Budget Analyst

What a Budget Analyst Does

Budget analysts have a fairly straightforward job title, but they're extremely important assets to ensuring the profitability of a company. They work to organize budgets for all types of expenses and help companies allocate funds to each budget or spending plan. Depending on what kind of company they consult for -- private, nonprofit or governmental -- budget analysts will work to allocate funds so that they're used in the most efficient manner, either increasing profit or supporting the most important causes and departments. Part of analyzing a budget and then planning for a new budget is to advise on program performance and business policy. Budget analysts work with managers and business owners to come up with the most sensible way to streamline a company or department so that it wastes the least amount of money. They analyze data, write reports, and present ideas to companies, and then continue to monitor budgets throughout the year or contract period.

How to Become a Budget Analyst

You will need at least a bachelor's degree to become an entry-level budget analyst, and a graduate degree if you expect to start working at a higher level. An undergraduate degree in business, political science, public administration or a related field is best, depending on what kind of company or agency you want to work for: private, governmental or nonprofit. Good specialization choices for business majors include economics, finance, accounting, and statistics, which will prepare you to develop, read, analyze and critique budgets and financial reports. Classes in business policy, tax law and the social sciences can also be beneficial. After a couple of years working as an entry-level analyst, you can usually be promoted to an intermediate-level job, and then take on more senior-level positions with added experience and/or a graduate degree. Getting your Certified Government Financial Manager license is recommended for those seeking an edge in the government sector, which requires that analysts complete continuing education credits every two years.

Career Outlook for Budget Analysts

The top industries that employ budget analysts include government -- which employs over 40% of all budget analysts -- manufacturing, schools, management services, and professional, scientific, and technical services; and schools. Just over 10,000 new jobs are expected to be added to the field, which gives employment for budget analysts a 15% boost, higher than the national average for other occupations. The best jobs will be for professionals with graduate degrees and a working knowledge of the standard software programs used in the industry. The median annual wage for budget analysts in May 2008 was $65,320, and the middle 50% of analysts earned between $52,290 and $82,150. Analyst working in the aerospace product and parts manufacturing industry earned the highest average salary, at $70,830, followed by those working for the federal executive branch, who earned $70,650. Budget analysts for colleges and professional schools earned $58,190, and those employed by elementary and secondary schools earned $57,700.