Cost analysts are mainly responsible for gathering financial data and analyzing them to find discrepancies and inefficiencies. They perform these tasks to reduce costs and understand how markets are performing in the industry. They conduct market research and utilize different financial software to analyze and track organizational expenses.
Cost analysts earn a median salary of $61,000 annually or $29 per hour. Cost analysts serve as the bridge between the accounting department, customers, managers, and any other department involved in an endeavor's finances. They keep records of daily accounting and bookkeeping duties while reviewing these assessments with project stakeholders to monitor costs and keep them in line with the original budget.
Due to the nature of the job, cost analysts are required to possess excellent math, accounting, and analytical skills to succeed. In terms of academic qualifications, cost analysts have a bachelor's degree with strong business or financial training, such as finance, accounting, or business administration. Employers prefer candidates with an aptitude to succeed in a thriving and deadline-oriented environment. They are also expected to have some years of proven experience as an analyst in supply chain or finance.
There is more than meets the eye when it comes to being a cost analyst. For example, did you know that they make an average of $24.66 an hour? That's $51,301 a year!
Between 2018 and 2028, the career is expected to grow 4% and produce 2,400 job opportunities across the U.S.
There are certain skills that many cost analysts have in order to accomplish their responsibilities. By taking a look through resumes, we were able to narrow down the most common skills for a person in this position. We discovered that a lot of resumes listed writing skills, analytical skills and communication skills.
When it comes to the most important skills required to be a cost analyst, we found that a lot of resumes listed 11.7% of cost analysts included financial statements, while 7.5% of resumes included cost analysis, and 6.1% of resumes included cost estimates. Hard skills like these are helpful to have when it comes to performing essential job responsibilities.
When it comes to searching for a job, many search for a key term or phrase. Instead, it might be more helpful to search by industry, as you might be missing jobs that you never thought about in industries that you didn't even think offered positions related to the cost analyst job title. But what industry to start with? Most cost analysts actually find jobs in the manufacturing and technology industries.
If you're interested in becoming a cost analyst, one of the first things to consider is how much education you need. We've determined that 53.7% of cost analysts have a bachelor's degree. In terms of higher education levels, we found that 30.1% of cost analysts have master's degrees. Even though most cost analysts have a college degree, it's possible to become one with only a high school degree or GED.
Choosing the right major is always an important step when researching how to become a cost analyst. When we researched the most common majors for a cost analyst, we found that they most commonly earn bachelor's degree degrees or master's degree degrees. Other degrees that we often see on cost analyst resumes include associate degree degrees or high school diploma degrees.
You may find that experience in other jobs will help you become a cost analyst. In fact, many cost analyst jobs require experience in a role such as finance analyst. Meanwhile, many cost analysts also have previous career experience in roles such as cost accountant or accountant.