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Free FP Canada CFP Examination Practice Questions

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Sample Practice Questions

Try these 10 sample questions from the FP Canada CFP Examination practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

  1. 1A business owner says her goal is to sell her company for the highest price. During discovery, she also says keeping employees in their jobs matters more than maximizing her personal wealth. What should the planner clarify before treating price as the sole sale objective?

    1. A.Whether employee continuity should constrain the sale objectiveCorrect answer: A
    2. B.Whether the company's market value equals its original cost
    3. C.Whether retirement projections should exclude company proceeds
    4. D.Whether the business should be valued without its liabilities

    Explanation: The Competency Profile states: "Identifies client’s objectives, needs, values, priorities, expectations and circumstances that have financial planning implications". A stated financial target must be reconciled with the client's underlying values and priorities. Employee continuity may qualify what a successful sale means; valuation mechanics do not resolve that preference.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 13, competency 1.001

  2. 2A client lists a $120,000 credit limit as a liability, although only $18,000 has been drawn. Which additional loan information establishes the current amount owing for the personal balance sheet?

    1. A.The lender's maximum approved borrowing limit
    2. B.The account's current outstanding balanceCorrect answer: B
    3. C.The total interest paid since the account opened
    4. D.The client's estimate of borrowing next year

    Explanation: The Competency Profile states: "Key information about liabilities includes the type of liability, balance owing, ownership, term, interest rate, amount and frequency of payments and purpose of the liability.". The current balance is $18,000; capacity to borrow is not an existing debt. Past interest and future intentions do not establish today's principal outstanding.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 18, competency 1.101

  3. 3A client includes a rental property among personal investments, but a company she owns appears on the deed. What must the planner clarify when collecting investment information?

    1. A.Which legal owner holds the property and how the client holds her interestCorrect answer: A
    2. B.Which neighbourhood has experienced the greatest recent price appreciation
    3. C.Which rent increase would match the client's preferred portfolio return
    4. D.Which future sale price would produce the most favourable projected outcome

    Explanation: The Competency Profile states: "the CFP professional needs to know whether the client holds the assets individually, or jointly with a business partner, or in a trust". Ownership affects how an asset enters the client's plan. A beneficial economic interest is not necessarily direct personal title; projections do not establish ownership.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 23, competency 1.104

  4. 4A business owner says she has no personally purchased insurance and therefore no coverage to review. She also participates in a company group plan and owns shares in a company with corporate life insurance. What information should be collected?

    1. A.Personal policy records alone, because company arrangements belong outside the plan
    2. B.Her recollection of employer benefits without requesting any plan documents
    3. C.Her group coverage and relevant corporate policies as well as any personal coverageCorrect answer: C
    4. D.Only policies on which she personally pays premiums from her bank account

    Explanation: The Competency Profile states: "including group and personal life insurance, disability insurance, health and dental insurance, critical illness insurance, homeowner and automobile insurance". Existing coverage is not limited to personally paid policies. Group and relevant corporate arrangements need to be identified from appropriate documents.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 29, competency 1.109

  5. 5A client asks for a tax projection based only on the latest employment pay stub. She also receives trust distributions and has a private company. What information should the planner obtain to establish the broader tax position?

    1. A.The pay stub alone, because other entities never affect personal taxes
    2. B.Relevant returns, assessments and records of the client's other taxable income sourcesCorrect answer: B
    3. C.The company's sales target instead of the client's income and tax records
    4. D.The trust's name alone, treating distributions as equal to its total assets

    Explanation: The Competency Profile states: "including personal, trust or corporate returns where applicable". Employment income is not the client's full tax position. Relevant records from the other arrangements are required; corporate sales and trust asset totals are not substitutes for taxable income information.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 33, competency 1.113

  6. 6A client expects to retire in Canada after working abroad and operating a small business. She provides only her Canadian RRSP balance. What additional retirement income information should the planner collect?

    1. A.Only Canadian employment salary, because foreign entitlements cannot affect the plan
    2. B.Foreign and Canadian pension entitlements and relevant business-related income sourcesCorrect answer: B
    3. C.Only the business's sales revenue, without its obligations or ownership terms
    4. D.An estimate of government benefits based solely on the client's current age

    Explanation: The Competency Profile states: "pension plans, government plans and investments from Canadian and foreign sources". A retirement plan needs all relevant sources and their actual terms. A Canadian account balance alone is incomplete; neither gross business sales nor age alone establishes retirement income.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 38, competency 1.117

  7. 7A client provides a will but no insurance or registered-account records. She assumes the will alone gives the planner a complete picture of intended distributions. What information should the planner obtain?

    1. A.Only the will's signing date, treating every asset as governed by that document
    2. B.Only current account balances, treating named recipients as irrelevant
    3. C.Current beneficiary designations and the relevant policy and account documentsCorrect answer: C
    4. D.Only the executor's contact information, treating all ownership terms as identical

    Explanation: The Competency Profile states: "The CFP professional should confirm beneficiary designations on life insurance products and registered accounts.". A will does not by itself supply all ownership and beneficiary information. Designations and documents must be confirmed rather than assumed.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 42, competency 1.120

  8. 8A retirement projection uses a 3% inflation assumption. The client believes the displayed future spending amount will buy substantially more goods than today's budget. Which response addresses the misunderstanding?

    1. A.Increase the investment return until future spending equals today's amount
    2. B.Remove inflation because the client has questioned the assumption
    3. C.Explain how inflation changes purchasing power and confirm understandingCorrect answer: C
    4. D.Treat the projected dollar amount as a guarantee of future living standards

    Explanation: The Competency Profile states: "A CFP professional can discuss all the financial assumptions they use, their relevance and implications to ensure the client understands and agrees to their use in the preparation of their financial plan.". The issue is understanding an assumption and its effect, rather than changing returns or presenting the projection as certain.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 13, competency 1.002

  9. 9A consultant receives a large payment each quarter but pays household costs monthly. What information is essential to identify a cash shortfall that an annual income total could conceal?

    1. A.The annual income total and annual expense total, without payment dates
    2. B.The closing net-worth statement showing total assets and total liabilities
    3. C.The prior year's annual surplus, without the current receipt schedule
    4. D.The timing and frequency of the income receipts and expense paymentsCorrect answer: D

    Explanation: The Competency Profile states: "Key information about income and expense amounts includes their source, amount, timing, frequency, and tax treatment.". Annual totals, balance-sheet stocks and a past surplus cannot establish cash availability in each month. Receipt and payment timing reveals a mismatch.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 18, competency 1.102

  10. 10An investment summary must show when principal from several non-redeemable fixed-income holdings becomes payable. Which information directly supports that schedule?

    1. A.The holdings' historical returns and current credit ratings
    2. B.The holdings' acquisition costs and accrued gains or losses
    3. C.The holdings' currencies and named beneficiary details
    4. D.The holdings' principal amounts and contractual maturity datesCorrect answer: D

    Explanation: The Competency Profile includes "dividend or interest payment amounts, and maturity dates if applicable." Principal amounts and maturity dates establish the requested schedule; performance/rating, gain and ownership information do not provide that timing.

    Reference: FP Canada Standards Council Competency Profile for CFP Certification — p. 23, competency 1.105

Exam Review

About FP Canada CFP Examination

FP Canada CFP Examination · CA

Key exam facts

Provider
FP Canada; its Standards Council develops and delivers the examination, managed by the Council and set by its CFP Exam Panel. Meazure Learning/ProctorU provides delivery and online proctoring, not exam ownership.
Format
Computer-based, at an in-person test centre in Canada or by online proctoring: stand-alone four-option multiple-choice and case-based written constructed responses. Blueprint format allocation: 20–30% multiple choice and 70–80% constructed response. This four-option practice bank is not an exact simulation of the written-response format.
Time limit
Six hours of answering time in three two-hour sections. Two additional breaks: 30 minutes each at in-person centres; 15 minutes each with online proctoring. Connection/check-in time is additional.
Passing score
Pass/fail, criterion-referenced scoring. The official guide and results page identify a passing standard of 500; the raw pass mark for each sitting is statistically adjusted for difficulty. 500 is not a percentage. The checked public materials do not specify a full reporting-scale range.
Exam fee
CAD $950 early-bird or CAD $1,050 regular examination registration, plus applicable taxes; fee schedule as of September 1, 2026, subject to change. Reattempts require a new application and applicable examination registration fee; practice examinations and optional administrative services cost extra.

Topics covered

The authority publishes percentage ranges for each content area. The practice percentages below use the midpoint of each range, normalized to 100%; they are not exact percentages published by the authority. Practice question counts may differ slightly because of rounding.

  • Fundamental Financial Planning Practices — Official range: 9–19% (Practice allocation: 14%)

    • Collection: Gathers and prepares the client’s information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Identifies client’s objectives, needs, values, priorities, expectations and circumstances that have financial planning implications
    • Determines client’s understanding of financial planning assumptions
    • Identifies information and documentation required for financial planning
    • Identifies client’s legal considerations that affect the financial planning process
    • Determines client’s level of financial knowledge and experience
    • Identifies material changes in client’s health, personal and financial situation
    • Determines completeness of information to enable analysis
    • Analyzes collected information to prioritize the financial planning areas based on the client’s objectives
    • Considers interrelationships among financial planning areas
    • Assesses opportunities and constraints across financial planning areas
    • Considers impact of economic, political and regulatory environments
    • Considers benefits and limitations of financial technology and its impact on a client’s projected planning outcomes
    • Assesses costs and benefits of competing alternatives, integrating them across financial planning areas
    • Measures progress toward achievement of objectives of the financial plan
    • Prioritizes recommendations from the financial planning areas to optimize the client’s outcomes
    • Recommends steps to implement a financial plan
    • Determines other professionals required to assist in implementation of a financial plan
    • Determines the necessity to revise the financial plan

  • Financial Management — Official range: 10–20% (Practice allocation: 15%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information regarding client’s assets and liabilities
    • Collects information regarding client’s current and projected cash flow
    • Prepares statements of client’s net worth and cash flow
    • Determines client’s experience, attitudes, biases and objectives regarding saving and spending
    • Determines client’s experience, attitudes, biases and objectives regarding credit and debt
    • Determines client’s desired lifestyle
    • Determines characteristics of client’s assets and liabilities
    • Determines whether a client is living within financial means
    • Determines client’s capacity to withstand unexpected situations
    • Calculates the amount required to meet financial management goals and objectives
    • Identifies conflicting demands on current and projected cash flow
    • Considers potential cash flow strategies
    • Considers potential credit and debt management strategies
    • Considers potential savings strategies
    • Assesses the impact of potential changes in income and expenses
    • Evaluates advantages and disadvantages of each financial management strategy
    • Prioritizes client’s financial management goals, objectives and needs
    • Formulates financial management strategies
    • Recommends optimal financial management strategies
    • Prioritizes the steps, sequencing, and timing for a client to implement the recommended financial management strategies

  • Investment Planning — Official range: 9–19% (Practice allocation: 14%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information regarding client’s assets and investment holdings
    • Prepares a summary of assets and investment holdings
    • Determines client’s current asset allocation
    • Identifies current and projected asset and investment cash flows
    • Identifies available contribution room
    • Determines client’s investment experience, attitudes, values, biases, and objectives
    • Determines client’s return expectations
    • Determines client’s investment constraints
    • Determines client’s capacity, tolerance, and composure related to investment risk
    • Determines client’s desired degree of involvement in investment planning
    • Determines characteristics of assets and investment holdings
    • Determines the implications of acquiring or disposing of assets
    • Calculates the required rate of return to reach client’s objectives
    • Assesses whether investment return expectations are consistent with client’s values, constraints, risk capacity, needs, and tolerance
    • Assesses whether asset allocation is consistent with client’s values, constraints, risk capacity, needs, and tolerance
    • Considers potential investment planning strategies
    • Evaluates advantages and disadvantages of each investment planning strategy
    • Prioritizes client’s investment planning objectives and needs
    • Formulates investment planning strategies
    • Recommends optimal investment planning strategies
    • Prioritizes the steps, sequencing, and timing for a client to implement investment planning strategies

  • Insurance and Risk Management — Official range: 9–19% (Practice allocation: 14%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information regarding client’s existing insurance coverage
    • Prepares a summary of existing insurance coverage
    • Determines resources available to manage risk
    • Identifies current and potential future financial obligations
    • Determines client’s risk management experience, attitudes, values, biases, and objectives
    • Determines relevant lifestyle factors
    • Determines client’s personal and family health history that impacts financial planning needs of the client
    • Determines characteristics of existing insurance coverage
    • Calculates financial impact of exposure to risk
    • Assesses risk exposure against existing risk management strategies
    • Considers potential risk management strategies
    • Assesses the impact of changes to insurance coverage
    • Evaluates advantages and disadvantages of each risk management strategy
    • Prioritizes client’s risk management objectives and needs
    • Formulates risk management strategies
    • Recommends optimal risk management strategies
    • Prioritizes the steps, sequencing and timing for a client to implement risk management strategies

  • Tax Planning — Official range: 9–19% (Practice allocation: 14%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information to establish client’s current and projected tax position
    • Determines client’s existing tax strategies
    • Identifies tax implications of assets and liabilities
    • Identifies parties and entities relevant to client’s tax situation
    • Determines client’s taxation experience, attitudes, values, biases, and objectives
    • Determines tax impact of relevant transactions, events, and planning strategies
    • Calculates current and projected tax liabilities
    • Assesses existing tax strategies
    • Considers potential tax planning strategies
    • Assesses the impact of relationships between relevant parties and entities on the client’s tax situation
    • Assesses the impact of tax planning alternatives
    • Evaluates advantages and disadvantages of each tax planning strategy
    • Prioritizes client’s tax planning objectives and needs
    • Formulates tax planning strategies
    • Recommends optimal tax planning strategies
    • Prioritizes the steps, sequencing and timing for a client to implement tax planning strategies

  • Retirement Planning — Official range: 10–20% (Practice allocation: 15%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information regarding client’s potential sources of retirement income
    • Prepares a summary of potential sources of retirement income
    • Collects details of projected retirement expenses
    • Determines client’s attitudes, priorities, and biases toward retirement
    • Determines client’s retirement objectives
    • Determines client’s comfort with retirement planning assumptions
    • Calculates financial projections based on current position
    • Determines if client’s retirement objectives are attainable
    • Assesses financial requirements in retirement
    • Considers potential retirement saving strategies
    • Considers potential retirement income strategies
    • Assesses impact of retirement planning alternatives
    • Assesses trade-offs necessary to meet retirement objectives
    • Evaluates advantages and disadvantages of each retirement planning strategy
    • Prioritizes client’s retirement planning objectives and needs
    • Formulates retirement planning strategies
    • Recommends optimal retirement planning strategies
    • Prioritizes the steps, sequencing, and timing for a client to implement retirement planning strategies

  • Estate Planning and Law for Financial Planning — Official range: 9–19% (Practice allocation: 14%)

    • Collection: Gathers and prepares the client’s information
    • Gathers and prepares quantitative information
    • Gathers qualitative information
    • Analysis: Assesses the client’s situation and identifies and evaluates appropriate strategies
    • Assesses the client’s situation
    • Considers and evaluates strategies
    • Recommendation: Develops recommendations to help optimize the client’s situation
    • Develops recommendations to help optimize the client’s situation
    • Collects information and documents that impact estate planning strategies
    • Identifies parties and entities relevant to client’s estate planning
    • Collects legal documents and relevant information
    • Identifies parties and entities relevant to client’s legal agreements
    • Determines client’s estate planning experience, attitudes, values, biases, and objectives
    • Identifies family dynamics and business relationships that could impact estate planning strategies and objectives
    • Determines client’s circumstances and objectives that may require legal measures
    • Calculates financial projections in the event of death
    • Determines constraints to meeting client’s estate planning objectives
    • Considers the financial planning implications of client’s potential incapacity
    • Assesses the financial planning implications of the legal measures the client has in place
    • Considers potential estate planning strategies
    • Assesses impact of estate planning alternatives
    • Evaluates advantages and disadvantages of each estate planning strategy
    • Prioritizes client’s estate planning objectives and needs
    • Considers financial planning implications of potential legal measures
    • Evaluates advantages and disadvantages of alternative legal measures
    • Prioritizes client’s objectives and needs that may require legal measures
    • Formulates estate planning strategies
    • Recommends optimal estate planning strategies
    • Prioritizes the steps, sequencing, and timing for a client to implement estate planning strategies
    • Recommends optimal legal measures
    • Prioritizes the steps, sequencing, and timing for a client to implementing the recommended legal measures

How to prepare

Work through the topics, read the explanation after each answer, and revisit the areas where you miss questions. Use the official outline and reference materials below to guide your study.

These independent practice questions are not actual exam items and do not guarantee a passing result.

Frequently asked questions

What is the exam format?

Computer-based, at an in-person test centre in Canada or by online proctoring: stand-alone four-option multiple-choice and case-based written constructed responses. Blueprint format allocation: 20–30% multiple choice and 70–80% constructed response. This four-option practice bank is not an exact simulation of the written-response format.

How long is the exam?

Six hours of answering time in three two-hour sections. Two additional breaks: 30 minutes each at in-person centres; 15 minutes each with online proctoring. Connection/check-in time is additional.

What is the passing score?

Pass/fail, criterion-referenced scoring. The official guide and results page identify a passing standard of 500; the raw pass mark for each sitting is statistically adjusted for difficulty. 500 is not a percentage. The checked public materials do not specify a full reporting-scale range.

How much does the exam cost?

CAD $950 early-bird or CAD $1,050 regular examination registration, plus applicable taxes; fee schedule as of September 1, 2026, subject to change. Reattempts require a new application and applicable examination registration fee; practice examinations and optional administrative services cost extra.

Official sources and references

Confirm current exam arrangements with the exam provider.