The Complete Idiot's Guide to Success as a Personal Financial Planner

The Complete Idiot's Guide to Success as a Personal Financial Planner By John P. Napolitano, CFP, CPA, PFS, MST Published by Alpha Books, a member of Penguin Group (USA), Inc.; December 2007; ISBN: 978-1-592-57686-9; 352 pages (paperback); $19.95

Reviewed by William Bregman

The Complete

The first section begins with the growth of planning as a separate field, including the growth of the CFP and similar credentials. It then moves on to how to get a job and earn a living during the first few years in the profession. A large part of the book is dedicated to being your own boss, and it delves into the inner resources one needs to create a business that has lasting value. The last part of the book focuses on the business of running a business: creating systems ranging from best client practices to relationships with other professionals and the technology needed to run a practice.

The author touches on other facets apart from the "how-to" aspect of setting up and running a PFP practice. One area he addresses is the "life planning movement" popularized by George Kindler. The premise is that in order to create a comprehensive financial plan, the planner has to go past the numbers and understand the client's underlying emotional state. The upside for the planner is that this can humanize the planning process for both the client and planner. Then they can both focus on the process of building and using financial assets to support current and future lifestyles. While many planners have empathy and a desire to listen, few have any professional training in psychology.

Another area of interest is the book's final chapter, which deals with spreading the wealth. After a period of time, a financial planner should, with motivation and hard work, obtain a measure of business success. The author makes the point that giving back to the community through mentoring, teaching, or performing pro bono work enhances both the planner and the profession.

The first book I reviewed about getting into the financial planning profession, in 1995, was geared specifically to CPAs. Many books have been written since, covering many areas including technical expertise, running a practice, and best practices. In truth, however, many CPAs fail to make the leap into being truly involved with a real financial planning practice. Too many of us view the world, as this book makes the point, through a rearview mirror. We prefer the comfort of dealing with the past to the uncertainty of dealing with the future.

This book is a genuine guide containing the elements needed to practice successfully as a personal financial planner. My main qualm about the book, however, is that it is written in too much of a CPA-like tone. The book would have worked better with a bit of levity and a lighter style. Buzz words like "proactive" and "holistic" should be used more sparingly.