A group accountant is a financial professional who manages the accounting and financial reporting for a company that has multiple business entities under its umbrella. Some key things to know about group accountants include:
What Does a Group Accountant Do?
The primary responsibilities of a group accountant include:
- Overseeing the accounting and financial reporting for all entities within a parent company group
- Ensuring accurate and timely consolidated financial statements and reports for the entire group
- Managing the accounting teams and processes for individual subsidiaries and divisions
- Coordinating audits and financial reviews across the group
- Analyzing financial performance at both the group and subsidiary levels
- Providing input on budgeting, forecasting and financial planning across the group
- Implementing and maintaining financial controls and accounting policies across the group
- Reporting key financial data and analytics to group management and leadership
In this role, the group accountant acts as the head of accounting for the entire company group. They oversee the accounting functions and financial reporting for all legal entities and ensure consolidated financial statements are produced in line with accounting standards and regulations.
What Skills Does a Group Accountant Need?
To be successful as a group accountant, the following skills and attributes are important:
- Consolidation expertise – Strong knowledge of consolidation accounting and financial reporting standards is crucial.
- Communication skills – Ability to communicate financial data and accounting policies clearly across the group.
- Leadership skills – Strong leadership skills to manage teams across multiple subsidiaries and divisions.
- Analytical skills – Ability to analyze complex financial data at both the subsidiary and group level.
- Organization – Excellent organizational and time management skills to coordinate many moving parts.
- IT skills – Knowledge of accounting and consolidation software/systems used within the group.
- Problem-solving – Proficiency in resolving accounting issues that may arise across entities.
- Collaboration – Work collaboratively with financial controllers and accounting heads of subsidiaries.
What is the Educational Background?
Here is the typical educational background for a group accountant role:
- Bachelor’s degree in accounting, finance or related business field.
- Certified Public Accountant (CPA) certification is often required or preferred.
- Master’s degree like MBA can be beneficial for higher level group accountant roles.
- On-the-job training under a senior group accountant early in career.
Given the complex consolidation accounting and financial reporting required, group accountants usually have an extensive educational background in accounting with professional certifications like CPA.
What is the Career Path and Progression?
Here is the typical career path for a group accountant:
- Staff Accountant – Gain foundational accounting experience assisting with day-to-day accounting tasks.
- Senior Accountant – Take on more complex general ledger accounting and reporting responsibilities.
- Accounting Manager – Manage the accounting function and reporting for a subsidiary or division.
- Group Accountant – Promotion into the group accountant role overseeing accounting group-wide.
- Assistant Controller – Move into a role with higher level responsibility for management reporting.
- Controller – Advance into the pinnacle financial oversight role directly under the CFO.
The role provides a pathway to advance into corporate controller and chief financial officer (CFO) positions within the organization.
What is the Job Outlook?
According to the Bureau of Labor Statistics, the job outlook for accountants overall is strong:
- Employment of accountants and auditors is projected to grow by 7% from 2020 to 2030, faster than the average for all occupations.
- In that period, approximately 124,900 jobs are expected to open up for accountants and auditors.
- Demand for accounting expertise is expected to grow as the economy grows, globalization increases and financial regulations become more complex.
This positive outlook applies to group accountants as well. Their specialized expertise in group accounting and consolidation will continue to be in demand, especially at large multinational corporations.
What is the Earning Potential?
The earning potential as a group accountant is quite strong. According to Payscale.com, typical group accountant salaries are:
Percentile | Salary |
10th Percentile | $57,000 |
25th Percentile | $70,500 |
50th Percentile (Median) | $85,750 |
75th Percentile | $106,500 |
90th Percentile | $137,500 |
Salaries can vary based on factors like location, company size, and years of experience. But group accountants have significant earning potential reaching into the six figures at the higher levels.
Conclusion
A group accountant is a vital senior-level finance professional responsible for overseeing accounting and financial reporting across multiple entities of a parent corporation. They manage consolidation accounting, ensure regulatory compliance, and provide valuable financial insights to group executives and leadership. Group accountants have an extensive accounting background, specialized expertise in group reporting, and strong management and analytical skills. It is a career path offering substantial salary potential and opportunities to advance to the highest levels of corporate financial management.