5 things to know when considering a career in finance
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When choosing a career path, there are several things to consider. Usually, people look at the average wages. However, there’s more to careers than just wages. Different fields have different departments and specialties you can dive into, and the business field is no different. Finance and accounting are among the major departments in business that people usually work in.
Finance is usually confused with accounting. Although you can differentiate finance vs accounting by definition, other aspects separate the two. When choosing a career in business, you need to understand the difference between the two. This will ensure you choose the right field.
Understanding finance
The major takeaway in finance is acquiring and managing money. Money acquisition involves borrowing and fundraising. Management involves saving, investing, and lending. Another aspect of finance is forecasting, wherein managers predict the value of money in the future. Generally, the value of money is usually expected to reduce with time.
Finance is like the backbone of any venture. It could be a personal enterprise, a private company, or public finance. The proper management of the financial aspect of the business is what will determine its success. Therefore, the demand for people who understand these management aspects has led to many people into considering a career in finance.
Things to know about a career in finance
As the demand for professionals in this particular field increases, you may be carried away by the wave. However, there are some factors you should know before going for a career in this realm. This will be important in ensuring that you don’t make hasty decisions you may regret in future.
The factors to consider include the following:
- Your interest
Working in a financial institution, like a bank, can, sometimes, be stressful. One of the things that could fuel your motivation to keep on working is your passion. A fulfilling and fun career could be something that you may consider doing in the long run.
Before choosing a career in finance, you could ask yourself some basic questions, like if you do love figures and numbers, or if you love interacting with people. Once you get the answers to such questions, you can, then, decide if the field of finance is the right choice for you.
- Your long-term objective
Every person has a vision of what they want to be in the long term, especially job-wise. If you plan to work for so many years in the finance field, it’d be best to start early so you can have much more time to grow.
However, if your career objective lies somewhere else, then spending your junior years in finance could prove to be a waste of time. You should focus on what you want to do for ten or more years before deciding if a particular field works for you.
- Availability of jobs
The availability of jobs in the field you want to choose should also be considered. While the finance field could’ve been marketable some years ago, the market scope might have changed, and it’s not saleable as before.
Pursuing a career path means you’ll want to get employed or be an employer in that particular field. However, if there are no opportunities, you should rethink your decision and go for something else. This also applies to finance—go for it if there are opportunities; otherwise, look for something else.
- Your skills
Skills are categorized into two major categories: professional and personal. Professional skills are those you learn in school, and which are related to the job you’re seeking. Personal skills, on the one hand, are your soft skills, inborn or learnt through your living experiences, such as teamwork, communication, and adaptability.
In finance, these skills are crucial. You’ll be required to conduct financial and market analysis, lead teams, and speak to clients, among others. If you’re sure of having these skills, then a career in finance won’t be a tough call.
- Your salary expectation
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A good salary is one of the primary motivations for people to choose a career. Job seekers might want to apply for well-paying jobs that will meet their financial needs. This is no different in the finance sector—people will consider the salary they’ll earn when they choose that path.
You can always check out the average wages earned by people in the finance sector around your region. If the rates are lower than your expectation, then you should consider a different field. If the range meets your expectation, then go for it.
It’s important to note, however, that the salary might be low when you start, but will eventually increase once you gain experience.
Conclusion
Choosing a career path is a massive decision in everyone’s life. You could be stuck in one job for so many years; therefore, the job needs to be something you’re comfortable with. A wrong career choice could be stressful and even mess up your life plan.
If you consider being in the business field, particularly finance, you need to understand what finance entails before deciding. While you can choose your career path alone, you can seek advice from career coaches and mentors if you’re unsure about it.
