An actuary uses numbers and statistics to quantify the costs of various risks or events

How much money can you make?

What type of training will it take?

And what does the job actually entail?

Read on to find out whether this is the job for you

What will I be doing all day?

An actuary uses numbers and statistics to quantify the costs of various risks or events. Actuaries typically work for insurance companies, usually specializing in a specific insurance field, researching, designing, and assessing financial strategies to minimize the risk for the company in the event of damages or natural disaster that they would have to cover.

As part of their work, actuaries determine the premiums for insurance policies by calculating risk factors for the event being insured — such as death, fire, flood, unemployment, or property damage — to give the company an accurate picture of how much risk they assume in insuring this client.

Do I have the personality for it?

Aside from having superior math skills, a good actuary is analytical and good at problem-solving, detail-oriented but also good at seeing the big picture, efficient, conscientious, and organized. An actuary also needs good communication skills, to be able to explain complex concepts to laymen.

What kind of schooling do I need?

Actuaries usually need an undergraduate degree, typically in mathematics, actuarial science, or statistics. Students also must take courses in economics, statistics, and corporate finance. A class in computer programming is recommended as well, as actuaries must be proficient in developing spreadsheets, databases, models, and other analytical tools.

In the US, there are two main credential-issuing actuarial societies, the Society of Actuaries, or SOA, and the Casualty Actuarial Society, or CAS. In order to be credentialed as an associate (ASA or ACAS), an actuary must pass a series of exams, which typically take between four to seven years to complete. Most employers will hire an actuarial graduate after they pass the first one or two exams, and will assist them in their certification process by providing them with study time and paying the cost of their exams and study materials, as well as providing financial incentives for passing exams.

It takes several more tests, in which you can choose to specialize, to become a fully credentialed fellow (FSA — or FCAS).

What can I expect to make?

Salary is dependent on several factors, including experience, specialization, location, and level of management.

The average salary range: $110,000 – $150,000

Starting salaries: $70,000 – $80,000

Average salary for long tenured employees: over $200,000