Companies make sure that they have a great, if not, the best financial team. The team has a huge role to play in the organization. Though some may think that the finance department is primarily composed of accountants and the like, a financial controller is equally as valuable in providing good financial management to the company. Financial controllers manage reports as well as the company’s income statements and balance sheets, since these documents provide a quick snapshot of the financial stability of the company. Aside from managing these crucial financial statements, they also develop budgets, manage projects costs and income, and monitor the accountability of the company with regards to its commercial activities. With the big responsibility they hold, let us see how much is the typical financial controller salary.
The financial controller salary primarily depends on the company size and location. Here are some of the factors that influence the financial controller salary.
Different areas provide different salaries for this position. Some locations have a higher compensation maybe because of the higher cost of living in that specific area, or there is a huge demand for financial controllers, or maybe because the location is not that desirable. The Robert Half Salary Guide has a list of multipliers for salaries, taking into account the local market. Lincoln, Nebraska has a multiplier of 78.2 providing an annual financial controller salary of $155,618 while San Francisco has a multiplier of 135.5, corresponding to an annual salary of $199,000.
In May 2011, the Bureau of Labor Statistics released figures consisting of a median yearly income of $107,160 for financial managers and controllers: $78,300 per year for those in the lower 25% while $146,150 yearly for the upper 25%. At this point, salary surveys are continuously conducted to ensure a more detailed and accurate information.
It has been said the the demand for financial managers will increase up to 9% from the year 2010 to 2020. Although the Half report indicates a high rating on the demand for financial controllers, they see this increase in demand as a complementary effect as companies continually grow together with the economy.
Salary Guide of Robert Half
Robert half Finance and Accounting is a staffing service that has provided businesses with a salary guide for employees belonging to the accounting department and financial management. In its survey for the year 2012, the financial controller’s salary ranges from $69,000 to $183,250 annually. Assistant controllers, however, are likely to earn $56,000 to $142,250 yearly. These reports use statistical ways of scheming variations based on different factors.
Some may think that being a financial controller is easy. Every occupation has its own set of difficult and challenging responsibilities. Yet, this type of occupation comes with a hefty paycheck and a very bright long-term career prospect. It’s definitely one of the most coveted positions in the financial industry, especially in the corporate finance category.