Salaries for financial managers can run from a little over $36,000 to about $106,000, with the median falling around $68,000 per year. The wide variety has to do with education, experience and the company that employs you.
Nearly every firm, governmental agency, and other organization has one or more financial managers who create the financial reports, direct investments, and put into effect cash management strategies. Increasingly, computers are used to record and organize data, this allows financial managers to spend more time developing strategies and implementing the long-term goals of their organization.
Financial manager duties vary with their certain titles, which include controller, treasurer or finance officer, cash manager, credit manager, and risk manager. Controllers prepare the financial reports that summarize forecast and summarize the organization’s current and future financial position, through income statements, balance sheets, and analyses of future earnings and/or expenses. Controllers also are in charge of preparing special reports required by governmental regulatory authorities. Oftentimes, controllers oversee the accounting, audit, and budget departments.
What are Various Types of Financial Managers?
Most of us think of treasurers and finance officers, who direct the organization’s financial goals, objectives, and budgets, when we think about “company finances”. These professionals are commonly visualized as the bespectacled people with pocket protectors, and sure, that might apply considering how important details are in this career. They manage the investment of funds, manage associated risks, supervise cash management activities, execute capital-raising strategies to support a firm’s expansion, and deal with acquisitions and mergers.
There are also credit managers that oversee a firm’s issuance of credit, as well as establish credit-rating criteria. Their job is to monitor the collections of past-due accounts. Some financial managers specialize in international finance and develop financial and accounting systems for the banking transactions of multinational organizations.
Various financial institutions, such as banks, credit unions, and mortgage and finance companies, employ additional financial managers who oversee the day to day and more long term functions, such as lending, trusts, mortgages, and investments, or programs, including sales, general operations, and the ever expanding world of electronic financial services.
These managers may be required to solicit business, authorize loans, and direct the investment of funds, always adhering to federal and state laws and regulations. The ultimate goal is to be a Chief Financial Officer (CFO) and sit amongst the executives at the top of the company’s organizational chart.
What Do Financial Managers Participate In?
In addition to carrying out general duties, financial managers perform tasks unique to their organization or industry. As an example, government financial managers must be experts on the governmental functions such as appropriations and budgeting processes, but health care financial managers must be knowledgeable about issues surrounding healthcare financing, which can range from supply acquisition, remuneration of doctors, and even the possibility of a suit. Additionally, financial managers keep aware of special tax laws and regulations that affect their industry as well as regulations that affect the future.
As you can see, there are a wide variety of positions and duties to go with the wide range in salaries. Lastly, remember the needs of the company or government agency, as well as the budget, help to dictate the salary you will receive. The lesson here is to always aim high.