How to Become an Actuary

Actuaries use statistics and mathematics to assess economic risk. They employ their knowledge of financial theory and statistics to minimize risk to businesses and other organizations. These professionals most commonly work for insurance companies, but they can also find work with government agencies or as contract workers.

Before becoming an actuary, professionals must complete a bachelor’s degree and a lengthy certification process. Many actuaries spend multiple years passing a minimum of seven certification exams. A career in actuarial science can be an excellent fit for people with strong analytical and business skills who are invested in becoming an actuary.

Learn about start dates, transferring credits, availability of financial aid, and more by contacting the universities below.

The process of becoming an actuary takes years. Actuaries must hold a bachelor’s degree and complete a lengthy certification process.

We spoke with Actuary Steven Walker on what it’s like to become an actuary. He explains, “Getting into an actuarial career can begin with any bachelor’s degree. Most actuaries major in mathematics, actuarial science, statistics, or another analytical field. Professional certification requires coursework in economics, statistics, and corporate finance.”

A bachelor’s degree meets the entry-level educational requirement for actuarial science jobs. Undergraduates can major in actuarial science or a related major like business management, economics, statistics, or finance bachelor’s.

As an undergraduate, prospective actuaries can start preparing for the workforce. Make sure to emphasize soft skills in addition to technical skills. Consider an internship to gain hands-on certification. Future actuaries can begin the certification process while earning their degree. Many students pass 1-2 certification exams before graduation.

The average net price for a bachelor’s program ranges from $10,000-$25,000 per year, according to 2022-2023 data from the National Center for Education Statistics.

With a bachelor’s degree, graduates can apply for entry-level actuarial science jobs. Common job titles include actuarial associate and actuarial analyst. In these entry-level roles, actuaries complete their certification requirements. Many employers sponsor candidates during the exam process, which can include covering exam fees.

Graduates struggling to find a job can focus on networking opportunities or consider a professional internship. Some colleges also offer career bridge programs.

Early career actuaries report salaries of around $66,000-$88,000 per year, according to May 2024 Payscale data.

Early career actuaries can boost their earning potential with a master’s degree in actuarial science. This step can benefit actuaries who complete the associate-level certification process, which typically takes 4-7 years. A master’s in finance, mathematics, or statistics can also help actuaries.

Actuaries can also consider graduate school alternatives like professional development or advancing their certification to the fellow level.

Before applying to graduate programs, consider the return on investment. In 2021-2022, graduate students spent over $20,000 per year on tuition and fees, according to NCES data. Actuaries can talk to a mentor or career advisor about whether graduate school makes sense for their career goals.

Actuaries close to completing the certification process can work as senior actuarial analysts. With certification, they move into senior roles, such as partner or consultant. Some pursue management positions like actuarial manager. With experience, professionals can become chief actuaries or chief risk officers.

An actuary typically earns around $100,000 per year, according to Payscale and BLS data. Actuarial managers report an average salary of $135,769 per year as of March 2024 Payscale data.

Careers in actuarial science require continuing education. The certification process includes fulfilling continuing education requirements, and actuaries must stay current in the field. “I need to meet continuing education requirements regularly to maintain my actuarial certification or license,” explained Walker.

Actuaries specialize in many areas, including property insurance, life insurance, financial risk, and retirement planning. Preparing for specialized certification exams helps actuaries stay current. Actuaries can also consider a doctorate in actuarial science to move into research and academic roles.

After meeting educational requirements, actuaries also pursue professional certifications. The Casualty Actuarial Society (CAS) and the Society of Actuaries (SOA) offer credentials at the associate and fellow levels. CAS offers certifications for property and casualty specialists, including options for automobile, homeowners, and workers’ comp insurance. SOA offers certifications for actuaries in life insurance, investments, finance, and health insurance.

These credentials typically take several years to complete because candidates must pass 7-10 examinations. Actuaries can begin the process during their undergraduate degree and continue them under employer sponsorship.

Before becoming an actuary, consider whether the career path offers a good match for your skills. “Actuaries are thought to be extremely intelligent and numerate,” said Walker. “People will generally hold me in higher regard when it comes to numbers and finances.”

In addition, consider the following factors when choosing whether to launch an actuarial science career.

Prospective actuaries should always choose an accredited college or university. Accredited institutions meet high standards for academic excellence. They also demonstrate strong records for student learning outcomes. Students considering an online degree can find accredited online colleges.

On average, a bachelor’s degree costs around $20,000 per year in tuition and fees, according to 2021-2022 data from the NCES. On top of that, undergrads pay for other hidden costs, like textbooks or e-textbooks, supplies, and living expenses. According to the SOA, actuaries also pay hundreds of dollars per exam to become certified.

Students can lower expenses by comparing the costs of online and on-campus programs and understanding the total cost of a program. Pursuing business scholarships and identifying employers who cover certification costs also helps.

Actuaries report a median salary of $102,000, according to May 2024 data from Payscale. With experience, actuaries typically see their salaries increase. Experienced earners in the field made over $155,000 per year.