### Bureau of Labor Statistics U.S. Bureau of Labor Statistics

Financial Managers Summary
                        
            
                                                        
                                                                
                        
            
            
            
                            
                                                
                                                
                                                
                                                
            						
							
				                                                
                                            




            			financial managers imageFinancial managers are responsible for the financial health of an organization.							
						Quick Facts:     Financial Managers2023     Median Pay
            						$156,100     per year
										$75.05     per hourTypical Entry-Level Education
                                    Bachelor's degreeWork Experience in a Related Occupation
                                    5 years or moreOn-the-job Training
                                    NoneNumber of Jobs, 2022
                                    792,600Job Outlook, 2022-32
                                    16% (Much faster than average)Employment Change, 2022-32
                                    126,600What Financial Managers Do
                                                
                        
                        
Financial managers create financial reports, direct investment activities, and develop plans for the long-term financial goals of their organization.
            
                        Work Environment
                        
Financial managers work in many industries, including banks, investment firms, and insurance companies. Most financial managers work full time, and some work more than 40 hours per week.
            
                                                How to Become a Financial Manager
                                                
                        
Financial managers typically need a bachelor’s degree and 5 years or more of experience in another business or financial occupation, such as accountant, securities sales agent, or financial analyst.
            
                        Pay
                        												                            																				    														The median annual wage for financial managers was $156,100 in May 2023.									                                					
						
            
                        Job Outlook
                        						
												Employment							of financial managers is projected to grow							 16 percent from 2022 to 2032, much faster than the average for all occupations.
						About 69,600 openings for financial managers are projected each year, on average, over the decade.
            			
            			 Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.
						State & Area Data
                       Explore resources for employment and wages by state and area for financial managers.
            
            
						
                        Similar Occupations
                        
                                                    Compare the job duties, education, job growth, and pay of financial managers with similar occupations.
            
            
                        More Information, Including Links to O*NET
                        
                                               
                        Learn more about financial managers by visiting additional resources, including O*NET, a source on key characteristics of workers and occupations.
 What Financial Managers Do 
            

			Financial managersFinancial managers perform data analysis and advise senior managers on profit-maximizing ideas.			
Financial managers are responsible for the financial health of an organization. They create financial reports, direct investment activities, and develop plans for the long-term financial goals of their organization.
Duties
Financial managers typically do the following:
Prepare financial statements, business activity reports, and forecasts
Monitor financial details to ensure that legal requirements are met
Supervise employees who do financial reporting and budgeting
Review financial reports and seek ways to reduce costs
Analyze market trends to maximize profits and find expansion opportunities
Help management make financial decisionsFinancial managers spend much of their time analyzing data and advising senior managers on ways to maximize profits. They often work on teams, acting as advisors to top executives.
Financial managers must have knowledge of the topics, tax laws, and regulations that are specific to their organization or industry. For example, government financial managers must be experts on appropriations and budgeting processes; healthcare financial managers must understand billing, reimbursement, and other business matters related to healthcare.
The following are examples of types of financial managers:
***Controllers*** direct the preparation of financial reports that summarize and forecast an organization’s financial position. These reports may include income statements, balance sheets, and analyses of future earnings or expenses. Controllers also are in charge of preparing reports required by governmental agencies that regulate businesses. Often, controllers oversee the accounting, audit, and budget departments of their organization.
***Treasurers*** and ***finance officers*** direct an organization’s budgets to meet its financial goals. They oversee investments and other plans to raise capital, such as issuing stocks or bonds, to support their organization’s growth. They also develop financial plans for mergers (two companies joining together) and acquisitions (one company buying another).
***Credit managers*** oversee an organization’s credit business. They set credit-rating standards, determine credit limits, and monitor the collections of past-due accounts.
***Cash managers*** monitor and control the flow of money into and out of an organization to meet business and investment needs. For example, they must project whether the organization will have a shortage or surplus of cash.
***Risk managers*** use strategies to limit or offset an organization’s chance of financial loss or exposure to financial uncertainty. Among the risks they try to limit are those arising from currency or commodity price changes.
***Insurance managers*** decide how to limit an organization’s losses by protecting against risks, such as for disability payments to an employee who gets hurt on the job or for costs imposed by a lawsuit against the organization.
 Work Environment
			Financial managersFinancial managers work closely with top managers and with departments that develop the data that financial managers need.			

	    
				
	
	
	
	
	
	
	    					 Financial managers held about 792,600 jobs in 2022. The largest employers of financial managers were as follows:
        Finance and insurance
                30%Professional, scientific, and technical services
                14Management of companies and enterprises
                10Government
                6Manufacturing
                6Financial managers work closely with top executives and with departments that develop data needed for analysis.
Work Schedules
Most financial managers work full time, and some work more than 40 hours per week.
 How to Become a Financial Manager

			Financial managersFinancial managers usually have experience in another business or financial occupation such as a loan officer, accountant, auditor, securities sales agent, or financial analyst.			
Financial managers typically need a bachelor’s degree and 5 years or more of experience in another business or financial occupation, such as an accountant, securities sales agent, or financial analyst.
Education
Financial managers typically need at least a bachelor's degree in business, economics, or a related field. These disciplines help students learn analytical skills and methods.

Licenses, Certifications, and Registrations
Although it is not required, professional certification indicates competence for financial managers who have it. The Association of Government Accountants (AGA) offers the Certified Government Financial Manager (CGFM) designation to financial managers working with federal, state, or local government. To earn this certification, candidates must have a bachelor’s degree from an accredited college or university, pass examinations, and have professional-level experience in government financial management. To keep the certification, CGFMs must complete continuing professional education.
The CFA Institute confers the Chartered Financial Analyst (CFA) certification to investment professionals who have at least a bachelor’s degree or 4 years of work experience, or a combination of experience and education, and who pass three exams. The Association for Financial Professionals confers the Certified Treasury Professional (CTP) credential to those who have at least 2 years of relevant experience or 1 year of experience and a graduate degree in business, finance, or a related field. This association also confers the Certified Corporate Financial Planning Analysis Professional (FP&A) credential to those who have a bachelor’s degree or who are currently enrolled in an undergraduate program with a finance-related major and will graduate within 2 years. Both credentials require passing an exam.
Certified public accountants (CPAs) are licensed by their state’s board of accountancy and must pass an exam administered by the American Institute of Certified Public Accountants (AICPA).
Work Experience in a Related Occupation
Financial managers usually have experience in another business or financial occupation. For example, they may have worked as a loan officer, accountant, securities sales agent, or financial analyst.
In some cases, companies provide management training to help prepare motivated, skilled financial workers to become managers.
Advancement
Experienced financial managers may advance to become chief financial officers (CFOs). These executives are responsible for the accuracy of an organization’s financial reporting.
Important Qualities
***Analytical skills.*** To assist executives in making decisions, financial managers need to evaluate data and information that affects their organization.
***Communication skills.*** Financial managers must be able to explain and justify complex financial transactions.
***Detail oriented.*** In preparing and analyzing reports, such as balance sheets and income statements, financial managers must be precise and attentive to their work in order to avoid errors.
***Math skills.*** Financial managers need strong skills in certain branches of mathematics, including algebra. Ability to understand international finance and complex financial documents also is important.
***Organizational skills.*** Because financial managers deal with a range of information and documents, they must have structures in place to be effective in their work.
 Pay

			



	
 
                                                     
            
    
                Financial ManagersMedian annual wages, May 2023Financial managers$156,100  Operations specialties managers$136,170  Total, all occupations$48,060Note: All Occupations includes all occupations in the U.S. Economy.Source: U.S. Bureau of Labor Statistics, Occupational Employment and Wage Statistics
 

	
	



		
	
	
	
The median annual wage for financial managers was $156,100 in May 2023. 


The median wage is the wage at which half the workers in an occupation earned more than that amount and half earned less. The lowest 10 percent earned less than $82,870, and the highest 10 percent earned more than $239,200.





		
	    					 In May 2023, the median annual wages for financial managers in the top industries in which they worked were as follows:	
        Professional, scientific, and technical services
                $169,860Management of companies and enterprises
                167,820Finance and insurance
                158,970Manufacturing
                158,750Government
                129,850Most financial managers work full time, and some work more than 40 hours per week.
 Job Outlook

   
        
    
          
        
    
                Financial ManagersPercent change in employment, projected 2022-32Financial managers16%  Operations specialties managers11%  Total, all occupations3%Note: All Occupations includes all occupations in the U.S. Economy.Source: U.S. Bureau of Labor Statistics, Employment Projections program
            
            
			 
	
	
	

			Employment				of financial managers is projected to grow				 16 percent from 2022 to 2032, much faster than the average for all occupations.
			
			About 69,600 openings for financial managers are projected each year, on average, over the decade.
			
			 Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.
			Employment
	
			
Services provided by financial managers, such as planning, directing, and coordinating investments, are likely to stay in demand as the economy grows. In addition, several specialties within financial management, particularly cash management and risk management, are expected to be in high demand over the decade.
Companies, particularly those with operations in foreign countries, have accumulated more cash on their balance sheets in recent years. As globalization continues, this trend is likely to persist. This practice should lead to demand for financial managers, as companies will need expertise in managing cash.
There has been an increased emphasis on risk management within the financial industry, and this trend is expected to continue. Banking institutions are expected to emphasize stability and managing risk over profits. This emphasis is expected to lead to employment growth for risk managers.

			

                        Employment projections data for     financial managers, 2022-32
                Occupational Title
                        SOC Code
                        Employment, 2022
                        Projected Employment, 2032
                        Change, 2022-32
                        Employment by IndustryPercent
                        NumericSOURCE: U.S. Bureau of Labor Statistics, Employment Projections program**Financial managers**
			11-3031
			792,600
			919,200
			16
			126,600
			Get data
 State & Area Data **Occupational Employment and Wage Statistics (OEWS)** The Occupational Employment and Wage Statistics (OEWS) program produces employment and wage estimates annually for over 800 occupations. These estimates are available for the nation as a whole, for individual states, and for metropolitan and nonmetropolitan areas. The link(s) below go to OES data maps for employment and wages by state and area. Financial managers **Projections Central** Occupational employment projections are developed for all states by Labor Market Information (LMI) or individual state Employment Projections offices. All state projections data are available at www.projectionscentral.com. Information on this site allows projected employment growth for an occupation to be compared among states or to be compared within one state. In addition, states may produce projections for areas; there are links to each state’s websites where these data may be retrieved. **CareerOneStop** CareerOneStop includes hundreds of occupational profiles with data available by state and metro area. There are links in the left-hand side menu to compare occupational employment by state and occupational wages by local area or metro area. There is also a salary info tool to search for wages by zip code.
 Similar Occupations This table shows a list of occupations with job duties that are similar to those of financial managers. Occupation
                Job Duties
                ENTRY-LEVEL EDUCATION
                2023     MEDIAN PAY**Accountants and Auditors**
            Accountants and auditors prepare and examine financial records.
            Bachelor's degree
            $79,880**Budget Analysts**
            Budget analysts help public and private organizations plan their finances.
            Bachelor's degree
            $84,940**Financial Analysts**
            Financial analysts guide businesses and individuals in decisions about expending money to attain profit.
            Bachelor's degree
            $99,890**Insurance Sales Agents**
            Insurance sales agents contact potential customers and sell one or more types of insurance.
            High school diploma or equivalent
            $59,080**Insurance Underwriters**
            Insurance underwriters evaluate insurance applications and decide whether to approve them.
            Bachelor's degree
            $77,860**Loan Officers**
            Loan officers evaluate, authorize, or recommend approval of loan applications.
            Bachelor's degree
            $69,990**Personal Financial Advisors**
            Personal financial advisors provide advice to help individuals manage their money and plan for their financial future.
            Bachelor's degree
            $99,580
 Contacts for More Information
								
For more information about financial managers, including certification, visit
Global Academy of Finance and Management
For information about the Certified Government Financial Manager (CGFM) designation, visit
Association of Government Accountants
For information about the Certified Treasury Professional and the Financial Planning and Analysis Professional designations, visit
Association for Financial Professionals
For information about the Chartered Financial Analyst program, visit
CFA Institute
For more information about the certified public accountant designation, visit
American Institute of Certified Public Accountants (AICPA)

CareerOneStop
For a career video on financial managers, visit
Financial Managers, Branch or Department
For a career video on treasurers and controllers, visit
Treasurers and Controllers

                                                
                                                        
                                                                                                    O*NET
                                        Financial ManagersInvestment Fund ManagersTreasurers and Controllers
 Suggested citation: Bureau of Labor Statistics, U.S.  Department of Labor, Occupational Outlook Handbook, Financial Managers, 
        	 at https://www.bls.gov/ooh/management/financial-managers.htm (visited *May 21, 2024*).
 **Last Modified Date:**
                        Wednesday, April 17, 2024


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