According to recently released figures the average salary for a business analyst in the United States stands at $65,000. While this figure may be the average it is certainly not the norm as across the country the salary scale for the role falls into the $43,000 – $94,000 range. Business analysts have the opportunity to increase their income in a number of ways. For many annual bonuses are available up to the value of $10,000, they are also likely to be members of company profit share schemes which can pay dividends of $450.00 – $6,500 per year.
It was also noted that in many cases there was the opportunity of earning a commission payment which could be up to the value of $5,500 per year. All of these enhancements mean that the real salary range of a business analyst is between $45,000 – $100,500 per year.
Experience & Salary
As with many professions salary rises in accordance with professional experience, though unlike other professions educational levels were not necessarily a salary affecting factor. A report published in 2010 revealed that with every year of professional experienced gained as a business analyst salary rose by approximately $1000.
According to projections published by the United States Bureau of Labour Statistics there is expected to be a substantial rise in employment levels throughout the profession. It is believed that this growth will occur as more businesses aim to increase their performance in coming years in order to remain strong in an increasingly competitive marketplace.
Salary Compared to Age
There are a number of factors which can influence salary, the major one being experience as an entry level business analyst will receive only a fraction of the salary that a senior business analyst can achieve.
Age too can have a bearing on just how much a business analyst can earn for example the average monthly wage of a business analyst who is twenty five years old averages at $3,500 per month, while a business analysing who is aged twenty seven averages $5,500 per month yet the business analyst who is forty four years old averages a monthly pay amount of $7,400. It is true that with age comes experience and perhaps this is part of the reason for the increase in salary.
Business analysts work in two different areas; standard analysts provide a business overview and put forward recommendations to either solve existing problems or increase efficiency in areas such as production, sales or logistics.
Then there are the business systems analysts who are focussed on a company’s technical needs; working with existing computer systems to see how it could be improved to the benefit of the company. The same job title effectively covers two different roles with two different salaries.
According to research carried out by the Bureau of Labour Statistics in 2010, a standard business analyst could earn on average $80,000 per year which equates to $39.00 per hour. Though this figure does not allow for variables such as company size or years of experience.
In 2012 it was estimated that those business analysts in an entry level position could earn a salary of $44,000 – $59,000, while those with a higher level of experience working in a mid level position could earn between $54,000 and $73,000 within a medium sized company, while those working for a larger organisation could expect between $52,000 – $72,000 per year. The salary for a senior business analyst fell in the range $70,500 – $90,500 with no difference being discernible between the salaries of mid or large sized organisations.
The Pros & Cons of Being a Business Analyst
All jobs have their good and bad points and it weighing one side against the other which tells you whether the role is right for you.
On the positive side is the earning potential, business analyst positions offer comfortable salaries, and the job outlook is good. It is a career in which you can apply your skills to different areas of work including quality assurance, software development and product management.
On a negative note there is the pressure to work to tight deadlines which can mean long working hours as that deadline approaches. There is also the prospect of coming up against a corporate structure which is unwilling to undertake change as per your recommendations, and employees who struggle to adapt to new technology you introduce.
What’s a Typical Work Week Like?
The role of a business analyst is to enable a company to make changes which are necessary in order for it to better achieve its business goals.
It involves highlighting improvement initiatives and helping the business to understand the differences that these initiatives will make to their levels of success.
During a typical working week there will be meetings with a wide range of people such as business stakeholders and board members in order to find out what problems or issues they feel need to be addressed. More meetings will then take place with quality assurance analysts or software developers. A great deal of time is spent formulating business models and documenting discussions.
What is the Most Challenging Part of the Job?
One of the greatest challenges is facilitating an agreement between multiple business stakeholders who each have different roles and responsibilities, all wanting success for the company but all having a different understanding of what that success will look like and how it should be achieved.