How To Become A Treasurer
Treasurers go by many titles, including financial officers and certified treasury professionals (CTPs). As these titles imply, treasurers are responsible for overseeing financial accounts of businesses and organizations. In corporations, chief financial officers (CFOs) are responsible for making financial decisions on behalf of the entire business. They assess and monitor decisions regarding portfolio investments, acquisitions, and oversee long- and short-term budgetary goals.
Why Become A Treasurer
The main objective of a treasurer is to maintain the fiscal health of their employers, while meeting their supervisors’ goals. In the private sector, most treasurers, or financial officers, answer to a chief executive officer (CEO). They are tasked with monitoring long- and short-term financial goals, producing financial reports, and handling financial decisions. Such decisions may include a company merger, increasing capital, and making investments (including acquisitions of other companies). For the public sector, treasurers also work to maintain the fiscal health of the organization; however, they are more concerned with appropriations, meeting budgetary restrictions, and spending. All treasurers must understand the role taxes play into financial decisions.
Treasurers should possess the following qualities and skills:
- Technologically savvy
- Methodical and orderly
- Monetary experience
Treasurer Work Environment
The majority of treasurers work in the private sector, in offices. Common types of businesses that need treasurers are banks, manufacturers, and insurance companies. Larger companies may need to hire hundreds of financial officers, who work under the supervision of the CFO. All levels of government utilize the services of treasurers, as well, and the work environment is similar, except their offices are in government buildings.
It may be necessary for treasurers to travel locally, nationally, and internationally, depending on their place of employment and their particular role. Treasurers who work on mergers and acquisitions will probably travel the most. However, as technology improves, its role in the life of a treasurer increases. This advancement may minimize the level of travel for treasurers.
The average annual salary of a treasurer is $130,230 or $62.61 per hour. Experience and geographic location dictate salary. Senior level financial officers may make, on average, $159,230 per year, while starting salaries consist of a yearly average of $62,480. Treasurers in New York, Delaware, and New Jersey make the most income, while treasurers in Idaho, Mississippi, and West Virginia make the least.
Treasurer Career Outlook
The outlook for a career as a treasurer is fair. From 2012 to 2022, this role is expected to grow 8.9 percent, which is lower than the average of all other occupations. Those looking to work as a treasurer may want to look for jobs in states where the majority of them work, such as California, New York, Illinois, and Connecticut. Of course, the District of Columbia (Washington D.C.) has the highest population of treasurers working within its jurisdiction.
Aspiring treasurers need at least a bachelor’s degree to work in entry-level positions.
Step 1: Complete an undergraduate program: To work in an entry-level position, treasurers must have at least a bachelor’s degree in finance, accounting, international business, economics, or business administration. Students can expect to take courses in financial analysis methodologies, business practices, and business law. Above all, students should be sure to take courses that sharpen their analytical and technological skills. A little over half of all treasurers have only a bachelor’s degree.
Step 2: Work in the field. Most entry-level positions are with government agencies; however, assistant positions are available at many firms. This experience can help improve chances of advancement and development.
Note: Advancement in position and salary may be possible by becoming certified in the field. To earn a Certified Treasury Professional (CTP) credential, one must work for two years, pass an examination, and maintain certification through continued education.
Step 3: Complete a graduate program. Many treasurers aspire to work in advanced positions or decide to obtain a master’s degree to maintain their CTP. Regardless, approximately 43 percent of all treasurers have a master’s degree. Common programs include finance, accounting, economics, and business administration.