Retirement Income Certified Professional - RICP

AAA

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.

INVESTOPEDIA EXPLAINS '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like how to determine when a client is financially prepared to retire, the rate at which retirement savings should be withdrawn, how an individual’s asset allocation should change during retirement, the best age for an individual to start claiming Social Security benefits, how to pay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. Asset Retirement Obligation

    An accounting rule established by Financial Accounting Standards ...
  2. Retirement Planner

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

    A broad range of employment arrangements that allow an employee ...
  4. Individual Retirement Annuity

    A retirement investment vehicle that is structured similarly ...
  5. Retirement Planning

    The process of determining retirement income goals and the actions ...
  6. Post-Retirement Risk

    The potential risks to financial security that a retired individual ...
Related Articles
  1. Retirement

    5 Lesser-Known Retirement And Benefit Plans

    These plans aren't widely used, but they fill a specific niche for employees in certain situations.
  2. Taxes

    Will You Pay Taxes During Retirement?

    Income taxes are one of the things that's certain in life. We'll explain the different tax situations when you retire.
  3. Retirement

    Deadlines You Must Meet If You Inherit A Retirement Account

    If you've inherited an IRA or any other retirement account, we tell you what deadlines you need to be aware of.
  4. Retirement

    Retirement Planning In A Changing World

    Retiring at the age of 65 is quickly becoming a thing of the past. So, what is happening to make this change?
  5. Mutual Funds & ETFs

    Why Mutual Funds Lose Their Five-Star Ratings?

    Ratings help people feel confident about their decision before purchasing. Morningstar’s rating system helps people to find and invest in mutual funds.
  6. Professionals

    New 401(k) Pension Rollover Rule: Pros and Cons

    Is the new rule allowing participants to roll their 401(k) balances into pensions a good idea?
  7. Credit & Loans

    Reverse Mortgages: How To Find A Good One

    Finding a reverse mortgage generally means using a lender that specializes in them. Here's how to find a reputable one.
  8. Investing Basics

    Are You Investing With A Purpose?

    We all appreciate having a wide variety of investing choices, but a random collection of investments does not make an investing plan.
  9. Insurance

    Life Insurance: How Much Does Age Raise Your Rate?

    If you need life insurance, try to get it before your next birthday. Here's why.
  10. Retirement

    Healthcare: What Are You Really Paying For?

    Long-term care costs rise fast and long-term care providers bundle services together, making it tougher for families to understand what they are paying for

You May Also Like

Hot Definitions
  1. Risk Averse

    A description of an investor who, when faced with two investments with a similar expected return (but different risks), will ...
  2. Fixed-Charge Coverage Ratio

    A ratio that indicates a firm's ability to satisfy fixed financing expenses, such as interest and leases. It is calculated ...
  3. Efficiency Ratio

    Ratios that are typically used to analyze how well a company uses its assets and liabilities internally. Efficiency Ratios ...
  4. Fixed Cost

    A cost that does not change with an increase or decrease in the amount of goods or services produced. Fixed costs are expenses ...
  5. Subsidy

    A benefit given by the government to groups or individuals usually in the form of a cash payment or tax reduction. The subsidy ...
  6. Sunk Cost

    A cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business ...
Trading Center