Download ICB CTFA Carryover CE Credits

ICB CTFA Carryover CE Credits
Below is an explanation of the process used for the carryover of CTFA credits. We feel that this
is the most equitable way to apply the credits.
As you know, CTFA's are required to earn 45 total CE credits with at least 6 credits in each of four
knowledge areas: Fiduciary & Trust, Financial Planning, Tax Law & Planning and Investment
Management. In ethics you are required to earn 3 credits. ICB allows a carryover of up to 1/3 of the
required CE credits. Thus the carryover amount for CTFA’s is a maximum total of 15 credits. The
system has been programmed to:
1. Look at the total credits earned.
2. Subtract the 45 required credits from the total credits earned and then determine the balance of total
credits that can be carried over up to 15 maximum.
3. Divide the total credits to be carried over by 5.
4. Subtract the 6 required credits from each of the first 4 knowledge areas, 3 from ethics and then
check each knowledge area to determine the available balance for carryover.
5. If the carryover amount is available in each knowledge area, the system applies 1/5 in each
knowledge area. (See example 1 below).
6. If the carryover amount is not available in each knowledge area, the system carries over the amount
that is available in each of the deficient knowledge areas and then divides the remaining credits
evenly among the remaining knowledge areas. If no amount is available for carryover in any
knowledge area, no credits are applied for that knowledge area. (See examples 2 and 3 below).
Example 1 based on the above steps:
1. 64.50 credits earned as follows:
Fid:
15.50
FP:
12.25
Tax:
17.25
Inv:
13.50
Ethics:
6.00
2. 64.5 credits earned - 45 required credits = 19.5 credits available for carryover however only 15 can
be carried over.
3. 15 divided by 5 = 3.00
4. Fid:
15.50 credits earned minus 6 required credits = 9.50 available for carryover
FP:
12.25 credits earned minus 6 required credits = 6.25 available for carryover
Tax:
17.25 credits earned minus 6 required credits = 11.25 available for carryover
Inv:
13.50 credits earned minus 6 required credits = 7.50 available for carryover
Ethics:
6.00 credits earned minus 3 required credits = 3.00 available for carryover
5. At least 3.00 credits are available for carryover in each of the five knowledge areas so 3.00 credits
are applied to each area.
Example 2 based on the above steps:
1. 69.75 credits earned as follows:
Fid:
8.00
FP:
17.50
Tax:
27.00
Inv:
13.25
Ethics:
4.00
2. 69.75 credits earned - 45 required credits = 24.75 credits available for carryover, however, only 15
can be carried over.
Continued on next page
3. 15 divided by 5 = 3.00
4. Fid:
8.00 credits earned minus 6 required credits = 2.00 available for carryover
FP:
17.50 credits earned minus 6 required credits = 11.50 available for carryover
Tax:
27.00 credits earned minus 6 required credits = 21.00 available for carryover
Inv:
13.25 credits earned minus 6 required credits = 7.25 available for carryover
Ethics:
4.00 credits earned minus 3 required credits = 1.00 available for carryover
5. There are not enough credits in Fiduciary or Ethics to fulfill the carryover of 3.00 credits in each
knowledge area.
6. The system carries over the 2 credits available in Fiduciary and the 1 credit available in Ethics and
subtracts them from the 15 carryover credits (15 – 2 - 1 = 12). Then the system divides the 12
remaining credits among the three eligible knowledge areas - 12 divided by 3 = 4 credits in each
area. Thus the system applies the credits as follows:
Fid:
2.00
FP:
4.00
Tax:
4.00
Inv:
4.00
Ethics:
1.00
Example 3 based on the above steps:
1. 46.00 credits earned as follows:
Fid:
16.00
FPI:
9.75
Tax:
11.25
Inv:
6.00
Ethics:
3.00
2. 46.00 credits earned - 45 required credits = 1.00 credit available for carryover
3. 1 divided by 5 = .20
4. Fid:
16.00 credits earned minus 6 required credits = 10.00 available for carryover
FP:
9.75 credits earned minus 6 required credits = 3.75 available for carryover
Tax:
11.25 credits earned minus 6 required credits = 5.25 available for carryover
Inv:
6.00 credits earned minus 6 required credits = 0.00 available for carryover
Ethics:
3.00 credits earned minus 3 required credits = 0.00 available for carryover
5. There are no credits in Investments or Ethics available for carryover.
6. The system divides 1.00 by 3 and applies the credits as follows:
Fid:
.33
FP:
.34
Tax:
.33
Inv:
0
Ethics:
0
Please note: The carryover may result in fractions or decimals rather than the quarter credits you are
accustomed to. However, we feel this is the most equitable way to apply the carryover credits that you
have earned within the knowledge areas in which you have earned them.