Choosing a finance career offers a wide range of roles and specializations in investment banking, taxation, asset management, insurance, accounting, and endless opportunities. The financial industry and professions are constantly evolving. Therefore, finance career opportunities have huge growth potential and scope for development in a short period. But is finance a good career path? We will find out in this article.
Is Finance a Good Career Path? Things you should know
Finance jobs knock opportunities for advancement and consistent demand projections. Moreover, these jobs are known to provide higher pay and stability than other sectors. Is finance a good career path?
Finance is a profession allowing individuals to work in hybrid environments, or remotely. It means all employees in this field are offered greater flexibility. According to the United States Bureau of Labor Statistics, finance employment will grow by over 8% by 2030. However, specific roles like financial examiner can potentially grow by more than double the national average.
Another reason people want to enter the finance sector is because these jobs can be relatively less stressful compared to public accounting jobs. Moreover, financial jobs can come with an upward salary and mobility, making it an attractive career.
The cutting-edge developments in the fintech sector empowered professionals to evolve with time and stay up to date with all advancements. The endless need for skilled professionals to assess investment opportunities will drive demand and offer lucrative job roles and responsibilities in finance careers.
What Career Path to Choose in Finance?
Is finance consumer services a good career path? The answer to this debatable question is undoubted yes. However, choosing a career path in the finance stream might become daunting. To narrow your search and know is finance a good career path, and help you select the best option, scroll down more!
Finance positions play a substantial role in organizational functions and are a profit regulating center. Efficient financial positions allow the company to experience something that every organization desires – stability. Is finance a good career for the future?
The extensive scope in finance offers lucrative opportunities to boost your career ladder into multiple professions. Let’s dig in to find the best career path for you to choose in finance:
1. Certified Management Accountant
The median accounting salary in this profession is $1,28,500. This profession handles complex accountant work for government agencies, public companies, and private ventures.
The primary role of management accountants includes recording and crunching numbers, risk management, planning and strategizing, budgeting, decision-making, and choosing and managing company investments.
Various institutes issue the CMA certification, such as IMA (The Institute of Management Accountants), FM Academy, Miles Education, etc.
The CMAs are essential accountants responsible for hiring up an entity’s organizational chart and making complex financial concepts clear for clients and readers. This should answer is finance a good career path?
2. Investment Banker
Working as an Investment banker boasts great benefits, higher salary, prestige, and numerous perks. The average annual salary for this profession is $1,01,295, and the project growth rate between 2020- 2030 is estimated to be 4%.
Before you choose this financial path for your career, let’s know what investment banker is and what role they play in the organization’s growth. Investment bankers support institutional clients in mergers and acquisitions and capital raising. Their primary role is to combine financial service industry expertise, effective communication skills, analytical prowess and optimize their clients’ financial portfolios.
Being an investment banker, you may work with public or private businesses or individuals to enable them to achieve long-term and short-term financial goals.
3. Personal Financial Planner or Advisor
Personal financial advisors can make a direct, positive impact on people’s lives by providing them with financial services and assessing financial goals. Now you know is finance consumer services a good career path.
The financial planners are responsible for assisting clients regarding taxes, creating budgets, estate planning, investments, and mortgages, establishing objectives for saving, controlling/managing expenses, and implementing the necessary steps for raising wealth.
These professionals advise clients on buying insurance and managing personal budgeting. The average annual salary of financial advisors is estimated to be $94,170.
4. Insurance Agent
Besides selling insurance, the primary responsibility of the insurance agent, these professionals also play a vital role in locating, evaluating, and recommending the policy to the client.
They provide their new and existing clients with all insurance-related services. The insurance agents are also liable to determine the coverage their clients need before the application heads to underwriting. However, you have 2 options to pursue this field, one as a broker, and the other option is working directly for an insurance carrier. This answers your question is finance a good career path?
5. Loan Officer
Loan officers play a crucial role in determining the eligibility of individuals to proceed with loans. Once they evaluate how creditworthy the loan applicant is after evaluating their credit history and current finances, they approve and send their applications for approval to the companies whom they are working for.
Major skills required to pursue this career include analyzing and interpreting financial data, using accounting software, word processing, database and email software, and understanding and following standard accounting procedures.
The median annual salary of a loan officer is $63,380. If you possess superior customer service skills, do not look further. Become a loan officer and make decent money by working for banks, independent lenders, credit unions, and mortgage ventures.
6. Financial Analyst
One of the most common and prestigious careers in finance is Financial Analyst. The average median salary of financial analysts is $81,410. It is categorized as one career expected to have faster-than-average growth between 2021 and 2031.
These professionals facilitate their clients to buy and sell investments and stay updated on business news, economic trends, and company strategy. Their primary role is to foresee outcomes by identifying opportunities for business decisions and investment recommendations.
One needs to keep their finger on the economy’s pulse to excel in this career. Financial analysts also educate their colleagues and regular individuals by communicating their opinions to the financial and public media. Now you know is finance consumer services a good career path.
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Entry-Level Finance Jobs
An array of entry-level finance jobs manage administrative tasks such as budget and payroll dealings, industry regulations, and maintaining clients’ accounts for tax-related purposes. Besides, the finance sector hires administrative assistants to manage calendars, prepare the organization’s monthly and annual financial receipts, organize workflows, discretionary and grant funding, and help with client communications and relations.
Is finance a good career path? The finance industry is massive. There are tons of entry-level finance jobs in this stream, including:
- Bank Teller: $36,300 Median annual salary
- Actuary: $1,05,900 Median annual salary
- Insurance Underwriter: $76,300 Median annual salary
- Insurance claims adjuster: $64,700 Median annual salary
- Payroll Clerk: $44,700 Median annual salary
- Tax Examiner: $56,800 Median annual salary
- Budget Analyst: $80,000 Median annual salary
How have Finance Careers evolved?
Is finance a good career path? We have witnessed dynamic changes in finance over the past few years. Since the previous update in the mid-2010s, the following are the biggest changes one can perceive:
- Traditional exit opportunities from Intelligence Beaurau roles are lucrative. Still, they have lost their charm over time.
- Macro conditions have changed significantly, and the economy is stuck in a loop of money printing, negative/zero interest rates, and currency devaluation. Moreover, these measures have become normal rather than temporary ones.
- Some other alternative careers in finance have lost some luster. One such example is individuals working for Big tech giants. It is because these companies may be easily regulated or broken up.
- Some other trends, including super-early recruiting, have reversed to some extent. Today, some banks start the internship recruiting process 12 months prior rather than 18 months in advance.
Is Finance a Good Career for the Future?
The finance career can be rewarding if you want to opt for a profession with ample lucrative job opportunities and high-income potential. However, finance is definitely not worth it if numbers put you to sleep. If you enjoy preparing budgets, strategizing financial planning, and calculating investment returns, pursuing a financial career can pave the path to success and earning money by doing what you love. Let us check out the pros and cons of this field.
- Exposure to senior executives
- More Stability
- High salaries
- Progression opportunities
- Making an impact becomes easy if you are working in the financial sector
- Attractive benefits and bonuses
- Fierce financial market across the globe
- Long working hours
- Stressful jobs- Finance careers follows a cylindrical pattern of light to heavy workloads, especially during tax season
- Some individuals claim it to be a tedious and monotonous job
- Earning your license requires years of study
Finance plays an essential role in every organization’s operations and management. Planning, organizing, and governing all the financial activities of a business or an organization is imperative.
Every financial decision has a powerful impact on the organization and the economy as a whole. Therefore, financial management is a skill that every business needs. Now you know is finance a good career for the future. All finance careers can help you create a successful journey and aid any organization finance professionals are a part of.
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Here are some commonly asked questions regarding career in finance.
1. What is the highest-paying job in Finance?
Let’s have a look at some of the jobs in the Finance sector that pay you really well:
- Financial Analyst
- Compliance Officer
- Senior Accountant
- Finacial Advisor
- Information Technology Auditor
- Loan officer
- Investment banker
- Financial software developer
- Private equity associate
- Chief compliance officer
- Management analyst
- Personal finance advisor
- Chief financial officer
2. What is the role of a financial advisor or consultant?
The primary responsibilities of a financial consultant include evaluating capital expansion options (for instance, loans or funding), conducting risk analyses for financial plans, and forecasting costs and revenues. In addition, the financial advisor is also held accountable for advising clients on taxation and making a range of financial decisions, including budgeting, saving for big purchases, investment, trust, and estate planning.
3. What are the key skills needed for finance careers?
Listed below are some important skills required in the field of finance, including:
- Cash flow management
- Accounting skills
- Business Intelligence
- Good understanding of Financial management
- Analytical thinking
- Data management
- Awareness of fintech developments and updates
- Robust communication and persuasion skills
- Awareness of sustainability
4. Can Finance professionals work remotely?
Yes, individuals working in finance can find opportunities in hybrid and fully remote jobs. Some of the most pursued remote finance careers include revenue accountant, risk monitor analyst, accounts payable specialist, and accounting policy specialist.
5. Is any additional certification required to work in the finance sector?
Not all, but some finance careers require licensure, or certification, such as Accountants, Financial Planners, Investment Analysts, etc. The certifications required for specific finance careers include:
- CPA (Certified public accountant)
- FMVA (Financial Modelling and Valuation Analyst)
- CFA (Chartered Financial Analyst)
- Certified Financial Planner (CFP)
- CAIA (Chartered Alternative Investment Analysts)
However, one can only sit for the CPA or any other exam and earn certification in these courses after gaining substantial professional experience and previous education.
6. What degree do I require to opt for a Finance career?
You can dive into this profession as an entry-level associate in finance. Typically, you must possess a Bachelor’s degree in accounting, business, finance, or a related field. However, pursuing a Master’s degree will allow professionals to pursue advanced careers in finance, investment, insurance, and the government department.