CFP® to EA: Build Your Knowledge and Your Book

You’ve passed the CFP^® Exam, proven your excellence in financial planning, and earned your clients’ trust to navigate their financial futures. But what if you could add another skill to your arsenal? One that lets you face the IRS with unshakable confidence and deliver a level of service that makes you indispensable to your clients and more attractive to new ones?

Enter the Enrolled Agent (EA) credential. For a CERTIFIED FINANCIAL PLANNER^® professional, becoming an EA expands your expertise, broadens your service offerings, and gives you a significant edge in a competitive field. Let's explore why pairing your CFP^® certification with the EA credential is a brilliant career move.

What Is an Enrolled Agent?

An Enrolled Agent is a tax practitioner who is federally authorized by the U.S. Department of the Treasury to represent taxpayers before the Internal Revenue Service (IRS). This means you can act on behalf of clients in all tax matters, but it also means you've proven your knowledge of individual and business taxation and have earned the highest credential the IRS awards.

Also, the EA credential is a federal designation, so you can represent clients in any state or U.S. territory. You have total flexibility in where you live and work.

Why Should a CFP^® Professional Become an EA?

As a CFP^® professional, you're providing a valuable service to your clients, helping them meet their financial goals and achieve security in the future. That's nothing to sneeze at. But tax planning is a huge piece of the financial puzzle, and by becoming an EA, you'll move from simply advising on tax implications to actively solving tax problems. Let's go a little deeper and look at the specific benefits CFP^® professionals get from becoming an EA.

Unlimited Representation Rights

This is the big one. Like we said above, as an Enrolled Agent, you have unlimited practice rights before the IRS. This allows you to:

• Represent any taxpayer on any tax matter, regardless of who prepared their return
• Handle audits from start to finish
• Negotiate collections and set up repayment plans
• Appeal IRS rulings on behalf of your clients

Without the EA credential, your ability to interact with the IRS on a client's behalf is limited. With it, you become their go-to advocate for everything tax-related, building incredible trust and client loyalty.

Offer More Comprehensive Solutions

Financial planning and taxes are deeply intertwined. As a CFP® professional, you're focusing on tax-advantaged opportunities, like converting a traditional IRA to a Roth IRA or tax-loss harvesting. But, as an EA, you can do so much more, including:

• Integrate advanced tax strategies directly into your financial plans
• Prepare and file tax returns for individuals and businesses, adding a significant revenue stream
• Provide holistic advice that covers every angle, from investments to tax liability, making your service a one-stop shop.
• This comprehensive approach not only benefits your clients but also solidifies your position as their primary financial advisor.

Broaden Your Knowledge and Expertise

Studying for the EA Exam gives you a deeper understanding of the U.S. tax code in ways that go far beyond what you learned in your CFP^® Education coursework, including individual and business taxation, representation, and procedures. This specialized knowledge will turn you into the go-to guru who can spot opportunities and risks that others might miss and add another dimension to your financial plans.

Reach New Audiences and Increase Revenue

Having your EA credential creates new revenue streams and diversifies your client base. For your clients who rely on you for financial planning services, providing tax services is a natural extension of how you can better serve them. You already understand their finances and how different tax strategies can affect them, and they already trust your knowledge and capabilities.

But wait...there's more!

Becoming an EA opens the door to new clients. You can attract people who need tax assistance, from individuals with complex taxes to small business owners who need support. From there, you can offer your financial planning services for year-round income.

Your Mission, Should You Choose to Accept It: Becoming an EA

Think becoming an EA involves another multi-year training montage? Not quite. The path is actually a lot more straightforward than you might think, especially for someone who has already conquered the CFP^® Exam.

Step 1: Get Your Preparer Tax Identification Number (PTIN)

Before you can do anything else, you need a PTIN from the IRS. This is an identification number that all paid tax preparers must use on federal tax returns. You can apply for one online through the IRS website. It’s a quick first step on your journey.

Step 2: Study for and Pass the Special Enrollment Examination (SEE)

This is your main challenge, but don't sweat it. The Special Enrollment Exam (SEE), often called the EA Exam, is a three-part exam covering the following areas:

• Part 1: Individuals (Preliminary work, income, deductions, credits, etc.)
• Part 2: Businesses (Business entities, tax preparation, specialized returns)
• Part 3: Representation, Practices, and Procedures (Rules, representation before the IRS, filing process)

Each part is a 3.5-hour exam consisting of 100 multiple-choice questions. The great news? You don't have to take them all at once. You have a two-year window to pass all three sections after passing the first one.

Step 3: Apply for Enrollment

Once you’ve successfully passed all three parts of the SEE, you can apply for enrollment to practice before the IRS. This involves submitting Form 23 and paying an application fee.

Step 4: Pass a Suitability Check

The final step is a suitability check conducted by the IRS. This includes a review of your personal tax compliance history (yes, you have to have your own taxes in order!) and a criminal background check. Assuming you get the green light, you’ll be granted your EA status.

Ready to Add EA to Your Title?

Becoming an Enrolled Agent is a powerful way to enhance your CFP^® certification, grow your practice, and provide unparalleled value to your clients. You can offer truly holistic financial advice, tackle complex tax issues with confidence, and become the ultimate financial guide. To start your journey, you need the right tools. That’s why we’ve partnered with Becker, the leader in exam prep, to connect our students with top-tier EA Exam prep materials.

Download Becker's FREE EA Exam Guide today!

This comprehensive EA Exam Guide breaks down everything you need to know about the exam, from topics and study tips to practice questions. Through our partnership, you get access to the best resources to ensure you pass the EA Exam with flying colors and continue your professional growth with quality CPE. Take the next step in your career. Your clients—and your practice—will thank you.