Accounting V Finance (1 Viewer)

[Cookie182]

So the question arises, yet again

I know there have been previous threads, but I felt they lacked a sense of depth into the topic.

So I'll simplify the question-

If you had to pick ONE major from these two, ignoring current volatility in the labour market, which one has higher pro's. Assume equal talent from the student at both, slightly more interest though in areas of Finance (although this interest comes through diversification, purely because areas such as management accounting bring down the total level of interest in the accounting degree, yet research into the accounting standards is a major interest)

 

[velox]

Accounting as finance is really better studied as a graduate/post grad degree.

 

[Vagabond]

Accounting as you will ultimately be required to qualify to an accounting institution like CPA/CA

It's almost comparable to law, you have to know it

Jobs in finance will generally include you being trained in the area you're going for... no tertiary education needed....

 

[RDX]

In terms of job security would Accounting be better compared to Finance?

 

[blue_chameleon]

Accounting

Pro's:
- It's a profession
- Opportunities abroad
- High job security
- Demand remains [at least] constant in certain divisions (Audit)
- Exposure

Cons:
- Potentially mundane work
- Poor perceptions
- Pressures with productivity
- Ethical issues (AASB/Framework vs client pressures)
- Long hours during certain months of the year


Finance

Pro's:
- Salary
- Work tends to be more varied
- Public perception (you aren't 'boring')
- Opportunities abroad

Con's:
- Job security isn't great during a downturn
- High pressure
- Long hours
- Not a profession (qualifications)
- Ethical Issues
- Tends to be more competitive (If that's a 'con'?)

Before anyone barks at me, these are a mixture of experiences, personal opinions and second hand information. Take from it what you want, and feel free to dispute/add points.

Cookie, it's pretty vague what you're asking advice on with what has the more 'pro's, but that's probably understandible. They are similar in a lot of ways, yet different in a lot of ways too.

I guess it all boils down to what work you're interested in at the ground level. Ask around what people do in the specific areas of Accounting and Finance you're interested in, then you might have more of an idea which path to take.

In terms of job security would Accounting be better compared to Finance?

Imo, yes and no.

Your job is only as secure as your worth.

 

[Cookie182]

Accounting

Pro's:
- It's a profession
- Opportunities abroad
- High job security
- Demand remains [at least] constant in certain divisions (Audit)
- Exposure

Cons:
- Potentially mundane work
- Poor perceptions
- Pressures with productivity
- Ethical issues (AASB/Framework vs client pressures)
- Long hours during certain months of the year


Finance

Pro's:
- Salary
- Work tends to be more varied
- Public perception (you aren't 'boring')
- Opportunities abroad

Con's:
- Job security isn't great during a downturn
- High pressure
- Long hours
- Not a profession (qualifications)
- Ethical Issues
- Tends to be more competitive (If that's a 'con'?)

Before anyone barks at me, these are a mixture of experiences, personal opinions and second hand information. Take from it what you want, and feel free to dispute/add points.

Cookie, it's pretty vague what you're asking advice on with what has the more 'pro's, but that's probably understandible. They are similar in a lot of ways, yet different in a lot of ways too.

I guess it all boils down to what work you're interested in at the ground level. Ask around what people do in the specific areas of Accounting and Finance you're interested in, then you might have more of an idea which path to take.

Imo, yes and no.

Your job is only as secure as your worth.

Thank you, that was quite helpful. Financial Accounting and the standards (from an academic perspective actually interests me quite a lot), however I have a lack of interest in the accounting info systems subject + managment accounting.

Could you possibly clarrify more on what you mean by Finance not being a 'profession'? Do you mean that in the sense you can call someone who has completed accounting studies an 'accountant', yet finance lacks a specific professional title? Or, that accounting has professional bodies and qualifications like CA/CPA? Cause in that respect, Finance can lead to CFA or CFP which are pro.

 

[blue_chameleon]

Thank you, that was quite helpful. Financial Accounting and the standards (from an academic perspective actually interests me quite a lot), however I have a lack of interest in the accounting info systems subject + managment accounting.

Could you possibly clarrify more on what you mean by Finance not being a 'profession'? Do you mean that in the sense you can call someone who has completed accounting studies an 'accountant', yet finance lacks a specific professional title? Or, that accounting has professional bodies and qualifications like CA/CPA? Cause in that respect, Finance can lead to CFA or CFP which are pro.

It's seen as a 'Profession' by broader society, as with the following occupations:

- Divinity
- Medicine (+ Dentistry?)
- Law
- Engineering
- Architecture
- Accounting

...whereas finance is an industry, and as such, doesn't have specific qualifications required to be recognised. Probably not the best description i'm giving here, but hopefully you can better understand the basics of what underpins the accounting profession as opposed to the finance industry.

As you rightfully said though, there are associations in finance that you can become a member of and provide you with certain qualifications (CFP, CFA, FINSIA etc etc), however [arguably] they don't seem to hold the same clout on a broader scale. This shouldn't be what detracts you from working in finance though.

 

[Cookie182]

It's seen as a 'Profession' by broader society, as with the following occupations:

- Divinity
- Medicine (+ Dentistry?)
- Law
- Engineering
- Architecture
- Accounting

...whereas finance is an industry, and as such, doesn't have specific qualifications required to be recognised. Probably not the best description i'm giving here, but hopefully you can better understand the basics of what underpins the accounting profession as opposed to the finance industry.

As you rightfully said though, there are associations in finance that you can become a member of and provide you with certain qualifications (CFP, CFA, FINSIA etc etc), however [arguably] they don't seem to hold the same clout on a broader scale. This shouldn't be what detracts you from working in finance though.

I understand, thanks for clearing that up. Good posts on both count.