Government agencies, banks and companies rely on an accountant to compute their taxes, produce or examine financial statements & at the same time make sure that he or she obeys the written financial laws & regulations by the state. Even you know that an accountant makes good cash every year. If you are planning to set your career in this then it often makes you wonder as to how much do accountants make a year. Well, it is often the pay we always look first. Read to know.
Also Read: How Much Do Financial Advisors Make?
How Much Does An Accountant Make a Year?
An accountant assesses the operations in organizations for maximizing cost efficiency. In case, you desire a profession as entry-level accountant, then you will require holding bachelor’s degree. You can easily expect the wages to be over $22 for an hour.
Qualifications And Wages
Talking on an average, the annual pay for entry-level accountants was around $47,000 during the year 2013. This report is according to reputed job website “SimplyHired”. This 22.60 dollar per hour pay is actually based on 40-hours workweek. This hourly and annual figure is commensurate highly with bottom 25% accountant earnings. This was during the year 2012, reported by United States BLS (Bureau of Labor Statistics) — lesser than about $49,540 yearly / $23.82 for an hour.
In order to work as entry-level accountant, one typically needs bachelor’s degree on accounting. Few employers might also look for 1 to 2 years experience in accounting through internships or as junior accountant. On the other hand, some vital requirements include good knowledge on analytical, math, organizational skills, communication skills and current market trends.
Wages By Location
According to 2013 reports, the average hourly pay for any entry-level accountant varied most within South region, claims Simply Hired, wherein financial accountants earned with highest hourly charges of about $35.58 at Washington D.C. whereas the lowest made about $17.79 at Mississippi.
Accountants at Northeast made around $20.10 – $27.40 for an hour at Massachusetts and Maine respectively. In case you are a potential entry-level accountant at Midwest, then you would $17.79 – $24.04. When we talk about the West parts, one has the potential to make around $18.27 at Montana for an hour or $25.48 at Alaska & California.
Entry-level accountants can earn excess in some industries. In fact, the pay is almost equal to an experienced accountant. For instance, in the year 2012, most of the accountants earned highest wages with $46.28 for an hour functioning for securities & commodities broker companies, according to BLS. Accountants made it to second highest salary of $43.54 while being employed by federal government.
Now, in this sector, you will likely earn excess in California and Massachusetts because of high cost of living.
When compared to other states. Suppose you earn $21.63 for hour at Springfield, Missouri — that is around $45,000 yearly based on 40-hours workweek, then you would require making $34.31 at Boston for maintaining your standard of living, according to the CNN’s “Living Cost” calculator. On the other hand, consider San Francisco, here you would require earning at least $39.86 for enjoying the same standard of living.
BLS has anticipated a 16% increase in accountant jobs by the time it is 2020. The demand for financial accountants is certainly going to rise in the upcoming years. The reason for the accountant demand is financial crises & corporate scandals. United States government has passed stricter regulations and laws for corporations as well as banks. One might even find more career opportunities as auditor while opening your early accounting career due to tight lending standards at banking & financial industries.