When considering what to major in college, many people choose to pursue something that pays well. Whether it’s because you want more money or don’t want to be burdened with loans after graduation, the choice to go into finance can be one of the best ones you can make.
The reality is that most finance jobs pay very well—but there are some jobs within finance that pay much better than others. In this article, we look at some of the best paying jobs in finance and what you need to do to get them.
What Do Finance Jobs Pay: Is Finance a Good Carrier Path?
If you’re thinking about getting into the finance industry, it’s natural to wonder what the jobs actually pay. This guide will explain the different types of jobs in finance and what sort of salary you can expect from each one. It also covers some of the basics like how to get your foot in the door and ways to advance your career within finance.
7 Best Paying Jobs in Finance
As you work through this guide, you’ll learn everything from stockbroker salary to hedge fund compensation packages so that you have an idea of what different job functions pay. Hopefully, this info will help you decide if finance is right for you!
Personal financial advisor
Finance is a lucrative field with a huge range of positions. From financial advisors and portfolio managers to wealth advisors and auditors, the salaries for finance-related professions are generally generous and will often include a hefty bonus package. Which position to pursue will depend on your interests, experience level, and education qualifications.
A personal financial advisor, for example, typically requires at least an undergraduate degree and passing exams in areas such as tax law, economics, or accounting.
Investment banking analyst
An investment banking analyst usually starts out at $70,000 annually with the potential to earn up to $200,000 annually. This salary also includes bonuses, which can be substantial if the company performs well.
Benefits and bonuses are usually structured in a way that 70% of all bonuses go to senior-level analysts and 30% go to junior-level analysts. A typical bonus for an average performer would be about 10%. A typical bonus for an above-average performer would be 20%. And a typical bonus for an exceptional performer would be 30%.
A financial analyst is someone who analyzes, monitors, and reports on the finances of a company. They are either hired by the company they will be working for or by other firms that want to keep an eye on the numbers.
Finance jobs are available in both smaller companies and bigger corporations with over 500 employees.
These positions can vary from entry-level analysts (which usually have a salary of $45,000) to executive positions (which can earn up to $175,000). Entry-level workers usually work long hours and weekends because their work is so time sensitive. If you’re looking for stability, these might not be the best career options for you.
Stockbroker, Securities Dealer, Commodities Trader
Stockbrokers are intermediaries who buy and sell stocks on behalf of their clients. The median salary for this occupation is $66,580 per year ($33.92 per hour). Securities dealers purchase securities on the open market and then resell them to clients at a profit. They often provide investment advice as well. A securities dealer’s median annual salary is $70,890. Commodities traders speculate on the future price of commodities such as grains, energy, or metals.
Accounting, Auditing, Taxation
An accountant, auditor, or tax consultant is one type of finance job. While many people think these positions are highly competitive and don’t provide high salaries, the truth is they can be lucrative with a lot of room for growth. Most of these jobs require at least a bachelor’s degree in accounting, but some employers prefer those with higher levels of experience or education.
For example, an accountant who has completed CPA certification will typically make $4,000 more per year than a person without it. Likewise, an auditor who holds the Chartered Professional Accountant designation will earn about $10,000 more than someone without that credential. Tax consultants also see their earnings increase by over $5,000 annually if they have passed their first level of exams.