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Finance analyst/accountant vs tax analyst

The differences between finance analyst/accountants and tax analysts can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 2-4 years to become a finance analyst/accountant, becoming a tax analyst takes usually requires 1-2 years. Additionally, a finance analyst/accountant has an average salary of $62,975, which is higher than the $61,745 average annual salary of a tax analyst.

The top three skills for a finance analyst/accountant include reconciliations, financial analysis and general ledger accounts. The most important skills for a tax analyst are tax audits, reconciliations, and tax compliance.

Finance analyst/accountant vs tax analyst overview

Finance Analyst/AccountantTax Analyst
Yearly salary$62,975$61,745
Hourly rate$30.28$29.69
Growth rate6%-7%
Number of jobs118,04356,223
Job satisfaction--
Most common degreeBachelor's Degree, 75%Bachelor's Degree, 70%
Average age4448
Years of experience42

What does a finance analyst/accountant do?

In a company setting, a finance analyst/accountant is in charge of handling and monitoring financial activities, ensuring efficiency and accuracy. Their responsibilities revolve around preparing financial reports, performing audits and risk assessments, and identifying any errors and inconsistencies, resolving them promptly and efficiently. They also conduct research and analysis to identify new business opportunities, evaluate the existing procedures to determine its strengths and weaknesses, and recommend solutions to optimize operations for financial growth. Furthermore, as a finance analyst/accountant, it is essential to uphold the company's policies and regulations, including its vision and mission.

What does a tax analyst do?

A tax analyst specializes in managing and filing tax forms and tax returns, all while devising strategies to reduce tax payments legally. A tax analyst may work as a member of a company or independently. Moreover, in a company setting, the responsibilities of a tax analyst revolve around coordinating with different departments to obtain all necessary documentation and financial information, maintaining accurate and extensive records of all transactions, and resolving any issues or concerns. Furthermore, it is essential to remain updated with all the tax laws, all while adhering to the policies and regulations of the company.

Finance analyst/accountant vs tax analyst salary

Finance analyst/accountants and tax analysts have different pay scales, as shown below.

Finance Analyst/AccountantTax Analyst
Average salary$62,975$61,745
Salary rangeBetween $47,000 And $84,000Between $43,000 And $87,000
Highest paying CityNew York, NYSan Francisco, CA
Highest paying stateNew YorkMaine
Best paying companyCitiMeta
Best paying industryFinanceTechnology

Differences between finance analyst/accountant and tax analyst education

There are a few differences between a finance analyst/accountant and a tax analyst in terms of educational background:

Finance Analyst/AccountantTax Analyst
Most common degreeBachelor's Degree, 75%Bachelor's Degree, 70%
Most common majorAccountingAccounting
Most common collegeUniversity of PennsylvaniaUniversity of Southern California

Finance analyst/accountant vs tax analyst demographics

Here are the differences between finance analyst/accountants' and tax analysts' demographics:

Finance Analyst/AccountantTax Analyst
Average age4448
Gender ratioMale, 50.2% Female, 49.8%Male, 42.9% Female, 57.1%
Race ratioBlack or African American, 7.9% Unknown, 3.9% Hispanic or Latino, 10.2% Asian, 17.0% White, 60.6% American Indian and Alaska Native, 0.5%Black or African American, 13.1% Unknown, 3.4% Hispanic or Latino, 15.6% Asian, 11.1% White, 56.6% American Indian and Alaska Native, 0.3%
LGBT Percentage7%8%

Differences between finance analyst/accountant and tax analyst duties and responsibilities

Finance analyst/accountant example responsibilities.

  • Manage the full cycle finance duties including A/P, A/R, G/L and fixed-asset accounting in accordance with GAAP standards.
  • Manage all monthly accruals for outsides consultant/service providers.
  • Develop transfer prices and manage manufacturing inventory in an ERP system.
  • Utilize accounting principles to manage quarterly regulatory settlement accruals and reporting requirements.
  • Develop, maintain financial models/applications (VBA Excel/Access) to automate and streamline business processes and perform financial analysis.
  • Implement process improvement initiatives for the payroll cash account that facilitate early recognition of unrecord payroll expenses.
  • Show more

Tax analyst example responsibilities.

  • Utilize QuickBooks to manage client data and prepare necessary financial statements.
  • Own the preparation of the consolidated/worldwide provision calculations and AJE, including account reconciliations.
  • Prepare ASC 740 tax accounting calculations.
  • Input apportionment factors into OneSource tax system.
  • Correspond with taxpayers, accountants, and CPAs.
  • Assist in federal and state return preparation using OneSource software.
  • Show more

Finance analyst/accountant vs tax analyst skills

Common finance analyst/accountant skills
  • Reconciliations, 9%
  • Financial Analysis, 8%
  • General Ledger Accounts, 4%
  • Payroll, 4%
  • External Auditors, 4%
  • GAAP, 4%
Common tax analyst skills
  • Tax Audits, 6%
  • Reconciliations, 4%
  • Tax Compliance, 4%
  • Tax Payments, 4%
  • Tax Software, 4%
  • Income Tax Returns, 4%

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