How to Become a Budget Analyst

About Budget Analyst

As the name suggests, budget analysts help organization and companies to keep their budgets and finances on track and to maintain a balanced budget. They help to keep company finances organized by running regular financial reports, collaborating with executives about funding needs and assessing budget decisions about special programs or one-time expenses. They are expert in crunching number help organizations to plan their finances for future

In a private organization, a budget analyst will also review the budget and look for new to increase the profits and improve efficiency. Whereas in government organization and NPOs where profit is not a concern, budget analysts will typically allocate the funds among different departments.

Responsibilities of a Budget Analyst

• Work with program and project managers to develop the organization's budget
• Combine all the program and department budgets together into a consolidated organizational budget and review all funding requests for merit
• Help the chief operations officer, agency head, or other top managers analyze proposed plans and find alternatives if the projected results are unsatisfactory
• Monitor organizational spending to ensure that it is within budget
• Inform program managers of the status and availability of funds
• Estimate future financial needs

Skills Required to be a Budget Analyst

• Analytical Skills
• Communication Skills
• Aptitude for maths and calculus
• Detail Oriented
• Financial Management and Financial Analysis
• Financial Reporting and Forecasting

Apart from providing technical analysis, they also help in effective communication so that an organization achieves its goals smoothly. For instance, if there is a difference between the approved budget and actual spending, budget analysts may write a report explaining the variations and recommend changes to reconcile the differences.

Eligibility to become Budget Analyst

To become a budget analyst, the candidate must have a bachelor’s degree in Finance or business administration after that a master’s degree is mandatory as it helps you bag good job opportunities.

However, with increasing competition, many companies also ask for certification. It helps boost your career prospects. Candidates can opt for certifications like Chartered Financial Analyst (CFA).

Apart from the educational requirements, a budget analyst must have in-depth knowledge of mathematical, budgetary policies and superior analytical skills.

Fees To Become a Budget Analyst

The fees for the MBA to become a budget analyst varies from college to college. The fees range can be between Rs.2,00,000 and can go up to Rs.20,00,000. 

Types of Job Roles Budget Analyst

There are immense job profiles available for the budget analyst. Aspirants planning to make a career in the same have diverse roles to choose as the finance sector is very huge and all the job profiles are interrelated. Some of the popular job profiles for budget analysts are listed below:

Financial Analysts: Financial analysts collect and analyse financial data and use their findings to help companies make business decisions. They majorly deal in investment and take important decisions to buy or sell a company’s stock and shares on the basis of its previous performance and other factors.

Auditors: Auditors are professionals who prepare and examine financial records. They ensure that financial records are accurate and that a companies taxes and returns are paid properly and on time. Accountants and auditors assess financial operations and work to help ensure that organizations run efficiently.

Economists: They study the cost, production and distribution of resources, goods, and services by collecting and analyse the data. They also examine and study the demand and supply of the goods

Business Analysts: The analyst works with the business to identify opportunities for improvement in business operations and processes The analyst is involved in the design or modification of business systems or IT systems

Financial Managers: Their job is to manage the finances of an organization. They produce financial reports, direct investment activities, and develop strategies and plans for the long-term financial goals of the respective organization.

Employment Opportunities for Budget Analysts

The industries that offer employment opportunities to budget analysts are as follows:

• Education
• Healthcare/Hospitals
• Technical Services
• Manufacturing
• Insurance
• Investment Advisory
• Stock Broking
• Portfolio Management
• Defence

Top Recruiting Companies for Budget Analyst 

The finances and budget has a great impact on the economy and helps boost economic growth. In the past few years, the Indian economy has gone through a phenomenal and many new MNCs/ corporates has come up with their offices all over the country. Some of the popular companies that hire budget analysts are as follows:

• L&T Finance Limited
• ICICI Group
• Reserve Bank of India
• Deloitte
• KPMG
• Housing Development Finance Corporation
• Birla Global Finance Limited

Pay Scale/Salary of Budget Analyst

The budget analyst is offered great salary packages. With sufficient professional experience, they can easily fetch a six-figure salary. The starting salary of a budget analyst in India is between Rs. 7,00,000  to Rs.10,00,000 and it increases with time and professional growth.

Books & Study Material to Become Budget Analyst

Candidates looking forward to making a career as a budget analyst need to update their knowledge and skills from time to time. This is because the monetary and budgetary policies are going through changes every day. They are a number of budgetary and finance books available in the market and some of the best books and study material for budget analysts are listed below:

• Budgeting: A Comprehensive Guide Third Edition by Steven M. Bragg
• Financial Intelligence, Revised Edition: by Karen Berman
• Financial Forecasting, Analysis and Modelling Michael Samonas
• Ultimate Spartan Budgeting And Minimalism by Cyrus Kirkpatrick
• Successful Budgeting and Forecasting in a Week by Roger Nason

Pros of becoming a Budget Analyst

• Budget analysts is a career involving finances and it is one of the strongest industry. Once you gain experience, you can easily fetch a six-figure salary.
• Career as a budget analyst offers you with potential growth opportunities and job profiles to choose from.
• Budget analysts and its related job profiles are always high in demand, unlike other professions where demand fluctuates over years.
• The job involves different experience and you get to meet interesting people and travel worldwide.  
• Since you are directly involved in the budgetary and monetary policies it makes it a very respectable job.

Cons of becoming a Budget Analyst

• Career as a budget analyst can be very hectic. During heavy workload especially during the budget season, you may have to take work home.
• To become a budget analyst you have to put in years of study and attain many certifications.
• The job has got a lot to do with numbers and calculations which can be extremely boring and monotonous at times.