Profession · Full profile

Financial Analyst

Financial analysts evaluate data, build financial models, and help organizations guide business decisions.

Average salary

$102,740

Salary range

$63,720 – $180,860

Training time

4 years full time

Job market

Much faster than average

9/10

Work-life balance

Fair

5/10

Financial analysts build financial models, evaluate business performance against budget, and forecast revenue, costs, and cash flow. They examine financial statements, evaluate prospective investments or capital projects, and prepare presentations for senior leaders. Pay and job figures cover financial and investment analysts, the official group that includes financial analysts. Professionals in this field work across corporate finance, banking, asset management, and consulting, spending most of their time working on computers in office or hybrid environments.

A workday

A day in the life

What does a workday really look like?

A regular weekday focused on financial statement review, variance analysis, and model updates.

8:30 AM
Market tracking and email review
Review market trends, economic data, and urgent incoming messages from business unit leaders.
9:15 AM
Budget variance analysis
Analyze financial statements and current performance against operating budgets using ERP systems.
11:00 AM
Cross functional team meeting
Meet with department heads to discuss recent revenue variances and operational expenses.
12:00 PM
Lunch break
Midday break away from the desk.
1:00 PM
Financial modeling
Update Excel financial models to forecast quarterly cash flow and operational costs.
3:00 PM
Executive reporting
Prepare slide decks and summary reports for senior managers and executives.
4:30 PM
Database queries and documentation
Run SQL queries to validate dataset accuracy and document modeling assumptions.

Task breakdown

A busy day during annual budget planning involving extensive forecasting, leadership reviews, and long hours.

8:00 AM
Forecast consolidation
Aggregate divisional budget submissions into the master corporate financial forecast.
9:30 AM
Capital project evaluation
Evaluate proposed capital investments and acquisitions using discounted cash flow valuation methods.
11:30 AM
Budget review meeting
Review draft budget targets with the finance manager and departmental directors.
1:00 PM
Lunch break
Short break for lunch.
1:30 PM
Model recalibration
Adjust revenue sensitivity scenarios and cost projections based on executive feedback.
4:00 PM
Executive briefing
Present updated forecast summaries and project risks to senior leadership.
5:30 PM
Evening model refinement
Finalize budget templates and run quality checks to meet seasonal planning deadlines.

Salary data

What do you really earn?

Salary by experience, sector and region.

Minimum

$63,720

Average

$102,740

Maximum

$180,860

Salary by region

Region	Min	Avg.	Max
National	$63,720	$102,740	$180,860
New York	$77,540	$127,930	$225,380
California	$72,840	$109,110	$198,280
Texas	$63,230	$99,150	$169,990
Florida	$60,620	$94,490	$155,470
Illinois	$64,700	$101,180	$166,090

Typical benefits

Health insurance

Medical coverage provided through corporate group benefit programs.

401(k) with employer match

Retirement savings support with matching contributions provided by the employer.

Annual performance bonus

Incentive compensation tied to personal accomplishments and overall corporate financial targets.

Tuition or certification support

Financial assistance from employers to pursue graduate degrees or professional credentials like the CFA.

Pathways

Education pathways

Which paths lead to this profession?

Bachelor's degree

4 years full time

Bachelor's degree in finance, accounting or economics

Provides core academic training in corporate finance, statistical analysis, and accounting principles. Internships completed during this program serve as a standard route into analyst roles.

Costs: About $11,950 a year in average published tuition and fees at a public four-year college for in-state students, and $45,000 at a private nonprofit four-year college
Entry requirements: High school diploma or equivalent
High school subjects: Accounting, statistics, corporate finance

Master's degree

1 to 2 years full time

MBA or master's degree in finance

Offers advanced education often needed for senior roles in investment and corporate finance. Many graduate programs expect applicants to submit a GMAT or GRE score.

Entry requirements: Bachelor's degree, often with work experience
High school subjects: Advanced corporate finance, investment strategy, managerial leadership

Other

Several years of self-study

CFA program

A professional designation route where candidates must pass three levels of exams. Awarding of the charter also requires relevant work experience in the field.

Entry requirements: Bachelor's degree or final-year student status
High school subjects: Investment analysis, portfolio management, ethics

Profile

Skills & personality

Is this a good fit for you?

Hard skills

Excel financial modelingBuilding dynamic spreadsheet models to forecast corporate revenue, expenses, and cash flow.
Financial statement analysisExamining income statements, balance sheets, and cash flow reports to evaluate business health.
Valuation methods such as DCFApplying discounted cash flow and other valuation techniques to evaluate prospective capital projects or acquisitions.
Budgeting and forecastingAssisting with the preparation of annual operating budgets and monthly financial forecasts.
SQL or Python for data analysisQuerying large datasets and conducting structured data analysis to identify performance patterns.
BI and ERP systemsNavigating enterprise resource planning software and business intelligence reporting tools.

Soft skills

Analytical thinkingBreaking down intricate financial datasets to understand underlying operational trends.
Attention to detailMaintaining accuracy across complex mathematical formulas, spreadsheets, and reporting figures.
Presentation skillsCommunicating complex financial results clearly to managers, executives, and department leads.
Business judgmentInterpreting qualitative context alongside numbers to provide sound commercial advice.

Is this a good fit for you?

✓
Detail-orientedCarefully verifies financial entries, calculation models, and reports to prevent discrepancies.
✓
InquisitiveEager to explore data patterns, investigate variances, and understand operational drivers.
✓
Composed under pressureMaintains focus and accuracy when working through intense budget cycles and tight deadlines.
✓
Structured thinkerOrganizes complex financial problems into systematic, logical steps for evaluation.
✓
CollaborativePartners effectively with managers, business unit leads, and corporate leadership teams.

Market

Job market & outlook

What does the market look like?

Openings per year

24,700

Trend

Growth

+7.2%

AI impact

6/10

AI tools take over data gathering, report drafting and routine forecasting, while interpreting results, advising leaders and making judgment calls stay human.

Regional demand

New York

Demonstrates the highest market demand for analysts, driven by major investment firms and corporate centers.

10/10

Illinois

Features elevated demand supported by major financial exchanges, consulting firms, and corporate employers.

7/10

California

Shows steady demand across diverse industries, corporate headquarters, and investment organizations.

5/10

Florida

Provides solid employment opportunities across commercial banks, asset management, and growing businesses.

5/10

Texas

Maintains ongoing hiring across corporations, energy firms, and expanding corporate offices.

4/10

Growth

Career paths

Where can this profession take you?

Vertical growth

Financial Analyst
0-3 years
Builds basic financial models, reviews variances against budgets, and prepares routine reports.
Senior Financial Analyst
3-6 years
Oversees comprehensive forecasts, evaluates larger investment projects, and guides operational decisions.
Finance Manager
6-10 years
Leads financial analyst teams, coordinates annual budgeting cycles, and advises department directors.
Finance Director or CFO
12+ years
Directs overall organization financial strategy, oversees capital allocation, and leads executive decisions.

Horizontal move

Business Analyst
Transitions analytical skills toward optimizing organizational processes, systems, and operations.
View Business Analyst
Financial Advisor
Applies investment knowledge and financial planning expertise directly to individual client portfolios.
View Financial Advisor
Data Scientist
Leverages advanced statistical tools, SQL, and programming to build predictive organizational models.
View Data Scientist

Good to know

Practical info

Working hours: Most financial analysts work full time, with longer hours around month end, budgeting season and deal deadlines.
Remote work: Hybrid and remote work are common because the work is done on a computer, though some firms require regular office days.
Physical requirements: The job is not physically demanding and is done mostly at a desk in an office.
Typical employers: Corporations in all industries, banks and investment firms, insurance companies, asset management and pension funds, consulting firms, government agencies.
Professional associations: CFA Institute, Association for Financial Professionals.

FAQ

Frequently asked questions

What does a financial analyst do on a day to day basis?

Financial analysts evaluate financial statements, build financial models, and prepare management reports. On a typical day, they track revenue against budgets, study market trends, and evaluate prospective business investments. They also draft presentation slides for executives, query databases using software like SQL, and collaborate across departments to update monthly cash flow and expense forecasts.

What degree is needed to become a financial analyst?

A bachelor's degree in finance, accounting, or economics is the standard educational entry requirement. Coursework in accounting, statistics, and corporate finance is expected by employers. Students frequently complete internships to secure full time analyst positions. Many professionals later pursue an MBA or master's degree in finance to qualify for senior roles.

Is the Chartered Financial Analyst designation required?

The Chartered Financial Analyst designation is not strictly required, but it is highly valued by employers. It requires passing three levels of rigorous exams alongside relevant professional work experience. While corporate roles may not mandate it, the credential provides a notable advantage in investment management, research, and advanced corporate positions.

What are the typical working hours for a financial analyst?

Most financial analysts work full time during weekday business hours, but hours fluctuate based on the specific industry. Professionals experience longer hours around month end, annual budgeting season, and deal deadlines. Investment banking and specific investment roles regularly run into evenings and weekends, whereas corporate finance roles are typically more regular.

Can financial analysts work remotely?

Hybrid and remote work arrangements are very common for financial analysts because the work is done primarily on a computer. Analysts rely on spreadsheets, databases, and financial planning systems that are accessible remotely. However, certain firms continue to require regular days in the office for team alignment and executive meetings.

Which licenses or registrations do financial analysts need?

Licensing depends on the specific job role and business sector. Research analysts working at broker-dealers must secure FINRA registrations, specifically the Series 86 and Series 87. Corporate finance practitioners may pursue optional credentials such as the Certified Corporate FP&A Professional, while investment specialists often pursue the CFA designation.

How is artificial intelligence affecting the financial analyst profession?

Artificial intelligence tools take over data gathering, routine forecasting, and draft report preparation. However, core human skills remain essential. Interpreting analytical results, advising executive leaders, and making nuanced business judgment calls continue to stay human, allowing analysts to concentrate more on strategic partnership rather than repetitive administrative data entry.

Explore further

Related professions

In depth

All about financial analyst

The background, context and details.

What financial analysts do

Financial analysts guide business decisions by examining financial statements, tracking economic trends, and evaluating performance against budgets. They build complex financial models to forecast revenue, expenses, and cash flow. These professionals evaluate proposed investments, acquisitions, and capital projects to determine potential returns and risks. Their findings are summarized in presentations and reports prepared directly for corporate managers and executive teams.

Workplace and working hours

Most financial analysts work full time in office settings or hybrid arrangements. Daily tasks rely on computers, allowing for remote flexibility, though certain employers require set days in the office. Corporate finance positions often follow weekday business hours, but hours increase significantly during month end closes, budgeting season, and deal deadlines. Investment banking and specific investment analysis positions frequently require evening and weekend commitments.

Education and credentials

Securing a financial analyst position typically requires a bachelor's degree in finance, accounting, or economics, where students complete coursework in accounting, statistics, and corporate finance. Internships serve as a primary gateway into entry level analyst programs. For advanced roles in investment management and corporate leadership, professionals frequently complete an MBA or a master's degree in finance. Industry credentials also carry substantial weight. The Chartered Financial Analyst designation is highly valued across investment management, while research analysts at broker-dealers complete FINRA registrations such as the Series 86 and Series 87. Corporate finance practitioners may pursue the Certified Corporate FP&A Professional credential.

Career progression

Entry level analysts generally spend several years developing financial modeling skills, variance analysis, and reporting techniques. With experience, analysts move into senior financial analyst positions, taking ownership of larger business units or complex forecasting models. Proven professionals advance into finance manager roles and eventually executive leadership as a finance director or chief financial officer. Analysts with strong technical backgrounds can also pivot laterally into business analysis, financial advising, or data science positions.