The question of compensation is one that financial planners are accustomed to posing to clients, but less often do they step back and evaluate it for themselves.
A new study from the CFP Board of Standards shifts the perspective, offering a comprehensive view of what wealth management professionals are actually earning today. For advisors, especially those running independent practices or operating under RIA models, these insights offer not just a benchmarking tool but also a strategic lens into the broader economics of the profession.
According to the CFP Board’s third annual compensation survey, the median financial planner earned $185,000 in total compensation in 2024. Those holding the Certified Financial Planner designation earned notably more, with CFP professionals making, on average, 13% higher compensation than their non-CFP peers after accounting for experience, education, and job role. That premium reflects the growing recognition of the CFP mark as a differentiator in a competitive landscape where credibility, trust, and expertise drive client decisions.
Compensation growth has also been robust across the board. Planners reported an average 16% increase in pay from 2023 to 2024, while CFP professionals enjoyed an even stronger 17% jump. These figures represent a sharp acceleration compared to the previous two years, when growth rates averaged closer to 11%. For advisors navigating client conversations about inflation, wage stagnation, or career mobility, these numbers underscore that financial planning remains a profession with both resilience and upside.
The survey included 1,425 financial planners nationwide, 90% of whom were CFP professionals. That heavy representation reinforces the CFP Board’s confidence in the study’s reliability. Kevin Roth, the Board’s head of research, emphasized the breadth of the data, noting that the findings should be viewed as a highly representative snapshot of the profession.
Perhaps just as important as the paychecks themselves are the quality-of-life indicators. Nearly three-quarters of surveyed planners—73%—reported being satisfied or very satisfied with their work-life balance. An even larger majority expressed satisfaction with career stability (86%), opportunities for advancement (79%), and personal fulfillment (85%). Taken together, these numbers suggest a profession that not only pays well but also offers long-term career satisfaction—an important point for RIAs seeking to attract and retain next-generation talent.
Channel-specific compensation reveals stark differences across the industry. Planners affiliated with independent broker-dealers reported the highest median total compensation at $222,500. Wirehouse advisors followed closely at $220,000, while planners at hybrid RIAs earned $207,500 and those at banks averaged $189,400. Independent RIAs, by contrast, reported the lowest median compensation at $160,000. For firm leaders, these numbers highlight the trade-offs between independence and the scale of larger platforms. While RIAs may trail in immediate compensation, they often offer other benefits—such as autonomy, equity ownership, and long-term enterprise value—that don’t show up in a median salary report.
Experience remains one of the most decisive drivers of income. Advisors with less than five years in the profession reported a median compensation of $107,500. Those with five to 10 years of experience earned $148,730, while advisors with 11 to 20 years took home $239,000. For the most seasoned professionals—those with more than two decades in the field—median compensation soared to $359,000. These figures reflect the compounding value of relationship-building, client trust, and expertise that develops over time. For younger advisors entering the field, the trajectory underscores both the patience and persistence required to maximize long-term earnings potential.
The survey also offers insights into workplace structures that reflect broader trends in flexibility and employee benefits. Roughly 22% of planners reported working remotely full time, while nearly half (48%) operate under hybrid models. These arrangements may help explain why satisfaction rates remain high, particularly as firms compete to offer flexibility without sacrificing client service standards. For independent firms and RIAs, hybrid work policies can serve as a differentiator in recruiting talent without the same layers of corporate oversight larger firms often require.
Paid time off policies also varied widely. The median respondent received 15 vacation days, five sick days, and 10 paid holidays annually. However, a significant minority—27%—reported having access to unlimited PTO. While such policies often sound more generous than they are in practice, they do signal an effort by firms to modernize their benefits in ways that appeal to younger generations of advisors and employees. For independent practice owners, the takeaway is clear: competitive benefits packages can be as important as base pay in attracting high-quality advisors to your team.
Working hours provide another lens on compensation and satisfaction. The typical financial planner in the survey reported a 40-hour workweek, with the median closely reflecting a standard nine-to-five job. Yet the average was somewhat higher—44 hours per week—due to a minority of professionals logging longer hours. For advisors running independent practices, this aligns with lived experience: while a steady base of client work may fill the standard week, growth initiatives, compliance responsibilities, and business development can easily extend working hours.
Taken together, the findings present a profession that is both financially rewarding and personally fulfilling, though with clear nuances by channel, experience level, and firm type. For independent advisors, the lower median compensation figures should not be interpreted as a disadvantage, but rather as a reflection of different business models. Many RIAs build long-term wealth through ownership stakes, equity growth, and firm valuation multiples that far exceed annual salary comparisons.
For wirehouse and broker-dealer advisors, the data underscores the trade-offs of compensation tied to scale and infrastructure versus autonomy and flexibility. Meanwhile, for those considering whether to pursue the CFP designation, the survey results once again affirm its tangible impact on earning potential. The CFP credential not only enhances compensation but also elevates credibility with clients—a factor that pays dividends well beyond salary surveys.
For wealth advisors evaluating career moves, building teams, or positioning their firms for growth, these insights offer more than just a snapshot of paychecks. They provide context on the evolving expectations of advisors, the changing dynamics of workplace flexibility, and the value of professional credentials. Whether you are mentoring next-generation advisors, weighing the pros and cons of independence, or structuring competitive compensation packages within your practice, the findings serve as both a benchmark and a roadmap.
The CFP Board’s compensation study affirms what many in the profession already know: financial planning continues to be a career path that offers strong financial rewards, flexibility, and a high degree of professional satisfaction. For RIAs and independent wealth managers in particular, the challenge is less about meeting a median number and more about designing careers and businesses that align compensation with the broader goals of autonomy, client impact, and enterprise growth. As the profession matures, those who strategically balance compensation with culture and client service are likely to be the ultimate winners.
