Accounting vs. Finance: Choosing the Right Degree for You

Find out whether an accounting degree or a finance degree is better suited for your professional goals and interests with an overview of each program, potential jobs for graduates, and the key differences between the two degrees.

Determining whether an accounting degree or finance degree is best for you requires you to consider your career goals and strengths.

Although both accountants and finance professionals work with financial information and play a key role in business decision-making, they each offer a unique skill set in the financial services they provide.

Accounting vs. Finance Degree: Determining Which Is Best for You

Having an overview of what to expect from finance and accounting degrees and your potential career options after graduating can help you determine which program is best for you.

Finance Degrees

Finance degrees cover the complexities of money management, giving students an understanding of financial principles and concepts. The skills taught in a finance degree help prepare graduates for careers in corporate finance, banking, and even investing.

What Is Finance?

Finance is a branch of economics based on the science of managing money and how individuals and companies make and use funds. It focuses on managing, dispersing, and investing financial resources.

What Will I Learn with a Finance Degree?

A finance degree will give you an in-depth understanding of financial planning and management with courses like corporate finance, risk management, and managerial accounting. Finance graduates will have an understanding of financial markets and how to forecast economic trends.

Degree programs also teach students about global and local economies and cover the business ethics and legal practices involved in forming financial strategies. Since working with financial data involves mathematical skills, you can expect to take classes like statistics and algebra to help you analyze complex data and make strategic decisions.

Finance Degree Specializations

Having a finance degree specialization helps your career by showcasing your area of expertise for potential employers. It adds a focus to your education and enhances the skills needed for providing various financial services.

Finance degree specializations include:

corporate finance
fintech
real estate investment
wealth management
financial planning

Finance Career Paths

A finance education can be applied to a wide variety of roles. A foundational understanding of financial principles allows finance graduates to excel in entry-level roles and advance their careers to reach better opportunities.

Some career options in finance are:

Accounting Degrees

Accounting degrees provide students with the knowledge needed for interpreting financial data and managing cash flow for individuals or whole organizations. It covers the skills needed for analyzing financial statements, accurately maintaining financial records, and creating effective budgets.

What Is Accounting?

Accounting deals with understanding financial data and is the process of accurately recording, maintaining, and analyzing finances to track expenses, budget, and develop successful financial strategies.

What Will I Learn with an Accounting Degree?

A Bachelor of Science in accounting gives students an understanding of fundamental accounting skills like preparing tax returns and financial analysis. Coursework covers the generally accepted accounting principles (GAAP) which ensure ethical practices when recording financial transactions. You can also expect to learn about tax law, budget development, and auditing.

A bachelor's degree also prepares you for the CPA exam if you choose to get a certified public accountant license. Some master's degrees include a CPA certification track that allows you to take the exam in the last semester.

Accounting Degree Specializations

When you earn an accounting degree, adding a specialization highlights your areas of expertise and helps you stand out to employers.

Some accounting specializations are:

management accounting
auditing and tax accounting
forensic accounting
information systems

Accounting Career Paths

Accounting opens the door to many career paths and qualifies you to earn additional licenses for more high-paying job opportunities after gaining work experience. Career opportunities for accounting graduates are available in public accounting firms, government agencies, insurance companies, and businesses. Their roles involve bookkeeping, payroll, organizing financial records, and maintaining balance sheets.

Jobs for accounting professionals include:

How To Choose the Right Degree

To choose the right degree, it can be a good idea to look into the career options available and what each one involves. Considering your skills and salary expectations can help you make the right choice. The U.S. Bureau of Labor Statistics (BLS) lists salary statistics and job growth projections which can help you decide which degree is right for your goals.

What are the Key Differences Between Accounting and Finance Degrees?

Some roles in accounting and finance overlap in the business world, like financial consultants and financial management, but there are key differences in the specific daily tasks that separate the two degrees.

Finance degrees:

focus on investment strategies and portfolio management
cover the process of forecasting finance conditions with market analysis and economic trends
involve more complex math courses for quantitative analysis

Accounting degrees:

heavily focus on recording, managing, and reporting financial transactions
covers tax preparation and auditing
prepares you to take the CPA exam

FAQs About Finance and Accounting Degrees

These frequently asked questions can help you make a more informed decision about which degree is the best option for your goals and strengths.

Is It Better To Major in Finance or Accounting?

Considering your career goals and personal interests will help you decide if it is better to major in finance or accounting. If you want to work in corporate finance or deal with investments and banking, then your career would benefit most from having a finance major. On the other hand, if you are interested in analyzing financial data and reports or helping people prepare taxes, an accounting major will be better suited for your career goals.

Which Degree Is Harder To Pursue?

Depending on your academic strengths, a finance degree is harder to pursue than an accounting degree. A finance degree will include advanced math courses in topics like statistical methods to prepare you to interpret financial data with quantitative analysis, a complex method used to evaluate and understand financial trends and make informed decisions.

An accounting degree gives you a broad understanding of finance principles, but to highlight your expertise during your career you can earn licenses and credentials. Becoming a CPA (certified public accountant) or CMA (certified managerial accountant) requires you to take exams, which is a factor that can make an accounting degree seem harder to pursue.

How Can I Make a Finance or Accounting Degree More Affordable?

You can make a finance or accounting degree more affordable in a number of ways.

Accelerated Programs

Accelerated degrees and competency-based programs allow you to move through degree programs at a faster pace, saving you more money from less time spent paying tuition.

Online Programs

Another popular option to make a finance or accounting degree more affordable is attending an online program. Many traditional, on-campus schools give you the option to take courses online. They generally have a lower tuition cost than in-person classes and operate on a more flexible schedule.

Aside from being more affordable, their convenience makes it easier for you to continue working and earning money while also earning your degree. Some of the best online accounting degrees and most affordable online finance degrees are great options for completing your degree of choice.