AFP Entrance study plan
AFP Entrance · Give each week a clear focus.
8 weeks · About 7 hours per week
Fundamentals of Financial Planning & Financial Statement and Cash Flow Analysis
Define each step of the financial planning process and state the purpose of each step in your own words
Build a personal net worth statement and cash flow statement from actual account balances
Compute savings rate, emergency fund ratio, and debt-to-asset ratio from those statements
Explain how the time value of money underlies goal quantification
Your checkpoint
A one-page personal net worth and cash flow summary with three computed ratios and a written interpretation of each
Fundamentals of Financial Planning & Income Tax Planning
Calculate future value and present value for lump sums and annuities using a financial calculator or spreadsheet
Apply marginal versus average tax rate concepts to a sample income scenario
Identify above-the-line versus below-the-line deductions and standard versus itemized selection logic
Map each major planning domain to at least one tax consequence
Your checkpoint
A 15-problem time value of money and tax computation worksheet scored at 80% or higher
Investment Planning & Education and Goal Funding
Distinguish risk tolerance from risk capacity and describe how each shapes an allocation
Compare risk and return characteristics of cash, bonds, equities, and alternative assets
Compute an education funding need and required monthly contribution given an assumed inflation rate
Explain the mechanics and tradeoffs of 529 plans, Coverdell accounts, and custodial accounts
Your checkpoint
A written investment policy statement outline plus an education funding calculation showing need, assumed return, and monthly savings required
Employee Benefits and Retirement Planning & Insurance Planning and Risk Management
Compare defined benefit and defined contribution plans on risk allocation and payout structure
Calculate a retirement accumulation target and required annual savings using stated assumptions
Determine Social Security benefit reduction factors for early claiming versus delayed claiming
Contrast term, whole, and universal life insurance on cost structure and cash value
Identify the purpose and limits of disability and long-term care coverage
Your checkpoint
A retirement projection spreadsheet with two savings scenarios plus a one-page insurance needs summary covering life, disability, and long-term care
Estate Planning & Professional Ethics and Fiduciary Standards
Differentiate wills, revocable trusts, and irrevocable trusts by control and creditor exposure
Explain intestate succession outcomes and the role of beneficiary designations
Compute a simplified estate tax exposure given an assumed exemption amount
State the fiduciary duties of care and loyalty and apply them to a conflict of interest scenario
Describe the elements of the CFP Board Code of Ethics and Standards of Conduct at a conceptual level
Your checkpoint
An estate planning case memo recommending documents and beneficiary changes, plus a written analysis of one ethics scenario using the fiduciary standard
Debt and Credit Management & Income Tax Planning
Compute debt service ratios including housing ratio and total debt-to-income ratio
Compare debt reduction strategies by interest cost and payoff timeline
Evaluate credit report content and the dispute process
Apply capital gains, basis, and cost recovery rules to a simple sale scenario
Explain tax treatment differences between traditional and Roth retirement contributions
Your checkpoint
A debt payoff comparison table for two strategies with total interest saved, plus a tax worksheet covering capital gains and retirement account taxation
Fundamentals of Financial Planning & Employee Benefits and Retirement Planning & Investment Planning
Integrate cash flow, retirement, and investment assumptions into a single client scenario
Identify inconsistencies between a client's stated goals and their actual cash flow capacity
Recompute a projection after changing return, inflation, and savings assumptions
Explain how plan monitoring and periodic review fit the planning process
Your checkpoint
A full integrated case analysis with assumptions page, projection, and a written list of at least three planning conflicts identified
Insurance Planning and Risk Management & Estate Planning & Debt and Credit Management & Education and Goal Funding & Professional Ethics and Fiduciary Standards
Complete timed practice sets across the lighter-weight domains and log every missed item by cause
Re-derive key formulas for insurance needs, debt ratios, and education funding from memory
Review the ethics standards and restate the fiduciary duties without notes
Build a personal error log of recurring mistakes with correction rules
Your checkpoint
A timed 60-question mixed practice set scored at 75% or higher, plus a finalized error log with at least 10 entries and correction rules
Milestones
Week 2: Score 80% or higher on the time value of money and tax worksheet and correctly state all six steps of the financial planning process from memory
Week 4: Produce a retirement projection and insurance summary that use consistent assumptions, and explain the difference between defined benefit and defined contribution plans without notes
Week 6: Score 75% or higher on a 40-question set drawn from Domains 3, 4, 5, and 8, and correctly compute housing and total debt-to-income ratios
Week 8: Score 75% or higher on the final 60-question mixed set, with no more than two repeated error categories from the error log