Accounting vs. Finance: Which Degree Should You Pursue? (2024)

Accounting vs. Finance: Which Degree Should You Pursue?

Written by: Wilson College • Feb 28, 2023

Accounting and finance degrees both offer opportunities for a thriving career. Which one should you choose? Starting salaries for those with a bachelor’s degree in finance are slightly higher than for those with a bachelor’s degree in accounting. However, the difference is slight, and the gap quickly closes as the careers progress.

Additionally, both degrees work with numbers and often with the people who have questions about those numbers. With so many similarities in the accounting vs. finance discussion, it may be best to look for the differences to help make a decision. Finding those small differences makes it easier to see which track is the right choice, depending on preferences and goals for the future.

Accounting vs. Finance Program Curriculum

The curricula in programs for accounting and finance degrees are similar in many ways, but key differences exist.

What Is the Main Difference Between Accounting and Finance Degrees?

The biggest difference between accounting and finance degrees is that a finance degree focuses on planning, managing, and analyzing monetary and financial aspects of businesses and other organizations, while an accounting degree offers students an opportunity to develop their accounting and managerial abilities. This difference may seem subtle, but it can be significant when it comes to the exact kind of work a graduate from one of these programs will perform.

What Can You Learn in an Accounting Program vs. a Finance Program?

In an accounting program, students can expect to learn information such as:

Cost accounting
Managerial accounting
Tax accounting
Generally accepted accounting principles (GAAP)
International reporting standards

After earning a degree, many graduates pursue Certified Public Accountant (CPA) or Certified Management Accountant (CMA) certification.

While finance programs do teach students the fundamentals of accounting, they focus more on topics such as:

Statistics
Economics
Econometrics
Portfolio management
Corporate finance
International finance
Financial reporting

Finance graduates may then choose to specialize in an area of work, such as becoming certified financial planners (CFPs).

How Long Does It Take to Get an Accounting Degree or a Finance Degree?

One consideration when choosing between an accounting and a finance degree might be the length of time that the different programs take. Here, the two are equal: It generally takes four years to earn either degree.

Accounting vs. Finance Careers and Salaries

When choosing a career, students should consider salary, alongside other factors. While compensation varies based on numerous factors, such as education level, experience, and industry, salaries for accounting vs. finance graduates are quite similar, particularly early in their careers, according to Payscale.

What Can You Do With an Accounting Degree?

Below are some popular, rewarding careers that an accounting degree can lead to.

Certified Public Accountant

CPAs perform many types of accounting services. They may work with individuals, businesses, nonprofit organizations, or government agencies. They may focus on specific areas of accounting, such as government, public, forensic, and corporate.

The median annual salary for CPAs was approximately $71,000 in November 2022, according to Payscale.

Tax Accountant

Tax accountants use their deep knowledge of tax laws to help people and organizations address tax issues and file forms properly. They can also help and advise clients through audits.

The median annual salary for tax accountants was approximately $58,000 in November 2022, according to Payscale.

Auditor

Auditors review financial records to ensure that they’re accurate and that they comply with regulations and laws for the area and industry. Internal auditors work for organizations themselves to ensure that they’re in compliance and operating legally and ethically, while external auditors work for governing bodies to identify possible violations.

The median annual salary for auditors was approximately $59,000 in November 2022, according to Payscale.

What Can You Do With a Finance Degree?

Much like accounting degree graduates, finance degree graduates can pursue a wide range of careers.

Financial Analyst

Financial analysts monitor data and conduct research on economic conditions to make recommendations about how a company can improve its profits.

Personal Financial Advisor

Personal financial advisors assess their clients’ liabilities, assets, and financial goals, and make financial plans that are tailored to their needs. These professionals also monitor their clients’ accounts.

The median annual salary for personal financial advisors was approximately $62,000 in November 2022, according to Payscale.

Budget Analyst

Budget analysts help organizations track spending. They also review proposed budgets and develop new ones as they look for ways to increase a company’s productivity and profits.

The median annual salary for budget analysts was approximately $63,000 in November 2022, according to Payscale.

Discover the Ways an Accounting Degree or Finance Degree Can Improve Your Career

Careers in accounting and finance can be both rewarding and challenging. Wilson College Online incorporates a financial foundation with a liberal arts education to produce graduates who understand the international and ethical climate of today’s business world. With both an online Bachelor of Science in Accounting and an online Bachelor of Arts in Finance, Wilson College Online prepares students for a range of business careers. Find out how Wilson College Online can help you take the next step on your path today.

Sources:

Association of International Certified Professional Accountants, Certified Public Accountant (CPA)

Becker, “Finance vs. Accounting Degree: Which Major Should I Choose?”

Investopedia, “Forensic Accounting: What It Is, How It’s Used”

Investopedia, “What Does a Financial Advisor Do?”

Payscale, Average Auditor Salary

Payscale, Average Budget Analyst Salary

Payscale, Average Certified Public Accountant (CPA) Salary

Payscale, Average Financial Advisor Salary

Payscale, Average Financial Analyst Salary

Payscale, Average Tax Accountant Salary

Payscale, Highest Paying Jobs With a Bachelor’s Degree — Accounting

Payscale, Highest Paying Jobs With a Bachelor’s Degree — Finance

U.S. Bureau of Labor Statistics, Accountants and Auditors

FAQs

Accounting vs. Finance: Which Degree Should You Pursue? ›

Both degrees can provide a path to a finance career. Although a finance degree is broader, many companies employ finance professionals who are accounting majors. Both careers deal with numbers and data as the primary sources of information to make their statements and reach their conclusions.

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Is it better to get a degree in finance or accounting? ›

Both finance and accounting degrees offer a range of well-paying job prospects. That said, the average starting salary is slightly higher for finance vs accounting degrees.

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Is accounting the most useful degree? ›

An accounting degree lays the foundation for many careers in business, including entrepreneurial ones. Once you gain experience and establish business contacts, you may consider starting your own business. Whether in tax accounting or consulting, you can pursue several avenues with an accounting background.

What is the difference between accounting and finance degree and finance degree? ›

While they might get bundled together and are often confused with one another, each is a separate and equally important part of running a business. To put it very simply; accounting is about money that has been spent, and finance is about money that will be spent.

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Which pays more finance or accounting? ›

Salary expectations

In an analysis of the top-paid business majors for US graduates, NACE (the National Association of Colleges and Employers) reported that starting salaries for accounting majors in the US averaged US$57,511, while finance majors started at a slightly higher salary of US$58,464.

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Is finance degree still worth it? ›

Finance degree jobs can provide relatively high pay, stability, opportunities for advancement and consistent demand projections. Careers in finance may also offer flexibility for employees by allowing them to work remotely or in hybrid environments.

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How to choose between finance and accounting? ›

Accounting is a narrower field that focuses on professional processes to manage numbers and accounts, while finance uses the same information to analyze potential growth patterns in order to strategize company finances. Although these fields sound similar and utilize similar skills, they have their differences.

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What is the highest paid job in accounting or finance? ›

Highest-paying finance jobs

Financial adviser.
Senior accountant.
Investment banker.
Hedge fund manager.
Financial analyst.
Information technology auditor.
Financial software developer.
Private equity associate.

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Can a finance major be an accountant? ›

Can you get a CPA with a finance degree? Yes, you can get a CPA with a finance degree. In order to sit for the CPA exam, you will need to have completed a bachelor's degree in accounting or another business related field. A bachelor's degree in finance will qualify you to sit for the CPA exam.

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Should I get a BA or BS in accounting? ›

While multiple fields of study can lead to a career as an accountant, earning a bachelor of science in accounting is the most direct option. Students who study accounting learn the fundamentals of accounting principles, auditing procedures, and taxation laws.

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Is an accounting degree worth it without CPA? ›

“For those more advanced roles, a degree in accounting or finance is often preferred.” But a proven track record can outweigh even the CPA credential. “I've seen senior accountants without CPAs who have 10 years of experience move into accounting manager and controller level roles,” says Campman.

Which accounting degree pays the most? ›

Top 10 Highest Paying Accounting Careers

1) Financial Controller.
2) CMA (Certified Management Accountant)
3) Chartered Accountant.
4) Bank Branch Manager.
5) CGA (Certified General Accountant)
6) Senior Accountant.
7) Financial Analyst.
8) Credit Supervisor.

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Oct 31, 2022

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How do I know if accounting is right for me? ›

Examine your interests and skills to determine which accounting career resonates with you the most. Consider areas where you excel—like financial analysis, problem-solving, or attention to detail. This will help you choose a path that aligns with your natural abilities.

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Are finance and accounting degrees interchangeable? ›

However, the terms are not interchangeable. Anyone interested in launching a career in one of these fields will need to understand the difference between finance and accounting, as this will allow them to choose a degree program that suits their strengths, individual passions, and long-term career goals.

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Will accounting be replaced by AI? ›

The Big Four accounting firms are investing heavily in generative artificialintelligence (AI), but the technology will not replace accountants, Accounting Today reported. Instead, AI will augment their productivity and efficiency by taking over mundane tasks such as data entry.