How Much Does A Financial Analyst Make?
"I come from a family of limited means, with my mom raising us with the help of food stamps and two jobs. I know how difficult this kind of life can be so right after high school, I want to take up a course that will prepare me for a career that will let me earn a lot of money. I heard that financial analysts are paid well so I’m thinking of becoming one. Can you please tell me how much a financial analyst makes?"
asked by Bob R. from Detroit, Michigan
Financial analysts typically earn above-average wages. The May 2013 Occupational Employment and Wages report of the US Bureau of Labor Statistics showed that financial analysts received mean annual wages of $91,620 which corresponded to a median hourly wage of $37.68 per hour. This is much higher than their earnings in 2012 which reached only $76,950. In that year, the lowest 10 percent earned less than $47,130 while those in the upper 10 percent were paid $148,430.
The 2012 report of the agency further revealed that financial analysts working in the securities, commodity contracts and financial investments and related activities industry got the highest pay at $90, 560. Financial analysts in the professional, scientific and technical services industry received $75,920. Meanwhile, those in credit intermediation and related activities earned $75,300 while financial analysts involved in the management of companies and enterprises followed closely at $75,200. Finally, financial analysts working with insurance carriers and similar activities received $72,270.
With the mean annual wage of $46,440 in 2013, financial analysts do earn so much more. However, you should keep in mind that a career is not just about earning a lot of money. Understandably, your situation has compelled you to look for a job that will lift you out of poverty, so to speak, and the desire to better your circumstances is laudable.
However, you should also consider what it is that you really want to do. Although a career as a financial analyst is lucrative, you need to ask yourself if you will be happy being in this field. If the answer is no, consider yourself warned. No matter how high-paying a job is, you will only be putting yourself in a very difficult situation if you enter it and stick with it even if you know that it’s not where you truly belong. In the end, there’s a very huge possibility that the large pay you receive will just be spent paying doctors and hospitals as you deal with burnout, stress and sickness brought about by the rigors of a job you don’t like doing.
So before you decide to go this route, ask yourself this question: If money were no object, would I still want to become a financial analyst. Only a very certain “Yes, I would” should convince you to pursue this career route. When you love what you do, everything else—monetary rewards, personal satisfaction and happiness—will follow.
Average Financial Analyst Salary
- Executive financial analysts (Top 10%) earn $165,100 ($79.38 an hour)
- Senior financial analysts (Top 25%) earn $111,760 ($53.73 an hour)
- Mid Level financial analysts (Median) pay is $81,760 ($39.31 an hour)
- Junior of financial analysts (Bottom 25%) earn $62,640 ($30.11 an hour)
- Entry Level of financial analysts (Bottom 10%) earn $50,350 ($24.21 an hour)
Financial Analyst Salary By State
|Rank||State||Hourly Rate||Annual Salary|
|#5||District of Columbia||$49.95||$103,900|