Difference Between Controller and Comptroller
The key difference between Controller and Comptroller is that controller is responsible for managing the financial affairs of the organization like analysis of the financials, its reporting etc and holds the position of the financial head in the private organization, whereas, comptroller also performs the same nature of duties with the difference that he manages the financial affairs of the government organization.
What is the difference between comptroller and controller is a fundamental question among the students who are studying and want to make their career in accounting and Financial field as they might also be the aspiring controller or comptroller of the future? These two words are very similar as they are the upper-level positions in financial management with a slight variation in the working criteria or approach of each.
There is not much difference in them as far as their duties are concerned. It just that a finance controller is a name for a financial head in the private organization, whereas a comptroller performs the same tasks for government firms. Let’s dive deep to know how these two positions differ from each other.
Who is a Controller?
A controller is a person who holds the highest position in the finance department of an organization and takes care of all the financial affairs of that organization such as financial reportingFinancial ReportingFinancial Reporting is the process of disclosing all the relevant financial information of a business for a particular accounting period. These reports are used by the stakeholders (investors, creditors/ bankers, public, regulatory agencies, and government) to make investing and other relevant decisions. , financial analysis, and interpretations, etc. that are in the good for the company’s financial health. Controllers are the professionals being appointed in private organizations.
- The major responsibilities of a controller include ensuring that financial reporting is accurate and not manipulated.
- They are also accountable for an explanation to the shareholdersShareholdersA shareholder is an individual or an institution that owns one or more shares of stock in a public or a private corporation and, therefore, are the legal owners of the company. The ownership percentage depends on the number of shares they hold against the company's total shares. and management of the company for all the analysis, interpretations and findings related to the company’s finance as he is the one who makes all the major financial decisions that are of the interest of shareholders, investors, and creditors of the company.
- They need to know where the funds are being used and how it would be beneficial for the company’s growth.
- In addition to the responsibilities mentioned above, controllers are also responsible for adhering to all the laws such as local, state, and federal laws related to the financial and monetary matters.
- As per the law, the controller holds the topmost rank in the company’s finance. Therefore, he has to ensure that the company is making a profit, and it is a profitable entity.
Who is a Comptroller?
There is not much difference between the roles and responsibilities of a Comptroller as compared to a Controller. Comptrollers perform the same duties as that of a financial comptroller. Besides the fact that there is not a significant difference between the tasks that they have to perform, comptrollers are ranked higher in the government organization or any government entity on state or local level as compared to their counterparts in private organizations who are known by the name controllers.
- Comptroller would most likely work for a government organization.
- This could be at the state or local level. Whereas, the controller manages the same duties and possesses the same responsibilities in private organizations. Since a comptroller is at a higher rank than a controller and that too in the government firms, the comptroller holds extra responsibilities also.
- In addition to doing financial analysis, making interpretations, and achieving accuracy in financial reporting, the comptroller is also responsible for making sure that the company’s expenditures should be within budget.
- He is also responsible for reviewing the work of his lower-level accountant’s team so that he could be ensured of meeting the standards.
- He is also responsible for fixing and maintaining the organizational budget and making projections for the same. He compares the projections with the actual figures and makes adjustments when needed.
- Being at the top financial rank in a government organization, the comptroller is answerable to the taxpayers as well for their actions. As per the American government, the comptroller is also known as the chief financial officer of a public body.
Controller vs. Comptroller Infographics
Controller vs. Comptroller – Comparative Table
|Controllers are the top-ranked financial personnel within private or non-profit organizations.||On the other hand, the comptroller heads the financial department of the government sector organizations.|
|A controller is responsible for the financial well-being of the organization.||As the controller, a comptroller is responsible for the financial analysis, interpretations related to the company’s finance and accuracy in financial reporting.|
|A controller is answerable to the shareholders and management of the company for their actions.||Since Comptrollers are the head of finance in government firms, they are answerable to taxpayersTaxpayersA taxpayer is a person or a corporation who has to pay tax to the government based on their income, and in the technical sense, they are liable for, or subject to or obligated to pay tax to the government based on the country’s tax laws.A taxpayer is a person or a corporation who has to pay tax to the government based on their income, and in the technical sense, they are liable for, or subject to or obligated to pay tax to the government based on the country’s tax laws.A taxpayer is a person or a corporation who has to pay tax to the government based on their income, and in the technical sense, they are liable for, or subject to or obligated to pay tax to the government based on the country’s tax laws. as well.|
|The controller has to take care of all the laws at the local, federal, and state levels for any financial and monetary matter.||Besides taking care of financial and monetary laws, Comptroller has to make sure that the company’s expenses would not go beyond the set budget.|
|Money is a big concern for the management and stakeholders of a company. Therefore the role of a controller is very challenging as he should be very accurate while dealing with the reporting and any financial analysis.||Comptroller is not just responsible for his actions only. He also holds the responsibility of reviewing the work of his team.|
The controller and comptroller perform similar duties and have similar responsibilities in different working environments. There is no measure of telling which one is more appealing. It is the individual choice which environment he/she wants to work in. Both positions require a very strong understanding of finance and accounting principlesAccounting PrinciplesAccounting principles are the set guidelines and rules issued by accounting standards like GAAP and IFRS for the companies to follow while recording and presenting the financial information in the books of accounts..
This has been a guide to Controller vs. Comptroller. Here we discuss the top differences between Controller and comptroller along with infographics and comparison table. You may also have a look at the following articles –