This post provides detailed information on the budget analyst job description and career, including the duties, tasks, and responsibilities they perform.
It also shows how to become a budget analyst, the requirements you need to meet to be hired, and the various job positions you can get with a budget analyst career.
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What Does a Budget Analyst Do?
The budget analyst is responsible for working closely with the management team and department managers with regards to budget development, implementation and preparation.
The budget analyst job description involves promoting budget initiatives as well as monitoring expenditures.
It also entails preparing monthly management reports for all departments, conducting variance analysis, and identifying corrective action when necessary.
Budget analysts are in charge of producing monthly cash flow report, 3 monthly credit control reports, budget variance report, and budget reconciliation report.
They are also responsible for producing profit and loss reports, cost allocation studies, annual departmental budgets, and business plans as directed by the management team to ensure that departmental goals are achieved.
Furthermore, the budget analyst advises on government policy matters, e.g. on public servicewage bill, civil service reforms, and performance management, as well as pension reform.
They work closely with the Human Resources department on matters relating to remuneration, performance review, and other human resource matters.
Producing cost allocation studies which help in the allocation of overhead costs (excluding salaries and wages) across departments to determine any variation from budget from previous year is another duty of the budget analyst.
They ensure financial records are kept safe and in compliance with the Public Finance Management Act of 1999.
The budget analyst works closely with the internal audit department to ensure that the internal controls are adequate and do not deviate from the standard practices within Government Departments.
It is part of the budget analyst’s duties to prepare quality financial reports to meet support management information needs, as well as monitor cash flow, including maintaining petty cash balances and preparing reconciliation reports on a monthly basis.
In addition, they will also be in charge of preparing ad hoc financial reports as required by management to monitor and control expenditure, especially those relating to projects or special initiatives, e.g. revenue generation project or tender award costs, etc.
They will also be responsible for overseeing the preparation of half yearly financial reports and year-end financial report.
Contributing towards the development of internal policies and procedures as well as ensuring that these are complied with during operations is a part of the duties.
Furthermore, the budget analyst may also be called upon to take on additional responsibilities relating to accounting and auditing, cost allocation studies, internal control, and the development of policies and procedures in addition to other duties in accounting, which is within their area of expertise from time to time.
Budget Analyst Job Description Sample/Example/Template
The budget analyst job description involves the following duties, tasks, and responsibilities:
- Provide guidance, support and information to department heads, management and other staff
- Set priorities for the budgeting of time and money
- Develop and maintain data collection, analysis, and reporting systems
- Prepare financial plans, forecasts, and projections based on strategic plans, goals, and objectives of the organization
- Offer advice and guidance to management on the most effective and efficient use of resources and identifying trends, weaknesses, and problems
- Develop the plans needed to implement plans approved by Corporate Management, including establishing priorities and making decisions within established guidelines in a timely fashion
- Support project goals through providing information and analysis of budgetary data that support organizational effectiveness, strategic initiatives, budgeting policy, budgetary or programmatic goals or programs
- Assess the achievement of objectives, makes recommendations for improvements and assists in the development of specific strategies
- Review, analyze, and resolve issues regarding cost allocation, budget development, and program cost estimation
- Resolve organizational problems and conflicts with vendors or other companies involved in complex transactions
- Ensure compliance with applicable regulations by reviewing departmental activities for potential areas of concern (e.g. potential for waste, compliance)
- Develop and maintain effective working relationships with departments and with other groups within the organization (e.g. customers, suppliers, partners, community organizations)
- Communicate effectively and in a timely manner with other departments, management, stakeholders and the public.
Budget Analyst Job Description for Resume
If you have worked before as a budget analyst or are currently working as one and are writing a new resume or CV, you can make a compelling Professional Experience for the resume by applying the sample budget analyst job description above.
You can highlight the budget analyst duties and responsibilities contained in the above job description in the Professional Experience section of the resume, to show that you have been successful performing the budget analyst role.
This piece of information in your resume can greatly influence the employer/recruiter to grant you an interview, especially if the new position that you are applying for requires someone with some budget analyst work experience.
Budget Analyst Job Requirements: Skills, Abilities, and Knowledge for Career Success
If you are seeking the budget analyst position, here are major requirements you may be expected to meet to be hired:
- The budget analyst must possess at least a Bachelor’s degree/HND in Accounting/Financial Analysis or in any allied discipline from a reputable university
- Additional qualifications in budgeting and financial analysis are an added advantage
- A minimum of 5 years of experience as an accountant within an organization or audit firm is required, with at least 3 of such years being in a managerial position within an accounting department or unit, including supervisory or managerial experience
- Computer literacy is essential, with knowledge of Excel and Access required, while SAP knowledge would be an added advantage
- Excellent interpersonal skills, strong communication skills and analytical thinking skills are essential
- An understanding of business affairs, good analytical skills and sound judgment are also an added advantage
- A good working knowledge of accounting principles and procedures is essential
- High work ethic, excellent interpersonal skills and ability to work under pressure are required
- High organizational, problem-solving, human relations, and problem-solving skills are also important
- Excellent written and verbal communication skills are highly desirable
- A commitment to the organization that will also be honored once offered the post, as well as a willingness to provide a challenging workplace with opportunities for personal development and professional growth is expected.
Budget Analyst Salary
The average salary of a budget analyst is $68,283 per year. The top paying cities for a budget analyst in the United States are: Arlington, VA, $77,867; Chicago, IL, $74,250, Atlanta, GA, $71,870; and Boise, ID, $65,389 per year.
There are currently over 32,144 budget analysts working in the United States.
Women make up 54.3% of all budget analysts, while men make up 45.7%.
An employed budget analyst is 47 years old on average. White (63.1%) is the most common ethnicity among budget analysts, followed by Black or African American (13.3%), Hispanic or Latino (12.9%), and Asian (8.0%).
Budget Analyst Career Opportunities
Budget analysts can explore various careers, including:
- Financial Analyst
A financial analyst will study market trends of a certain area, such as the stock market or the bond market.
They might predict economic trends and make recommendations to their employers on how they should react to them.
They are expected to analyze a company’s financial status and present their findings to others in an understandable fashion.
- Program Manager
A program manager will make recommendations to their employers of ways to better run their business.
They might help oversee and monitor the budgeting process for their employers.
A program manager is expected to be able to work independently and work well with people.
- Supply Chain Manager
A supply chain manager will oversee the various activities involved in getting a product from the manufacturer to its consumers.
They might help their employers create an efficient supply chain and identify ways to improve it.
- Cost Consultant
A cost consultant will study different businesses and find ways that they can save money.
They might work with businesses on things such as creating a budget or improving productivity.
They will also analyze the financial impact of a company’s decisions and present their findings to employees or employers.
- Director of Demand Forecasting
A director of demand forecasting will oversee the analysis and recording of a company’s future sales forecasts.
They might help their employers identify ways to target buyers more effectively, therefore increasing sales.
- Sales Manager (Derivative)
A sales manager (derivative) will be in charge of planning, organizing and leading the daily activities involved in selling a product or service.
They might work directly with customers to make sure they are receiving the right products at the right time.
- Secretary (I) (Accountant)
A secretary (I) (accountant) is responsible for keeping their employers’ records tidy, organized and in date.
They might create lists of financial activities or analyze data to ensure there are no discrepancies.
They also ensure that their employers’ tax returns are sent to the appropriate authorities and are up to date with any new regulations.
- Senior Program Analyst
A senior program analyst will be in charge of making sure the details for a project are all in order.
They might train new employees or review past work to make sure there are no errors.
A senior program analyst generally also works direct with business analysts, as well as costing and forecasting, as part of their job description.
- Financial Representative – Investment Banking and Securities
As a financial representative for investment banking and securities, an individual is responsible for handling the full range of investment banking functions within the firm.
Challenges faced by Budget Analyst on the Job
Some of the challenges faced by a budget analyst on the job include:
- Stress
The stress that a budget analyst faces on the job is mainly because of the data they have to analyze and their deadlines.
The time given to complete their tasks is also one of their most challenging aspects, in terms of stress.
- Time Management
The budget analysts are also faced with challenges of time management as they are required to work with a set deadline. If they fail to meet their deadlines, they might get demotivated and frustrated.
- Job Satisfaction
Job satisfaction is very important to budget analyst. If a budget analyst does not like what they are doing, they will find it very difficult to perform at a high level.
They also need to be able to work under pressure and with high expectations from senior management.
How to Become a Budget Analyst
If you are interested in becoming a budget analyst, here are steps you can take:
- Complete a Bachelor’s Degree
A Bachelor’s degree is usually required for aspiring budget analysts. Accounting, business, economics, and finance are common undergraduate majors for budget analysts.
Some employers hire entry-level budget analysts with a degree in another discipline as long as the candidate can demonstrate their qualifications with additional credentials or experience.
Aspiring budget analysts should take statistics, accounting, and economics classes.
Bachelor’s degrees typically require 120 credits, which the majority of full-time students complete in four years.
Part-time students typically take longer to complete their degrees; degree completion times vary depending on the number of classes a student takes each term.
2. Acquire Work Experience
Budget analysts are typically required to have a Bachelor’s degree by financial firms, higher education institutions, and local, state, and federal government agencies.
However, small businesses and other employers may accept hiring candidates with some years of relevant work experience in place of a degree.
Having some work experience in the budgeting or financial planning industry can count as qualifying experience.
Prior to graduation, students should look for local internships to supplement their resume and gain valuable work experience outside the classroom.
3. Obtain and Keep Certification
Although professional certification is not required for all budget analysts, local, state, and federal government offices frequently prefer certified job candidates.
For example, the Association of Government Accountants’ certified government financial manager (CGFM) credential requires candidates to have a Bachelor’s degree, at least 24 college credits in financial management, and at least two years of professional experience working for the government.
Candidates for the CGFM credential must pay an application fee, provide necessary documentation, and pass a series of exams.
Professionals must complete 80 hours of continuing education every two years to keep their CGFM certification active.
4. Complete a Master’s Degree
A Bachelor’s degree can typically get you an entry-level budget analyst job; however, if you are ambitious and want to get to the top of your career quickly, you should consider pursuing a graduate degree.
With a Master’s degree, your chances of getting top positions, such as intermediate and senior budget analyst positions at prestigious financial firms are higher.
Major Benefits of a Budget Analyst Career
There are many benefits of becoming a budget analyst, such as:
- Opportunity for advancement
The opportunity for advancement is one of the major benefits of becoming a budget analyst.
There are many people who start as entry level budget analyst and make it to a senior position within the same company.
It is one of the fastest ways to move up in your field, both within your own company and outside.
- Well-paying salary
The salary range for aspiring budget analysts is between $25,000 and $45,000. The salary depends on many factors, including the experience of a candidate.
Most entry level positions pay between $25,000 and $35,000 for a full-time position.
- High demand in the finance industry
The finance industry is one of the most lucrative industries to find a job in, and that’s why the demand for budget analyst positions is particularly high.
If you want a high paying job which can also let you work from home, being a budget analyst is the way to go.
- Open to a variety of career and location options
Once you get your first job as a budget analyst, you will have a stable job with ample opportunities for growth in whatever industry or organizational setting you choose.
This job is also great if you are open to relocation because it has such high demand in so many different organizations.
- Fantastic early job opportunities for recent graduates
Budget analysts provide an excellent career opportunity to fresh graduates. The entry level positions may start out as an intern or trainee position, but upon completion of your degree, you will have a real job with a well-paying salary.
- Excellent benefits package
Working as a budget analyst comes with a great benefits package. With the numerous options provided by such large organizations, you have many different things to choose from, including health insurance, dental insurance, and life insurance, and much more.
- Interesting job responsibilities
Working as a budget analyst is not just a job; it’s a career. Being in this position comes with many interesting job responsibilities that keep you on your toes in the office and out of the office.
Whether you are working with finances, buying or selling, or simply checking on financial progress, there are many different ways to make this profession an interesting one for both you and your employer.
Conclusion
Budget analysts are well-trained and motivated professionals who have the ability to become a shining star in any organization.
If you have the skills, desire, confidence and the motivation to become a budget analyst, this is the career for you.
This post is useful to individuals interested in the budget analyst career; they will be able to increase their knowledge of the duties and responsibilities that budget analysts commonly perform, and learn how to become one.
It is also helpful to recruiters/employers seeking to hire for the budget analyst role in their organizations; they can apply the budget analyst job description example above in making a detailed job description for the position.
(Budget analyst information sources: indeed.com, zippia.com, ziprecruiter.com, and glassdoor.com)