FINANCIAL PERFORMANCE – CFO, Financial Officer Pay Up Sharply
The total average salary compensation for all financial professionals is 8.5% higher.
The survey, conducted by the Association for Financial Professionals (AFP), formerly the Treasury Management Association found that total average salary for CFOs was $175,870:
- Average compensation: $142,898
- Average bonus: $33,548
- Average deferred compensation: $6,733
The survey also noted that the positions of president/CEO saw a 13% increase, while vice president-finance was 10.8% higher and assistant vice president-finance rose 11.8%, on average, compared with a 2.7% rate of inflation as measured by the consumer price index.
Those in the computer industry fared best, enjoying an average increase of 12.1%. Construction was second with 11.6% and business services/consulting 11.1%. Average annual growth in compensation within the banking sector was 8.9%.
Asked what contributed most to their increase, over half
(52%) noted a merit increase as the most important factor,
with individual performance ranked second (38%).
The survey also found:
- Nearly half (44%) of respondents have been involved in a merger/acquisition in the past three years, with more than 60% experiencing staff reductions as a result;
- Nearly half of the companies surveyed now offer hiring bonuses;
- Two-thirds of employers offer flexible workdays and daily casual business dress options;
- Those in the Northeast received higher salaries, but the 8.5% increase was less than the 9% experienced in the Southeast and West;
- Moving expenses (82%) and temporary living allowances (68%) were the most popular incentives, with nearly 40% offering to purchase a former residence in a weak housing market as a hiring incentive.
The entire survey, complete with charts and graphs, is available at http://www.afponline.org/library/compsrvy00.pdf .