SPONSORED BY GRANT THORNTON LLP
Financial executive compensation
survey 2012
Table of contents
1 Executive summary
3 Survey participant information
4 Overall survey findings
6 Public and private company
comparisons
6Overview
8 Corporate CFO
10 Corporate controller
11 VP finance
13 Director level
14 Chief accounting officer
16 Treasurer
18 Divisional, geographic or regional CFO
20Appendix — Job descriptions
25About the authors
26 About Grant Thornton LLP and Financial
Executives Research Foundation, Inc.
Executive summary
How does your and your staff’s pay stack up against your peers’
compensation? This research study aims to answer that question
by presenting the results of our sixth annual survey of financial
executives regarding their salaries, bonuses, long-term incentives
and retirement benefits. The survey was completed by senior
financial executives rather than by human resources or executive
search firm executives.
This year’s survey elicited a total of 714 responses. As
in previous years, manufacturing was the most represented
industry. Compared to the prior year’s survey, the percentage
of responses from private companies increased slightly, from
57 percent in 2011 to 63 percent in 2012, while those from
public companies decreased slightly, from 35 percent in 2011
to 30 percent in 2012.
Executive compensation snapshot
Executive compensation programs across all types of
organizations continue to evolve in response to factors such
as the economic and political climate, increased scrutiny by
shareholders and the media, and compliance-driven increases in
Public and private company comparison
Average base salary by title — all responses
Compensation
Corporate CFO
$286,500
$197,400
Corporate
controller
$199,600
$139,400
Vice president (VP)
finance
$219,500
$174,100
Director level
$162,800
$136,700
Chief accounting
officer
$231,300
$180,800
Treasurer
$245,800
$183,200
Divisional, geographic,
regional CFO
$218,300
$207,700
0
program transparency. Executive compensation program design
changes include the following:
• As the economy recovers, organizations are shifting their
focus from reducing workforce levels to obtaining and
retaining top-level talent.
• Companies expect 2012 results to be better than those
in 2011. This affects salary increases, short-term bonus
payments and increases in equity value.
• Heightened compliance and transparency pressures are
continuing to affect compensation programs (e.g., say on pay,
reduction in change-in-control benefits, clawback policies,
CEO pay ratios).
• Companies are assessing compensation program risk
and mitigation.
• Organizations are focusing on ownership requirements and
retention guidelines for equity.
• Pressure is increasing on officer performance management
processes and performance tied to pay. In response,
organizations are making programmatic changes such
as increasing the use of performance shares and applying
more rigorous incentive goal-setting methodologies.
Public
Private
The chart to the left compares the base salaries of several
positions by title and company type.
For those individuals who indicated an increase, the estimated
average salary increase for all respondents was 4 percent versus
the 3 percent reported last year. Although both public and private
companies’ average salary increase was in the 3 percent range,
public companies awarded a slightly higher increase.
Only 26 percent receive a long-term cash incentive, based on
other calculations, phantom shares or phantom equity rights, or
in the form of deferred compensation. This represents a small
increase from 2011, when 25 percent of respondents received this
type of benefit.
50000 100000 150000 200000 250000 300000
Financial executive compensation survey 2012 1
Despite only approximately one-quarter of respondents
receiving a long-term cash incentive, almost half — 48 percent —
receive some form of stock-based incentive compensation, with
stock options (15 percent) the most cited.
Benefits and perquisites
The majority of respondents (79 percent) participate in a
defined contribution plan with a matching contribution
from their employer. Consistent with last year’s results,
the average employer match is 4 percent for both public and
private companies. This year saw a very slight increase in the
employer match for private companies and a slight decrease
for public companies.
If their companies still offer a defined benefit plan, more
than half (53 percent) do not receive monthly retirement benefits
from the plan. The majority (97 percent) do not receive any
additional retirement benefits.
The percentage of executives who receive perquisites remains
fairly consistent with results from prior years, with cell phones
still the most popular benefit (79 percent).
Similar to last year, most survey respondents (60 percent) do
not expect increasing health care contributions and/or expenses
to affect their overall compensation.
A slight majority (56 percent) do not have employment
contracts. For those who do, the most common element is
severance based on the number of months (26 percent), followed
by change-in-control severance (25 percent).
Other findings
For those executives who are eligible for long-term incentives
(cash, stock-based or other), the three most commonly-used
performance measures were Company Goals/Objectives with
41 percent, Discretionary with 39 percent and Earnings Before
Interest, Taxes, Depreciation and Amortization (EBITDA)
with 33 percent.
Survey respondents oversaw an average of fewer employees
related to their job responsibilities, with the number decreasing
from 194 in 2011 to 135 in 2012. The average is 242 and 90 for
public and private companies, respectively.
The majority of respondents (56 percent) indicated a master’s
degree as the highest level of education completed. Consistent
with last year, most respondents (68 percent) are also CPAs.
2 Financial executive compensation survey 2012
In response to financial reform legislation, the most included
or planned inclusion in executive compensation programs was
pay versus performance (23 percent). Pay-versus-performance
disclosures (15 percent) were also an area executives believed
should be exempt from public disclosure.
Detailed figures for base salary, bonuses, long-term and
stock-based compensation, retirement benefits and perquisites
are provided by title, company type and company size in the
following pages.
Accessing survey data online
All survey results are also available online through PayCheck,
FEI’s online benchmarking tool. Responses can be searched
based on all criteria, including title, company industry, company
type, company location, company annual revenue, base salary
and annual bonus opportunity. PayCheck is available by clicking
on “research” and then “benchmarking tools” on the FERF
website www.ferf.org.
Survey participant information
The data for this research report was compiled from responses
received from a survey sent via email to active FEI members in
November and December 2011 and January 2012. An active
or executive FEI member is defined as an individual currently
holding a position as a financial executive at an organization.
Members were asked a total of 38 questions. A total of 714
members completed the survey. A profile of respondents
follows. Note that totals throughout the report may vary,
because not every respondent answered every question.
In some cases, percentage totals may be rounded.
Respondent profile
Title
Corporate CFO
Corporate controller
VP finance
Director (of finance, accounting)
Treasurer
Chief accounting officer
Divisional/geographic/regional CFO
Divisional/geographic/regional controller
Manager (of finance, accounting)
Chief operating officer
Assistant controller
Managing director
Chief tax officer/VP tax
Chief auditor/VP internal audit
Chief business officer
Chief administrative officer
Corporate president and/or CEO
Assistant treasurer
Consultant
VP strategic planning and business development
Partner
Principal
Independent board director or trustee
Divisional president
Chief risk officer/VP risk and audit services
Business owner
General manager
Chief compliance officer
Grand total
Public
49
29
32
30
16
16
13
6
3
0
3
1
5
3
1
0
0
2
1
0
0
0
1
0
1
0
1
1
214
30%
Compared with the prior year’s survey, the percentage of
responses from private company executives and government
executives increased slightly, while those from public company
executives and not-for-profit executives decreased slightly.
Consistent with each of the five previous years, the most
heavily represented industry was manufacturing, with 28 percent in
2012. Similar to the last four years, the most responses came from
members employed by companies with corporate headquarters
located in either the larger or more populated states (in particular,
Texas, with 11 percent, and California, with 10 percent).
Private
255
53
50
27
9
7
7
3
4
5
2
4
1
2
2
2
3
1
2
2
2
1
1
1
0
1
0
0
447
63%
Number of responses by company type
Nonprofit
Government
Grand total
1
23
328
0
6
88
0
5
87
2
3
62
0
2
27
1
1
25
0
0
20
0
0
9
0
0
7
0
1
6
0
1
6
1
0
6
0
0
6
0
0
5
0
1
4
0
1
3
0
0
3
0
0
3
0
0
3
0
0
2
0
0
2
0
1
2
0
0
2
0
0
1
0
0
1
0
0
1
0
0
1
0
0
1
5
45
711
1%
6%
100%
46%
12%
12%
9%
4%
4%
3%
1%
1%
1%
1%
1%
1%
1%
1%
0%
0%
0%
0%
0%
0%
0%
0%
0%
0%
0%
0%
0%
100%
Financial executive compensation survey 2012 3
Overall survey findings
Salary increases
As the overall economy shows signs of improving, executive
compensation programs appear to be responding. The number
of executives who did not receive a salary increase continues
to decrease. In 2012, the number was 26 percent, down from
34 percent, in 2011, and down further from the 2010 results
of 57 percent. In addition, for those indicating an increase, the
estimated average salary increase for all respondents is 4 percent,
versus the 3 percent reported in last year’s survey.
Long-term incentives
Only 26 percent receive a long-term cash incentive, based on
other calculations, phantom shares or phantom equity rights,
or in the form of deferred compensation. However, 48 percent
receive some form of stock-based incentive compensation.
A breakdown of the types of awards follows (respondents
could choose all that apply).
Benefits and perquisites
Long-term incentives
Stock options
52%
Restricted stock/units
51%
Performance stock/units
22%
Phantom stock/units
7%
Other
5%
5%
Stock appreciation rights
0
50
4 Financial executive compensation survey 2012
100
150
200
Most respondents (79 percent) participate in a defined
contribution plan with a matching contribution from their
employer. Consistent with last year’s results, the average employer
match is 4 percent for both public and private companies.
This year saw a very slight increase in the employer match for
private companies and a slight decrease for public companies.
If their companies still offer a defined benefit plan, more
than half (53 percent) do not receive monthly retirement benefits
from the plan. The majority (97 percent) do not receive any
additional retirement benefits.
Other
The percentage that receives perquisites remains fairly
consistent with prior years. A breakout of the types of
perquisites follows (respondents could choose all that apply).
Benefits and perquisites
A slight majority (56 percent) do not have employment
contracts. For those who do, the most common element is
severance, number of months (26 percent), followed by changein-control severance (25 percent). A breakdown of all contract
elements follows (respondents could choose all that apply).
Cell phone
79%
Airline club membership
25%
Company car or car allowance
22%
18%
Severance (not change in
control), number of months
26%
Paid parking
Commuting expenses
(e.g., reimbursements for
gas, tolls, bus/train)
16%
Change-in-control severance
25%
Health/fitness club
15%
Auto/car insurance
14%
Executive physicals
13%
Country club membership
9%
Relocation assistance
9%
Personal financial or tax advice
8%
Other
5%
Personal use of property owned
or leased by the company
4%
Housing and other living
expenses
2%
Dining club membership
1%
Other
Minimum or guaranteed
level of compensation
6%
Tax gross-ups or other
reimbursement of taxes owed
on compensation and benefits
5%
Housing and other living
expenses
2%
0
0
100 200 300 400 500 600
Financial executive compensation survey 2012 5
Public and private company
comparisons
Overview
A total of 214 responses were received from financial executives
from publicly held companies and 449 from financial executives
from privately held companies.
Respondents’ titles
Public and private company comparisons
Corporate CFO
23%
57%
VP finance
15%
11%
Corporate controller
14%
12%
Treasurer
7%
2%
Assistant treasurer
1%
0%
Assistant controller
1%
0%
Director (of finance,
accounting)
14%
6%
Chief accounting
officer
7%
2%
Chief tax officer/
VP tax
2%
0%
Chief auditor/VP
internal audit
1%
0%
Corporate president
and/or CEO
0%
1%
Chief operating officer
(COO)
0%
1%
Divisional/geographic/
regional CFO
6%
2%
Divisional/geographic/
regional controller
3%
1%
Managing director
0%
1%
Manager (of finance,
accounting)
1%
1%
0 10 20 30 40 50 60
6 Financial executive compensation survey 2012
Public
Private
The following chart provides a year-over-year comparison
of the number of finance/accounting employees and full-time
equivalents supervised by respondents employed at both public
and private companies. The median number of employees has
Finance/accounting staff
and full-time equivalents
2012
remained consistent, in the 10 to 50 range. Taking all responses
as a whole, more private companies generally noted a leaner
finance staff.
2011
2010
2009
2008
Public
Private
Public
Private
Public
Private
Public
Private
Public
Private
Fewer than 10
25%
35%
25%
34%
19%
33%
9%
34%
7%
23%
10–50
40%
46%
39%
42%
33%
44%
18%
29%
20%
33%
51–99
13%
9%
12%
10%
18%
11%
14%
11%
11%
10%
100–249
11%
5%
13%
7%
14%
6%
18%
10%
17%
14%
250–499
4%
3%
5%
3%
4%
3%
13%
7%
11%
8%
500–999
3%
1%
2%
2%
4%
2%
7%
4%
11%
6%
More than 1,000
4%
1%
4%
3%
7%
1%
22%
7%
23%
7%
For public companies, the number of executives who
received a salary increase continued to increase (80 percent) this
year compared to 2011 (74 percent). Public company executives
received an average increase of 4 percent, an increase from last
year’s 3 percent. In the private company sample, 69 percent
received a salary increase. Private company executives received
an average increase of 3 percent, the same as in 2011.
Performance measures
2012
Most public companies (83 percent) have a defined
contribution plan, with an average company match of 4 percent.
In addition, more than three-quarters (77 percent) of private
companies in the sample have a defined contribution plan, with
an average company match of 4 percent.
The performance measures used in determining the longterm incentive compensation (cash, stock-based, other) for
public company and private company respondents are depicted
in the following table.
2011
2010
2009
2008
Public
Private
Public
Private
Public
Private
Public
Private
Public
Private
Company goals/objectives
40%
40%
38%
22%
35%
22%
70%
61%
79%
76%
Discretionary
40%
38%
26%
19%
32%
20%
EBITDA
30%
36%
21%
18%
24%
20%
51%
16%
Cash flow
24%
14%
18%
8%
22%
9%
Earnings before interest and
taxes (EBIT)
23%
16%
18%
10%
19%
10%
Department goals/objectives
22%
16%
17%
6%
18%
7%
42%
Earnings per share growth
22%
9%
14%
3%
16%
2%
Individual goals/objectives
21%
14%
20%
8%
15%
6%
Share/stock price
17%
9%
8%
5%
11%
7%
Revenue growth
13%
9%
11%
6%
12%
6%
48%
29%
19%
15%
15%
23%
37%
18%
69%
41%
22%
75%
28%
18%
27%
18%
5%
19%
23%
Performance within industry
13%
2%
9%
1%
10%
1%
5%
9%
12%
10%
8%
9%
7%
17%
Return on capital
9%
5%
5%
1%
13%
3%
Return on equity
8%
11%
4%
5%
6%
5%
3%
3%
3%
3%
8%
3%
Return on assets
2%
1%
2%
2%
7%
3%
6%
11%
1%
3%
8%
3%
5%
13%
33%
4%
Net income
Economic value added
23%
27%
3%
3%
8%
6%
Financial executive compensation survey 2012 7
Corporate CFO, public and private company comparison
For public company corporate CFOs, the average base salary is
$286,500, an increase from the prior year’s average of $277,400.
Thirty-five individuals, or 71 percent, reported an average
increase of 4 percent. For private company corporate CFOs,
the average base salary is $197,400, slightly less than last year’s
average. Fewer than half the respondents (32 percent) did not
receive any salary increase. The average reported salary increase
is 3 percent.
The majority of public company corporate CFOs
(88 percent) and private company CFOs (82 percent) receive
an annual bonus. About one-quarter of public CFO respondents
(24 percent) receive additional cash-based, long-term incentive
awards, while a little more than one-quarter of private CFO
respondents (26 percent) receive them. Adding these incentive
awards to base salary, the average total cash compensation
for the public company CFO is $459,301 and for the private
company CFO is $277,979.
The majority of public company CFOs (92 percent) receive
a form of stock-based, long-term incentive award, while less
than half of the private CFOs (40 percent) receive it. Share-based
payment, stock options and restricted stock/restricted stock
options were the most popular for public CFOs (58 percent
each), while stock options (57 percent) were the most popular
for private CFOs. More than one-third of the public CFOs
(39 percent) receive dividends or dividend equivalents on
stock-based awards, while only a small percentage of private
CFOs (15 percent) do.
While three-quarters of public company CFOs also
participate in a defined contribution plan with a company
match, most do not participate in a defined benefit plan
(78 percent) or have or participate in a supplemental retirement
plan (98 percent). Cell phone, cell phone allowance or cell phone
reimbursement remains the most popular perquisite for public
CFOs (88 percent), followed by an airline club membership
(41 percent).
8 Financial executive compensation survey 2012
Most private company CFOs also participate in a
defined contribution plan with a company match, but only
a few participate in a defined benefit plan (39 percent) or a
supplemental retirement plan (2 percent). The most popular
perquisite for private CFOs is the cell phone, cell phone
allowance or cell phone reimbursement (85 percent),
followed by a company car or car allowance (28 percent).
The following table compares public and private company
CFO compensation.
CFO, public and private company comparison
Compensation — all responses
Public
No. of responses
Private
49
255
Salary
$286,500
$197,400
Total cash compensation
(salary, bonus, nonstock compensation)
$459,301
$277,979
Total compensation
$599,702
$298,665
The following table compares public company and private
company CFO median base salary ranges. Medians are fairly
proportionate to company size and generally consistent with
the prior year.
Bonus percentages for public and private company corporate
CFOs vary and are depicted in the following table.
CFO, public and private company comparison
Annual bonus — all responses
Annual bonus
CFO, public and private company comparison
Base salary — all responses
Public
Private
Not eligible
6
49
Annual base salary
Public
Private
Up to 10% of base salary
4
30
Less than $100,000
0
6
11–20% of base salary
5
34
$100,000–$125,000
1
21
21–30%
7
43
$126,000–$150,000
0
39
31–40%
3
26
$151,000–$175,000
5
38
41–50%
4
18
$176,000–$200,000
6
48
51–60%
3
16
$201,000–$225,000
6
28
61–70%
5
9
$226,000–$250,000
2
27
71–80%
3
6
$251,000–$275,000
6
12
81–90%
2
4
$276,000–$300,000
3
11
91–100%
1
8
$301,000–$325,000
3
15
Exceeds 100%
$326,000–$350,000
3
2
Grand total
$351,000–$375,000
7
3
$376,000–$400,000
1
0
$401,000–$425,000
0
1
$426,000–$475,000
1
3
$476,000–$500,000
3
0
$501,000 or greater
Grand total
2
0
49
254
5
10
48
253
For the public company corporate CFOs who are covered
by an employment contract, the most popular provision
addresses change-in-control severance (67 percent), followed
by severance based on number of months (57 percent).
A few contracts include a minimum or guaranteed level
of compensation (10 percent) or tax gross-ups or other
reimbursement of taxes owed with respect to compensation
and benefits (8 percent).
For private company corporate CFOs, fewer than half
of respondents (37 percent) are covered by an employment
contract. The most popular provisions address change-incontrol severance and severance based on number of months
(27 percent each). A few contracts include a minimum or
guaranteed level of compensation (9 percent) or tax grossups or other reimbursement of taxes owed with respect to
compensation and benefits (3 percent).
Most CFOs are CPAs (71 percent for public and 67 percent
for private). Although fewer than half of the public CFOs have a
master’s degree (49 percent), slightly more than half (56 percent)
of the private CFOs have one.
Financial executive compensation survey 2012 9
Corporate controller, public and private
company comparison
The average base salary for public company corporate controllers
in the sample is $199,600, a decrease from 2011. Seventy-six
percent received an average increase of 3 percent, and the
remaining 24 percent did not receive an increase. The average base
salary for private company corporate controllers in the sample is
$139,400 — a slight decrease from last year’s average. In addition,
83 percent received an average salary increase of 4 percent.
Nearly all (93 percent) public company corporate controllers
and more than half (65 percent) of private company controllers
receive an annual bonus of varying percentages. A few (17 percent
for public and 20 percent for private) received additional cashbased, long-term incentive awards. Adding all cash components
to the base salary, the average total cash compensation for public
company corporate controllers is $274,523 and for private
company corporate controllers, $168,313.
Most public controllers (79 percent) receive a form of stockbased, long-term incentive award. Of the types of share-based
payment, restricted stock/restricted stock options (78 percent)
were the most popular, followed by stock options (52 percent).
Half (50 percent) receive dividends or dividend equivalents on
stock-based awards. Most private controllers (76 percent) do not
receive a form of stock-based, long-term incentive award.
Most public and private controllers participate in a defined
contribution plan with a company match, and a few individuals
participate in a defined benefit plan or supplemental retirement
plan. The most popular perquisite is a cell phone, cell phone
allowance or cell phone reimbursement (79 percent for public
and 72 percent for private). When asked to estimate total
compensation (including share-based awards, incentives and
perks), corporate controllers from public and private companies
responded with an average of $399,776 and $178,433, respectively.
For most controllers, compensation is proportionate to
the annual revenues of their employers. The following table
compares compensation for public and private company
corporate controllers.
Controller, public and private company comparison
Compensation — all responses
Public
No. of responses
29
53
Salary
$199,600
$139,400
Total cash compensation
(salary, bonus, nonstock compensation)
$274,523
$168,313
Total compensation
$399,776
$178,433
The median base salary ranges of public and private
company controllers are also proportionate to company
revenues. None of the respondents receives an annual base salary
exceeding $300,000. The following table compares public versus
private controllers’ median salary ranges.
Controller, public and private company comparison
Base salary — all responses
Annual base salary
Public
Private
Less than $100,000
0
8
$100,000–$125,000
5
16
$126,000–$150,000
1
6
$151,000–$175,000
3
10
$176,000–$200,000
6
11
$201,000–$225,000
5
2
$226,000–$250,000
2
0
$251,000–$275,000
2
0
$276,000–$300,000
5
0
$301,000–$325,000
0
0
$326,000–$350,000
0
0
$351,000–$375,000
0
0
$376,000–$400,000
0
0
$401,000–$425,000
0
0
$426,000–$475,000
0
0
$476,000–$500,000
0
0
$501,000 or greater
0
0
29
53
Grand total
10 Financial executive compensation survey 2012
Private
Similar to the prior year, most bonuses of corporate
controllers range from 11 percent to 50 percent of their
base annual salary. This year’s survey saw only a few bonus
percentages exceed 70 percent of salary. Bonus percentages
for public and private company corporate controllers are
depicted in the following table.
Controller, public and private company comparison
Annual bonus — all responses
Annual bonus
Public
Private
Not eligible
2
15
Up to 10% of base salary
4
6
11–20% of base salary
6
7
21–30%
3
11
31–40%
1
10
41–50%
5
2
51–60%
5
0
61–70%
2
0
71–80%
0
2
81–90%
0
0
91–100%
0
0
Exceeds 100%
Grand total
1
0
29
53
More than half of the public company corporate controllers
(69 percent) have an employment contract. The most popular
provision addresses change-in-control severance (45 percent).
For the private company corporate controllers in the sample,
most (81 percent) do not have an employment contract.
For the few who do, the most popular provision addresses
severance based on number of months, followed by change-incontrol severance.
The majority of public company controllers are CPAs
(90 percent) with bachelor’s degrees (69 percent). Most private
company controllers are CPAs (79 percent) with bachelor’s
degrees (54 percent).
VP finance, public and private company comparison
The average base salary for public company VPs finance is
$219,500. The majority (81 percent) received an average salary
increase of 4 percent. The average base salary for private
company vice presidents of finance is $174,100. Thirty-five
individuals received an average salary increase of 4 percent.
Most public and private company VPs finance received
annual bonuses of varying percentages. Most do not receive
additional cash-based, long-term incentive awards. For those
who do, in the form of deferred compensation, the average total
cash compensation for public VPs finance is $333,172 and for
private company VPs finance is $226,034.
More than three-quarters of public company VPs finance
(81 percent) receive a form of stock-based, long-term incentive
award. Of the types of share-based payment, restricted stock/
restricted stock options (78 percent) are the most popular. More
than half (59 percent) receive dividends or dividend equivalents
on the stock-based awards. A few private company VPs finance
(32 percent) receive a form of stock-based, long-term incentive
award. The types of awards vary, with stock options being the
most popular. Most (82 percent) do not receive dividends or
dividend equivalents on the stock-based awards.
Most VPs in the sample participate in a defined contribution
plan with a company match. Some public company VPs finance
participate in a defined benefit plan (48 percent), and most (91
percent) do not have or participate in a supplemental retirement
plan. Only a few private company VPs finance participate in a
defined benefit plan or a supplemental retirement plan.
The most popular perquisite is a cell phone, cell phone
allowance or cell phone reimbursement (81 percent for public
and 84 percent for private). When asked to estimate total
compensation (including share-based awards, incentives and
perks), public company VPs finance responded with an average
of $819,613, and private company VPs finance responded with an
average of $240,757.
Financial executive compensation survey 2012 11
For the most part, compensation is proportionate to the
annual revenues of their employers. The following table
compares annual compensation between public and private
company VPs finance.
No. of responses
Salary
Private
32
50
$219,500
$174,100
Total cash compensation
(salary, bonus, nonstock compensation)
$333,172
Total compensation
$819,613
$226,034
$240,757
The median base salary ranges of VPs finance from public
and private companies are less proportionate to company
revenues. None of the respondents receives an annual base
salary of less than $100,000, and only two receive a base salary
exceeding $400,000 (both of those were from public companies).
The following table compares median salary ranges for public
and private company VPs finance.
VP finance, public and private company comparison
Base salary — all responses
Annual base salary
Public
Private
Less than $100,000
0
0
$100,000–$125,000
1
5
$126,000–$150,000
2
11
$151,000–$175,000
4
12
$176,000–$200,000
11
11
$201,000–$225,000
3
6
$226,000–$250,000
3
2
$251,000–$275,000
4
2
$276,000–$300,000
1
0
$301,000–$325,000
0
0
$326,000–$350,000
0
0
$351,000–$375,000
0
0
$376,000–$400,000
1
1
$401,000–$425,000
1
0
$426,000–$475,000
0
0
$476,000–$500,000
1
0
$501,000 or greater
Grand total
12 Financial executive compensation survey 2012
VP finance, public and private company comparison
Annual bonus — all responses
Annual bonus
VP finance, public and private company comparison
Compensation — all responses
Public
Bonus percentages for both public and private VPs finance
are detailed in the following table.
0
0
32
50
Public
Private
Not eligible
2
10
Up to 10% of base salary
2
5
11–20% of base salary
2
14
21–30%
4
4
31–40%
5
5
41–50%
7
7
51–60%
4
0
61–70%
2
1
71–80%
1
1
81–90%
1
0
91–100%
0
0
Exceeds 100%
1
2
31
49
Grand total
More than half of the public company VPs finance
(66 percent) in the sample have an employment contract.
Of those, the most frequently cited type is contracts providing
for severance based on number of months (79 percent).
About half of the private company VPs finance in the sample
(24 percent) do not have an employment contract. For those
who do, however, contracts provide for severance based on
change in control or number of months.
Three-quarters of public company VPs in finance are CPAs
(75 percent) with a master’s degree (63 percent). Most private
company VPs finance are CPAs (60 percent) with master’s
degrees (67 percent).
Director level, public and private company comparison
The average base salary for the public company director-level
respondents (e.g., director of finance, director of accounting)
is $162,800, while the average base salary for the private
company director-level respondents (e.g., director of finance,
director of accounting) in the sample is $136,700. Most public
company directors (90 percent) and a majority of private
company directors (67 percent) received an average salary
increase of 4 percent.
Almost all public company directors (28 of 30) and many
of the private company directors (20 of 26) received annual
bonuses of varying percentages. Nearly three-quarters of
public directors and almost all private directors do not receive
additional cash-based, long-term incentive awards. Adding
those two components to the base salary, the average total cash
compensation for a public company director is $212,045 and
for a private company director is $153,126.
Most public directors (73 percent) receive a form of stockbased, long-term incentive award. Of the types of share-based
payment, stock options are the most popular (59 percent).
Some (30 percent) receive dividends or dividend equivalents on
the stock-based awards. Most private directors (82 percent)
do not receive a form of stock-based, long-term incentive
award. Of those who do, stock options are the most popular.
Very few receive dividends or dividend equivalents on the
stock-based awards.
The majority of public and private directors participate in a
defined contribution plan with a company match. Few participate
in a defined benefit plan or a supplemental retirement plan.
The most popular perquisite is a cell phone, cell phone allowance
or cell phone reimbursement (77 percent for public and 74
percent for private). When asked to estimate total compensation
(including share-based awards, incentives and perks), public
company directors responded with an average of $240,670, and
private company directors responded with $159,279.
In the majority of cases, compensation for directors is
proportionate to the annual revenues of their employers.
The following table compares public and private company
director-level compensation.
Director-level, public and private company comparison
Compensation — all responses
Public
No. of responses
Private
30
27
Salary
$162,800
$136,700
Total cash compensation
(salary, bonus, nonstock compensation)
$212,045
$153,126
Total compensation
$240,670
$159,279
The median base salary ranges of both public and private
company directors are consistent with company revenues. None
of the director-level respondents receives an annual base salary
above $325,000. The following table compares median salary
ranges for public and private company directors.
Director-level, public and private company comparison
Base salary — all responses
Annual base salary
Public
Private
Less than $100,000
1
3
$100,000–$125,000
3
9
$126,000–$150,000
11
7
$151,000–$175,000
6
2
$176,000–$200,000
5
5
$201,000–$225,000
1
1
$226,000–$250,000
0
0
$251,000–$275,000
2
0
$276,000–$300,000
0
0
$301,000–$325,000
1
0
$326,000–$350,000
0
0
$351,000–$375,000
0
0
$376,000–$400,000
0
0
$401,000–$425,000
0
0
$426,000–$475,000
0
0
$476,000–$500,000
0
0
$501,000 or greater
0
0
30
27
Grand total
Financial executive compensation survey 2012 13
Bonus percentages for both public and private directors
are detailed in the following table. None of the director-level
respondents received a bonus exceeding 70 percent of his or her
base salary.
Director-level, public and private company comparison
Annual bonus — all responses
Annual bonus
Public
Private
Not eligible
2
7
Up to 10% of base salary
2
8
11–20% of base salary
6
7
21–30%
7
3
31–40%
8
0
41–50%
1
0
51–60%
3
0
61–70%
1
1
71–80%
0
0
81–90%
0
0
91–100%
0
0
Exceeds 100%
0
0
30
26
Grand total
A majority of respondents in the sample do not have an
employment contract. Of those who do, the contract type most
often cited is for severance based on number of months.
A majority of public company directors are CPAs
(70 percent) with a master’s degree (63 percent). Fewer than
half of the private company directors are CPAs (48 percent)
with master’s degrees (22 percent).
14 Financial executive compensation survey 2012
Chief accounting officer, public and private
company comparison
The average base salary for public company chief accounting
officers (CAOs) is $231,300 — less than last year’s average. Most
(88 percent) received an average salary increase of 3 percent.
The average base salary for private company CAOs is $180,800.
Fewer than half of the private company CAOs (43 percent)
received an average salary increase of 1 percent.
Almost all CAOs (both public and private) receive annual
bonuses of varying percentages. Most of the public company
and none of the private company CAOs receive additional
cash-based, long-term incentive awards. Adding bonus and
other cash incentives to the base salary, the average total cash
compensation for a public CAO is $353,289 and for private
company CAOs is $222,514.
All public company and a majority (57 percent) of a private
company CAO receive a form of stock-based, long-term incentive
award. Of the types of share-based payment, restricted stock/
restricted stock options are the most popular for both public and
private CAOs. A majority of public company CAOs (54 percent)
receive dividends or dividend equivalents on the stock-based
awards, but none of the private company CAOs does.
Almost all CAOs participate in a defined contribution
plan with a company match. Few participate in a supplemental
retirement plan. The most popular perquisite is a cell phone, cell
phone allowance or cell phone reimbursement (85 percent for
public and 86 percent for private). When asked to estimate total
compensation (including share-based awards, incentives and
perks), public and private company CAOs responded with an
average of $435,469 and $246,343, respectively.
For the most part, compensation is proportionate to the
annual revenues of respondents’ employers. The following table
compares average compensation based on company type.
CAO, public and private company comparison
Annual bonus — all responses
CAO, public and private company comparison
Compensation — all responses
Annual bonus
Public
No. of responses
Salary
Private
Public
Private
Not eligible
0
3
16
7
Up to 10% of base salary
0
1
$231,300
$180,800
11–20 % of base salary
2
1
21–30%
3
0
31–40%
1
0
41–50%
3
2
51–60%
2
0
61–70%
2
0
71–80%
0
0
81–90%
0
0
91–100%
1
0
Total cash compensation
(salary, bonus, nonstock compensation)
$353,289
$222,514
Total compensation
$435,469
$246,343
The median annual base salary range of public company and
private company CAOs varies. None of the private company
respondents receives an annual base salary exceeding $250,000.
For public companies, only one respondent receives an annual
base salary exceeding $300,000. The following table details the
median salary range.
CAO, public and private company comparison
Base salary — all responses
Annual base salary
Public
Private
Less than $100,000
0
1
$100,000–$125,000
1
0
$126,000–$150,000
0
1
$151,000–$175,000
1
2
$176,000–$200,000
1
0
$201,000–$225,000
5
0
$226,000–$250,000
4
3
$251,000–$275,000
2
0
$276,000–$300,000
1
0
$301,000–$325,000
0
0
$326,000–$350,000
0
0
$351,000–$375,000
0
0
$376,000–$400,000
0
0
$401,000–$425,000
1
0
$426,000–$475,000
0
0
$476,000–$500,000
0
0
$501,000 or greater
0
0
16
7
Grand total
Bonus percentages vary, but none of the private company
respondents received a bonus exceeding 50 percent.
Exceeds 100%
Grand total
1
0
15
7
For both public and private company CAOs, most have an
employment contract with severance payments based on either
change in control or number of months.
All but one of the respondents are CPAs with a bachelor’s
degree (56 percent for public and 57 percent for private).
Financial executive compensation survey 2012 15
Treasurer, public and private company comparison
Public company treasurers reported an increase in their average
base salary from last year to an average of $245,800. This
subgroup reported the largest average salary increase,
4.6 percent. For private company treasurers, the average
base salary was $183,200.
Half of the public company treasurers do not receive
additional cash-based, long-term incentive awards, while less
than half (44 percent) of private company treasurers do not.
Adding salary, bonus and other cash incentives, the average
total cash compensation for public treasurers is $330,000 and for
private treasurers is $217,111.
Most (94 percent) public treasurers receive a form of
stock-based, long-term incentive award. Of the types
of share-based payment, the most popular are restricted stock/
restricted stock options and stock options. The majority receive
dividends or dividend equivalents on stock-based awards.
The majority (63 percent) of private treasurers do not receive
a form of stock-based, long-term incentive award. For those
who do, stock options are the most popular. None of the
private treasurers receives dividends or dividend equivalents
on stock-based awards.
Almost all public and private treasurers participate in a
defined contribution plan with a company match. About half
of the public company treasurers participate in a defined benefit
plan or a supplemental retirement plan, while only a few private
company treasurers do so. The most popular perquisite is a cell
phone, cell phone allowance or cell phone reimbursement
(75 percent for public and 44 percent for private). When asked
to estimate total compensation (including share-based awards,
incentives and perks), public company treasurers responded
with an average of $430,719, and private company treasurers
responded with an average of $253,556.
Compensation is proportionate to the annual revenues of
treasurers’ employers. The following table compares public and
private company treasurer compensation.
Treasurer, public and private company comparison
Compensation — all responses
Public
No. of responses
16
9
Salary
$245,800
$183,200
Total cash compensation
(salary, bonus, nonstock compensation)
$330,000
$217,111
Total compensation
$430,719
$253,556
None of the treasurers (public or private) receives an annual
base salary of less than $100,000, and only one receives a base
salary exceeding $350,000. The following table compares public
and private company treasurers’ median salary ranges.
Treasurer, public and private company comparison
Base salary — all responses
Annual base salary
Public
Private
Less than $100,000
0
0
$100,000–$125,000
1
0
$126,000–$150,000
0
1
$151,000–$175,000
1
3
$176,000–$200,000
2
3
$201,000–$225,000
4
1
$226,000–$250,000
0
0
$251,000–$275,000
4
1
$276,000–$300,000
1
0
$301,000–$325,000
1
0
$326,000–$350,000
1
0
$351,000–$375,000
0
0
$376,000–$400,000
0
0
$401,000–$425,000
0
0
$426,000–$475,000
1
0
$476,000–$500,000
0
0
$501,000 or greater
Grand total
16 Financial executive compensation survey 2012
Private
0
0
16
9
The following table shows bonus percentages for public and
private company treasurers. None of the respondents received a
bonus exceeding 70 percent of his or her base salary.
Treasurer, public and private company comparison
Annual bonus — all responses
Annual bonus
Public
Private
Not eligible
1
1
Up to 10% of base salary
1
2
11–20% of base salary
1
2
21–30%
3
2
31–40%
8
1
41–50%
1
0
51–60%
0
1
61–70%
1
0
71–80%
0
0
81–90%
0
0
91–100%
0
0
Exceeds 100%
0
0
16
9
Grand total
More than half of the public company treasurers have
an employment contract, but fewer than half of the private
company treasurers have one.
The public company treasurers reported the highest
percentage of completed master’s degrees (88 percent) and
the lowest percentage of CPAs (25 percent) in the respondent
groups. Of the private company treasurers, 67 percent completed
their master’s degree, while only 33 percent, the second-lowest
percentage in the respondent groups, reported being CPAs.
Financial executive compensation survey 2012 17
Divisional, geographic or regional CFO, public and private
company comparison
Public company divisional CFOs reported an average base salary
of $218,300 and an average salary increase of 4 percent. Almost
one-quarter (23 percent) did not receive a salary increase. Private
company divisional CFOs reported an average base salary of
$207,700 and an average salary increase of 3 percent, with more
than one-quarter (29 percent) not receiving an increase.
All but one public and one private divisional CFO received a
bonus. However, half the public divisional CFOs and more than
half (67 percent) of the private divisional CFOs do not receive
additional cash-based, long-term incentive awards. Including
total salary, bonus and other long-term cash awards, the average
total cash compensation for public divisional CFOs is $299,800,
and for private divisional CFOs is $256,393.
Seventy-seven percent of public divisional CFOs receive a
form of stock-based, long-term incentive award. Of the types
of share-based payment, the most popular is restricted stock/
restricted stock options (70 percent). For private divisional
CFOs, more than half (57 percent) do not receive a form of
stock-based, long-term incentive award. Of those who do,
phantom stock/units (67 percent) is the most popular.
Most divisional CFOs (67 percent for both public and private)
do not receive dividends or dividend equivalents on the stockbased awards.
Most participate in a defined contribution plan with a
company match. Few participate in a defined benefit plan.
All the public company divisional CFOs have a cell phone,
cell phone allowance or cell phone reimbursement, while most
(86 percent) of private company divisional CFOs also have
this perquisite. When asked to estimate total compensation
(including share-based awards, incentives and perks), public
divisional CFOs responded with an average of $368,546, and
private divisional CFOs responded with an average of $271,071.
18 Financial executive compensation survey 2012
In the majority of cases, compensation is proportionate
to the annual revenues of divisional CFOs’ employers.
The following table compares compensation for public and
private company divisional CFOs.
Divisional, geographic, regional CFO, public and private
company comparison
Compensation — all responses
Public
Private
13
7
Salary
$218,300
$207,700
Total cash compensation
(salary, bonus, nonstock compensation)
$299,800
$256,393
Total compensation
$368,546
$271,071
No. of responses
The median base salary ranges of both public and private
company divisional CFOs were fairly consistent with company
revenues. None of the divisional CFOs received an annual base
salary exceeding $400,000. The following table compares median
salary ranges for public and private company divisional CFOs.
None of the public respondents received a bonus exceeding
70 percent of his or her base salary, and no private respondents
received a bonus exceeding 50 percent. The following table
depicts bonus percentages for divisional CFOs.
Divisional, geographic, regional CFO, public and private
company comparison
Annual bonus — all responses
Divisional, geographic, regional CFO, public and private
company comparison
Base salary — all responses
Annual bonus
Public
Private
Not eligible
1
1
0
Up to 10% of base salary
0
1
0
11–20% of base salary
3
1
1
0
21–30%
3
1
$151,000–$175,000
2
1
31–40%
0
2
$176,000–$200,000
1
2
41–50%
3
1
$201,000–$225,000
2
2
51–60%
2
0
$226,000–$250,000
3
1
61–70%
1
0
$251,000–$275,000
1
1
71–80%
0
0
$276,000–$300,000
0
0
81–90%
0
0
$301,000–$325,000
1
0
91–100%
0
0
$326,000–$350,000
0
0
Exceeds 100%
$351,000–$375,000
0
0
Grand total
$376,000–$400,000
1
0
$401,000–$425,000
0
0
$426,000–$475,000
0
0
$476,000–$500,000
0
0
$501,000 or greater
0
0
13
7
Annual base salary
Public
Private
Less than $100,000
1
$100,000–$125,000
0
$126,000–$150,000
Grand total
0
0
13
7
Fewer than half (46 percent) of public company divisional
CFOs and slightly more than half (57 percent) of private
company divisional CFOs have an employment contract.
A majority (69 percent) of public divisional CFOs are CPAs
with a master’s degree (62 percent). Half of the private divisional
CFOs completed a master’s degree, and this group reported the
lowest percentage of CPAs (29 percent).
Financial executive compensation survey 2012 19
Appendix—Job descriptions
This appendix is excerpted from Robert Half International’s,
“The Glossary of Job Descriptions for Accounting and
Finance,” which covers a variety of positions in accounting,
finance, banking and financial services, and is derived from the
thousands of full-time, temporary and project placements made
through Accountemps, Robert Half Finance & Accounting and
Robert Half Management Resources locations, and the expert
market knowledge of those organizations’ recruiting and staffing
professionals. While the glossary provides an overview of typical
responsibilities and skill requirements, variations do occur based
on company size, industry, local employment conditions and
other factors. For more information, contact the Robert Half
office nearest you or call 800.803.8367.
Job descriptions help organizations clearly identify the key
criteria for positions within the company. They also make the
résumé evaluation, interview and selection stages more efficient.
By clearly defining the requirements for a job opening, hiring
managers can better determine the best person for the role.
Well-written job descriptions also help job seekers understand
the expectations of the position and enable them to compare
their skills with those needed to be effective in the role.
Many companies post job descriptions online when recruiting
for an open position. This is an opportunity for applicants to
customize their résumés and cover letters to show more clearly
how their skills and experience match the requirements of the
job. Candidates who tailor their job search materials to the needs
of prospective employers have a better chance of progressing
through the initial evaluation and hiring process.
20 Financial executive compensation survey 2012
A well-executed job description accomplishes the
following objectives:
• Establishes the framework for defining the job and
analyzing appropriate hiring criteria
• Gives candidates a clear idea of what to expect
and helps to deter those who lack the necessary
skills from applying for the job
• Helps the hiring manager decide on a competitive
pay range, based on market value, for the various
responsibilities of the position
• Serves as a tool for setting expectations and establishing
objective measures for performance appraisals
• Provides a preliminary idea of how easy it will be to
find someone to fill the opening
The following categories represent a basic template of
what a typical job description might include and the specific
information it should convey:
• Position title — The full title of the job and, if possible,
the title of the person to whom the candidate will report
• General description — Two to three sentences outlining
the overall responsibilities of the position
• Key responsibilities — The specific tasks the applicant
will be asked to carry out on a daily basis
• Skills and attributes — The hiring criteria that will be
used to evaluate candidates, such as skills, experience,
knowledge or traits required to perform the job
• Educational requirements — Any type of licensing,
certification or training required to be eligible for the position
Corporate chief financial officer
Chief financial officers (CFOs) must have strong analytical,
strategic planning and communication skills, including the ability
to work well with the chief executive officer, board members
and other senior managers. CFOs typically have at least 10 years
of experience in accounting or finance, including a minimum
of five years in a management role. The larger the firm, the
more experience is required. Many companies prefer candidates
who have a master’s degree in business administration (MBA)
and/or a professional accreditation such as certified public
accountant (CPA) or certified management accountant (CMA).
Professionals should know all aspects of generally accepted
accounting principles. Public companies also require experience
with U.S. Securities and Exchange Commission (SEC) reporting.
Previous experience in public accounting is also highly valued.
Candidates for CFO should have held positions of increasing
responsibility within an accounting department, such as director
of finance, director of accounting or controller.
Typical duties include:
• providing strategic management of the accounting
and finance functions;
• directing accounting policies, procedures and
internal controls;
• recommending improvements to ensure the integrity
of a company’s financial information;
• managing or overseeing the relationship with
independent auditors;
• collaborating with chief information officers
on technology decisions;
• overseeing financial systems implementations and upgrades;
• managing relationships with investors and
investment institutions;
• identifying and managing business risks and
insurance requirements; and
• hiring, training and retaining competent accounting
and finance staff.
Vice president of finance
This role requires advanced strategic planning, negotiation,
communication and management skills. Individuals assuming
vice president of finance positions generally have at least
10 years of experience in accounting, finance or treasury.
Previous experience in public accounting is highly valued.
Many companies prefer candidates with a master’s degree
in finance or business administration and/or a professional
accreditation such as certified public accountant (CPA) or
certified management accountant (CMA).
Typical duties include:
• ensuring compliance with state and federal regulations;
• establishing and maintaining sound relationships with
financial institutions, including commercial and
investment banks;
• making recommendations to optimize investments
of financial capital;
• coordinating and managing the annual budget process;
• communicating the company’s actual performance
versus budgets and objectives to senior management;
recommending growth strategies, as well as identifying
areas for improvement;
• collaborating with leaders of other departments to
prepare for critical business opportunities; and
• hiring, training and retaining competent finance staff.
Financial executive compensation survey 2012 21
Corporate controller
Treasurer
Controllers must have solid communication, technology,
analytical and management skills. Candidates should know
all aspects of generally accepted accounting principles.
Public companies also require knowledge of U.S. Securities
and Exchange Commission (SEC) regulations and provisions
of the Sarbanes-Oxley Act. The role usually requires at least
seven years of relevant experience and a bachelor’s degree in
accounting or finance. Many organizations prefer candidates
who have a master’s degree in business administration (MBA)
or professional accreditation such as certified public accountant
(CPA) or certified management accountant (CMA). Previous
experience in public accounting is highly valued.
The treasurer role requires excellent communication, technology,
problem-solving and analytical abilities. Candidates usually
need at least 10 years of professional experience, and public
accounting experience is a plus. Companies seek applicants who
have a bachelor’s degree in accounting, finance or economics,
and prefer advanced credentials such as a master’s degree in
business administration (MBA) or a financial certification.
Typical duties include:
• planning, directing and coordinating all accounting
operational functions;
• managing the accumulation and consolidation of all
financial data necessary for an accurate accounting of
consolidated business results;
• coordinating and preparing internal and external
financial statements;
• coordinating activities of external auditors;
• providing management with information vital
to the decision-making process;
• managing the budget process;
• assessing current accounting operations, offering
recommendations for improvement and implementing
new processes;
• evaluating accounting and internal control systems;
• evaluating the effectiveness of accounting software and
supporting database, as needed;
• developing and monitoring business performance metrics;
• overseeing regulatory reporting, frequently including
tax planning and compliance; and
• hiring, training and retaining competent accounting staff.
22 Financial executive compensation survey 2012
Typical duties include:
• establishing and maintaining relationships with
commercial bankers, allowing open discussion on
terms of available financing;
• researching and analyzing financing alternatives and
providing recommendations;
• structuring debt arrangements;
• ensuring debt covenant compliance;
• directing investments of corporate cash;
• monitoring operating cash requirements;
• communicating the company’s operating and financial
performance goals and strategies to external investors
and creditors; and
• hiring, training and retaining competent staff.
Assistant treasurer
Companies seek assistant treasurer candidates with strong
communication, technology, problem-solving and analytical
skills. These positions generally require a bachelor’s degree
in accounting or finance, and at least seven years of relevant
experience. Previous experience in public accounting also
is highly valued. Applicants who have a master’s degree in
business administration (MBA) or a professional certification
have an advantage.
Typical duties include:
• researching and analyzing approaches to financing
and hedging strategies,
• reviewing and negotiating documents, including
loan agreements and letters of credit,
• determining the company’s ability to meet financial
terms of contracts,
• compiling information from various corporate
departments for loan agreements,
• monitoring compliance with loan agreements,
• tracking cash flow and developing cash forecasts,
• managing banking relationships, and
• maintaining records for corporate stock plans.
Assistant controller
Assistant controllers should have strong analytical, technology,
communication and organizational skills. This position generally
requires at least five years of experience in accounting or finance,
and public accounting experience is highly valued. Businesses
expect a bachelor’s degree in accounting or finance, but many
prefer applicants who also have a master’s degree in business
administration (MBA) or an accreditation such as certified public
accountant (CPA) or certified management accountant (CMA).
Typical duties include:
• preparing and consolidating financial statements;
• establishing and maintaining internal controls;
• managing all aspects of the general ledger;
• providing monthly, quarterly and year-end analyses;
• coordinating or assisting with the budget process;
• researching accounting issues for compliance with
generally accepted accounting principles;
• analyzing and reporting cost variances;
• serving as a liaison to external auditors; and
• supervising accounts receivable, accounts payable and
general accounting departments.
Director of finance
As part of the management team, directors of finance must have
strong leadership, technology, analytical and communication
skills. The position generally requires at least 10 years of
experience in accounting or finance, and management skills.
Previous experience in public accounting is highly valued.
A bachelor’s degree in finance or accounting is required,
and a master’s degree in business administration (MBA) or a
professional designation such as certified public accountant
(CPA) or certified management accountant (CMA) is preferred.
Typical duties include:
• overseeing insurance and risk management;
• maintaining budgeting and forecasting models;
• performing financial modeling and analysis;
• assisting with business funding decisions; and
• hiring, training and retaining competent finance staff.
Financial executive compensation survey 2012 23
Director of accounting
Tax director
Directors of accounting must have strong communication,
organizational, technology and leadership skills. Candidates
usually have at least 10 years of experience, including
previous management responsibility. They also should have
comprehensive knowledge of generally accepted accounting
principles. Those with public accounting experience have an
advantage. Businesses expect a minimum of a bachelor’s degree
in accounting but generally prefer applicants who have also
earned a master’s degree in business administration (MBA)
or certification such as certified public accountant (CPA) or
certified management accountant (CMA).
Tax directors must be highly motivated and take the initiative
to stay up to date with industry and government regulations
through continuing education and subscriptions to professional
journals. Tax director positions usually require a bachelor’s
degree in accounting and a certified public accountant (CPA)
designation. A master’s degree in business administration (MBA)
is also preferred. Candidates should have at least seven years of
experience, as well as polished negotiation, communication and
analytical skills.
Typical duties include:
• developing and maintaining accounting policies and
procedures;
• planning, organizing and coordinating the year-end
close process with internal and external auditors;
• ensuring successful completion of the company’s tax filings;
• preparing financial statements, including cash
flow statements;
• planning, budgeting and authorizing expenditures; and
• hiring, training and retaining competent accounting staff.
24 Financial executive compensation survey 2012
Typical duties include:
• reviewing various corporate tax returns and year-end tax
accruals, and estimating income taxes;
• conducting research and planning according to current tax
laws, and advising senior management on the tax impact of
current and proposed company activities and transactions;
• identifying ways to minimize the organization’s tax liability
each year in accordance with current tax laws;
• representing the company on tax audits conducted by
outside regulatory agencies;
• facilitating tax-related communication with appropriate
government agencies and in-house counsel;
• overseeing reporting and payment of all local, state and
federal taxes; and
• hiring, training and retaining competent tax staff.
About the authors
Thomas Thompson Jr.
Thomas Thompson Jr. is a senior associate, Research at Financial Executives
Research Foundation, Inc., author of more than 20 published research reports and
primary blogger of the FERF Research Blog. Thompson received a baccalaureate
of arts degree in economics from Rutgers University and a baccalaureate of
arts degree in psychology from Montclair State University. Prior to joining FERF,
Thompson held positions in business operations and client relations at NCG Energy
Solutions, AXA-Equitable and Morgan Stanley Dean Witter.
Thompson can be reached at tthompson@financialexecutives.org or
973.765.1007.
Ken Cameron
Ken Cameron, Professional in Human Resources, is a director in Grant Thornton’s
compensation and benefits consulting practice based in Atlanta and serves
as a Southeast Region compensation leader. He has more than 20 years of
compensation and human resources leadership experience in both the consulting
and corporate environments. Prior to joining Grant Thornton, Cameron was a
senior consultant at Towers Watson and also spent more than 10 years as a
compensation and benefits leader for BellSouth. He has worked with a wide
spectrum of organizations, including Coca Cola Enterprises, the Federal Reserve
Bank of Atlanta, Aarons, Inc. and the Georgia Institute of Technology. His areas
of experience include reward strategy, executive compensation and benefits,
compensation committee support, variable pay design, cash and equity-based
reward programs, international compensation design, broad-based pay design,
benchmarking and analysis and performance management. Cameron has earned
the designation of Certified Compensation Professional from WorldatWork®
and in addition, he has been a featured speaker for several local and national
compensation and human resources organizations. He received a master of
science in industrial relations from Loyola University’s Institute of Industrial Relations
and his bachelor of arts degree in psychology from the University of Rochester.
Cameron can be reached at ken.cameron@us.gt.com or 404.704.0136.
Eddie Adkins
Eddie Adkins, CPA, is a partner in Grant Thornton’s national tax office in
Washington, D.C., and is the national tax technical leader for the firm’s
compensation and employee benefits practice. He has the primary responsibility
within Grant Thornton for tracking new regulatory and legislative developments
related to executive compensation and employee benefits. Adkins has written
extensively on compensation and benefits topics, including articles in the
Daily Tax Report and Tax Notes. He has also written articles for journals such as
the Compensation Planning Journal, The Tax Advisor, and The Journal of Taxation.
Adkins has been quoted in various newspapers across the country, including
The Wall Street Journal, The New York Times, the Chicago Tribune and USA Today,
and he has also appeared on CNBC. He is a former chair of the American Institute
of CPAs’ employee benefits and compensation technical resource panel, the
Section 409A Task Force, and the national employee benefits conference.
Adkins can be reached at eddie.adkins@us.gt.com or 202.521.1565.
Bruce Benesh
Bruce Benesh, CPA, is a tax partner with Grant Thornton and has more than
32 years of experience in executive compensation, tax planning relating to
compensation arrangements and international human resource consulting.
Before joining Grant Thornton, Benesh was the partner-in-charge of Arthur
Andersen’s North American and Latin American Human Capital Practice and the
divisional president of a consulting practice for a publicly traded company. Benesh
has broad consulting experience in many industries, with companies ranging from
closely held family businesses and family offices to multinational corporations.
His experience includes advising clients and executives on all aspects of strategic
planning and compensation, benefits and human resource issues, including
competitive total compensation arrangements for executives, change-in-control and
severance arrangements, qualified pension, profit-sharing and stock bonus plans,
life insurance planning, welfare benefit plans, nonqualified executive compensation
arrangements, and employer-provided fringe benefits. Benesh also has extensive
experience in single family offices and in the design and implementation of longterm, equity-based incentive plans for family and privately held companies.
In addition, Benesh has written numerous articles dealing with compensation
and tax issues that have been published in such journals as The Tax Advisor,
Taxes, Small Business Taxation, Trusts and Estates, Tax Ideas and Journal of
Accountancy. He lectures frequently on executive compensation and business
planning, focusing primarily on designing incentive plans and organizational
structures to motivate corporate performance.
Benesh can be reached at bruce.benesh@us.gt.com or 803.231.3099.
Financial executive compensation survey 2012 25
About Grant Thornton LLP
and Financial Executives Research
Foundation, Inc.
About Grant Thornton LLP
About Financial Executives Research Foundation, Inc.
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publications can be ordered by logging onto www.ferf.org.
26 Financial executive compensation survey 2012
Acknowledgements
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acknowledges and thanks the following for their
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Financial Executives International
Distinguished Service Award Recipient
Congratulations from the FEI Dallas Chapter!
Don Robillard is a man of accomplishment, whether it’s serving
as chief financial officer of one of the largest global oil and gas
companies or maintaining an active and energetic volunteer role
as a member of Financial Executives International.
As senior vice president and CFO of Hunt Consolidated
Inc., Robillard oversees the finances of a major global enterprise
that specializes in oil and gas exploration and production,
refining, real-estate development and private equity investments.
His commitment to the company has been longstanding; he
joined Hunt in 1983 as manager of international accounting.
Robillard spent nine challenging years early in his Hunt
tenure with Yemen Hunt Oil Co., where he held various
management roles, rising to vice president of finance.
When Hunt started operations there in 1984, there was no
infrastructure of services and success relied on the grit and selfsufficiency of its managers, including Robillard. He was a key
participant in bringing the first oil from Yemen to production,
as well as the development of 12 commercial oil fields and the
construction of several major new gas facilities.
Today, in his executive capacity, Robillard is responsible for
the oversight of financings and directs the company’s treasury,
insurance and accounting functions. His duties extend to all the
privately held entities of the Hunt organization. In addition, he
serves as a director of Hunt Consolidated and is a member of the
board of directors of the Hunt Oil Co. He also is CFO of Hunt
Global Partnerships.
Prior to joining Hunt, Robillard was affiliated with the
international division of Cities Service Oil Co., where he
held various supervisory and managerial accounting posts.
These included negotiating accounting and business projects
with partners and host governments in the Far East, Middle East,
Africa and South America.
Don Robillard
Senior Vice President and CFO
Hunt Consolidated Inc.
Robillard’s FEI service has been significant. He currently
serves as chairman of the Committee on Private Company
Policy (CPC-P), formerly served as chairman of the Private
Company Roundtable (PCR) and has been an integral member
of FEI’s Dallas Chapter since 1995.
A CPA, he is a member of the American Institute of
Certified Public Accountants, the Texas Society of Certified
Public Accountants and the National Association of Corporate
Directors. In 1975, Robillard earned a BBA from the University
of Texas in Austin. His community contributions include
membership on the Advisory Board of the Dallas Museum of
Nature and Science.
Financial Executives International
Distinguished Service Award Recipient
Congratulations from the FEI Orange County Chapter!
Gary R. Peacock, who passed away in December 2011, spent
his formative years with his family in Alaska, but his many
professional accomplishments came shining through during his
time in Orange County, CA, where he served for many years
with distinction as a member of FEI’s Orange County Chapter.
Over the course of a long and varied professional career,
Peacock occupied senior financial management positions in
the construction, airline, manufacturing, recreation and energy
industries. Following his graduation with honors in 1962 from
California State University – Los Angeles, he joined Arthur
Andersen & Co., where he worked for four years and earned his
CPA designation.
In 1966, Peacock joined Smith International Inc. in the oil
and energy business as chief financial officer. He remained
for eight years before moving on to an opportunity in the
construction industry. He became CFO of Santa Anita
Consolidated Inc., a builder of shopping centers and private
homes in Southern California, which was perhaps best known as
owner of the Santa Anita Thoroughbred Racetrack.
Peacock then became president of Recreation Park
Development Co., which turned utility property into secondary
recreational use. In 1978, he changed professions again, signing
on as CFO of Maxon Industries Inc., a manufacturer of truck
equipment. Eventually, he became a key financial executive in
the airline industry, working for AirCal Inc. for two years as
CFO and then as CFO for Wings West Airlines Inc., a San Luis
Obispo commuter line. He then joined Lockheed Corp. as CFO
of two of its divisions.
In 1995, he became vice president and CFO of Money Mailer
Inc., a national franchiser of coupon advertising, moving on
as general manager and CFO for Montech Inc., a contractor
of equipment and services for banks, and then as CFO for
Terralliance, a financial startup. In 2008, Peacock retired but
continued to provide accounting expertise to clients.
Gary R. Peacock
His work with the FEI Orange County Chapter in was
no less busy and engaged. He served the chapter in a variety
of capacities, most recently as chairman of the Career Services
committee. During the dot-com bubble burst just after the
turn of the century, Peacock was instrumental in helping FEI
members find new jobs and follow potential career leads. In
recognition of his many contributions and commitment to FEI,
the organization renamed a scholarship fund established for
students aspiring to careers in finance or accounting as the Gary
R. Peacock Scholarship Fund.
A father of two children and grandfather of five, Peacock and
his wife, Nancy, lived in Costa Mesa the last 12 years of his life.
In that time, he was involved in the Mesa North Community
Association, serving as treasurer and also as publisher of the
organization newsletter.
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