Top 5 Highest Paying Jobs in Finance | 2024 (2024)

Finance is a field that often offers lucrative opportunities, but only for those with the right skills and qualifications. When it comes to career choices, one of the key considerations for many individuals is earning potential. In this article, we will explore the top 5 highest paying jobs in finance, their responsibilities, and their average salaries.

5 highest paying jobs in finance

Chief financial officer (CFO)

CFOs play a pivotal role in a company’s financial management. They oversee financial planning, budgeting, and reporting, ensuring the company’s financial health. CFOs also provide strategic guidance to the CEO and board of directors, making critical decisions on investments, mergers, and acquisitions.

  • Career trajectory: To become a CFO, individuals typically start as accountants or financial analysts, gaining experience and expertise in financial management. They may progress through various positions, such as controller or finance director, before being appointed as CFO in a larger organization.
  • Average salary: CFOs are top executives responsible for a company’s financial strategies. Their average salary is $433,088 as of September 25, 2023, but the range typically falls between $328,098 and $555,618 annually, depending on the size and industry of the company.

Investment banking

Investment bankers work closely with corporations, governments, and other organizations to help them raise capital by issuing stocks and bonds. They also provide strategic financial advice on mergers, acquisitions, and other financial transactions. This role involves long hours, intense analytical work, and high-pressure situations.

  • Career trajectory: The typical career trajectory in investment banking starts with an entry-level analyst position. Analysts often work for 2-3 years before pursuing higher positions like associates. With experience and proven performance, one can climb the ranks to become a vice president, director, or managing director, where the earnings potential significantly increases.
  • Average salary: Investment bankers are among the highest earners in the finance industry; their average salary is $265,972 as of September 25, 2023, with an average salary ranging from $56,256 to $475,687 per year, not including substantial bonuses.

Hedge fund manager

Hedge fund managers oversee investment funds that aim to generate high returns for their clients, often using sophisticated strategies. Their responsibilities include making investment decisions, risk management, and managing the overall portfolio. Success in this role is directly tied to the fund’s performance.

  • Career trajectory: To become a hedge fund manager, one usually starts as a junior analyst or trader, gaining experience and building a track record. Over time, successful individuals can launch their own hedge funds or be promoted to managing positions in established funds.
  • Average salary: Hedge fund managers on average earn $105,451 annually, depending on the performance of the fund they manage and their profit-sharing arrangements.

Private equity associate

Private equity associates work for investment firms that acquire and invest in private companies. Their role involves conducting due diligence on potential investments, structuring deals, and actively managing portfolio companies to enhance their value. It’s a demanding job that requires strong analytical skills and the ability to identify investment opportunities.

  • Career trajectory: Most private equity associates start their careers as analysts, and with experience, they can move up to become associates and then vice presidents. Some may eventually establish their own private equity firms or become partners in existing ones.
  • Average salary: Private equity associates earn competitive salaries; on average, they earn $118,844 as of September 25, 2023, and their salaries range from $100,050 to $133,078, but the real financial rewards come from performance-based bonuses and profit-sharing arrangements, which can significantly increase their total compensation.

Actuary

Actuaries specialize in risk management and use mathematical and statistical techniques to analyze financial and insurance-related risks. They work for insurance companies, pension funds, and other financial institutions, helping them make informed decisions about pricing, underwriting, and investment strategies.

  • Career trajectory: Aspiring actuaries typically start as entry-level analysts and work towards earning professional actuarial credentials. With experience and additional certifications, they can advance to higher-level positions like senior actuary, chief actuary, or even become consultants in their field.
  • Average salary: Actuaries enjoy a stable and well-paying career, with average salary of $114,075 per year, depending on experience, industry, and location.

Career path for highest paying jobs in finance

This career path requires a combination of education, experience, and specific skills. Here are some steps you can take to pursue this career path:

  1. Earn a bachelor’s degree: To be hired in this position, most companies require at least a bachelor’s degree in a related field such as finance, accounting, or business. A bachelor’s degree program will provide you with a strong foundation in finance, accounting, economics, and business principles.
  2. Get a master’s degree: While often considered optional, a master’s degree in finance or a related field can be helpful in advancing your career as a finance and reporting analyst. A master’s degree program will provide you with more advanced training in finance and accounting, as well as the opportunity to specialize in a specific area such as financial analysis or corporate finance.
  3. Develop specific skills: In addition to a strong foundation in finance and accounting, finance and reporting analysts should have strong data analysis skills and be proficient in spreadsheet software such as Excel. It is also important to have excellent communication skills in order to effectively present findings and recommendations to both technical and non-technical audiences.
  4. Gain experience: Many finance and reporting analyst positions require some level of relevant experience. This can be obtained through internships, co-op positions, or entry-level finance or accounting roles.
  5. Obtain professional certifications: While not required, obtaining professional certifications such as the Certified Public Accountant (CPA) or Chartered Financial Analyst (CFA) can be helpful in advancing your career as a finance and reporting analyst. These certifications require passing exams and meeting certain education and experience requirements.

Duke Chief Financial Officer (CFO) Program

It is an extensive 8-month multi-modular program designed to shape visionary financial leaders into transformative agents who can steer their organizations towards success in an increasingly uncertain global business arena. This immersive program will offer a deep dive into the multifaceted world of modern finance, that will equip participants with the tools to navigate complex financial decisions and emerging trends. Under the guidance of world-class Fuqua faculty and through the cutting-edge curriculum, the program will empower finance leaders with the knowledge, skills, and insights necessary to drive transformative financial growth within their organizations.

Top 5 Highest Paying Jobs in Finance | 2024 (1)

Conclusion

In the world of finance, earning potential is often directly related to the complexity and responsibility of the job. The top 5 highest paying jobs in finance, including investment banking, hedge fund management, CFO roles, private equity, and actuarial work, all offer substantial financial rewards for those who excel in their respective fields. However, it is essential to remember that these positions also come with significant demands, such as long hours, high-pressure situations, and a competitive landscape. Therefore, individuals considering a career in finance should carefully weigh the potential rewards against the challenges and align their career goals with their interests and strengths. With dedication, education, and experience, these finance careers can offer not only high salaries but also the satisfaction of contributing to the financial well-being of organizations and individuals alike.

Top 5 Highest Paying Jobs in Finance | 2024 (2024)

FAQs

Top 5 Highest Paying Jobs in Finance | 2024? ›

The top 5 highest paying jobs in finance are investment banking, hedge fund management, CFO roles, private equity, and actuarial positions. These careers typically offer substantial salaries and the potential for significant bonuses.

How to make 200k in finance? ›

finance 200k jobs
  1. Tax Relief - Sales. Hiring multiple candidates. ...
  2. Multimodal Operations Agent (Remote) CLN Worldwide. ...
  3. Inside Sales (HOURLY + COMMISSION!) ...
  4. Sales Representative (HOURLY + COMMISSION!) ...
  5. Sales Executive - Average Pay over $125k! ...
  6. Strengthen your profile. ...
  7. Automotive Finance Manager. ...
  8. VP of Finance.

Do finance majors make 6 figures? ›

Finance can be a fiercely competitive field. It's a famously high-paying industry known to deal out six or seven figures in salaries and bonuses for those at the top. Even those on the bottom rung can expect to start at a good wage compared with other fields.

What is the best finance major salary? ›

  • #1 Financial Managers. Average Salary-$127,990. ...
  • #2 Economist. Average Salary-$104,340. ...
  • #3 Financial Risk Manager. Average Salary-$99,949. ...
  • #4 Personal Financial Advisor. Average Salary-$88,890. ...
  • #5 Financial Analyst. Average Salary-$85,660. ...
  • #6 Investment Banker. Average Salary-$85,000. ...
  • #7 Statistician. ...
  • #8 Budget Analyst.

Is finance the highest paying major? ›

No surprise, majoring in engineering and finance yields the biggest paydays five years after graduating college, while majoring in liberal arts or performing arts pays the least.

How rare is 200k salary? ›

A $200,000 household income is more than most people earn across the U.S. In fact, just 12% of U.S. households earn $200,000 or more annually, according to Census Bureau data.

How rich is 200k a year? ›

If you had an income of $200,000, that would put you in the top 12% of household incomes or the top 5% of individual incomes in 2022. Though I prefer household income over individual income, no matter how you cut it, $200k a year puts you on the higher end of the income spectrum.

Which field is best in finance? ›

This blog lists the 15 highest-paying jobs in finance to help aspiring professionals understand industry trends better.
  1. Chief Financial Officer. ...
  2. Investment Banker. ...
  3. Budget Analyst. ...
  4. Budget Director. ...
  5. Tax Director. ...
  6. Tax Director. ...
  7. Hedge Fund Manager. ...
  8. Investment Portfolio Manager.

Can you make millions in finance? ›

Hedge fund managers can make tens of millions of dollars because of a similar compensation structure to private equity; hedge funds charge both an annual management fee (typically 2% of assets managed) and a performance fee (typically 20% of gross returns).

Does finance pay more than accounting? ›

Both finance and accounting degrees offer a range of well-paying job prospects. That said, the average starting salary is slightly higher for finance vs accounting degrees.

What finance jobs make millions? ›

9 highest paying finance jobs
  • Chief compliance officer. The top-paying finance job on our list is Chief compliance officer. ...
  • Chief financial officer. ...
  • Private equity associate. ...
  • Hedge fund manager. ...
  • Insurance advisor. ...
  • Financial advisor. ...
  • Compliance analyst. ...
  • Information technology auditor.

What is the number #1 highest paying major? ›

Engineering is the highest-paying college major, with graduates making $65,000-$80,000 immediately after college. Jane Nam is a staff writer for BestColleges' Data Center.

What is the hardest job in finance? ›

The most (and least) stressful jobs in banking and finance
  • Most stressful job in finance : Investment Banker (M&A or capital markets professional) ...
  • Second most stressful job in finance : Trader. ...
  • Third most stressful job in finance : Risk management & Compliance.

How to become a millionaire with a finance degree? ›

You need to build equity in a business. There is a reason people in finance who work in private equity or a hedge fund make millions. These industries make money by investing in companies, and after a certain level you get an equity stake in the profits of the firm through carried interest.

What jobs make the most money? ›

Highest-Paying Occupations
OCCUPATION2022 MEDIAN PAYPERCENTAGE INCREASE OVER NATIONAL MEDIAN
General Internal Medicine Physicians$214,460363.10%
Dentists, All Other Specialists$212,740359.40%
Airline Pilots, Copilots, and Flight Engineers$211,790357.30%
Family Medicine Physicians$211,300356.30%
16 more rows

What is the best college for high paying jobs in finance? ›

The top five private colleges for high-paying jobs in finance are MIT, Harvard University, Princeton University, the University of Pennsylvania and Dartmouth College.

Is it possible to make 200K a year? ›

I'm not going to talk much about this because it's not my area of expertise, but it's definitely possible. If you have some business sense, and a good business model, building a business with employees is definitely an awesome way to get beyond 200k a year. You take the risks, but you get the rewards as they come.

What's the best investment for 200K? ›

Investing in buy-to-let properties is the best way to invest £200,000. It offers long-term returns through both rental income and capital appreciation. Diversifying your investments into stocks and shares can also be a wise strategy, as it helps spread risk and potentially increases overall returns.

How much does 200K make a month? ›

If you're earning $200,000 annually, your monthly gross income is likely to be about $16,666.

How much is 200K a year in months? ›

How much is your salary? $200,000 yearly is how much per month? If you make $200,000 per year, your Monthly salary would be $16,667.

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