As I pulled over the other day to let a fire truck pass, I had an interesting thought – firefighters and financial professionals actually have quite a bit in common.
It also made me think: How many firefighters are there in the US? What’s their training like? And would firefighters make good financial professionals?
I think the answer is yes: firefighters would make excellent financial professionals. Here is why:
We Need More Qualified Financial Professionals
According to the U.S. Fire Administration, at last count there are 27,181 fire departments and 1,215,600 local firefighters in the US. Of this total, approximately 34% were career firefighters, 53% were volunteer firefighters and 12% were paid per call firefighters.
And according to the Department of Labor, there are 263,030 financial professionals in the US.
In my opinion, the number of clients a financial professional can adequately serve is about 125 - 150, give or take. So even assuming that the average family has 4 people, it is apparent that the US is way underserved when it comes to financial planning.
Both Fields Are Very Competitive
Firefighting is a highly competitive field. In fact, while there are thousands of applicants every year, most are rejected. Today, more applicants than ever before have four-year degrees in Fire Science or related fields, which has made the field even more competitive.
The same is true for financial professionals. In fact, many estimate that close to 50% of first year financial professionals don’t make it to year two. And of the ones who do make it, most have four-year degrees in related fields, including business, accounting, finance and economics.
We Both Train Extensively
Before one becomes an active-duty firefighter, there are about 600 hours of formal training, over the course of 3 to 4 months. Averaging about 40 hours a week, that makes training to be a firefighter a full-time job. Training typically occurs at a fire academy, which is usually run by the local fire department, a division of the state government or a university.
To enter a training program, applicants take three exams: a written test, a Candidate Physical Ability Test and an aptitude test. The written exam typically consists of around 100 multiple-choice questions and measures overall aptitude, personality, reading comprehension, reasoning, logic, observation and memory.
To become a financial professional, many enter training programs offered by sponsoring broker-dealers, usually after taking tests that measure overall aptitude, personality, reading comprehension, reasoning, logic, observation and memory. Training programs typically last at least a year and new financial professionals are often paired with experienced ones in order to gain real-world experience.
In addition, there are academic certifications that are available for financial professionals, but usually after a few yeas. In fact, there are numerous certifications available for financial professionals, and at least one of the following is recommended by the National Association of Personal Financial Advisors:
- Certified Financial Planner
- Personal Financial Specialist
- Chartered Financial Consultant
- Chartered Financial Analyst
Further, many specialty areas require licensing. For example, financial professionals who want to sell insurance must be licensed in their state. Those who focus on investments must also register with their state and often with the Securities and Exchange Commission as a Registered Investment Advisor.
There are some differences in our training, however. Firefighters must pass the physical portion of the firefighter exam, including being able to quickly climb an extended ladder or carry 75-pound bags of sand on their shoulders for long periods of time. Thank goodness financial professionals don’t have to pass that test…
We Both Save Lives and Dollars
Every year, firefighters save countless lives and billions of dollars worth of property. And while there are no definitive statistics on the number of lives saved, research by the Fireground Civilian Rescue Research Project determined there were 505 civilian rescues reported by U.S. news media between January 1, 2021 and February 21, 2021. That’s over 500 people rescued in a little under 2 months – just think of how many rescues there are in an entire year!
Now, in no way am I comparing lives saved by firefighters to lives saved by financial professionals. But as a financial professional, I am asked to get involved in some very personal family crises. And unfortunately, once the immediacy of a trauma has passed – and the firefighters have left – I’m often called to help families deal with the longer-term implications. It might be creating a special needs trust after a tragic accident, helping pay for in-home care for an elderly sick parent or helping a client’s child struggling with a debilitating addiction. So while financial professionals aren’t saving people from burning buildings, I do think we help save many of the lives of our clients and their families by the work we perform.
Every Day Is Different
Firefighters respond to emergencies where they do not know exactly what they are responding to or what they might find when they arrive. And every emergency is different. As such, they apply their training and experience to every situation, because each one calls for a unique approach.
Likewise, while the process of providing financial planning might seem simple, the fact is that every financial plan is different, because every client is different. And like firefighters, financial professionals apply their training and experience to each unique situation we encounter.
We Both Want You to Plan
As firefighters progress in their careers, they often become fire marshals and fire inspectors and work to prevent fires. They conduct building inspections, make sure fire safety laws are being followed, work with city officials and visit schools to teach fire safety to kids.
Similarly, financial professionals spend most of their time working with families to plan, whether it is for retirement, education or some other dream. And we are constantly preaching that the best time to plan for your financial well-being is today, not during a crisis.
We Will Always Respond
Both firefighters and financial professionals hope you’ll never have to call us in an emergency. But if you do, we will both respond immediately.
Because at our very core, both firefighters and financial professionals want to help others.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.
LPL Financial Representatives offer access to Trust Services through The Private Trust Company N.A., an affiliate of LPL Financial.
This article was prepared by RSW Publishing.
LPL Tracking #1-05352258