How to Become an Actuary: Exams, Degrees, and Pay (2027)
Actuaries put a price on risk. They use math, statistics, and financial theory to estimate how likely future events are and what they would cost, then help insurers, employers, and governments plan for them.
It’s one of the few careers where you can start earning professional credentials before you graduate. The road is long, built on a series of tough exams, but employers often help you along the way. Here’s how it works.
The job
What does an actuary do?
Actuaries gather and analyze data, build models to estimate the chance and cost of events like accidents, illness, or natural disasters, and explain what they find to people who make decisions. Most specialize in one area.
Property and casualty insurance
- Pricing auto, home, and business insurance
- Estimating how much to set aside for future claims
Life and health insurance
- Designing and pricing life insurance and annuities
- Forecasting health care costs for insurers and employers
Retirement benefits
- Making sure pension plans can pay what they promise
- Advising employers on the cost of retirement plans
Risk management and investments
- Measuring risk across a whole company
- Applying models to investments and corporate finance
According to BLS, 78% of actuaries work in finance and insurance, and 13% work in professional and technical services such as consulting firms. Smaller numbers work for corporations and government.
Getting there
The path to becoming an actuary
Most actuaries follow a similar sequence. The difference from most careers is that the exams keep going well after you’re hired.
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Earn a quantitative bachelor’s degree
Math, actuarial science, statistics, economics, finance, or another analytical major. Courses in economics, corporate finance, statistics, and programming help on the job and toward credential requirements.
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Pass one or two exams before you graduate
BLS notes that many employers expect new hires to have passed one or two exams already. Most students start with probability and financial mathematics.
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Get an internship
An internship shows you what the work is really like and helps you choose between insurance, health, retirement, and other specialties.
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Start as an actuarial analyst
Entry-level analysts support credentialed actuaries while studying for more exams. Employers often provide paid study time and cover exam fees and materials, and some give raises or bonuses for each exam passed.
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Earn your associate credential, then consider fellowship
Reaching the associate level can take up to seven years, according to BLS. Fellowship takes several more years and leads to the most senior roles.
Professional designations
SOA and CAS credentials
In the U.S., actuaries earn credentials through one of two professional societies. Which one you choose depends on the kind of risk you want to work with.
Society of Actuaries (SOA)
- Life insurance, health, retirement, investments, and enterprise risk
- Associate: ASA. Fellow: FSA
- Requires exams, online learning modules, approved college courses (VEE), and a professionalism seminar
Casualty Actuarial Society (CAS)
- Property and casualty insurance: auto, home, business, and workers’ comp
- Associate: ACAS. Fellow: FCAS
- Requires exams, approved college courses (VEE), a professionalism course, and a practical assessment
Both societies start with the same two exams: probability (SOA Exam P, CAS Exam 1) and financial mathematics (SOA Exam FM, CAS Exam 2). That gives you time to choose a direction before the paths split.
- VEE: “Validation by Educational Experience” credit comes from approved college courses in areas like economics and accounting and finance.
- CERA: the Chartered Enterprise Risk Analyst credential recognizes expertise in enterprise risk management.
- Enrolled Actuary: pension actuaries must be enrolled through the Joint Board for the Enrollment of Actuaries.
- Requirements change: both societies update their exams regularly, so check the SOA and CAS sites for the current list.
Preparation
What should you study?
You don’t need an actuarial science major. Employers hire from math, statistics, economics, finance, and other analytical programs, as long as you can pass the exams and work with data.
Bachelor’s
Bachelor’s in Finance
Corporate finance, investments, and financial math, with room for statistics electives.
Bachelor’s
Economics Degree
Models, data, and how markets behave. Economics courses can also count toward VEE credit.
Compare
All Degree Levels
See how associate, bachelor’s, and graduate programs fit together.
Planning ahead? Ask schools whether their courses are approved for VEE credit, whether they have an actuarial club or exam prep support, and how many students land actuarial internships.
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Current national data
Actuary pay and job outlook
$130,000
May 2025 median annual pay. The lowest 10% earned under $78,570 and the highest 10% over $215,100.
9%
Projected job growth, 2025 to 2035, which BLS rates “much faster than average.”
1,500
Average openings projected each year. It’s a small field, with about 31,200 jobs in 2025.
These figures describe all actuaries nationwide, including experienced fellows. They aren’t starting pay or what any graduate will earn.
Before you commit
Is an actuarial career a good fit?
Strong math is the price of admission. The people who thrive also enjoy explaining numbers to people who don’t work with them every day.
- You like math, statistics, and solving problems with data.
- You’re comfortable with spreadsheets and willing to learn programming.
- You can explain technical results clearly to managers and clients.
- You’re patient with long-term goals and steady, self-directed study.
- You work well on a team with underwriters, accountants, and analysts.
Common questions
Actuary career FAQs
Do I need an actuarial science degree?
No. BLS lists math, actuarial science, statistics, business, and other analytical fields as common majors. What matters most is passing exams and building strong math, data, and communication skills.
How long does it take to become an actuary?
Most people spend four years on a bachelor’s degree and then keep taking exams while they work. BLS says reaching associate-level certification can take up to seven years, and fellowship takes several more.
Should I choose the SOA or the CAS?
It depends on the work you want. The CAS focuses on property and casualty insurance, such as auto and home. The SOA covers life, health, retirement, and investment work. Both start with the same first two exams, so you don’t have to decide right away.
Do employers help with exams?
Often, yes. Employers commonly provide study time during work hours and pay for exam fees and study materials, and some award raises or bonuses for each exam passed. Ask about exam support when you compare job offers.
Can I start the exams while I’m still in school?
Yes, and many employers expect it. Passing one or two exams before graduation can make you a stronger candidate for internships and entry-level jobs.