How To Become a Financial Manager: Salary & Career Paths for 2025

Co-Founder and Chief Data Scientist

Many students interested in finance want a career with strong job growth and high earning potential. But figuring out how to become a financial manager can be vague. With so many degree options, certifications, and career paths, knowing where to start is hard. Some worry about whether a bachelor's degree is enough. Others wonder if they need an MBA or years of work experience. Making the wrong choice could slow down career progress or lead to unnecessary costs.

The good news is that financial managers are in high demand. According to 2024 data from the Bureau of Labor Statistics, employment in this field is projected to grow 17% by 2033—much faster than average. This means more job openings and career opportunities in banking, corporate finance, and government. In this article, you'll learn the steps from education to career advancement. Prepared by experts in career planning, this guide will help you build a clear and successful path to becoming a financial manager.

Key Things You Should Know About Becoming a Financial Manager

Steps to Becoming a Financial Manager - Earn a bachelor's degree, gain work experience, obtain certifications, and develop key financial skills to move into management roles.
Key Responsibilities of a Financial Manager - Oversee budgets, manage investments, analyze financial risks, and guide companies toward long-term financial success.
Best College Majors for Financial Managers - Business, accounting, finance, and economics degrees provide the strongest foundation for this career.
Skills Needed for Financial Management - Financial managers need analytical skills, leadership abilities, and proficiency with financial software to succeed.
Job Outlook and Career Growth - The demand for financial managers remains strong, with thousands of job openings each year and high earning potential.

What are the steps to becoming a financial manager in 2025?
What are the main responsibilities of a financial manager?
How long does it take to become a financial manager?
What are the best college majors for financial managers?
What skills do financial managers need?
What certifications help financial managers advance their careers?
What is the average salary of a financial manager in 2025?
How can you manage education expenses while pursuing a financial management career?
What entry-level jobs help you become a financial manager?
What challenges do financial managers face in today's dynamic market?
Is an Accelerated MBA Program a Strategic Option for Financial Management Careers?
Can networking and mentorship propel your financial management career?
Can integrating project management skills enhance financial management performance?
What is the job outlook for financial managers?
How can students prepare for a financial management career?
How do emerging technologies shape financial management roles?
Other Things You Should Know About Becoming a Financial Manager

What are the steps to becoming a financial manager in 2025?

Aspiring financial managers must follow a clear path that includes education, experience, and skill development. Most start with a bachelor's degree, gain industry experience, and earn certifications to improve their job prospects. According to recent data, 66% of financial managers hold a bachelor's degree, making it the most common educational path. Some go further by earning an MBA or advanced finance certifications, but practical experience is just as important as education.

Here's a step-by-step process:

Earn a Bachelor's Degree: A degree in finance, accounting, economics, or business is the first step. Employers prefer candidates with strong knowledge of financial reporting, investment strategies, and risk management.
Gain Work Experience: Many financial managers start as financial analysts, accountants, or auditors. Entry-level roles help build skills in budgeting, forecasting, and financial decision-making.
Develop Key Skills: A financial manager needs analytical thinking, leadership, and communication skills. Many professionals also complete a bookkeeping certification to strengthen their knowledge of financial records and compliance.
Pursue Certifications: Earning credentials like the Chartered Financial Analyst (CFA) or Certified Management Accountant (CMA) can boost job opportunities. These certifications show expertise and commitment to the field.
Advance to Management Roles: With experience and strong performance, professionals can move into senior financial roles. Some become finance directors or chief financial officers (CFOs) over time.

The chart below lists the most common education levels of financial managers, as reported by Zippia in 2025.

What are the main responsibilities of a financial manager?

Financial managers oversee a company’s financial health by planning budgets, analyzing data, and guiding financial decisions. They ensure businesses stay profitable while managing risks and following regulations. Their work directly impacts a company’s success, which is why financial managers often rank among the most satisfied professionals. In fact, they earned a 7.2 out of 10 in overall job satisfaction, placing first in the best jobs for business.

Financial Planning and Budgeting: A financial manager creates budgets that align with a company’s goals. They ensure money is allocated efficiently and adjust plans based on market conditions.
Risk Management: They identify potential financial risks and develop strategies to minimize losses. This includes monitoring investments, interest rates, and economic trends.
Financial Reporting and Analysis: They prepare financial statements and reports for executives and stakeholders. Their analysis helps businesses make informed financial decisions.
Investment and Cost Control Strategies: Financial managers evaluate investment opportunities and find ways to reduce costs. They recommend strategies to maximize profits while maintaining financial stability.
Regulatory Compliance: They ensure companies follow financial laws and regulations. This includes tax compliance, auditing, and financial record-keeping.

How long does it take to become a financial manager?

Becoming a financial manager takes time, but the exact timeline depends on education, experience, and career choices. Most people need at least 6 to 10 years to reach this role. A bachelor's degree takes about four years, followed by several years of work experience in finance or accounting. Here's a breakdown of the timeline:

Bachelor's Degree (4 years): Most financial managers earn a finance, accounting, or business degree. Some students complete their degrees faster by taking extra courses or enrolling in an accelerated program.
Entry-Level Finance Experience (2-5 years): After graduation, professionals work as financial analysts, accountants, or auditors. This experience builds skills in budgeting, forecasting, and financial reporting.
Advanced Education or Certification (Optional, 1-2 years): While not required, earning an MBA or a financial certification like the CFA or CPA can improve job prospects. An accelerated MBA can take as little as one year, allowing candidates to move into management roles sooner.
Promotion to Financial Manager (After 5-10 Years of Experience): With substantial experience and leadership skills, professionals advance to financial manager positions. Those with an MBA or industry certifications may qualify for these roles earlier.

What are the best college majors for financial managers?

The best college majors for financial managers focus on business, finance, and accounting. These fields provide the knowledge needed for budgeting, risk management, and financial analysis. According to recent data, 31% of financial managers hold a business degree, while 29% have an accounting degree. Choosing the right major can help students build a strong foundation for leadership roles in finance.

Business Administration: A business degree covers management, marketing, and finance, making it a flexible choice. Many financial managers start with this major because it provides leadership and strategic planning skills.
Accounting: An accounting degree focuses on financial reporting, taxation, and auditing. This background helps financial managers oversee company finances and ensure compliance with regulations. For students needing flexibility, an online accounting degree offers a convenient way to gain these skills.
Finance: A finance major is one of the most direct paths to a financial manager career. It covers investment strategies, financial markets, and corporate finance, preparing students for advanced roles.
Economics: Economics teaches how financial systems work and how businesses respond to market changes. This major is valuable for financial managers making long-term financial decisions.
Statistics or Mathematics: Strong analytical skills are essential in financial management. A degree in statistics or mathematics helps with data analysis, risk assessment, and financial modeling.

What skills do financial managers need?

Financial managers need technical, soft, and technological skills to succeed. They analyze data, lead teams, and use financial software to make informed decisions. Strong skills in these areas help financial managers improve company performance and career advancement.

Financial Analysis: Understanding financial statements, budgets, and investment reports to make data-driven decisions.
Risk Management: Identifying financial risks and developing strategies to minimize losses.
Regulatory Compliance: Ensuring a company follows financial laws and tax regulations.
Forecasting and Budgeting: Predicting future financial trends and planning company budgets effectively.
Leadership: Guiding teams and making strategic decisions to improve business outcomes.
Communication: Explaining complex financial data to executives, employees, and stakeholders.
Problem-Solving: Quickly analyzing financial challenges and finding effective solutions.
Financial Software Proficiency: Using tools like QuickBooks, SAP, or Oracle for financial management.
Data Analytics: Interpreting large datasets to improve financial strategies.
Cybersecurity Awareness: Protecting financial data from fraud and cyber threats.

The chart below lists the states with the highest level of employment for financial managers, as reported by the BLS in 2024.

What certifications help financial managers advance their careers?

Certifications help an aspiring financial manager stand out in a competitive job market. They show expertise in financial planning, risk management, and leadership. Many professionals earn certifications to qualify for senior roles or increase their salary potential. For those balancing work and education, the best online colleges for working adults offer flexible programs that prepare students for these credentials.

Chartered Financial Analyst (CFA): The CFA is one of the most respected certifications in finance. It focuses on investment management, financial analysis, and portfolio strategy.
Certified Public Accountant (CPA): While mainly for accountants, CPAs working in corporate finance benefit from expertise in tax laws, auditing, and financial reporting.
Certified Management Accountant (CMA): The CMA certification is ideal for financial managers who are handling budgeting and strategic planning. It focuses on financial decision-making and leadership.
Financial Risk Manager (FRM): This certification is for professionals managing risk in banking, investments, or corporate finance. It helps financial managers identify and minimize financial risks.
Certified Treasury Professional (CTP): CTP holders specialize in cash management, liquidity, and corporate financial planning. This credential is valuable for financial managers handling a company’s cash flow.

What is the average salary of a financial manager in 2025?

The average salary of a financial manager in 2025 remains high, reflecting strong demand for professionals in this field. According to 2024 data from the BLS, the median annual salary for financial managers is $156,100. Salaries vary based on industry, experience, and location, with top earners making well over $200,000 annually. Professionals with advanced degrees, such as an MBA, often earn higher salaries, as many employers offer a master degree in business salary that reflects their expertise in financial strategy and leadership.

Entry-Level (0-5 Years of Experience): Around $90,000 to $120,000 annually. Financial managers in this range often start as analysts or accountants before advancing to management roles.
Mid-Career (5-10 Years of Experience): Between $130,000 and $180,000 annually. Professionals at this level take on leadership roles, overseeing budgets and financial strategies.
Senior-Level (10+ Years of Experience): Over $200,000, with many earning bonuses and stock options. Senior financial managers work as CFOs, directors, or executives.

Here's a breakdown by industry:

Finance & Insurance: $170,000+ (Investment firms and banks pay the highest salaries.)
Manufacturing: $150,000 (Managing production costs and financial operations.)
Healthcare & Government: $130,000-$145,000 (Salaries are slightly lower but stable.)

How can you manage education expenses while pursuing a financial management career?

Investing in a solid educational foundation is a key step toward a successful career in financial management, and minimizing expenses can ease that path. Consider exploring various funding sources such as scholarships, grants, and employer tuition assistance programs to offset costs. Additionally, many online learning programs offer flexibility and competitive tuition rates, which may also help reduce financial burdens. For a detailed cost comparison and to evaluate affordability, review How much does a business degree cost? to make an informed decision that aligns with your career aspirations and budget.

What entry-level jobs help you become a financial manager?

Starting in the right entry-level job can help you become a financial manager faster. Many professionals begin in roles that build key skills like financial analysis, budgeting, and risk management. These positions provide hands-on experience and open the door to leadership opportunities.

Financial Analyst: This role analyzes financial data, prepares reports, and assists with investment decisions. It’s a common first step toward becoming a financial manager.
Accountant: Accountants manage financial records, balance sheets, and tax filings. This job helps build a strong foundation in financial reporting and compliance.
Budget Analyst: Budget analysts review financial plans, track expenses, and recommend cost-saving strategies. This role sharpens budgeting and forecasting skills.
Credit Analyst: These professionals assess loan applications and evaluate financial risks. This experience is useful for financial managers handling corporate finance and lending.
Treasury Analyst: Treasury analysts manage cash flow, investments, and financial transactions for companies. They gain expertise in liquidity management, a key responsibility of financial managers.
Auditor: Auditors examine financial records to ensure accuracy and compliance. Internal and external auditors develop problem-solving skills that translate well into financial management.
Loan Officer: Loan officers work with individuals and businesses to approve financing. This role builds knowledge of lending, risk assessment, and financial advising.
Investment Analyst: Investment analysts study market trends and help manage portfolios. Their experience with financial modeling and asset management is valuable for financial managers.

What challenges do financial managers face in today's dynamic market?

Financial managers must navigate a landscape marked by rapid regulatory shifts, macroeconomic uncertainties, and evolving business models. Balancing the need for stringent compliance with strategic innovation often requires real-time adjustments to financial practices and risk assessment. Many professionals enhance their expertise through advanced studies, such as pursuing a DBA degree, to gain deeper insights into strategic financial decision-making and long-term planning.

Is an Accelerated MBA Program a Strategic Option for Financial Management Careers?

Accelerated MBA programs offer a condensed curriculum that combines core business principles with advanced financial management strategies. Such programs can fast-track career development and provide immediate, applicable skills in strategic planning, risk assessment, and leadership. For finance professionals looking to optimize educational investment and career growth, an accelerated pathway can minimize opportunity costs while delivering competitive expertise. Evaluating this option based on individual career objectives and market demands is essential, and many prospective managers consider enrolling in an online MBA 1 year program to gain these advantages quickly.

Can networking and mentorship propel your financial management career?

Financial management careers benefit significantly from building robust professional networks and securing dedicated mentors. Engaging with industry professionals through conferences, financial associations, and mentorship programs provides insights into market trends and leadership strategies that may not be captured in formal education. Additionally, targeted networking can reveal opportunities for roles or projects that accelerate skill development and career progression. Leveraging resources such as affordable AACSB online MBA no GMAT can offer both advanced learning and opportunities to connect with experienced professionals, further enriching career trajectories in finance.

Can integrating project management skills enhance financial management performance?

In today's dynamic financial landscape, developing interdisciplinary expertise is essential for sustained success. Financial managers who incorporate project management skills gain strategic advantages in planning, execution, and risk mitigation, leading to more efficient budget implementation and resource allocation. Embracing these cross-functional capabilities fosters stronger team collaboration and optimizes operational outcomes. For an accelerated route to mastering these critical skills, explore the quickest online bachelors in project management degree.

What is the job outlook for financial managers?

According to recent projections, about 75,100 financial manager job openings are expected annually throughout the decade. Many of these openings come from experienced managers retiring or transitioning to higher leadership roles. However, industry growth drives new opportunities, especially in investment firms, healthcare, and technology sectors. Here's why demand is increasing:

Economic Growth: As businesses grow, they require skilled financial managers to handle budgeting, investments, and strategic planning.
Complex Financial Regulations: Companies need experts to ensure compliance with tax laws and financial reporting standards.
Globalization: International businesses rely on financial managers to manage currency risks and global investments.
Technology & Automation: While financial software improves efficiency, companies need financial managers to interpret data and make strategic decisions.

The chart below lists the largest employers of financial managers, as reported by the BLS in 2024.

How can students prepare for a financial management career?

Students can prepare for a financial management career long before entering the workforce. The right mix of education, hands-on experience, and skill-building can help them stand out in a competitive job market.

Take Finance and Business Courses: To build a strong foundation, high school and college students should focus on accounting, economics, statistics, and business management courses.
Gain Internship Experience: Internships at banks, investment firms, or corporate finance departments provide real-world exposure to financial management tasks and help students make professional connections.
Join Finance Clubs and Competitions: Business clubs, stock market simulations, and case competitions teach students how to analyze financial data and make strategic decisions.
Develop Technical Skills: Learning financial software like Excel, QuickBooks, and enterprise resource planning (ERP) systems gives students an advantage when applying for entry-level jobs.
Network with Industry Professionals: Attending finance events, career fairs, and mentorship programs helps students connect with experienced financial managers who can offer guidance.
Build Strong Communication Skills: Financial managers must explain complex financial information clearly. Students can improve by taking public speaking classes, writing finance-related reports, and participating in group projects.
Stay Informed About Industry Trends: Reading financial news, following market trends, and understanding economic shifts help students develop the mindset of a financial manager.

How do emerging technologies shape financial management roles?

Financial managers are increasingly expected to integrate advanced technologies into their decision-making processes. The adoption of big data analytics, automation, and blockchain has streamlined financial reporting and risk management, while artificial intelligence tools enhance forecasting and strategic planning. Embracing these innovations requires not only technical proficiency but also continuous learning to adapt to evolving digital standards. For professionals seeking to lead in this dynamic environment, pursuing specialized programs such as the top online finance masters program can offer essential insights into leveraging technology for competitive advantage.

Here’s What Graduates Have to Say About Becoming a Financial Manager

I started in an entry-level accounting role, unsure where I'd end up. Five years later, I'm leading financial strategy for a mid-sized company, and my salary has more than doubled. The best part? I get to make real decisions that shape a company's future. — Hugo

Working as a financial manager gives me the security I always wanted. The demand for finance professionals is growing, and I know my skills will always be valuable. I never have to worry about finding work; that peace of mind is priceless. — Adam

Numbers have always been my thing, but I never expected to love the leadership side of finance. Managing a team, solving complex financial puzzles, and driving a company's success? It's challenging but incredibly fulfilling. I wouldn't trade this career for anything. — Sofia

Key Findings

The median annual salary for financial managers in 2025 is projected to be $156,100, with top earners earning over $200,000.
About 75,100 job openings for financial managers are expected each year over the next decade.
66% of financial managers hold a bachelor’s degree, with many pursuing additional certifications or graduate degrees.
It typically takes 4 years to earn a bachelor’s degree and an additional 5 years of work experience to reach a financial manager position.
31% of financial managers have a business degree, while 29% graduate with an accounting degree.

Other Things You Should Know About Becoming a Financial Manager

What is the highest degree in finance?

The highest degree in finance is a Doctor of Philosophy (Ph.D.) in Finance. This degree focuses on research, advanced financial theories, and teaching at the university level. Some professionals pursue a Doctor of Business Administration (DBA) in Finance, which is more applied and suited for executives. While not required to become a financial manager, these degrees can lead to careers in academia, consulting, or top-level corporate finance roles.

What is the toughest course in finance?

Many students find Financial Derivatives to be the toughest course in finance. It covers complex mathematical models, options pricing, risk management strategies, and futures contracts. This subject requires a deep understanding of calculus, probability, and statistics. Mastering derivatives can help with investment strategies and risk assessment for those pursuing a career as a financial manager, but it’s not always required for general financial management roles.

What is the most difficult exam in finance?

The Chartered Financial Analyst (CFA) exam is the most difficult in finance. It has three levels and requires over 300 hours of study per level. The pass rate is typically below 50%. The exam covers investment analysis, portfolio management, and ethics. While the CFA is more relevant for investment professionals, a financial manager with this certification can stand out in corporate finance roles.

Do you need work experience to get a financial manager job?

Yes, most financial manager jobs require work experience. Employers typically look for at least five years in roles like financial analyst, accountant, or budget analyst. Entry-level finance jobs help build the skills needed for management. Some professionals fast-track their careers by earning certifications or an MBA while gaining experience.

References:

Bureau of Labor Statistics (BLS). (2024a). 11-3031 Financial Managers. Occupational Employment and Wages. BLS.
Bureau of Labor Statistics (BLS). (2024b). Financial Managers. Occupational Outlook Handbook. BLS.
Institute of Management Accountants (IMA). (2024). Financial Managers Top the List of Most Satisfied Workers. IMA.
Zippia. (2025a). Finance Manager Demographics and Statistics in the US. Zippia.
Zippia. (2025b). Finance Manager Education Requirements. Zippia.