (or through correspondence) and then pass a half-day exam on the material.

Both organizations have an all-encompassing curriculum that covers not only the financial side of retirement but also the healthcare, housing and social issues pertaining to those over the age of 55.

Professionals with the EPC or CSA designations know and understand the issues and alternatives that are important and unique to your senior life. They provide guidance and assistance in financial, emotional, spiritual and health matters with your best interests in mind. They will also create solutions that acknowledge your particular concerns and challenges and inconspicuously accommodate any age appropriate physical challenges and impairments that you may have to ensure that your needs are met.

Professional Retirement Planner (PRP)

The Professional Retirement Planner (PRP) designation is offered by the Canadian Association of Pre-retirement Planners (CAPP).

The PRP designation is different in that there is no exam required to get your designation. But you must apply and demonstrate a commitment to the retirement field and acknowledge that retirement is a life transitioning process. In order to get your designation, a committee of peers in the retirement planning field must approve you.

Not only is the PRP designation a more difficult designation to get but it is also harder to maintain. Professional retirement planners must commit to ongoing education, teaching and learning of retirement issues, not only to the public but within their peer group as well. The CAPP organization is a group of professionals that include financial advisers, healthcare professionals, pension experts, career transition consultants and much more.

Similar to the CSA and EPC designations, PRPs promote and understand that retirement is about more than just money. PRPs are required to maintain a certain level of education where the EPC and CSA designations do not have similar ongoing educational requirements.

Finding individuals with these designations is not a guarantee that you will find a professional you can develop a relationship with. Most organizations would suggest that you interview three people and work with the one you are most comfortable with.

Retirement is one of the biggest transitions you will go through. Studies have shown that the more planning and preparation you do, the more likely you are to have a happy, healthy and wealthy retirement. If you need help, take the time to see a professional who really understands all the issues facing retirement.

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Jim Yih is author of Mutual Fundamentals and Seven Strategies to Guarantee Your Investments. He is the founder of CORE Financial Advisors and Account Representative of Manulife Securities International Ltd. Commissions. Jim can be reached through his Web sites Wealthweb.ca, Retirehappy.ca, COREFinancial.ca and JimYih.com.

Trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual fund securities are not guaranteed, their values change frequently and past performance may not be repeated.