Salary
Gains Continue for Accounting Grads and Finance Professionals
Article
originally appeared in the August CPA Career Insider.)
By:
CPA
Career
Insider Staff
Accounting
graduates continue to see their average starting salary increase; they've posted
gains in each of the 2004 Salary Survey reports conducted by the National
Association of Colleges and Employers (NACE). Currently, they are averaging
$41,110, a 1.4 percent gain over last year at this time.
Similarly,
graduates in economics/finance and
graduates in
marketing/marketing management saw their offers increase 2.1 percent on an
average to $40,906.
"There have
been definite signs of improvement to average starting salary offers for the
Class of 2004," said Marilyn Mackes, NACE Executive
Director.
Almost all of the business disciplines continue to show increases in their
average starting salaries. For example, business administration graduates saw
their average starting salaries increase to $38,188, a 2.9 percent jump from
last year at this time.
And
the prospects are sunnier for more experienced financial professionals.
According to the Association
for Financial Professionals 2004 Compensation Survey,
finance
pros garnered a 3.6 percent average salary increase in 2004, compared to an
average of 3.5 percent for all professional workers. The average total
compensation for financial professionals rose to $96,000 this past year.
This
year's AFP Report, released in July, (visit http://www.afponline.org/)
contains salary information for 24 positions, 24 job descriptions and 54
organizational charts. The results show healthy salary increases across the
board, with directors of treasury or finance receiving the highest increases.
The survey also says nearly 90 percent of companies plan to grant salary raises
to those in treasury and finance positions in 2004.
The
Power of Education
Controllers
holding a CPA credential averaged total compensation of $130,000 - nearly eight
percent more than their
non-CPA counterparts ($120,800).
An
M.B.A. degree results in increased earning power, potential for promotions to
top leadership positions and improved marketability, according to the AFP study.
Treasurers who obtain an M.B.A. out-earn their non-M.B.A. peers by an average of
$25,100. In a competitive job market,
certifications seem to enable financial professionals to stay current and earn
higher salaries. Controllers with a CPA averaged total compensation of $130,000,
versus their counterparts without a CPA who earned $120,800.
The
AFP study also found that finance departments moved into positions of high
visibility and influence within many companies. CFOs served as business advisors
and shaped decisions, while treasurers and other financial managers delivered
strategic objectives, anticipated emerging needs and developed creative
solutions to business problems.
"In an effort to
retain top performers, many companies have implemented diversified compensation
structures. Employers are willing to provide strong incentives to managers who
effectively enhance customer satisfaction and corporate responsibility,"
noted Jim Kaitz, AFP's president and CEO.
Compensation
by Industry
Several
factors contributed to compensation levels, and compensation varied between
industries. For example, CFOs who work in the utility industry received salaries
of $260,000, while CFOs who work in the government or non-profit industry
received average pay at $131,200. Financial professionals in companies with
revenues greater than $1 billion earned compensation of $44,000 more than their
peers at companies with revenues less than $100 million. Also, public companies
compensate higher than private companies. The average salary for financial staff
in public companies was $29,100 higher than in private companies.
Arkansas
Students Receive AICPA Minority Scholarships
The American
Institute of CPAs (AICPA) Minority Initiatives Committee has recently awarded
scholarships to 157 accounting students totaling $488,000
for the 2004-2005
academic year.
Congratulations
to each of the four
Arkansas students who were among the
recipients that received
$3,000!
-
Jamee Clay, Henderson State University, Arkadelphia
-
Julienne Gutierrez, University of Arkansas, Fayetteville
-
Mario Riles, University of Arkansas, Fayetteville
-
Jenny Schilling, University of Arkansas, Fayetteville
AICPA scholarships
are available to minority students who have satisfactorily completed at least 30
semester hours (45 quarter hours) of college work, with at least six (6)
semester hours in accounting, and have an overall and accounting grade point
average (GPA) of at least 3.3. Undergraduate
students must be enrolled on a full-time basis (12 semester hours or equivalent)
at a four-year or upper division institution.
Full time (9 semester hours or equivalent) graduate students enrolled in
a five-year accounting program or in a master’s level program in accounting or
taxation are
also eligible. Individuals pursuing
masters degrees in business administration or finance may be eligible if they
have an undergraduate
degree in accounting
and are pursuing the CPA designation.
Current CPAs are not eligible.
Applications
for the 2005-2006
AICPA Minority Scholarship program will be available in
March,
2005,
and can be downloaded from the AICPA website
at: http://www.aicpa.org;
or
to request an application, contact Robin at:
Arkansas Society of
Certified Public Accountants
Phone: 501-664-8739
Toll Free in Arkansas: 800-482-8739
E-mail: ascpa@arcpa.org
New
Member Service Agreement
The ASCPA is
pleased to announce a new member service agreement with PassMatrix Learning
Systems, for a discount to Arkansas Society of CPA associate and student members
on the MicroMash® CPA Review for both 4-part review course purchases as well as
individual exam sections.
The
retail price of the CPA Review program is $995 for the full review and $295 per
section. PassMatrix
offers ASCPA associate and student members the discounted rate of $845 for all 4
review exam
sections,
or $270 per individual
review exam section.
For more
information on this new member service, ASCPA members should click on the
PassMatrix icon on the Student Lounge section of
the ASCPA website: www.arcpa.org.
2005
Robert Half Salary Guide
The
ASCPA has received copies of the new 2005 Salary Guide from Robert Half Finance
& Accounting and Accountemps.
The
Salary Guide projects data on average starting salaries for accounting and
finance professionals throughout the United States.
The Salary Guide also includes information on the hiring outlook, a
public accounting overview, banking trends, interview questions, and salary
negotiations.
To request your free copy of the 2005 Salary Guide, contact Robin Harris at (501) 664-8739, or (800) 482-8739 in Arkansas, or e-mail a request to ascpa@arcpa.org.
“You’re
Hired!” - Donald’s 10 Rules For Staying Employed
Yes,
he made those other two words famous. But
the truth is, that Donald prefers not to pass out pink slips.
Really. Here are his ten
rules for staying employed.
-
Be plugged in. When it comes to your job, timing is everything. Let me give you an example: I was having a grand-slam rotten day. No one could possibly have mistaken it for anything else. Late in the afternoon, I heard a polite knock on my door. I yelled out “What?!” in my exasperated tone. A terrific young lawyer who works for me nonchalantly entered my office, completely ignoring my angry welcome, and proceeded to ask me for a raise. I was ready to kill him. Was he joking? He wasn’t. I could not believe it. He did not get a raise that day, but he did almost get fired for stupidity—I told him to get out before I really lost my temper. I also told him that he might be brilliant, but his timing needed work—and he ought to start paying attention to others around him.
-
Be professional. There was one former employee I liked a lot, but he reminded me of a jumping bean. He could not keep still for more than three seconds. Even riding in a car with him became an ordeal for me—being in an enclosed space would warm him up even more, and then he would really get going. I finally learned to avoid him as much as possible, and that is too bad, because he was a great guy. But enough was enough. Overbearing enthusiasm will cause people to tune you out—or wish you would move to another state.
-
Give nothing less than 100 percent of your energy every day. Let me sum this up with one of my favorite quotes form golf legend Gary Player: “The harder I work, the luckier I get.”
-
Be well informed. Keep up with events—locally, nationally, and internationally. Fortunately, I don’t pride myself on being a know-it-all, so each day becomes a new challenge. People ask what keeps me going, and this is probably the closest answer to the truth. You can’t wear a blindfold in business. Part of your day should be devoted to expanding your horizons.
-
Be prepared for the worst at all times. In the late 1980’s, the real–estate market crashed. I owed billions of dollars—$9.2 billion, to be exact. One day, I passed a beggar on the street and realized he was worth $9.2 billion more than I was. The point is, when it comes to careers, there will always be ups and downs. Learning to anticipate problems has saved me from wasted energy, and it will save you from unexpected surprises. Call it positive thinking with a lot of reality checks.
-
Pretend to be working for yourself. What kind of job would you do?
-
Keep your cutting edge. I once asked an executive in my organization to give me a synopsis of a new development we were considering. He began to describe the merits of the site, the pitfalls, the good things, the bad things, the pros, the cons—and on and on, in great detail. He was on both sides of the fence and didn’t want to take a stand. Finally, I asked him what he thought in 10 words or less. “It stinks,” he said. If you equivocate, it’s an indication that you are unsure of yourself and what you are doing. It is also what politicians do all the time, and I find it inappropriate, insulting and condescending.
-
Keep focused on your job. In the 1980’s, I was riding high. I would fly off to Europe and attend fashion shows, and I wasn’t looking at the clothing. My lack of attention was killing my business. I will never forget the worst moment. It was 3:00 a.m., and Citibank phoned me at home in Trump Tower. They wanted me to come over immediately to negotiate new terms with some foreign banks - three of the 99 banks to whom I owed billions. It is tough to tell a banker that you can’t pay interest. They tend not to like those words. But that is exactly what I had to do, at three o’clock on a cold January morning, in the freezing rain. There were no cabs, so I walked 15 blocks. By the time I go there, I was drenched. That was my low point. But I learned my lesson. I work as hard today as I did when I was a young developer in the 1970’s.
-
Do your job thoroughly and responsibly. If you don't’ know every aspect of what you are doing, down to the paper clips, then you are setting yourself up for unwelcome surprises. I once read about an esteemed brain surgeon in San Francisco who was fanatical about detail and organization. He would go over the components of an upcoming surgery in his head as he jogged every morning, visualizing every detail, difficulty, and potential complication. He was not known for his bedside manner, but he was the best. If I have to have a brain surgeon, he is the kind I would choose.
-
Review yourself every day. Ask yourself: “Is there anyone else who can do this job better than I can?” and “What am I pretending not to see?” In other words, know yourself, know your competition, and look at the hard facts. And yes, there is always room for improvement.
Excerpted
from Trump:
How to Get Rich,
by Donald J. Trump, 2004.