Do you love working with numbers, solving problems, and making decisions? If so, you might be interested in pursuing a career in accounting. Accounting is a diverse and rewarding field that offers many opportunities for growth and advancement.
Whether you want to work for a small business, a large corporation, or even start your own firm, there is a career path in accounting that suits your goals and interests.
In this blog post, we will explore some of the most common and exciting career paths in accounting, from bookkeeper to chief financial officer (CFO). We will also look at the education, skills, and experience required for each role, as well as the average salary and job outlook.
By the end of this post, you will have a better understanding of the different accounting careers and how to choose the one that is right for you.
Table of Contents
What is Accounting?
Accounting is the process of recording, analyzing, and communicating financial information about a business or an organization. Accounting helps managers, investors, regulators, and other stakeholders make informed decisions based on the financial performance and position of the entity. Accounting also ensures that the entity complies with the relevant laws, regulations, and standards.
There are two main branches of accounting: financial accounting and management accounting. Financial accounting focuses on preparing and reporting financial statements that show the entity’s past and present financial situation. These statements are used by external parties, such as shareholders, creditors, auditors, and tax authorities.
Management accounting focuses on providing information and analysis that help the entity’s internal managers plan, control, and evaluate the entity’s operations and performance. These information and analysis are used for budgeting, forecasting, costing, and decision making.
What are the Career Paths in Accounting?
Accounting is a broad and dynamic field that offers many career paths for different levels of education, skills, and experience. Some of the most common and popular career paths in accounting are:
- Bookkeeper
- Accountant
- Auditor
- Tax Specialist
- Financial Analyst
- Management Accountant
- Controller
- Treasurer
- Financial Manager
- Chief Financial Officer (CFO)
Let’s take a closer look at each of these career paths and what they entail.
Bookkeeper
A bookkeeper is an entry-level accounting professional who is responsible for recording and maintaining the financial transactions of a business or an organization. A bookkeeper typically performs tasks such as:
- Processing invoices, receipts, payments, and other documents
- Reconciling bank accounts, credit cards, and petty cash
- Preparing and filing tax returns and other forms
- Generating and maintaining financial records and reports
- Assisting with payroll, budgeting, and cash flow management
To become a bookkeeper, you usually need a high school diploma or equivalent, and some basic accounting knowledge and skills. You may also need to obtain a certification, such as the Certified Bookkeeper (CB) credential from the American Institute of Professional Bookkeepers (AIPB).
The average salary for a bookkeeper in the United States is $41,230 per year, according to the Bureau of Labor Statistics (BLS). The job outlook for bookkeepers is projected to decline by 4% from 2020 to 2030, due to the automation and outsourcing of bookkeeping tasks.
Accountant
An accountant is a more advanced accounting professional who is responsible for preparing and analyzing the financial statements and reports of a business or an organization. An accountant typically performs tasks such as:
- Applying accounting principles, standards, and policies
- Ensuring the accuracy, completeness, and compliance of financial data
- Performing financial audits and reviews
- Providing financial advice and guidance
- Communicating and collaborating with internal and external stakeholders
To become an accountant, you usually need a bachelor’s degree in accounting, finance, or a related field. You may also need to obtain a license or a certification, such as the Certified Public Accountant (CPA) credential from the American Institute of Certified Public Accountants (AICPA).
The average salary for an accountant in the United States is $73,560 per year, according to the BLS. The job outlook for accountants is projected to grow by 4% from 2020 to 2030, due to the increased demand for financial services and regulations.
Auditor
An auditor is a specialized accountant who is responsible for examining and verifying the financial statements and reports of a business or an organization. An auditor typically performs tasks such as:
- Planning and conducting financial audits and assessments
- Testing and evaluating the effectiveness of internal controls and procedures
- Identifying and reporting any errors, fraud, or noncompliance issues
- Providing recommendations and feedback for improvement
- Issuing audit opinions and reports
To become an auditor, you usually need a bachelor’s degree in accounting, finance, or a related field. You may also need to obtain a license or a certification, such as the Certified Internal Auditor (CIA) credential from the Institute of Internal Auditors (IIA).
The average salary for an auditor in the United States is $73,560 per year, according to the BLS. The job outlook for auditors is projected to grow by 4% from 2020 to 2030, due to the increased demand for financial services and regulations.
Tax Specialist
A tax specialist is a specialized accountant who is responsible for preparing and filing the tax returns and reports of a business or an organization. A tax specialist typically performs tasks such as:
- Researching and interpreting tax laws, rules, and regulations
- Calculating and estimating tax liabilities and credits
- Preparing and submitting tax forms and documents
- Advising and assisting clients on tax planning and compliance
- Representing and negotiating with tax authorities and agencies
To become a tax specialist, you usually need a bachelor’s degree in accounting, finance, or a related field. You may also need to obtain a license or a certification, such as the Enrolled Agent (EA) credential from the Internal Revenue Service (IRS).
The average salary for a tax specialist in the United States is $58,230 per year, according to the BLS. The job outlook for tax specialists is projected to grow by 8% from 2020 to 2030, due to the increased complexity and diversity of tax laws and regulations.
Financial Analyst
A financial analyst is a specialized accountant who is responsible for analyzing and evaluating the financial performance and position of a business or an organization. A financial analyst typically performs tasks such as:
- Collecting and organizing financial data and information
- Performing financial modeling, forecasting, and valuation
- Assessing the financial risks and opportunities of various scenarios and alternatives
- Providing financial insights and recommendations
- Preparing and presenting financial reports and presentations
To become a financial analyst, you usually need a bachelor’s degree in accounting, finance, or a related field. You may also need to obtain a certification, such as the Chartered Financial Analyst (CFA) credential from the CFA Institute.
The average salary for a financial analyst in the United States is $83,660 per year, according to the BLS. The job outlook for financial analysts is projected to grow by 5% from 2020 to 2030, due to the increased demand for financial analysis and advice.
Management Accountant
A management accountant is a specialized accountant who is responsible for providing and managing the financial information and analysis that support the internal decision making of a business or an organization. A management accountant typically performs tasks such as:
- Developing and implementing financial systems and processes
- Preparing and monitoring budgets, forecasts, and plans
- Measuring and reporting on the financial and non-financial performance indicators
- Conducting cost-benefit analysis and variance analysis
- Supporting and advising managers and executives on strategic and operational decisions
To become a management accountant, you usually need a bachelor’s degree in accounting, finance, or a related field. You may also need to obtain a certification, such as the Certified Management Accountant (CMA) credential from the Institute of Management Accountants (IMA).
The average salary for a management accountant in the United States is $74,560 per year, according to the BLS. The job outlook for management accountants is projected to grow by 4% from 2020 to 2030, due to the increased demand for financial information and analysis.
Controller
A controller is a senior accounting professional who is responsible for overseeing and directing the accounting and financial functions of a business or an organization. A controller typically performs tasks such as:
- Establishing and enforcing accounting policies, procedures, and standards
- Supervising and managing the accounting staff and operations
- Coordinating and consolidating the financial statements and reports
- Ensuring the compliance with the applicable laws, regulations, and standards
- Liaising and collaborating with the external auditors, regulators, and stakeholders
To become a controller, you usually need a bachelor’s degree in accounting, finance, or a related field, and at least five years of accounting experience. You may also need to obtain a license or a certification, such as the CPA or CMA credential.
The average salary for a controller in the United States is $104,850 per year, according to the BLS. The job outlook for controllers is projected to grow by 4% from 2020 to 2030, due to the increased demand for financial services and regulations.
Treasurer
A treasurer is a senior accounting professional who is responsible for managing and optimizing the cash flow and liquidity of a business or an organization. A treasurer typically performs tasks such as:
- Developing and implementing cash management strategies and policies
- Managing the cash inflows and outflows of the entity
- Investing the entity’s funds to maximize returns while minimizing risks
- Negotiating and managing banking relationships
- Ensuring compliance with financial regulations and standards related to cash management
- Forecasting and planning for future financial needs
To become a treasurer, you usually need a bachelor’s degree in accounting, finance, or a related field, and several years of experience in financial management or treasury roles. Advanced degrees such as a Master of Business Administration (MBA) may enhance your qualifications. Additionally, obtaining certifications like the Certified Treasury Professional (CTP) credential can demonstrate your expertise in treasury management.
The average salary for a treasurer in the United States is $129,890 per year, according to the BLS. The job outlook for treasurers is projected to grow by 4% from 2020 to 2030, aligning with the overall demand for financial expertise and strategic financial management.
Financial Manager
A financial manager is a senior-level professional responsible for overseeing the overall financial health of a business or organization. Financial managers play a crucial role in strategic financial planning and decision-making. Their responsibilities include:
- Developing financial strategies to support the organization’s goals
- Analyzing market trends and financial data for informed decision-making
- Managing investment portfolios and exploring investment opportunities
- Overseeing budgeting, financial reporting, and accounting activities
- Collaborating with executives to make financial recommendations
To become a financial manager, you typically need a bachelor’s degree in finance, accounting, or a related field. Many financial managers also pursue advanced degrees such as an MBA or a Master of Finance. Professional certifications like the Chartered Financial Analyst (CFA) or Certified Treasury Professional (CTP) may enhance your credentials.
The average salary for a financial manager in the United States is $134,180 per year, according to the BLS. The job outlook for financial managers is projected to grow by 15% from 2020 to 2030, much faster than the average for all occupations, driven by the increasing complexity of financial regulations and the growing global economy.
Chief Financial Officer (CFO)
The Chief Financial Officer (CFO) is the highest-ranking financial executive in an organization, responsible for leading the overall financial strategy and management. The CFO plays a critical role in shaping the organization’s financial policies and ensuring its financial health. Key responsibilities include:
- Providing strategic financial leadership to executives and the board of directors
- Setting financial goals and objectives aligned with the organization’s mission
- Overseeing financial reporting, compliance, and risk management
- Leading financial planning, budgeting, and forecasting efforts
- Collaborating with other executives to drive overall organizational success
To become a CFO, you typically need extensive experience in finance or accounting, often including roles such as controller or financial manager. A master’s degree in business administration (MBA) or a related field can be beneficial, and many CFOs hold professional certifications like the Certified Public Accountant (CPA) or Chartered Financial Analyst (CFA).
The average salary for a CFO in the United States is $183,270 per year, according to the BLS. The job outlook for top executives, including CFOs, is expected to grow by 6% from 2020 to 2030, driven by the need for experienced leaders to navigate complex financial environments.
Choosing Your Path in Accounting
As you consider the diverse career paths in accounting, it’s essential to align your interests, skills, and education with the specific demands of each role. Entry-level positions such as bookkeeper provide a foundation, while pursuing advanced degrees and certifications can open doors to managerial and executive roles.
Whether you’re passionate about analyzing financial data, ensuring regulatory compliance, or shaping overall financial strategy, the field of accounting offers a wide range of opportunities for professional growth and success.
Continuously updating your skills and staying informed about industry trends will position you for a rewarding and fulfilling career in the dynamic world of accounting.
