Career Exploration Series: How to Become a Budget Analyst

What Budget Analysts Do
Budget analysts help public and private institutions organize their finances. They prepare budget reports and monitor institutional spending.

Work Environment
Budget analysts work in offices. In 2012, about 41 percent worked in government (federal, state, and local), and others worked in universities or for private companies. Most work full time.

How to Become a Budget Analyst
A bachelor’s degree is typically required to become a budget analyst, although some employers prefer candidates with a master’s degree.

Education
Employers generally require budget analysts to have at least a bachelor's degree. However, some employers may require candidates to have a master’s degree. Because developing a budget requires strong numerical and analytical skills, courses in statistics or accounting are helpful. For the federal government, a bachelor's degree in any field is enough for an entry-level budget analyst position.

State and local governments have varying requirements but usually require a bachelor's degree in one of many areas, such as accounting, finance, business, public administration, economics, statistics, political science, or sociology.

Sometimes, budget-related or finance-related work experience can be substituted for formal education.

Licenses, Certifications, and Registrations
Government budget analysts may earn the Certified Government Financial Manager credential from the Association of Government Accountants. To earn this certification, candidates must have a minimum of a bachelor's degree, 24 credit hours of study in financial management, 2 years of professional-level experience in governmental financial management, and they must pass a series of exams. To keep the certification, budget analysts must take 80 hours of continuing education every 2 years.

Advancement
Entry-level budget analysts begin with limited responsibilities, but advancement is common. As analysts gain experience, they have the opportunity to advance to intermediate and senior budget analyst positions.

Important Qualities

Analytical skills. Budget analysts must be able to process a variety of information, evaluate costs and benefits, and solve complex problems.

Communication skills. Budget analysts need strong communication skills because they often have to explain and defend their analyses and recommendations in meetings and legislative committee hearings.

Detail oriented. Creating an efficient budget requires careful analysis of each budget item.
Math skills. Most budget analysts need math skills and should be able to use certain software, including spreadsheets, database functions, and financial analysis programs.

Writing skills. Budget analysts must present technical information in writing that is understandable for the intended audience.

Pay
The median annual wage for budget analysts was $69,280 in May 2012.

Job Outlook
Employment of budget analysts is projected to grow 6 percent from 2012 to 2022, slower than the average for all occupations. The complexity of budget analysis will require more analysts, but employment growth is expected to be tempered by limited government spending.