Fund Accounting
Fund accountants help ensure the accuracy of their employer's finances. They provide invaluable financial information to their clients after analyzing, verifying, and preparing financial documents. Some may even offer information technology consulting, financial and investment planning, and budget analysis.
Daily Tasks
Fund accounting professionals determine the financial condition of a company's resources by questioning what can be accomplished using existing resources; determining the value of physical assets; and estimating the financial impact of maintaining those assets. Fund accountants plan and budget for the proper use of existing resources. Demonstrating stewardship and accountability are also primary responsibilities for a fund accountant. He or she must be able to verify that the firm's funds are documented and used properly.
Public accounting firms, independent clients, organizations with multiple branches, and local, state, and federal government agencies are among the primary employers of fund accountants. Some fund accountants are self-employed. Recent graduates should expect to work under the supervision of an established fund accountant. Once they gain sufficient experience, however, they will be given additional responsibilities as well as professional independence.
Education & Training
Most employers require that applicants possess at least a bachelor's degree in accounting or a related field. Some employers prefer applicants who have earned a master's degree with a concentration in accounting, while others accept applications from prospective employees who have a combination of work experience and postsecondary education..
Earning licensure or certification, especially a Certified Public Accountant (CPA) distinction, can strengthen a prospective fund accountant's candidacy for employment. The American Institute of Certified Public Accountants confers certification upon accountants who pass a rigorous four-part exam, adhere to a code of ethics, and perform their accounting duties with consistency and accuracy.
Salary & Job Outlook
According to the U.S. Bureau of Labor Statistics, the median annual salary of a fund accountant is approximately $59,000, with the middle 50 percent earning between $46,000 and $78,000 per year. The lowest 10 percent earn less than $37,000, while the top 10 percent earn more than $102,000 annually. Recent graduates should expect to earn limited income before gaining sufficient experience for a raise.
According to a 2009 survey conducted by the National Association of Colleges and Employers, fund accountants who possess a bachelor's degree earned an initial salary of $49,000 per year, while those with a master's degree received a starting salary of $50,000 per year.
The employment outlook of fund accountants is favorable. The Bureau of Labor Statistics predicts employment opportunities will increase by roughly 22 percent through 2018. In that period, the Bureau of Labor Statistics expects to see approximately 279,000 new job opportunities. This growth rate is significantly faster than the average for all occupations.
Characteristics of a Successful Fund Accountant
Key competencies required to be a successful fund accountant include a strong attention to detail, accuracy, and good problem-solving skills. The ability to work with numbers is essential. Fund accountants must also be trustworthy, as they will inevitably work with confidential material.
Article Resources:
UCSB Campus Information and Procedure Manual: Fund Accounting