What does a Financial Auditor do?
Published 4 min read
A financial auditor is an individual who is responsible for examining the financial records of a company to ensure that they are accurate and compliant with applicable laws and regulations. The auditor may also provide recommendations for improving the company's financial practices.
Financial Auditor job duties include:
- Examine financial statements and other reports to ensure accuracy and compliance with laws and regulations
- Plan and conduct audits of businesses or organizations to assess financial operations and compliance with laws
- Identify potential areas of improvement or risk within businesses or organizations
- Evaluate internal controls and recommend changes to improve efficiency and effectiveness
- Communicate audit findings to business or organization leaders and make recommendations for corrective action
- Keep abreast of developments in the auditing field, such as new laws, regulations, and accounting standards
- Train and mentor junior auditors on best practices in auditing procedures
- Perform special audits or investigations as needed
- Prepare detailed reports of audit findings
Financial Auditor Job Requirements
A financial auditor is responsible for ensuring that an organization's financial statements are accurate and comply with applicable laws and regulations. The job requires a bachelor's degree in accounting or a related field, and many employers prefer candidates who have earned professional certification, such as Certified Public Accountant (CPA). Financial auditors typically have at least five years of experience working in accounting or auditing.
Financial Auditor Skills
- Analytical skills
- Auditing
- Communication skills
- Computer skills
- Critical thinking
- Detail oriented
- Financial analysis
- Interpersonal skills
- Organizational skills
- Problem solving
- Research skills
- Writing skills
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How to become a Financial Auditor
A financial auditor is someone who ensures that an organization's financial statements are accurate and compliant with applicable laws and regulations. Financial auditors typically have a bachelor's degree in accounting or a related field. Many organizations require financial auditors to be certified public accountants (CPAs).
To become a financial auditor, you will need to complete a four-year bachelor's degree in accounting or a related field. You will also need to pass the Uniform CPA Examination, which is administered by the American Institute of Certified Public Accountants (AICPA). Once you have passed the CPA exam, you will be required to complete continuing education credits on an annual basis to maintain your CPA license.
Organizations typically prefer to hire financial auditors who have several years of experience working in accounting or auditing. Therefore, it is advisable to gain some work experience in the accounting field before pursuing a career as a financial auditor. You may want to consider working as an intern or entry-level accountant at an accounting firm or within the accounting department of a large organization. This experience will give you the opportunity to learn about different aspects of accounting and finance, as well as develop your analytical and problem-solving skills.
Once you have gained some work experience, you can begin to specialize in financial auditing by taking additional coursework and obtaining professional certifications. The Association of Certified Fraud Examiners offers a Certified Fraud Examiner (CFE) designation, which requires completion of an exam and continuing education credits. The Institute of Internal Auditors offers the Certified Internal Auditor (CIA) designation, which also requires passing an exam and completing continuing education credits. These specialized certifications will make you more attractive to potential employers and can help you advance your career.
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