Management accountant job description

Management accountants provide financial guidance, planning, and advice to management staff, with the aim of making their business more profitable.

They forecast revenue, provide insightful reports to leadership, and advise on the financial implications of strategic decisions.

Below is a detailed management accountant job description and a full job guide, including important qualifications, skills, and typical employers.

 

Guide contents

• Management accountant Job Description
• How much do management accountants earn?
• What does a management accountant do?
• Requirements, skills, and qualifications
• Who employs management accountants?
• Which junior jobs progress to management account roles?

 

Management accountant job description

 

How much do management accountants earn?

The salary of a management accountant can vary due to a variety of factors, but has a national average of £40,000.

 

Management accountant salaries in the UK

• Low: £32,000
• Average: £40,000
• High: £47,000

Source: TotalJobs

 

Management Accountant Salaries vary depending on:

• Employer industry – Does the accountant work for a retail brand, IT consultancy, or for local government?
• Company size – Larger companies with higher revenues and complex finances will usually pay more than smaller companies
• General salary factors – Such as level of candidate experience and location

Take this example – A senior management accountant working for a global bank in central London, will normally earn more than a junior one working for a small independent chain of restaurants in a small town.

These figures are averages taken from job adverts from the last year and are not fully representative of the extra perks, such as bonuses, overtime pay, or non-financial benefits.

 

What does a management accountant do?

Going beyond the jargon of a typical job description, here’s a quick breakdown of the main responsibilities of a management accountant throughout a typical week:

• Studying financial data – Sift through data and find the details most relevant to the management team
• Prepare reports, budgets, and statements – Once the data is analysed the management accountant will compile the findings in various forms, from budgets to financial predictions, to help management gain a clear picture of company financial health
• Internal financial reviews – A management accountant manages all internal finances, including administration, finance tracking, and conducting finance audits in-house
• Financial strategy advice – Based on data analysis, a management accountant may be called on to help upper-level management develop financial strategy for growth or to cut costs
• People management – Management accountants may be in charge of a team of lower-level accountants, this involves providing workflows and direction of staff
• Securing funding – a management accountant will provide financial information and predictions to shareholders and potential investors to gain funding for projects and investments
• Income and expenditure management – Control income and expenditure to ensure profitability and
• Analysing and managing risks – Identifying financial risks to the business and advising management on to reduce them
• Develop new systems – Developing new financial systems in-house to adapt to internal and external changes

 

What do management accountants need?

There’s no doubt that management accounting is a skilled role with significant responsibilities. Employers look for qualified management accountants with the right skillset and experience in the field.

Here’s a general rundown of the qualifications, skills, and personal qualities needed for a role as a management accountant.

 

Experience

Junior management accountant jobs – Junior management accounting roles will usually require the candidate to have a few years of experience in a less senior accounting role, such as accountant.

Intermediate to senior management accountant roles – These roles will require demonstrated experience in management accounting, and often experience within the particular field being worked in e.g. retail, insurance etc.

 

Management accountant skills

A variety of skills are needed to excel in the profession, here are some of the main ones;

• Written communication: In a role that involves regular reporting to senior management, written communication is crucial
• Commercial know-how: Management accounts require a deep understanding of how businesses work and make profits
• Accuracy: Mistakes are not popular in accounting, even the smallest errors can have huge implications
• Numeracy: As with any finance role, a good head for figures is extremely helpful
• Analytical skills: Being able to assess raw financial data and turn it into meaningful insights for the business, is the core function of the job

And the more industry specific hard skills include:

• Accounting and finance: A solid understanding of business finances and accounting methods are essential
• Software: Accountants will be required to use accounting software such as Sage, Quickbooks, and data tools like Excel
• Stakeholder management: The ability to manage the expectations of senior management and investors

 

Management accountant qualifications

Accounting is a strictly regulated line of work, so management accounts are expected to have relevant qualifications, such as the following:

 

CIMA

The most widely recognised management accounting qualification body is the Chartered Institute of Management Accounting. They provide a range of qualifications to support aspiring and experienced accountants perform their roles well.

• The CIMA Certificate in Business Accounting (Cert BA) provides people with little or no accounting experience with a solid grounding in business economics and accounting.
• The CIMA Professional Qualification provides a deeper level of training and equips management accountants to take on leadership roles within their fields.
• CIMA also offer apprenticeship schemes where school leavers can learn on the job and gain qualifications at the same time

 

Certified Management Accountant

This professional designation can be earned to work towards a higher salary in the industry. Offered by the Institute of Management Accountants, this qualification is available to those who’ve completed a bachelor’s degree, a previous course, and worked for two continuous years in the industry.

 

Degrees

A degree in a related field such as business, accounting, finance or economics will provide a sound level of knowledge for management accountant roles.

 

What is expected of management accountants?

Management accountants are senior members of staff and as such, expectations from employers can be high.

• Full-time hours – (35-40 hours a week) with potential overtime during project closure or the end of the tax year
• Extended hours – May be required to meet financial reporting deadlines or close important projects
• Financial targets – Some management accounts will be expected to achieve financial targets such as reducing spending or improving efficiency
• Location – typically based in employer’s office with occasional travel for meetings with investors or colleagues

 

Management accountant benefits

Management accounts are a key member of a business’s team and will likely receive the benefits associated with that, including:

• Pension scheme
• Bonuses based on business performance
• Healthcare
• Car allowance
• Paid study

 

 

Who employs management accountants?

Any medium to large company with a financial department needs a management accountant, making this a very high-demand role across a variety of industries. Whether it’s in the public or private sector there is a lot of demand across the UK

Typical management accountant employers include companies within:

• Banking and finance
• Transport
• Retail
• Health services
• IT
• Digital
• Marketing

 

Which junior jobs progress to management accountant roles?

There are a number of entry-level jobs that can progress into a good step-up to management accounting:

 

Accountant

Working as a company accountant provides candidates with a solid grounding in basic accounting and financial record keeping – employees can choose to progress through to management accounting in larger businesses, or seek promotions externally.

Junior Internal Auditor

A junior internal auditor is responsible for analysing data and building reports on a company’s internal finances, often supporting a senior counterpart – the perfect experience for a training management accountant.

 

Which senior jobs do management accountants progress to?

Management accountants at the senior-end of their careers can be appointed a number of important roles in a business, such as:

 

Finance director

Finance directors are one of the most senior members of a business leadership team and oversee all of the financial activity and decision within that business.

Chief financial officer

A CFO is responsible for managing the total financial decisions of a company, including tracking cash flow, develop full-scale financial plans, and determining strengths and weaknesses in company’s finances.

 

Management accountant job description – conclusion

Management Accountants are highly in-demand across the UK in a range of industries.

With accessible qualifications and an above-average salary, if you are keen on numbers, work well with computer software, and have a naturally analytical mind, you could go far in the industry.