How to Become a Financial Manager

Financial managers hold leadership positions in finance departments. Typically working alongside high-level executives, these managers improve their employers’ financial strength by guiding investment decisions, seeking growth opportunities, and identifying ways to improve company efficiency.

Key qualities of successful financial managers include advanced financial analysis and forecasting proficiencies, along with strong decision-making and communication skills. A typical path to this fast-growing, well-paid role includes a relevant degree and multiple years of experience in lower-level finance positions. Read on to explore the steps in complete detail.

You will typically need to follow these steps to become a financial manager:

According to the BLS, a financial manager typically needs a bachelor’s degree for employment. Relevant majors include:

Holding a master’s degree in finance may give you an advantage, especially as you look to secure higher-level roles with more responsibility. Look to specialize your education at the graduate level by earning a master of science in finance (MSF) or an MBA with a finance concentration.

Compare MSF and MBA degrees closely, as the paths overlap in some respects but diverge in others. Overall, MSF degrees may offer a faster, cheaper, and increasingly popular alternative to MBAs.

According to the BLS, financial managers may not need additional credentials like professional certifications. Instead, employers may prefer candidates with certifications or experience that aligns with certification-track careers.

Organizations like the Corporate Finance Institute, CFA Institute, and the Institute of Management Accountants offer many relevant certifications. Examples of these credentials include:

Qualification requirements vary but typically include a bachelor’s or master’s degree plus multiple years of experience in a related role. In most cases, you must pass one or more certification examinations that test your technical knowledge.

While MS and MBA degrees in finance have the most relevance, you can also pursue advanced degrees in other areas. Examples include a master’s in accounting or a master’s in economics. Both cover concepts that directly apply to the work financial managers perform.

Alternative professional titles that may transfer to the financial manager path include certified management accountant (CMA) and CPA credentials. CMAs specialize in the business management applications of accounting analytics, while CPAs are specially licensed accounting generalists. Becoming a CMA or CPA requires a bachelor’s degree, professional experience, and passing scores on standardized credentialing exams.

You can learn more about CMA certification from the Institute of Management Accountants, which issues the credential. The American Institute of Certified Public Accountants can connect you with state-specific CPA resources.

According to the BLS, financial managers typically have at least five years of professional experience in related roles. Employers may prefer candidates with higher levels of experience when filling vacancies externally.

Hiring standards vary among employers, but in general, you should not expect additional degrees to substitute for experience. Finance is a complex, high-stakes field, and most businesses prefer to hire seasoned professionals for management-level roles.

You can start accumulating experience as a student by pursuing an internship or practicum. With a degree, you can enter the workforce as a finance clerk or finance assistant before becoming a budget analyst or financial analyst.

As you work toward management roles, you may also work as a staff accountant, internal auditor, or financial controller. Organizations structure their finance departments differently, and some may promote accounting specialists to finance roles.

As you explore how to become a financial manager, it can be easy to overlook the question of whether you should pursue this role. The position carries significant responsibility, and working in finance can be stressful — especially for younger professionals, according to a 2024 study published in the PLoS One academic journal.

Elevating your finance career to the management level may involve long hours and intense competition. Consider your willingness to dedicate significant amounts of time and energy to growth and advancement.

If you decide to pursue the journey, you could earn appealing rewards. According to May 2024 BLS data, financial managers earn a median salary of $161,700 per year, and top earners make well over $200,000 annually. The BLS also projects 17% employment growth for financial managers from 2023-2033, far outpacing projections for all occupations in this period.

You can prepare to enter the labor market as an undergraduate student. Internships, practicums, and work-study placements can help you make connections and explore opportunities with potential future employers.

Many companies also actively recruit graduating students, especially in high-demand fields like accounting, business, and finance. Explore these opportunities as you attend job fairs, join professional organizations, or work with mentors.

These job boards can also help you connect with business and finance employers:

Financial managers occupy high-level roles, but additional career growth is possible. You could move into the executive ranks, including C-suite positions as a chief financial officer (CFO) or chief investment officer (CIO).

CFOs direct organizations’ finance activities, including accounting and budgeting operations, capital management and deployment, and long-term financial planning. They also make major contributions to investment decision-making processes, though some companies entrust that responsibility to their CIOs.

Educational requirements for these positions closely match those needed to become a financial manager. However, you will usually need more experience and an impressive professional record in managerial roles.

C-suite executives earn high pay. According to Payscale data from May 2025, CFOs have an average base salary of $150,930 per year, and CIOs make an average of $187,450 per year.