Financial Accounting Career in India: Scope, Requirements, Skills, Jobs & Salary

Financial Accounting
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Accounting deals with examining and reviewing financial records and documents along with auditing and difficult accountancy. It’s the spine of any business so that they know where they’ve gone in the economic scheme. The stockholders and investors always demand to know the accuracy of a company’s financial position and that is why the role of an accountant values the most. Even private accountants need to keep a tab on tax-paying peoples. They’re the truth-tellers of the commercial society. 

Know About Financial Accounting 

The monetary transactions done in a company amounts to a lot of its primary fuel that keeps the business running. Financial Accounting is the process of keeping a record of the transactions happening from a company and the nature of the transaction. It takes note of economic activities done by a firm and has made a record of it, sends through the information to concerned personnel- investors, management, creditors, and regulators.

Scope of Financial Accounting in India

All the finance-related jobs are done by a financial accountant. They not only prepare a financial statement of the organization but also maintains a record of the same. The only aim of an accountant is to try to increase the revenue stream and calculate the profits by lowering the initial costs. They do tedious jobs like making sure to pay all the taxes on time and creating backups for all financial data.

Accountants are absorbed into companies as financial managers like them are very hard to get by these days. Accountants get into entry-level as well as executive-level work depending on their abilities and the company vacancies. Managing all that cash can streamline their niche into different sectors of work in financial accounting like payroll management and auditing.

Best Courses for Financial Accounting in India

Here are a few Bachelor’s courses that relate to financial accounting-

  • B.Com in Accounting and Taxation
  • BBA in Accounting and Finance
  • Bachelors of Commerce in Accountancy
  • B.Com in Accounting and Finance

To get into either one of these undergraduate courses one needs to have a minimum passing marks in both 10th and 12th and must have a subject combination of commerce subjects- Economics, Mathematics, and Accounts.

Also Read: List of Best Degree Courses After 12th Commerce

Here are a few Post graduation courses that relate to financial accounting –

  • Post Graduate Diploma in Computer Accounting  and Auditing
  • MBA in Finance and Accounting
  • MCom in Accounting and Finance
  • MCom in Accounting and Auditing

Passing marks in all subjects in a bachelor’s in the relevant discipline of commerce is one of the requirements for admission into Master courses.

Certifications needed to Start Career in Financial Accounting

Here are a few certifications needed to be recognized as an Accountant-

  • Chartered Certified Accountant (ACCA) – Specializes in Financial management, taxation, auditing, etc.
  • Certified Public Accountant (CPA) – Specializes in Financial accounting, attestation, reporting, etc.
  • Chartered Global Management Accountant (CGMA) – This is a globally recognized accounting certification specializing in financial and management accounting, strategy, reporting, etc.
  • Financial Risk Manager (FRM) – Specializes in Risk analysis, operational risk management, credit risk measurement, etc.
  • Certified Financial Planner (CFP) – Specializes in a career in wealth management or investments.

Also Read: Free Google Online Courses & Certifications

Skills needed for Financial Accounting in India

Financial Accounting is a very tedious job but fun to people having the following skill set for this kind of work –

  • Analytical – A person with good analytical skills and critical thinking abilities can solve complex problems by growing from previous instances. They can approach a hurdle radically and thus, more effectively.
  • Functioning Knowledge of Accounting Procedure – Accountancy is a subject that works on a few basic rules and applications. These are the pillars of accountancy and thus any person that wants to be an accountant should have a clear understanding of accounting procedures. 
  • Communication Skills – Good communication skills are expected of every employee in a firm as proper communication be it inside the organization with to the clients, shows goodwill and leaves a good impression. They should be proficient enough to communicate with their peers, superiors, or subordinates on what he wants to be done. 
  • Knowledge in Arithmetic – Accountancy is a subject that delves deep in numbers. It’s all addition and subtraction of amounts that enter and leave the organization. Thus to keep the work pressure at ease, a person must be knowing good arithmetic to solve minute problems on the go.

Current Trends in Financial Accounting in India

Trends in Financial Accounting in 2021 are-

  • Outsourcing – with companies focusing on their niche, they have the tendency to overlook the need for a financial department. Outsourcing allows a company to have an accounting team without them building one on their own.
  • Automation – software is being induced to replace the manual efforts of an accountant entering data into the system one at a time. With computers, the whole process of data management and recording is easier.
  • Cloud Accounting – not only does cloud act as a backup but cloud also allows small businesses to keep themselves updated with their financial records and lets them interact with the accountant remotely. 

Financial Accounting Career Options in India

For a career in Financial Accounting, one can opt for the following jobs-

  • Chief Financial Officer – A chief financial officer is in charge of managing and reprogramming the financial actions of an organization.
  • Financial Advisors – Financial advisors are in great demand nowadays as they seem to have the most updated knowledge on every finance question. They know which stocks are better for buying or selling and also can advise on what properties to invest in.
  • Certified Public Accountant – These are personnel working under professional standards in the accounting scenario.

Related Post: Business Analytics Certification Courses Online in India

Salary of a Financial Accountant in India 

Financial Accounting is a stream that values experience. A Financial Accountant who has been working for a long time in the company is promoted to a senior accountant and also financial directors who pay around 6.8 LPA INR. Youngsters on the other hand get a basic salary of 2.4- 3.5 LPA INR.

Conclusion:

Thus this was a detailed discussion on Financial Accounting and all the questions it arises. Hopefully this would help you form an opinion on the issue and finally motivate you to act on it.


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