The accounting department of an organization is that part of the corporate overhead group that is in charge of cost accounting, billings, creating a financial statement, payroll, supplier payments, and other related tasks. The accounting department maintains track of all the items and services purchased by your firm and makes sure that all of your business costs are paid on schedule. It is one of the most significant departments of the whole company. The accounting department also keeps a record of the organization’s planned payments, such as inventory, salary, and all other business-related costs. Additional value-added services such as actual-versus-budget reporting, cost-cutting ideas, and other types of financial research, may also be provided by the accounting team. Here, let’s know some Accounting Job Titles.
A controller is generally in charge of the department and is responsible for reporting to the chief financial officer. In some small organizations, a bookkeeper may be the only person that is employed in the accounting department. The number of people employed in the accounting department of an organization depends upon a number of factors such as the size of the organization and the hierarchy of the employees. We will further tell you about the various accounting job titles, their salaries and the hierarchy within the accounting department.
Various Accounting Job Titles
Accounting job titles depend upon the organizational structure and the size of the company. A bookkeeper can be the only person employed in the accounting department of a small company whereas he might hold the position of a low-level accounting employee in a large company. Here are some of the most common accounting job titles:
- Controller
A controller, also known as a comptroller, is in charge of managing and overseeing the accounting department of a for-profit corporation. A controller monitors the accuracy of all financial reports and evaluates the data that is given to the management of the company. The Controller, who is usually a director or higher on most accounting teams, is also responsible for ensuring that the company follows all financial rules and regulations. A Controller and a Comptroller perform the same role, but the latter being more frequent in government and non-profit enterprises.
- Accounting Manager
Accounting Managers are usually in charge for overseeing and managing the daily activities of the accounting department of his branch. An Accounting Manager is also responsible for setting up correct accounting methods for a company and enforcing all such standards and policies. An Accounting Manager has to also ensure that the financial accounting objectives set up by the senior management are met. they can also give budget suggestions based on financial reports.
- Bookkeeper
A bookkeeper is responsible of keeping a detailed record of the everyday financial transactions of an organization. Small to mid-sized businesses are the most likely to hire a bookkeeper. In most businesses, an accountant usually examines the work of a bookkeeper before finishing monthly, quarterly, or yearly financial statements.
The everyday responsibilities of a bookkeeper include processing and recording transactions such as:
- Purchases
- Bill payments
- Payroll
- Sales
- Accounts/ Bills receivables
- Senior Accountant
The senior Accountant is in charge of examining the journal entries of junior or new accountants. They also give them suggestions based on their analysis. A Senior Accountant is responsible for the expenses, costs, and productivity of the organization. A Senior Accountant has to perform other responsibilities too that include helping with the tax or financial audits, organizing complicated accounting projects, and creating account reconciliations.
- Staff Accountant
a staff accountant prepares and analyses organizational budgets and works in direct collaboration with the Controller. Reports, Financial records, and general ledgers are some of the responsibilities that hace be fulfilled of a Staff Accountant. A Staff Accountant also can have other responsibilities like handling the accounts receivable and assets in some businesses.
- Auditor
An audit is performed by an auditor, who is an external and impartial accounting specialist. the auditor carries out financial inquiries to guarantee the correctness of financial information within a company. The responsibilities of an auditor include:
- Verifying the assets and liabilities of the company
- Examining management policies and procedures for effectiveness
- Proposing new processes so as to improve financially
- Compliance with the Laws and Regulations
- Comptroller
In a government or non-profit organization, a Comptroller is a highly ranked accounting expert. A Comptroller is equivalent to a Controller in a for-profit company. He performs the job of overseeing the spending, in order to keep the organization within its budget. A Comptrollers also examines all accounting activities to verify that they meet high standards and make necessary budget changes.
- Accountant Specialist
An Accountant Specialist, also popularly known as Accounting Specialist, is in charge of handling and maintaining the payroll operations of a company. This involves ensuring the correctness of employment contracts and timesheets. Accountant Specialists are also responsible for drafting the reports for workers’ compensation claims as well as other state and federal reports. Depending upon the size and structure of the company, this position may also be responsible for managing account payable and receivable management.
- Forensic Accountant
A forensic accountant examines the financial records of a company using a combination of investigation and accounting skills. A forensic accountant performs audits and generates reports that are legally admissible in court proceedings and legal action based on their findings, most frequently in situations of embezzlement or fraud. In addition to this, a forensic accountant may be summoned to give his testimony in court and also to create visual aids based on the findings.
- Cost Accountant
A Cost Accountant is responsible for assessing, recording, and summarizing a company’s expenses, which include both items and services. A Cost Accountant’s job is to assist businesses in budgeting and cost-cutting. To prepare financial accounts for top management, a Cost Accountant records and classifies expenses.
- Tax Accountant
A tax accountant’s job is to make sure that the firm and the people employed in the firm are following tax regulations. A tax accountant provides tax planning and guidance to
businesses to help them save money. A tax accountant’s additional responsibility is to prepare the federal tax returns. They may also be asked to prepare the state tax returns too.
- Accounting Representative
Customers’ accounts are created and maintained by an Accounting Representative. He acts as a bridge between the company and its clients. An Accounting Representative’s primary responsibilities include:
- Creating client invoices
- Collaborating across departments and contacting department heads
- Communicating with clients and resolving issues
- Auditing the files of clients
- Monitoring client communication
- Accounting Intern
An Accounting Intern helps the accounting department by performing a wide range of duties. Basic office chores such as producing copies of customer bills or files are the responsibility of an Accountant Intern. An Accounting Intern also assists upper-level accountants in the preparation of financial reports and tax returns, as well as the auditing of client financial accounts.
- Certified Public Accountant
A Certified Public Accountant (CPA) is a professional who practices accounting and has accomplished their license criteria for managing accounting and tax processes for public companies. A CPA’s responsibilities include:
- Tax preparation services
- Auditing and review
- Forensic accounting services
- Financial planning
- Business valuation
- Financial litigation representation
Accounting Job Hierarchy
Accounting professions have a very vast range of titles and jobs. Entry-level jobs may just demand a high school diploma and may not come with a lot of responsibility. Higher-ranking roles in the accounting hierarchy, on the other hand, need more education, certification, experience, credentials, and the capacity to take on additional responsibilities as one progresses up the levels. Exploring the many options accessible within accounting can help you select the most effective educational path to achieve your professional objective because the area of accounting encompasses such a vast range of jobs and work kinds. Here are some of the jobs that fall under the accounting hierarchy:
- CFO/ Vice President
A Chief Financial Officer (CFO) or Vice President of Finance is employed by large businesses to oversee the financial elements of the business or operation. It is the responsibility of the CFO to communicate with executive members and the CEO of the company and tell them about the accounting team’s financial reports, analysis, and predictions. A vice president of accounting post may exist below the CFO in big company hierarchies, depending on the number of tasks and management required to execute necessary accounting and financial activities. It is very important to be able to interpret numbers and numerical data into useable information is critical to determine the company’s direction and long-term strategy at the topmost level of management.
- Controller/ Director
the position of controller or director usually exists in large accounting operations. When a firm has numerous facilities or locations, this role is frequently employed. A controller is usually in charge of all accounting processes that occur at his or her location. Typically, the controller or accounting director report directly to the Chief Financial Officer of the company.
- Accounting Managers
As previously stated, the size and breadth of a company’s accounting demands determine the hierarchy that exists inside it. Larger firms, on the other hand, may have one or many accounting managers on their payroll. Accounts receivable accounts payable, and payroll or internal tasks are frequently separated among accounting managers in large organizations that require many accounting managers.
- Analysts and Accountants
Accountants and analysts often have more education than clerks and are responsible for the accuracy and proficiency of their job. The data they create are frequently utilized not just within the firm for strategic or evaluative objectives, but also for tax purposes, submission to independent boards or organizations, and sharing with stockholders or investors. Depending upon the size and the workload of the company, there may either be only one accountant in the whole company, or there may be a big staff of accountants and analysts.
Duties of an Accountant
Accountants are in charge of a wide range of financial duties, the majority of which are connected to the preparation of financial records. Typical responsibilities include calculating taxes and filing tax returns, organizing and keeping financial records, and verifying the accuracy of financial reporting. Accountants are often a holder of bachelor’s degree in fields such as finance, accounting, or a closely related subject. Many accountants also have a Certified Public Accountant (CPA) certificate, which is earned by passing a national test and completing a certain amount of college credits. Accountants are classified into one of four categories:, internal auditors, management accountants, government accountants and public accountants. Some of the responsibilities that are performed by an accountant are:
- Helping in the preparation of financial reports such as budget performance and financial statements
- Ensuring that the applicable standards (i.e. GAAP, FASB), rules, regulations, and systems of internal control are being implied
- assisting in the implementation of new accounting standards, policies and guidelines
- Providing accurate, timely, and relevant recording, reporting, and analysis of financial information
- Identifying the areas in which improvement can be done and implementing these improvements to processes
- Assisting and acting as the primary point-of-contact for auditor requests
- Handling sensitive information in a very confidential manner
Conclusion
Accounting department is a vital part of an organization as it keeps a record of the finances of the company. The job titles and the hierarchy in the accounting department of a company depends upon the size of the organization. The bigger the company is, the more the job titles are there. Accountants are really well paid and have a very handsome salary. The salary of an accountant depends upon the job title he holds in the company and the higher the title is, the better the pay will be. Hence, we can say that accounting department is a really integral part of a company and accountants are one of the best paid employees of the company, depending upon the job title of the person.
Frequently Asked Questions
What is an accountant and what are the duties performed by him?
An accountant is an important part of an organization and their job is to maintain all the financial records, statements and accounts of the company. They maintain the financial books of the company and keep close track of the finances of the company. They are an integral part of a company and perform the following responsibilities:
- Helping in the preparation of financial reports such as budget performance and financial statements
- Ensuring that the applicable standards (i.e. GAAP, FASB), rules, regulations, and systems of internal control are being implied
- assisting in the implementation of new accounting standards, policies and guidelines
What is the highest position in the accounting department?
The CFO or the Chief Financial Officer is the highest rank within the accounting department and he reports directly to the CEO of the company. He gathers all the data from the accounting department and reports it directly to the CEO. In some companies, a post of Vice-President also exists below the post of the CFO.
What is the average salary of a person employed in the accounting department?
Your salary depends upon the job title you hold in the accounting department. The higher your rank, the better will be your pay as an accountant. The median salary of an accounts department employee is around $70000-75000.
