Texas Accounting Salaries: A Financial Overview

Finding accurate data on accounting salaries can be challenging, especially when looking at specific locations like Texas.

In this article, you'll get a detailed breakdown of accounting salaries across Texas, including factors that influence earning potential and future outlook.

We'll cover everything from entry-level accounting clerk salaries to compensation for experienced controllers and managers, while exploring how industry, location, credentials, and automation impact wages.

Overview of Accounting Salaries in Texas

Texas has a thriving business environment, driving strong demand for accounting professionals across various industries. Major metro areas like Dallas, Houston, and Austin offer salaries for many accounting roles that exceed national averages. However, cost of living differences can impact take-home pay.

Texas' Economic Strength Driving Demand for Accountants

• Texas has no state income tax and a business-friendly regulatory climate, attracting companies and fueling job growth
• Major industries like technology, healthcare, finance, manufacturing, construction and energy are rapidly expanding
• This business expansion requires financial oversight and analysis, spurring demand for accountants

Higher than National Average Wages for Many Roles

• Per the Bureau of Labor Statistics (BLS), Texas accountants and auditors earn an annual mean wage of $83,550 compared to the national average of $77,250
• In metro areas like Dallas and Houston, average pay exceeds $90,000 for many mid-level to senior accounting positions
• However, Texas also has a relatively low cost of living compared to other states

The Influence of Cost of Living in Lone Star, Texas on Accounting Salaries

• Texas has one of the lowest costs of living in the nation, with housing costs almost 20% below the national average
• This allows accounting salaries to stretch further compared to higher cost areas
• For example, an accountant making $70,000 in Texas would need to earn $99,000 in New York City for the same standard of living

Navigating Pay Equity and Compensation & Benefits in the Accounting Sector

• Pay equity issues exist, with women earning 79 cents for every dollar men make in accounting roles
• Competitive compensation and benefits packages are offered to attract top talent
• Packages often include health insurance, retirement plans, bonuses, flexible work schedules, and remote work options

In summary, Texas provides a beneficial environment for accounting professionals. Demand is high thanks to a strong state economy and business-friendly policies. Salaries exceed national averages, especially in major metros. And a relatively low cost of living allows wages to go further. However, pay equity gaps still persist between genders. Overall, the Lone Star State offers a bright career outlook for accountants seeking new opportunities.

How much does an accountant make in Texas?

Accountants in Texas earn competitive salaries, with plenty of room for growth and advancement. Here's a breakdown of common accounting roles and average salaries in the Lone Star State:

Annual Salary

• Top Earners (75th Percentile): $73,100
• Average: $64,350
• 25th Percentile: $49,800

Hourly Wage

• Top Earners (75th Percentile): $35
• Average: $31
• 25th Percentile: $24

Salaries can vary significantly depending on factors like:

• Location (major metros pay more)
• Years of experience
• Specific accounting niche (tax, audit, etc.)
• Industry (energy and tech generally pay better)
• Company size and type

The Bureau of Labor Statistics projects 11% job growth for accountants in Texas through 2026, faster than the national average. This steady demand makes accounting a stable career path in the state.

With the right credentials and specialization, six-figure accounting salaries are attainable for experienced professionals in Texas' major metro areas. However, even entry-level accountants make decent wages to start.

Overall Texas provides competitive pay for accountants while maintaining a very affordable cost of living compared to other large states. It's an economically vibrant place to build an accounting career.

How do you become an accountant?

To become a chartered accountant, you typically need to complete several key steps:

• Earn a bachelor's degree in accounting or a related field like finance or business administration. Many employers prefer candidates with a master's degree.

• Pass the Uniform CPA Examination to become a Certified Public Accountant (CPA). The CPA credential is required for most accounting careers.

• Gain professional work experience through an internship or entry-level job in accounting. Most states require 1-2 years of experience under a CPA to obtain a CPA license.

• Consider earning additional certifications such as the Certified Management Accountant (CMA) or Chartered Financial Analyst (CFA) to specialize your skills.

• Maintain continuing education requirements through ongoing coursework and seminars. States generally require CPAs to complete 40 hours per year.

The path to becoming an accountant requires dedication through education, exams, experience, and ongoing learning. But it offers stable and often lucrative career opportunities in corporate accounting, public accounting firms, government, and non-profit organizations. The job outlook for accountants also remains strong with employment in Texas projected to grow 21% by 2026.

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Average Salaries for Common Accounting Positions

This section provides an overview of average salaries in Texas for some of the most common accounting positions, ranging from entry-level roles to management positions.

Entry-Level Accounting Clerks and Associates

Accounting clerk and associate positions typically require an associate's degree in accounting or a related field. Average salaries for these entry-level roles range from $35,000 to $45,000 per year.

Specific positions and salary ranges include:

• Accounting Clerk I: $35,000 - $41,000
• Accounting Clerk II: $37,000 - $43,000
• Accounting Associate: $39,000 - $45,000

Experienced Staff Accountants

Staff accountants usually hold a bachelor's degree in accounting or finance. With 2-5 years of experience on average, staff accountants earn $55,000 to $75,000 per year.

Some examples of staff accountant salaries include:

• Staff Accountant: $55,000 - $65,000
• Senior Staff Accountant: $65,000 - $75,000

Staff accountants analyze financial records, prepare financial statements, and ensure compliance with accounting principles and standards.

Compensation for Accounts Payable and Receivable Roles

Professionals specializing in accounts payable and accounts receivable earn salaries ranging from $38,000 to $55,000.

• Accounts Payable Clerk II: $38,000 - $45,000
• Accounts Payable Specialist: $42,000 - $50,000
• Accounts Receivable Specialist: $45,000 - $55,000

These critical roles ensure proper recording and payment of vendor invoices and customer receivables.

Earning Potential for Senior Accounting Analysts and Accountant IVs

With 5+ years of experience, accounting professionals can earn $65,000 to $85,000 in roles such as:

• Senior Accounting Analyst: $65,000 - $75,000
• Accountant IV: $75,000 - $85,000

These advanced positions require expertise in financial analysis, reporting, budgeting and forecasting.

Management-Level Accounting Salaries: Budget Managers and Bookkeeping Managers

In management roles like Budget Manager and Bookkeeping Manager, salaries range from $85,000 to $120,000 per year.

• Budget Manager: $85,000 - $100,000
• Bookkeeping Manager: $95,000 - $120,000

Management accountants oversee teams and high-level accounting functions vital to business operations.

In summary, accounting salaries in Texas span from $35,000 for entry-level clerks to over $100,000 for management accountants. Compensation rises steadily with experience and responsibility.

Factors Influencing Accountant Salaries

Accounting salaries in Texas can vary significantly depending on location, credentials, experience, industry, and specific role.

Higher Pay in Major Metro Areas

Accountants working in major Texas cities like Dallas, Houston, Austin, and San Antonio typically earn 10-15% higher salaries than statewide averages. The increased cost of living and abundance of large corporations in these metro regions allow for stronger compensation packages.

Specialized Industry Knowledge Commands Higher Salaries

Accountants with specialized expertise and experience in high-paying sectors like technology, energy, and healthcare tend to command much higher salaries in Texas. Their niche skills and insider industry knowledge make them valuable assets.

The Role of Experience and Credentials in Salary Negotiation

Seasoned accountants with 5-10+ years of experience generally earn 20-30% higher salaries in Texas compared to early career professionals. Prestigious credentials like a CPA license also strengthen negotiating leverage and job mobility. Most employers offer 5-15% higher starting pay for CPAs.

How the Demand for Commodity Managers and Plant Controllers Affects Salaries

Surging demand in Texas for specialized accounting roles like Commodity Manager and Plant Controller has driven up salaries more rapidly than other positions. Commodity Managers can now expect to earn $120,000+ on average.

Salary Variations for Accounting Clerks from Entry to Senior Levels

While entry-level Accounting Clerk I roles in Texas pay around $35,000, mid-career Accounting Clerk III salaries range from $55,000 to $75,000 on average. The most experienced Accounting Clerk IVs can command $90,000+ per year.

Future Outlook for Accounting Salaries

The accounting industry in Texas is projected to see continued strong job growth and rising salaries over the next several years. However, the impact of automation may moderate pay increases for some entry-level clerical roles.

Continued Strong Job Growth Expected

The Texas Workforce Commission forecasts over 13% employment growth for accountants and auditors through 2026. This indicates solid demand for accounting professionals as the state's economy expands. Businesses across industries will need financial talent to support operations and strategic planning.

Impact of Automation on Entry-Level Roles

Software automation is allowing businesses to streamline routine accounting tasks like data entry and report generation. This may limit pay growth for some lower-level bookkeeping and accounts payable positions. However, automation enables accounting staff to focus on more analytical responsibilities. Adapting to new technologies will be key for accounting clerks and associates.

Financial Forecast: Predicting Salary Trends for Accounting Roles

With strong industry growth projected, salaries for most accounting roles in Texas should rise over the next 5-10 years. However, pay increases may be more moderate for entry-level clerical jobs as software handles more repetitive tasks. Roles requiring specialized expertise like Budget Analyst and Accounting Supervisor may see above-average pay hikes. Overall, demand for accountants should lead to competitive salaries.

The Future of Accounting Salaries in the Wake of Technological Advancements

Emerging technologies like artificial intelligence and blockchain have the potential to greatly impact the accounting field. As software takes over routine number-crunching tasks, the need for data analysis and strategic advice from human accountants may rise. This could buoy salaries, especially for higher-level roles. However, clerks focused on bookkeeping duties could see pay growth slow. Ongoing skills development will be vital.

Adjusting to Market Changes: Billing Managers and Budget Analysts

As the economy fluctuates, financial oversight roles like Billing Manager and Budget Analyst may see salaries rise and fall. During downturns, businesses emphasize controlling costs, potentially boosting demand for budget analysts. Meanwhile, growth periods with higher spending may increase needs for billing expertise. Adjusting budgets and forecasts will require analytical skills. Overall, market-related accounting roles should see stable pay trends.

Conclusion and Key Takeaways

Accounting salaries in Texas are strong compared to national averages, especially in major metropolitan areas like Dallas and Houston. Specialized industry knowledge and technical skills also enable accountants to maximize their earning potential.

Salaries Higher than National Averages, Especially in Major Metros

Accounting salaries in Texas tend to exceed national averages. Major cities like Dallas, Houston, Austin, and San Antonio offer particularly high pay compared to other parts of the country. Experience in key industries like oil & gas, technology, and finance can also boost earning potential.

Specialized Industry and Technical Knowledge Pays Off

Getting credentials and hands-on experience with high-demand technical skills pays dividends. Knowledge of specialized software, data analysis, auditing, and financial reporting processes allows accountants to command higher salaries. Staying up-to-date on the latest regulations and compliance issues is also valuable.

Anticipating the Role of Automation and Technology in Accounting Salaries

While routine tasks are increasingly being automated, this is freeing up accountants to focus on more complex analysis and strategic advising. Accountants who embrace new technologies for enhanced productivity and insights can justify higher salaries. However, to remain competitive, ongoing skills development is essential.

The Importance of Continuous Learning and Adaptation for Maximizing Earnings

With the accounting landscape rapidly evolving, resting on one's credentials is not advisable. Pursuing ongoing training and education enables accountants to expand their capabilities and remain indispensable. Adaptability and the willingness to step outside narrowly defined job roles is key to advancement. Accountants who proactively build future-proof skillsets will be best positioned for higher salaries.

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