The average yearly salary of a chief financial officer (CFO) can var🅘y based on several factors. It also depends on who you a🔯sk.

• The median compensation for a CFO in the U.S. as of August 2024 was $444.404 per year, according to Salary.com. CFOs within the bottom 25th percentile should expect to earn $335,954 per year, while those in the 75th percentile should expect to earn $574,857 per year.
• Data from the 澳洲幸运5官方开奖结果体彩网:Bureau of Labor Statistics shows the median annual salary for chief executives in the top industries, which includes CFOs, was $239,200 in 2023.

When you compare this to the average salary of $65,470 for all occupations. the average CFO makes significantly more than the average worker, which makes the CFO a very 澳洲幸运5官方开奖结果体彩网:lucrative career by comparison. Let's take a look at CFO salaries💛 in a little more detail.

Salary, Benefiꦿts, and Perks of a Chief Financꦦial Officer (CFO)

The primary factors that impact the median salary of a CFO include geographic location, and the experience and personal qualifications of the person. Base salary and bonuses make up roughly 80% of the total compensation a CFO should receive within a given year. The other areas of compensation are bonuses and benefits, as well as perks.

When bonuses are included in salaries, the median total compensation for a CFO is $605,523 per year. Those within the bottom 25th percentile should expect to earn $413,812 per year, and those within the 75th percentile should expect to earn $925,273 per year. Additional CFO benefits include:

• 401(k) plans and matches
• Disability insurance
• Healthcare
• Pension
• Paid time off

The value of these benefits and perks for the average CFO is about 19% of total compensation.

The job perks can vary but can include a company car or driver, a hefty severance package (known as a 澳洲幸运5官方开奖结果体彩网:golden parachute), relocation expenses, the use of a private jet or helicopter, and first-class flights. While healthcare is a typical perk, high-level executives such as CFOs have access to disability and 澳洲幸运5官方开奖结果体彩网:life insurance. Workplace-related perks can include a dedicated park�ജ�ing space, large offices, and private bathrooms, among others.

The total compensation package varies by experience and job location. In major metropolitan areas and “financial capitals of the world,” such as New York City, the pay wi💝ll be higher. The table below lays out the base compensation and total compensation including annual bonuses for ten major metropolitan areas.

How to Become a Chief Financial Officer (CFO)

Many CFOs have a decade or more of relevant work experience and often have a 澳洲幸运5官方开奖结果体彩网:Master൩ in Business♚ Administration (MBA). In many cases, a CFO will also be a 澳洲幸运5官方开奖结果体彩网:certified public accountant (CPA). CFOs have generally held previous positions such as 澳洲幸运5官方开奖结果体彩网:controller or director of fin🍃ance. Some may have worked in accounting departments.

Roughly half of CFOs have a master's degree, while 45% have a bachelor's degree. Only 2% have a doctorate or associate's degree, and 1% of CFOs only have a high school diploma. In terms of salary, there is not much differentiation between a CFO with bachelor's or master's degrees.

At the top of the proverbial food chain, in the corporate world, is the 澳洲幸运5官方开奖结果体彩网:chief executive officer (CEO). The CFO generally reports directly to the CEO and the board of directors. The average CEO makes $878,517 per year, plus bonuses and benefits.

Job Outlook for Chief Financial Officers (CFOs)

The CFO is generally responsible for all 澳洲幸运5官方开奖结果体彩网:budgeting, financial goal setting, and related financial reporting—including financial statement construction and review. Arguably, there has always been a need for CFOs, however, the position only came about in the 1960s. This comes as companies’ finances, 澳洲幸运5官方开奖结果体彩网:accounting, and bookkeeping have become more complicated.

The BLS estimates that the number of top executive jobs will grow by 6% from 2023 to 2033. The business of being a CFO will likely change a lot over the next decade, including navigating the rise of 澳洲幸运5官方开奖结果体彩网:cybersecurity and the advancement of technology.

The position will see increased demand when it comes to regulatory compliance. This includes managing risks, whether it be taking risks or pr𒅌otecting against disruption.

Overall, CFOs will not only be managing finances and overseeing banking relationships, but they’ll also need to be able to manage big data—embracing artඣifꦬicial intelligence and data analytics.

Examples of a Chief Financial Offiꦇcer (CFO) Salary

CFO salaries depend on different variables, including geographic location, the size of the company, the candidate's degrees and experience, and the type of industry. Here are some examples from public companies.

Apple

Apple (AAPL) CFO Luca Maestri earns an annual salary of $1 million according to executive compensation tables in the company's public filings with the 澳𝓡洲幸运5官方开奖结果体彩网:Se❀curities and Exchange Commission (SEC).

The majority of Maestri's compensation is in the form of stock incentives, which were worth over $22 million in 2022. His total compensation for 2022, including retirement benefits and other compensation, was worth $26,935,883.

Microsoft

Microsoft (MSFT) CFO Amy Hood earned a salary of $1 million in 2023, according to the company's public filings. She also earned $16,450,701 in stock incentives and $2,295,250 in non-equity compensation. Altogether, her total compensation in 2023 was worth $19,902,897.

The Bottom Line

The chief financial officer is an⛄ important executive in major companies. CFO salaries vary widely, according to their experience, industry, and the location of the company. In addition, many CFOs take the majority of their compensation in stock options, bonuses, or other variable compensation.