What Is Finance? And Should You Get a Job in It?

The finance field is booming.

Finance, in broad terms, is the management of money. That could mean working as a personal financial advisor or as a manager for a business. In general, finance involves managing portfolios, overseeing an organization’s investments, mitigating risks and promoting growth.

Business and finance jobs are expected to grow faster than average over the next decade, according to the Bureau of Labor Statistics (BLS), with a host of high-paying jobs earning wages in excess of $100,000 annually.

Finance is a key skill regardless of your business sector. Whether you want to start your own business or become a financial manager, read on to learn more about the vast and fast-growing field of finance.

The financial services industry is broad in and of itself.

That wide field includes banks, investment firms, clearing houses, insurance companies, and other financial entities. It also includes the burgeoning field of financial technology, or fintech, which is set for meteoric growth over the next decade. In fact, the Boston Consulting Group and QED investors projected in 2023 that fintech revenues would grow from $245 billion to $1.5 trillion by 2030.

Working in the financial sector could entail managing clients’ portfolios, consulting individuals on their financial options, working at an investment firm, and much more.

But you can do much more with finance than working in the financial services sector itself. Every business has its own finances to deal with. From large corporations to smaller local businesses, having an in-house financial department is key to the success and growth of many organizations.

Many types of people work in finance, but most possess a moderate-to-high level of analytical, math, and problem-solving skills. The work usually calls for detail-oriented professionals familiar with computers and technology. While most occupations feature independent work, financial professionals are often good communicators with strong interpersonal or sales skills.

The attractive salaries and growth potential make finance a competitive sector. After completing a bachelor’s degree to meet the typical minimum requirements, professionals need to regularly update their education and knowledge to stay up-to-date in the industry. Finance hours vary, but most work 40+ hour full-time jobs in office environments.

The career path in finance varies for every individual, but a bachelor’s degree in finance or a related subject qualifies graduates for entry-level jobs as personal financial advisors, financial examiners, or accountants.

According to the Bureau of Labor Statistics (BLS), the median annual salary for business and financial occupations was $79,550 in May 2023 and was growing faster than average.

Accessing the mid-level and senior-level positions may require professional experience or more advanced education, such as a master’s in finance, an MBA degree, or graduate certificates in finance. Advanced finance degree programs can also lead to professional certifications and credentials, which help professionals negotiate higher salaries.

To learn more about working in finance, check out our guide on how to become a financier.

Emerging technologies like AI are set to shake up the future of finance, but that hasn’t stopped the resounding number of job openings projected in the field yearly.

The BLS projects that there will be 911,400 openings in business and financial occupations every year on average over the next decade. That figure is further buoyed by the fintech sector, which embraces those technologies and incorporates them into both personal and business finance.

A growing number of colleges and universities are embracing fintech certificates and short-term financial training to help prepare you for the field. That means you can train in finance without leaving your current career, and gain the necessary skills to make key decisions about money.