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With business pages fixed on the corporate executives charged with -- or convicted of -- financial improprieties, the accounting profession's reputation still isn't out of the woods. But for career changers, college students and other professionals who can see past the headlines, times have never been better to consider the field, which offers a growing array of opportunities.
Trends in Accounting Employment
Many observers say that with the new corporate governance requirements taking effect, the accounting profession is thriving.
"Hiring is up, especially on the assurance and internal controls side, in the wake of Sarbanes-Oxley," says Eric North, director of career services for the accounting department at the Robinson College of Business at Georgia State University in Atlanta. About 90 percent of Robinson's 2004 accounting graduates have already secured jobs.
But some recruiters are more circumspect. "We're seeing some improvements," says Pam Wright, vice president of product management for Kforce Professional Staffing in Tampa. "Right now I'm seeing more of a demand for people with three to five years of experience. Kids coming out of school are having a harder time."
Hot Accounting Specialties
Whatever the reality of the job market for entry-level staff accountants, many specialty areas are burgeoning. In response to the need for better protection against corporate fraud, "we've added courses that reflect trends, like a formalized class in internal audit and one in forensic accounting," North says.
In addition to these fields, there's strong demand for accountants with just a couple of years of experience in areas like risk management and international and environmental accounting.
Tabulating the Changes
In many ways, the accounting field has undergone a transformation in recent years. For one thing, accounting has become a popular target for career changers. "A lot of students are coming back -- we call them accounting retreads," North says. "They may come from finance or liberal arts for well-paid jobs in interesting environments."
What's more, to place talent in the right spot at the right time, accounting firms have made their career ladders more flexible. "Several years ago, firms promoted on a lockstep basis" toward senior positions like director, says Chuck Eldridge, managing director of the financial officers practice at recruiter Korn/Ferry International in Atlanta. "Firms are more flexible today, which is great news.
And accountants -- who were just putting down calculators and shifting to electronic spreadsheets 10 years ago -- are now wielding a whole new set of liberating tools. "These days, data is directly loaded into accounting software, which takes away the spreadsheet drudgery," North says. "This also allows the typical staff accountant to get to know the client's business better.
Attractive Compensation
Pay in the accounting profession starts at levels that generally please new college graduates. Entry-level staff accountants can earn about $37,000 to $45,000 in base pay. From there, salaries go up -- way up.
Auditing managers can command salaries ranging from about $89,000 to $122,000. At the director level, salaries typically fall between $103,000 and $142,000. Chief financial officers can expect median salaries of more than $291,000 in base pay and often reap handsome bonuses.
However, a successful accounting career is not about always taking the best salary offer. Experts say that if you land a job with a major accounting firm, you should stick with it for a while. "Too many depart in the second or third year," Eldridge says. "They should stay at least five years." Those who do are likely to be rewarded with management experience that will take them far.
