What is Entertainment Accounting?
Some people think that accountants spend all day locked inside an office and going over files, but others know that there is a more exciting world called entertainment accounting. This is a specialized form of accounting that lets you work closely with all your favorite stars. You might advise them on financial topics, work for a major film studio, help with the bookkeeping for a record company or even work in television. You may want to look at how much accountants make before learning more about jobs in the entertainment field.
How Much Do Entertainment Accountants Make?
According to the Bureau of Labor Statistics, the median wage across all accountants and auditors is nearly $66,000 a year. Financial specialists generally earn more than accountants do. Before becoming an accountant, you will need to take the certified public accountant examination. This professional test is only available to those who have a bachelor’s degree in accounting and those who completed a certain number of graduate level classes. You should check with your state or the state where you want to take the test to find out how many hours of post-graduate classes you need to take.
Working as a Financial Adviser
One of the more popular jobs among accountants working in the entertainment industry is that of a financial adviser. A financial works closely with celebrities, studio heads and others in the industry who need help. You will generally advise your clients on what to do with their money. You might make suggestions on investing in the stock market, putting money in portfolios and saving money for the future. It usually takes some time before you can find one of these jobs. Most advisers make the majority of their incomes from just a small handful of clients.
As much as you might love the idea of working with the rich and famous, you may have a better shot of finding a job in corporate accounting. Production houses that put out albums, television shows and films often establish themselves as corporations. As a corporate accountant, you help your clients budget for everything they need. You might work with a record company to determine how much money it will cost for a record release party followed by a concert tour. Many corporate accountants also help their clients file taxes and find deductions for the expenses they had in the past year.
When you develop a better reputation in the entertainment accounting industry, you might use your skills to transition into a producer role. Working as a producer/accountant gives you complete control over the budget relating to a production. As a financial producer working on a television show, it’s your responsibility to ensure that the show has the funds necessary to pay for its sets, craft services, sets and actors’ salaries. Financial producers are also the ones responsible for ensuring that the production comes in at or under budget and to talk with other producers when costs rise.
With a degree in accounting, you might work as a bookkeeper for a major corporation, as a tax specialist or in a nonprofit organization. You can also parlay your skills into the entertainment industry and work in entertainment accounting professions as a corporate accountant, producer or financial adviser to the rich and famous.
See also: Becoming an Accountant: The Ultimate Online Guide [Mini-course]