Are you thinking of becoming a financial analyst? If so, you’re probably wondering about the financial analyst salary and job description. So, if you’re curious about what it takes to become a financial analyst or just want to know more, read on!
A financial analyst is a professional who analyzes financial data in order to provide insights and recommendations to businesses and individuals. They may work for private companies, public institutions, or be self-employed. Do you want to start a career in financial analysis? Read on to learn the basics of the job, including financial analyst salary.
Average Financial Analyst Salary
So, what is the average financial analyst salary? As of 2020, the average wage is $96,630 (hourly $46.46), according to the Bureau of Labor Statistics. The median annual wage for a financial and investment analyst is $83,660. The lowest 10 percent earned less than $48,760, while the highest 10 percent earned more than $159,560. However, this number can vary depending on a number of factors, such as experience level, location, and employer.
Financial Analyst salary can vary greatly depending on the company, location, and experience. In general, a financial analyst with less than five years of experience can expect to earn a base salary in the range of $40,000 to $60,000. However, those with more experience can earn significantly more. For example, a senior financial analyst with 10 or more years of experience could earn a salary of $85,000 or more.
Financial Analyst Salary by State
As with most jobs, a salary for a financial analyst can vary by state. In general, those working in states with higher costs of living will earn more than their counterparts in states with lower costs of living.
Here are the average annual salaries for financial analysts in 5 highest paying states:
- New York – $130,670,
- District of Columbia – $109,070,
- Massachusetts – $105,680,
- Connecticut – $105,020,
- New Jersey – $101,780.
Metropolitan areas with the highest employment are: New York, Los Angeles, Chicago, Washington, and Boston.
Financial Analyst Job Description
The responsibilities of a financial analyst vary depending on their workplace, but may include analyzing data to predict future trends, providing advice on investments and financial planning, and helping to create reports and presentations on financial performance.
Financial analysts must be able to understand complex financial data and be able to communicate their findings in a way that is easy for others to understand.
Financial Analyst: Perfect Candidate. Is It a Good Job for You?
If you’re looking for a job title where you can use your math skills and have a lot of analytical work, then financial analyst might be the perfect job for you! Financial analysts are responsible for assessing the financial health of a company or individual, and making recommendations about how to improve it. They use their knowledge of accounting, economics, and investment to make well-informed decisions.
This is a great job for someone who likes to work independently, and has strong problem-solving skills. It can be challenging to keep up with the ever-changing financial landscape, so you need to be able to stay on top of your game.
Financial Analyst. Possible Career Paths
After completing the relevant education and gaining experience in the field, a financial analyst may consider working in one of several career paths. Some of these paths include:
- Corporate finance – this path typically involves working for a company in a role such as financial controller or treasurer. In this role, the financial analyst would be responsible for all financial reporting and planning for the company.
- Investment banking – investment bankers work with clients to raise money by underwriting and selling securities. Financial analysts in this field typically work in the research or product development divisions, providing analysis of potential investment opportunities.
- Wealth management – in this career path, finance analysts work with high net worth individuals to manage their investments and plan for their financial future. This may include providing advice on retirement planning, estate planning, and investment strategies.
- Corporate accounting – financial analysts in corporate accounting work within the finance department of a company, preparing financial statements and managing budgets. They may also be responsible for forecasting future trends in the business.
- Consulting – financial analysts who choose to pursue a career in consulting typically work for management consulting firms, providing analysis and recommendations to clients on financial matters. This may include areas such as risk management, performance improvement, and process improvement.
How to Start a Career in Financial Analysis
If you’re interested in a career as a financial analyst or a chief financial officer, there are a few things you need to do to get started. First, you’ll need to develop your skills in accounting and financial statement analysis. You can do this by taking courses at a local college or university, or by studying on your own.
Once you’ve developed your skills, you’ll need to find a job in the financial industry. There are a variety of jobs available in this field, so you should be able to find one that’s a good fit for your skills and interests.
If you’re willing to put in the work, a career in financial analysis can be a great option. What do you think about financial analyst salary?