Internal Auditor Salary
Pay for Internal Auditors in the United States sits in the ballpark of $56K per year. Final cash compensation to Internal Auditors varies from around $37K to approximately $80K; choice pay grades include potential for bonuses and profit sharing as high as $9K and $6K, respectively. While the company and experience level impact pay for this group, location is the most influential factor. Job satisfaction is reported as high by the vast majority of workers. Women make up a slight majority of Internal Auditors (54 percent) survey respondents. A large number enjoy medical while a fair number get dental coverage. Vision coverage is also available to a strong majority. The information for this rundown comes from respondents who completed PayScale's salary questionnaire.
Job Description for Internal Auditor
Internal auditors work as an internal checkers for companies, as their findings and evaluations are primary tools for identifying strengths and weaknesses within an organization. To whom they report will vary from business to business, but it is generally an upper level of management or ownership, such as an Audit Committee of a Board of Directors. In publicly-traded companies, it is required by law that an internal auditor report to the CEO.Read More...
The job varies in analysis and evaluation, as different companies will use internal auditors to scrutinize different areas of its business. These auditors are often required to evaluate certain standards and whether they are met or applied within the company. A typical area of evaluation is accounting; they must ensure appropriate accounting laws and practices are followed, efficiencies are met, and no fraud is committed. Other examples include corporate operations, internal structure, and risk management.
A significant amount of education is required for this position, including a bachelor's degree in accounting, finance, or a related field and a good grasp of Generally Accepted Accounting Principles (GAAP). Many have achieved, or are working toward, licensing as a CPA or CFE credentials. Experience is valued highly in this field, and many employers may prefer those who have at least two to four years of experience.
Internal Auditor Tasks
- Conduct operational, compliance, financial and SOX audits within an organization.
- Acts as a liaison for audits with internal departments as well as outside auditors.
- Evaluate and document existing or proposed procedures and controls.
- Provide management with recommendations for policy, procedure and practice improvements.
Common Career Paths for Internal Auditor
While not commonly seen, Internal Auditors who transition into an Internal Audit Director position may see a rise in pay. The median salary for Internal Audit Directors is $123K per year. It is quite typical for Internal Auditors to transition into roles as Senior Internal Auditors or Internal Auditing Managers, where reported median earnings are $16K and $39K higher per year.
Internal Auditor Job Listings
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Popular Employer Salaries for Internal Auditor
Dominating the field, Marsh & Mclennan Companies Inc, Protiviti Incorporated, J.P. Morgan Chase & Co. (JPMCC), EY (Ernst & Young), and KPMG, LLP are top firms with a reputation for hiring a great number of Internal Auditors. Internal Auditors in search of the best pay head to Marsh & Mclennan Companies Inc, where the median salary rolls in at $71K. Although pay is top-notch overall, it does seem to be curbed at $74K, which isn't dramatically higher than the lower-end figure of $69K.
Popular Skills for Internal Auditor
Survey respondents exploit a significant toolbox of skills in their work. Most notably, skills in Sarbanes-Oxley Compliance Audit, Risk Management / Risk Control, Compliance, and Financial Analysis are correlated to pay that is above average, with boosts between 4 percent and 9 percent. Those listing Accounting as a skill should be prepared for drastically lower pay. Quality Assurance / Quality Control and Windows NT / 2000 / XP Networking also typically command lower compensation. Those proficient in Internal Audit are, more often than not, also skilled in Microsoft Office.
Pay by Experience Level for Internal Auditor
Median of all compensation (including tips, bonus, and overtime) by years of experience.
Workers in their first five years can expect to earn $53K, but people who have been around for five to 10 years earn a noticeably bigger sum of $61K. For Internal Auditors, 10 to 20 years of experience on the job amounts to an average salary of $66K. Survey participants with more than two decades under their belts actually report earning less than people with less experience; the former take home only $62K on average.
Pay Difference by Location
New York offers some of the highest pay in the country for Internal Auditors, 32 percent above the national average. Internal Auditors will also find cushy salaries in Chicago (+18 percent), Houston (+16 percent), Charlotte (+14 percent), and Boston (+13 percent). With compensation 14 percent below the national average, Jacksonville is not known for hefty paychecks and actually represents the lowest-paying market. Below-median salaries also turn up in Pittsburgh and Cleveland (10 percent lower and 7 percent lower, respectively).
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Key Stats for Internal Auditor
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