DEFINITION of 'Retirement Income Certified Professional - RICP'

A professional designation for experienced financial professionals who wish to become experts in retirement income planning. A Retirement Income Certified Professional helps retirees and near-retirees develop a plan for managing and using the assets they have accumulated for retirement in order to live within a realistic budget and not run out of money prematurely.

BREAKING DOWN 'Retirement Income Certified Professional - RICP'

The RICP program consists of three courses: Retirement Income Process, Strategies and Solutions; Sources of Retirement Income; and Managing the Retirement Income Plan. It is designed for financial professionals who already have a broad-based financial planning credential such as Chartered Financial Consultant, Certified Financial Planner or Chartered Life Underwriter or whose businesses already emphasize retirement income planning. Applicants must have three-plus years of relevant work experience, complete the three courses (which are all administered online), and pass a 100-question exam. RICPs must adhere to a code of ethics and meet continuing education and reporting requirements.

The American College in Bryn Mawr, Pa., a non-profit organization offering financial services education, created the RICP designation to serve the financial planning needs of America’s increasing population of retirees and near-retirees. The knowledge required to accumulate retirement savings and the knowledge required to use that savings to generate a comfortable and lasting income in retirement are two separate entities. While many financial professionals are experienced in advising and helping individuals to accumulate retirement assets, the increasing number of retirees means there is a large demand for expertise in how to manage and use those assets, and fewer advisers have expertise in subjects like how to determine when a client is financially prepared to retire, the rate at which retirement savings should be withdrawn, how an individual’s asset allocation should change during retirement, the best age for an individual to start claiming Social Security benefits, how to pay for health care and nursing home care, late-in-life tax planning, retirement housing and more. RICPs receive specific training to help clients to maintain their customary standard of living throughout retirement, to address income gaps, to create an estate plan and to limit risk. 

RELATED TERMS
  1. Retirement Planning

    The process of determining retirement income goals and the actions ...
  2. Retirement Planner

    A practicing professional who helps individuals prepare a retirement ...
  3. Retirement Readiness

    The state and/or degree of being ready for retirement. Retirement ...
  4. Spending Phase

    The period in a person's life following retirement in which earning ...
  5. Roboretirement

    An automated advisory system that manages your retirement plan ...
  6. Chartered Retirement Planning Counselor ...

    A professional designation awarded by the College for Financial ...
Related Articles
  1. Retirement

    10 Things You Must Know Before You Retire

    Don't put off your retirement planning - these 10 steps can make your later years much more manageable.
  2. Financial Advisor

    Tips for Navigating the 'New Retirement' Landscape

    The retirement landscape is changing and will certainly continue to evolve. Here's how to help clients best navigate planning for their post-work futures.
  3. Financial Advisor

    Those Who Retire Early Share These Traits

    Here's how people planning on retiring early prepare for what's ahead.
  4. Financial Advisor

    Retirement's Evolution: How to Be Prepared

    For many, retirement might not be the full stoppage of work and living a life of leisure but rather one of slowly phasing out of the workforce.
  5. Retirement

    How to Evaluate Your Retirement Plan

    Here are four things to consider to make sure you are financially prepared for retirement.
  6. Retirement

    The New Retirement Age

    Why are more and more people planning on working later into their golden years?
  7. Financial Advisor

    Is the 80% Retirement Rule Valid for Clients?

    Is the 80% rule of thumb for retirement spending a reasonable one?
  8. Retirement

    The 10 Worst Financial Decisions You Can Make In Retirement

    In this time of fiscal uncertainty, there are many financial decisions that can make or break you during your formative years.
  9. Financial Advisor

    5 Tips for Those 5 Years Away from Retirement

    Whether helping a new client or working with long-time clients, here are five financial planning tips for those within five years of retirement.
RELATED FAQS
  1. What does a sample plan using the 4% retirement rule look like?

    Discover how the 4% retirement rule can work as part of a plan to achieve increasing retirement income if investments perform ... Read Answer >>
  2. How soon should I start saving for retirement?

    Learn about the basics of retirement planning and the reasons why it is so advantageous for individuals to start saving for ... Read Answer >>
Hot Definitions
  1. Tender Offer

    An offer to purchase some or all of shareholders' shares in a corporation. The price offered is usually at a premium to the ...
  2. Ponzi Scheme

    A fraudulent investing scam promising high rates of return with little risk to investors. The Ponzi scheme generates returns ...
  3. Dow Jones Industrial Average - DJIA

    The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange ...
  4. Revolving Credit

    A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is ...
  5. Marginal Utility

    The additional satisfaction a consumer gains from consuming one more unit of a good or service. Marginal utility is an important ...
  6. Contango

    A situation where the futures price of a commodity is above the expected future spot price. Contango refers to a situation ...
Trading Center