Even before the global COVID-19 pandemic shifted much of the financial workforce to working at home, the industry had seen an increasing number of jobs that allow for working remotely. These jobs range from full-time corporate positions to opportunities for independent contractors.
The following is a breakdown of four of the top work-from-home jobs in finance.
- Work-at-home jobs in finance range from full-time corporate jobs to positions for independent contractors.
- Independent financial planner, corporate financial jobs, day trader, and financial writer are all examples of roles that can be performed remotely.
- These jobs were work-at-home friendly before the COVID-19 pandemic.
- Many work-at-home financial employees consult or take side projects to bolster their income.
- There are tax benefits to working from home.
1. Independent Financial Planner
Independent financial planners and advisors can base their offices out of their homes as long as they provide a professional setting for their practices. A client would expect a financial planner to have a dedicated area for the home-based business. Other issues to consider include parking, access for disabled people, and restrooms.
Financial planners who choose a work-from-home arrangement can substantially reduce their overhead expenses and commuting costs. The compensation range for successful financial planners who work at home will likely mirror the compensation earned by those with similar practices who work in a traditional office, but without the associated—and often high—overhead expenses.
If you don’t live alone, then a key factor in deciding whether to work from home as an independent financial planner is whether your significant other or family is willing to share their home with a business and clients who visit.
2. Corporate Financial Careers
These work-at-home jobs encompass several different areas, including financial analysts, certified public accountants (CPAs), tax professionals, computer programmers, and many others. A lot of these jobs are outsourced to independent contractors.
Many computer-based jobs can now be done from anywhere, and some employers may be reluctant to justify using expensive office space to house additional employees. Before the pandemic, some of these corporate jobs required employees to come into the office once or twice a week, for meetings or presentations, and allowed them to do their remaining work at home.
3. Day Trader
A day trader holds positions in stocks for a very short period of time, often minutes to hours, and makes numerous trades each day. In most cases, all open trades are closed before the end of the day.
While day trading does not offer a guaranteed salary or other benefits, it does provide those who are successful at it with potentially huge returns on capital. Being a successful day trader requires much more than lucky guesses; day trading requires specific skills and the use of sophisticated tools, available capital, and emotional stamina.
To be successful, day traders need the following:
- A long-term trading strategy and access to up-to-the-minute market information, including real-time quotes
- The ability to correctly interpret the short-term movements of the markets
- Continuous access to multiple live news sources
- Analytical software, which allows day traders to discover trading patterns much faster and reduce trade execution times
Day traders must have the steeliness to weather heavy short-term losses, and they should have ample cash reserves. Some focus chiefly on trading equities, while others speculate in derivatives or foreign currencies. While successful day traders can become quite wealthy, even the best will see substantial fluctuations in their returns from one year to the next. If you need a steady income, this is not the career for you.
Day trading is not for everyone. Losses can mount quickly, particularly if margin is used to finance the purchase of securities. Margin calls are a major risk.
4. Financial Writer
While a career as a financial writer is perhaps one of the least publicized in the industry, talented and experienced writers are constantly in demand. There has been an explosion of financial news, literature, and websites over the past two decades, along with an increased demand for professional financial education and training.
This job is perhaps one of the easiest to do from home because written material is easily delivered electronically. There is rarely a shortage of work for a competent writer, particularly one who can produce good copy under a tight deadline.
While a degree in finance, economics, or journalism may help you command higher pay, it is more important to have professional experience in the financial industry or financial journalism. Some writers have become successful by writing consistent professional-level copy on financial topics that are well-researched and financially sound.
The average annual earnings of financial writers in the United States as of April 2022, according to Payscale. Those at the top end average $100,000+.
What Are the Top Work-From-Home Financial Jobs?
Top financial jobs that can be performed from home include independent financial planner, day trader, financial writer, and corporate financial jobs. Certified public accountants (CPAs), financial analysts, tax professionals, and computer programmers are examples of corporate financial jobs.
What Credentials Do Independent Financial Planners Need?
The most commonly held credential for a financial planner is certified financial planner (CFP), a professional designation issued by the Certified Financial Planner Board of Standards. In addition to financial planning, a CFP requires expertise in taxes, insurance, estate planning, and retirement. Financial planners can also hold other designations, including Chartered Financial Analyst (CFA), Chartered Financial Consultant (ChFC), or Certified Investment Management Analyst (CIMA). Credentials are awarded to those who pass exams and take part in ongoing annual education programs to maintain their skills and certification, among other qualifications.
How Do I Become a Day Trader?
Day trading is not for everyone and involves significant risks. Professional day traders require an in-depth understanding of how the markets work, various strategies for profiting in the short term, and ample reserves. Day traders also need access to a trading platform, real-time news, and data feeds. To be a day trader, you need to maintain minimums in your margin account as well.
The Bottom Line
For many people, being able to work at home gives them the best of both worlds. They have the job security and income of a regular full-time job without the time, expense, and hassle of going to an office. As with other sectors of the economy, the financial industry workforce was becoming increasingly mobile well before the global COVID-19 pandemic.