A cost accountant is a relatively new type of position in the accounting industry. It is a branch of management accounting dealing with cost projection and management of projects. In this position, your duties will consist of collecting, assimilating, collating and analyzing financial date with relation to one or several projects for which you are responsible. The quality of the information that you provide to your supervisors in this capacity can make or break a company, so it is an important job. You have to be aware of all the minute details that can affect the cost of a project and thus the amount of profit the company will make.
As part of the job of cost accountant, you will be expected to research similar projects and give a cost analysis of these projects as they relate to the present one. This will help in writing a report for the prognosis of the project results in terms of profit and loss. In order to write this detailed report, you will have to look at the cost of the materials, the cost of labor, and other costs such as transportation that may be involved.
A cost accountant is a specialized field of accounting in which you will be responsible for making or consulting on managerial decision. The development and monitoring of a budget for each project assigned to you will be the main focus of your job once the project is approved. You will have to assess how efficiently the work is proceeding and ensure that the work is adhering to all standards and regulations. Some of the areas of accounting in which you must demonstrate proficient include auditing, cost management, financial reporting, methods and strategies to use to help lower costs and how to translate the financial data into reports for other management, investors and stockholders.
In order to become a cost accountant, you should hold an undergraduate degree in accounting or a related field from an accredited university. Once you obtain a position and gain experience in the field, you can take the exams leading to CMA certification. The Institute of Management Accountants offers courses leading to this exam, which will certify you as a management accountant in general areas of practice. This certificate is recognized all over the world, so with it you have the opportunity to further advance in your specialty.
In addition to educational qualifications, as a cost accountant you should also possess personal characteristics that will enable you to do your job well. You should be proficient in the use of the computer for spreadsheets and accounting software as well as word programs. You should be able to communicate well in writing and speaking and have good negotiation skills. Since you will be dealing with many suppliers and contractors, you need to negotiate prices and this in turn requires excellent interpersonal skills.There are many jobs in this field of accounting with both private firms and government agencies. Since more and more projects require the use of technology, this should also be something with which you are very familiar.
