Financial Manager Responsibilities

The financial manager responsibilities include looking after the financial health of the organization and see to it that the company does not suffer from any financial crises. The financial managers are generally responsible for producing the financial reports, developing financial strategies, direct investment activities, and long term financial goals for the organization. They generally analyze the company's financial statues and work accordingly for maintaining an equal balance between the profits and the expenditure. The financial managers are generally responsible for looking after each and every financial issue of the company and generate the reports for the same.

The main responsibilities of a financial manager is to analyze the data and assist the senior officials regarding maximizing the company profits. These people usually work with higher authorities acting as business advisors to the top executives. The job duties of a financial manager are usually industry specific such as a health care financial manager is responsible for overlooking the issues associated with health care finance whereas the government financial manager is responsible for appropriations and budgeting processes. The financial managers are also many a times responsible of looking into the financial transactions of the company and ensuring that all the transactions are according to the tax laws and regulations as specified by the government.

The financial managers are generally categorized into six different types as follows:

Controllers: They undertake the work of preparing financial reports that summarize and forecast the organization's financial position. They are also responsible of maintaining the company's financial position, balance sheets, and analyzing the future earnings and expenses
Financial Officers / Treasurers: These officers work for meeting the organization's budget as decided in the financial goals. They generally look after the investment of funds, raising capital, and supporting the expansion of the firm
Credit Managers: These managers generally manage the accounts and monitor the past due collections, setting the credit rating criteria, determining the credit ceilings, etc.
Cash Managers: The cash managers are responsible of monitoring all the cash transactions of the company. They monitor and control the flow of cash from and to the company, thus meeting the company's business as well as investment needs
Risk Managers: These managers are responsible for saving the organization from any financial risks, building up strategies to limit the probability of financial loss, and the company's exposure to financial uncertainty

Career in finance is one of the most blooming opportunities for the finance or economic loving students. The candidates looking forward to become financial managers must be aware of the financial manager responsibilities and the essential qualities required for becoming one. The below given information about the financial manager educational qualification, skills and proficiencies, and responsibilities will definitely help you in understanding the career path of this field.

Educational Qualifications of a Financial Manager

Any candidate looking forward to make a career in finance must at least possess a bachelor's degree in accounts, finance, economics or other related field. According to various employers, the candidates with a bachelor's degree in the above mentioned streams along with a minimum experience of six to seven years in the financial field can be hired as a financial manager.

Key Skills and Proficiencies

The financial managers must possess some essential skills that would in return help them in effectively undertaking the job of financial manager. Following are some of the most important skills essential within the financial manager:

Expert monitoring and assessing skills that would help them in surveying the market needs and further make investment plans accordingly
Expert communication and interpersonal skills in order to effectively interact with the higher authorities and explain them about various financial needs
Experienced in identifying the complex financial problems, reviewing related information to develop and evaluate options, and implementing necessary solutions
Proficiency in mathematics with expert knowledge of algebra, geometry, statistics, calculus, and other important economic and financial models
Ability to use various computer applications while undertaking financial studies and generating reports

Job Responsibilities of a Financial Manager

The financial managers are responsible for overlooking into all the financial issues of the organization. Some of the common tasks performed by a financial manager are as follows:

Preparing financial statements, forecasts, and business activity reports
Monitoring each and every financial detail for ensuring whether all legal requirements are met
Supervising the employees undertaking the financial reporting and budgeting or working under the financial department
Reviewing the company's financial reports and assisting the management regarding different ways to reduce the costs
Analyzing different market trends to find investment opportunities for expansion and acquiring other companies
Assisting the management in making various financial decisions
Ensuring all financial transactions are carried out according to legal laws and regulations
Evaluating the financial reporting systems, collection procedures, investment activities, budgets, and other financial controls

Salary of a Financial Manager

The average annual salary of a financial manager is about $91,000 and usually ranges in between $56,000 to $103,000. The salary of a financial manager generally depends upon the industry for which he or she is working. The other important constraints that decide the salary of a financial manager include their educational qualifications, skills, and experience.

The above mentioned financial manager responsibilities will educate you in detail about the financial manager job profile. This information will also help you in planning your career in this field.