Financial Controller Roles, Duties, Skillset, Career Path

what is a controller in a company

As a newswriter in her early career, Brenna’s education reporting earned national awards and state-level accolades in California and North Carolina. Since 2018, she has worked in the higher-education web content space, where she aims to help current and prospective students of all backgrounds find effective, accessible pathways to rewarding careers. Prior to joining Forbes Advisor’s education team, Ilana wrote and edited for websites such as BestColleges.com and AffordableCollegesOnline.org. They also present reports and other findings to executives and shareholders, so they must know how to explain complex financial information to those without accounting backgrounds. Controllers may not handle these duties themselves, but they are responsible for ensuring their staff executes them correctly.

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They oversee accounting teams, advise executives on finance matters, help create company budgets and ensure that accounting functions run smoothly. This advanced role usually comes after many years of study and work experience. Still, a controller’s high salary and increased responsibility may make the what is a flat rate pricing model pros and cons explained long haul worth it for ambitious accounting professionals. To become a controller, you need a robust accounting skill set, honed over years of industry experience. While large companies have more robust accounting departments, at a smaller company, the controller may be the only accountant on staff.

Controller Career Path

As a controller, you will develop diverse skills essential for effectively managing and overseeing an organization’s financial operations. A bachelor’s is the minimum educational requirement for a controller role, but employers often prefer candidates with a master’s in accounting, an M.B.A. in accounting or a similar graduate degree. A master’s degree also fulfills the educational requirements for the Certified Public Accountant (CPA) credential, which many controllers hold. In the accounting profession, details are crucial, and even small mistakes can be costly.

what is a controller in a company

Financial Controller Career Overview

what is a controller in a company

Last, it is not an industry requirement to obtain a Certified Public Accountant (CPA), Certified Management Accountant (CMA), Chartered Financial Analyst (CFA), or any other type of licensure. For many, these licensures will help and may be a preferred requirement for the role. For larger public companies, controllers will often be required to have at least a CPA license. Controller functions vary across companies https://www.quick-bookkeeping.net/ owing to the size and complexity of the business and the industry. Smaller companies demand more versatility of the controller, while larger companies are able to disperse the following job responsibilities across other employees including the chief financial officer and treasurer. Across all of the duties, a controller often works most with the collection, analysis, and consolidation of financial data.

Financial Controller Roles, Duties, Skillset, Career Path

  1. These reports may then be delivered to a financial planning and analysis (FP&A) leader.
  2. This demand is likely driven by the need for expert financial management and reporting as businesses and organizations continue to navigate the complexities of the global economy and regulatory environments.
  3. It is possible that a controller can be promoted from within to CFO but is not likely.
  4. The projection suggests that approximately 123,100 new jobs for controllers will be created over the next decade.

They must acquire a minimum of five years of relevant professional experience, and some controller jobs can require upwards of 10 years of experience. Controllers also typically hold certifications that prove their accounting taxes on 401k withdrawals and contributions and financial management skills. Controllers oversee the preparation of their organizations’ financial reports. Such reports may include analyses of future expenses or earnings, income statements and balance sheets.

This FP&A director relies on their team to build budgets, forecasts, and long-term plans based on the future of the company. In general, CFOs often take a greater presence in external-facing tasks including mergers, acquisitions, or involvement with investors. Meanwhile, financial controllers own more of the internal reporting process including implementing internal controls, managing the month-end close schedule, and ensuring financial accuracy. Because the job requires more skills and qualifications than traditional accounting, it is a higher position within a firm. Applicants need to have a significant amount of prior experience in accounting, financial reporting, and tax-related issues to be considered for a financial controller role. The controller manages accounting records and is responsible for the production of financial reports.

Such a robust growth rate underscores the importance of controllers in ensuring businesses’ financial health and compliance, making it a promising career path for individuals with expertise in finance and accounting. At smaller companies, the same individual might act as both controller and CFO. However, in large organizations where these roles are separated, the CFO determines a company’s financial strategy, and the controller focuses on accounting activities and reports to the CFO. These professionals need a deep understanding of accounting as it relates to their industry and company profile. For example, a controller working for a healthcare organization must understand the healthcare industry’s specific tax concerns.

To be competitive, aspiring controllers should start with a college major of accounting, economics, finance or statistics, and follow it up with an MBA or master’s of accountancy (MAcc) degree. The master’s degree is more than an educational credential; it also fulfills the educational requirement to sit for the CPA exam, something an aspiring controller should have on their resume. Do you thrive in environments where strategic decision-making is paramount? Furthermore, consider the long-term implications of pursuing a career as a controller. Reflect on your professional goals and how this role aligns with your aspirations for advancement and personal fulfillment.

The next stage in the career path could be stepping into the role of finance director or chief financial officer. Accounting professionals who make it to the controller position enjoy above-average salaries. According to the Bureau of Labor Statistics, as of May 2019 the median annual income for a controller (listed as financial managers) is $129,890. However, this is just the median number, and among the 50% who make more than this, many make a lot more. Controllers at Fortune 500 companies regularly earn well into six figures and sometimes more than $250,000. However, the advantage to working for a small business is that high-ranking employees, such as controllers, often get to share in the growth of the company.

As every company will require different qualifications, there is no single career path to becoming a controller. However, many controllers get their start by working in the accounting field, often in public accounting. For finance professionals most serious about achieving controller roles, they must often seek out Big Four positions and earn escalating responsibilities over several years. A controller is an individual who has responsibility for all accounting-related activities, including high-level accounting, managerial accounting, and finance activities, within a company.

Deciding to become a controller is not merely about understanding the role’s technical aspects but also requires a holistic consideration of your interests, skills, and long-term goals. Your decision to pursue a career as a controller should stem from a genuine interest in financial management, a penchant for meticulous analysis, and a drive to contribute meaningfully to organizational growth. It’s crucial to assess whether the responsibilities https://www.quick-bookkeeping.net/7-x-appraisal-cost-examples-quality-management/ of a controller resonate with your skill set and career aspirations. Bureau of Labor Statistics (BLS), financial management careers—which include financial controllers—typically pay above-average salaries and see strong demand. It is possible to get to a controller position without following the standard career path. Regardless of the specific workplace setting, controllers typically operate in professional office environments.

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