What is Comptroller Accounting?
The comptroller (which is slightly different from the controller) works as a high-level executive in a private company or government agency. Someone working in this accounting position has at least a bachelor’s in accounting, although a master’s degree will take them much farther.
In some organizations, as the comptroller, you’re so high in the hierarchy that you’re just below executives in the C-suite. You are a manager who has been handed the considerable responsibility of overseeing the accounting processes within your organization. You are responsible for preparing different types of financial statements. These include balance sheets and income statements; audits; and income and expense projections. You may be responsible for reducing costs. Depending on your experience, you may also provide your opinions on financial decisions or new opportunities for the company. You may also be asked to weigh in on the acquisition of a company.
Introduction and Overview
Even though two positions with similar-sounding names exist, the comptroller is higher up on the corporate ladder. If you’re a comptroller, you may work with one or more controllers as they evaluate financial spreadsheets. No matter how busy you are, you have to stay up-to-date on the company’s budgeting process. You also have to ensure that the company operates within its budget. If the company has gone public, with shareholders, you’ll spend much of your time communicating with these individuals.
You’ll have to understand the principles of accounting and business. For these responsibilities, the backing of a master’s in accounting or a master’s in business administration gives your advice and opinions much more importance.
Typical Functions of a Comptroller
Financial management is one of your main responsibilities as a comptroller. You oversee the roles and functions of the bookkeepers, accountants and controllers within their departments.
As a manager, you supervise the accountants as they prepare financial statements. In supervising the production of these documents, you also go through the balance sheets, looking for areas in which the company can save precious funds. If you notice that a department’s expenses in a particular category are different from other departments, you may look a little more deeply, checking for what is being bought in higher numbers.
Once you know where the money is going, you may intervene, helping the management in that department to identify areas where they can save money.
You should have knowledge of how the organization’s finances operate. Once you know this, you may be invited to management-level meetings regarding how the company should choose to spend its available funds.
Because you are so high in your organization, you are given responsibility for preparing reports that the government requires every year. As you complete this work, you also make sure that all financial details are in compliance with government regulations. You’ll also be responsible for the company’s internal guidelines and legal requirements. This is a major responsibility.
As a comptroller, you may be tasked with creating the financial procedures of your organization. This means you’ll take a major role in writing financial policy. As the comptroller of a private company, you’ll be constantly studying generally accepted accounting principles and keeping up with changes. Your work isn’t done—you’ll also have to stay familiar with Securities and Exchange (SEC) reporting and International Financial Reporting Standards (IFRS) as well. If you’re the comptroller of a government agency, you’ll have to stay familiar and current with Government Auditing Standards (GAS).
In a small company, you’ll do everything from bookkeeping all the way up to the highest level of financial work. You may invoice customers; process payroll; manage cash flow; reconcile bank statements; and oversee risk management details, which would fall under the Chief Financial Officer’s responsibilities.
If you work in a larger organization, you’ll be responsible for those in-between tasks, working as an accounting manager keeping up with accounting records and making sure that all accounting work complies with accounting standards. You may work as a Chief Financial Officer (CFO).
Possible Job Titles
As a comptroller, you may go by one of several titles, or you may have several titles that reflect the responsibilities. Some of these titles include:
Under each of these job titles, you’ll also have varying job responsibilities. Where you work will affect your possible duties. As you become more familiar with the different expectations that each employer may have, you’ll be able to decide for yourself where you would like to work. As you’re thinking about this, keep in mind your education, knowledge, experience and professional strengths. For instance, you may be better suited as a financial officer because of past jobs. Or you may prefer working directly with numbers and spreadsheets. Knowing this, you’ll be able to tailor your job search more appropriately.
As comptroller, you’re given responsibility for the financial health of your employer or company. You may be tasked with the investments your company makes, so that the money set aside for this purpose earns even more money. Your supervisor may also direct you to develop long-term plans for the company’s financial goals.
Because of how much you work with the numbers, investments and financial goals of your company, you’re also going to be responsible for overseeing and producing the financial reports. You may also have to interpret them for other chief executives and the board.
Expect to put in at least 40 hours a week, depending on the organization for which you’re working. You may work for a government agency, bank or insurance company.
A Day in the Life of a Comptroller
Your work day may begin as you oversee the accounting department. Multitasking should be one of your biggest skills, as you’ll have to juggle several responsibilities, almost simultaneously.
Even though you work mainly with numbers and spreadsheets, you should also be an effective communicator. Expect to speak to others in writing and in person. Know how you want to say what needs to be said, so that the message is as effective as possible.
Next, you may bury yourself in your employer’s investments, ensuring they are gaining, not losing money. From there, you’ll probably troubleshoot an error in a balance sheet. Because you aren’t involved in the daily financial transactions, you’ll be expected to have a strong idea of what is going on with the numbers the accounting department handles. Expect to be technologically savvy—much of the work you’ll do will be on the computer.
As you look at specific job responsibilities, these include establishing a budget, managing the accounting department, maintaining a good system of controls, overseeing the use of assets, keeping the chart of accounts and general ledger, supervising the accounting processes and transactions, ensuring that all policies and procedures are followed, helping out with audits, producing and completing financial reports, supervising accounts payable and keeping track of, and reporting, fraud, waste or abuse of your employer’s financial assets.
Education and Degree Options
When you become a comptroller, you should have a bachelor’s degree in accounting; a graduate degree in either accounting or business will make you even more attractive to employers. Holding your Certified Public Accountant certification may be required, if you want to work in this position.
Some organizations will hire applicants who hold certification as Chartered Financial Analysts, Certified Government Financial Managers or Chartered Financial Analysts. All comptrollers are required to keep their educations current with continuing education hours—this is a requirement for annual licensure.
Certification, Credentials and Licensure
Once you’ve earned your bachelor’s degree in accounting, and you have taken courses that lead to certification as a Certified Public Accountant, a Chartered Financial Analyst or Certified Management Accountant, you’ll be able to apply for certification as a comptroller.
Two other avenues to comptroller certification include Certified Government Financial Manager and Certified Internal Auditor.
Successful comptrollers are able to “show their chops” as they carry out duties and carry out tasks assigned by the highest executives in their organizations. You won’t receive a physical certificate when you develop the credentials you need. Instead, you’ll be ready with the knowledge you need to keep your organization’s finances and investments in the black.
You’ll also have to acquire the related management and organizational skills that enable you to encourage, motivate and manage your team. By demonstrating that you know what you’re doing, you’ll be able to get the work you need out of your bookkeepers and accountants.
If you’re still working on becoming the comptroller in your organization, learn what you’ll need to do to advance into this role. The work of a comptroller is highly analytical; you’ll have to have a deep knowledge of both business and accounting concepts—enough that, if you begin to take on some of the responsibilities of a comptroller, you can make the investment decisions necessary. You’ll also need to look at and interpret the organizational budget, explaining what you see and what you would do with certain entries. You’ll also need to explain why you gave the option you did.
Can you look at your organization’s budget and develop realistic outcomes, then explain them to the C-suite executives? To do this well, you’ll need to demonstrate how various accounting and budget processes work. You’ll also have to be able to explain how the numbers are calculated.
And, if you aspire to the comptroller’s position, you’ll have to develop your leadership stills. Take managerial finance, business leadership and behavioral studies as well.
It never hurts to seek out a more-experienced mentor, especially if you aren’t close to an educational institution that offers the classes you’ll need to take.
If earning your MBA isn’t an option, check out the requirements for becoming a Chartered Financial Analyst (CFA) or Certified Management Accountant (CMA). Both of these are also reliable pathways toward being hired as a comptroller in your organization.
All of this work won’t get the results you want right away. Instead, you’ll need to work, learn and study for several years. Keep your eyes open to the different financial, accounting and investment openings within your organization. As openings happen, apply to them and, if you’re hired, learn the job functions as well as you can. Take in everything you can about each process.
Keep one word in mind: experience. While you may hold some high-powered degrees, experience in the accounting field takes precedence over most degrees. If you’re fairly competent with computers and software, it’ll only help you to become familiar with financial management software. Most (if not all) accounting firms rely on accounting software packages. Learn a few of these, become comfortable with them and
demonstrate your ability in using them to create spreadsheets, balance sheets and other documents you need to carry out your daily accounting work.
Another possible pathway: work for one of the Big Four firms (PricewaterhouseCoopers, Deloitte & Touche, Ernst & Young, KPMG and Arthur Andersen). Work in at least one of these organizations, gain the knowledge and experience you need in the investment and accounting fields so that, when the time is right, you’ll be able to apply for a comptroller position with confidence.
If you are already working as an assistant to the comptroller in your organization, use this as a way into the comptroller’s office when the position is going to be vacant. Prove your value to the current comptroller by doing your work in whatever role you hold. Let the current comptroller know that, when you are ready, you’ll be able to take the reins. In this way, you’ll be able to show that you have the credentials necessary to the position.