Budget analysts help organizations reach their financial objectives by developing and overseeing budgets, and monitoring institutional spending. They may work for private businesses, government agencies or non-profit organizations.
Budget analysts keep companies financially strong, using their expertise to analyze the costs and benefits of various business operations. They study trends, make recommendations and ensure that organizations make sound financial decisions.
Job duties for budget analysts will vary according to the specific industry and employer, but in general, they establish the relationship between the organization’s resources and its mission and objectives. One of their main responsibilities is to allocate resources so that current, long-term and emergency spending needs are covered.
Budget analysts gather and analyze data for management to use in making decisions regarding operations, acquisitions, expansion and other business activities. They work with executive staff to increase profits and efficiency and provide guidance on organizing finances. Budget analysts also review departmental budget requests and explore funding options.
A budget analyst’s daily job duties might include:
- Reviewing departmental financial and operation proposals.
- Conducting cost-benefit analyses.
- Evaluating economic conditions that could affect income and spending.
- Developing arguments for or against spending requests, based on operating budget summaries and forecasting.
- Monitoring and adjusting budgets throughout the year.
- Utilizing spreadsheets along with budgeting, statistical analysis and database software to understand options and provide accurate and up-to-date information.
Salary Range and Job Outlook for Budget Analysts
According to the U.S. Bureau of Labor Statistics (BLS), budget analysts made a median annual salary of $69,280 as of May 2012. The top 10% of earners in this occupation brought home more than $103,590 per year.
Employment of budget analysts is expected to grow 6% by 2022. Challenging economic times often require tighter budget scrutiny and the expertise of budget analysts.
The BLS expects that prospects for entry-level budget analyst jobs should be strong. This occupation typically has positive turnover, as budget analysts often pursue higher-level opportunities.
Location, experience level and educational background can impact employment prospects for budget analysts.
Required Knowledge and Skills
To find success in a budget analyst career, it’s important to understand the operations, programs and goals of the organization. To that end, budget analysts must develop a strong set of skills and knowledge, including:
- Analytical and quantitative skills.
- Broad-based business knowledge.
- Attention to detail.
- Strong computer skills.
- Excellent written and verbal communication skills.
- Sound judgment.
- The ability to present technical information in a clear and understandable way.
In addition to the above, budget analysts must adhere to strict ethical standards and demonstrate integrity, confidentiality and objectivity.
Required and Recommended Education for Budget Analysts
If you’re well organized, and enjoy business and finance, then becoming a budget analyst could be a good fit. Qualifications for entry-level budget analyst jobs generally include a bachelor’s degree at minimum. Some employers and higher-level positions require advanced degrees, such as a master’s in business, finance or economics.
Recommended coursework for prospective budget analysts includes statistics, math, economics, accounting, political science, public administration and sociology. Some employers may prefer candidates with finance-related work experience.
Government budget analysts are eligible to apply for the Certified Government Financial Manager credential from the Association of Government Accountants, which can boost their employment prospects. Qualifications include minimum educational and professional experience, and passing a series of exams.
Entry-level budget analysts typically begin their careers with limited responsibilities. Gaining work experience and advanced education can lead to advancement opportunities, such as intermediate and senior budget analyst positions.
