What Is a Vice President of Finance? How to Become One, Salary, Skills.

Vice presidents of finance lead and oversee a company’s finance team and its operations. Here’s what to know about a vice president of finance’s salary, needed skills and how to become one.

What Is a Vice President of Finance?

A vice president of finance is responsible for leading the finance department and makes strategic decisions about finance goals and how a company should use its revenue and profits. 

What Do Vice Presidents of Finance Do?

A vice president of finance is responsible for leading the finance department and managing accountants and other finance team members. This role makes strategic decisions about finance goals and how a company should allocate resources toward employee development, marketing and advertising. 

Vice President of Finance Responsibilities

• Oversee and manage the finance department. 
• Conduct in-depth financial analysis and reporting. 
• Ensure the company’s compliance with state and federal tax laws and regulations. 
• Set financial goals and strategy for the organization. 
• Create budgets and financial forecasts based on financial reporting. 
• Ensure the company is compliant with insurance regulations. 
• Oversee payroll, tax preparation, invoices and other accounting operations. 
• Work with company leadership on finance activities such as venture capital funding.

Day-to-Day Responsibilities of Vice President of Finance

• Coordinate with finance team members about ongoing projects, payroll and any issues that arise. 
• Keep company leaders informed on finance department performance and updates. 
• Monitor daily transactions and prepare financial reports. 

Vice President of Finance Within a Company

Vice presidents of finance are responsible for leading the finance team and overseeing its operations. They often work closely with marketing and sales to plan budgets and goals. The vice president of finance typically reports to the chief financial officer, depending on the structure of the organization. 

Importance of Vice Presidents of Finance

Vice presidents of finance use their analytical skills and accounting expertise to advise company leadership on how best to utilize resources. This role is essential to a company’s operations as they are responsible for overseeing payroll, budget planning and financial reporting and analysis. 

What Skills Are Needed to Be a Vice President of Finance?

Qualifications to Be a Vice President of Finance

• Ability to view a company’s financial performance and process through a big-picture lens. 
• Firm understanding of state and federal tax laws. 
• Firm understanding of fiscal management principles.
• A solid understanding of risk management and assessment. 
• Strong grasp on economic patterns and trends. 
• Ability to hire and train financial analysts and accountants. 

Vice President of Finance Prerequisites

• This role requires a bachelor’s degree in finance, accounting or a related field. 
• Many vice presidents of finance obtain a master’s degree in finance or business management. 
• Most vice presidents of finance are required to have 10 years of experience with three to five years of experience in a managerial role. 

Vice President of Finance Hard Skills

• Analytical skills. 
• Finance and accounting skills. 
• Business acumen.
• People management and leadership skills. 
• Critical thinking skills.

Vice President of Finance Soft Skills

• Presentation skills. 
• Strong verbal and written communication skills. 
• Organizational skills. 
• Ability to multitask. 

Tools and Programs Vice President of Finance Use

• Xero 
• FreshBooks
• QuickBooks 
• NetSuite 
• Workiva 
• Microsoft Power BI

How to Become a Vice President of Finance

Vice President of Finance Education and Experience

A vice president of finance is required to have a bachelor’s degree in finance, accounting, economics or a related field. Many people in this role also hold an MBA and other related certifications. Vice presidents of finance usually have around 10 years of experience in finance and several years of experience managing people. 

Vice President of Finance Certificates and Courses

• Chartered Financial Analyst Certification
• Certified Financial Planner 
• Certified Management Accountant (CMA)
• Certified Internal Auditor

Vice President of Finance Career Path

Vice presidents of finance usually begin their career with entry-level financial analyst and accounting roles. Some commonly held titles before becoming a vice president of finance may include senior financial analyst, finance director and controller. A vice president of finance may go on to a role like chief financial officer. 

Vice President of Finance Salary and Job Outlook

The finance field is expected to grow at a steady rate over the next several years. The project job growth rate for financial analysts, a related field, is 9 percent through 2031. 

The full compensation package for a vice president of finance depends on a variety of factors, including but not limited to the candidate’s experience and geographic location. See below for detailed information on the average vice president of finance’s salary.