Actuaries assess financial risk using mathematics, statistics, and financial theory | Photo: Unsplash
In This Guide
- What Is an Actuary?
- Step 1: Understand the Career Path
- Step 2: Pass the First Actuarial Exams (P and FM)
- Step 3: Complete VEE Credits
- Step 4: Choose Your Track (SOA vs. CAS)
- Step 5: Build Technical Skills (Excel, SQL, Python, R)
- Step 6: Network and Find Internships
- Step 7: Land Your First Actuarial Job
- Step 8: Continue Exams and Earn Credentials
- Study Resources and Tools
- Frequently Asked Questions
What Is an Actuary?
An actuary is a professional who uses mathematics, statistics, and financial theory to analyze and manage risk. Actuaries work for insurance companies, consulting firms, government agencies, and large corporations. They help organizations make informed financial decisions by predicting the likelihood of future events—from car accidents and house fires to market crashes and natural disasters.
Career Outlook: The U.S. Bureau of Labor Statistics projects actuarial jobs will grow 20% or more over the next decade—much faster than the average for all occupations. Actuaries consistently rank among the top jobs for job satisfaction, compensation, and work-life balance.
Actuaries are often described as the “architects of financial security.” They design insurance policies, set premium rates, calculate pension obligations, and ensure that companies have enough reserves to pay future claims. The work is intellectually challenging, financially rewarding, and socially meaningful.
Step 1: Understand the Actuarial Career Path
The journey to becoming a fully credentialed actuary typically takes 7 to 10 years. You do not need to quit your job or pause your life—most actuaries complete their exams while working full-time. Employers offer generous study programs, paid study hours, and exam raises.
Here is the typical progression:
- Student / Entry-Level Candidate: 0-2 exams passed, seeking internships or entry-level roles
- Actuarial Analyst: 2-4 exams passed, working under supervision
- Associate Actuary: All associate-level exams passed (7-10 exams depending on track), earning the ASA or ACAS designation
- Fellow Actuary: All fellowship-level exams passed, earning the FSA or FCAS designation
Salary Progression (Typical U.S. data):
- Entry-Level (0-2 exams): $60,000 – $80,000
- Actuarial Analyst (2-4 exams): $80,000 – $110,000
- Associate Actuary (ASA/ACAS): $110,000 – $160,000
- Fellow Actuary (FSA/FCAS): $150,000 – $250,000+
Step 2: Pass the First Actuarial Exams (P and FM)
Actuarial exams require hundreds of hours of focused study | Photo: Unsplash
The first two exams are the most important for breaking into the profession. Most entry-level positions require at least one or two exams passed. Passing exams shows employers that you have the discipline and quantitative ability to succeed.
Exam P: Probability
Topics: General probability, univariate and multivariate probability distributions, random variables, moments, and risk management concepts.
Format: 3 hours, 30 multiple-choice questions
Pass rate: Approximately 40-45%
Study time: 150-250 hours
Exam FM: Financial Mathematics
Topics: Interest theory, annuities, loans, bonds, immunization, and general cash flows.
Format: 3 hours, 30 multiple-choice questions
Pass rate: Approximately 45-50%
Study time: 150-250 hours
How to Pass Your First Exam: Proven Strategies
Patrick Reagon, a student who passed both Exam P and Exam FM before starting college at Ohio State University, shared his winning formula: “These exams were by far the most difficult exams I have ever taken, and preparing for them fundamentally shifted how I approached exam taking and studying.” [citation:2]
His key strategies included:
- Using Coaching Actuaries as a primary resource: He praised their tiered exam system that “allows you to feel very prepared—almost as though you’ve taken the exam before sitting for it.” [citation:2]
- Creating a study schedule: Tracking whether you are on pace, ahead, or behind allows you to modulate your effort accordingly. [citation:2]
- Using a timer and notebook: Documenting study hours revealed exactly how much time was dedicated to preparation and provided motivation during difficult periods. [citation:2]
- Adaptability: Being able to assess what was working and adjust study methods was perhaps the most important skill. [citation:2]
- At least one month of practice exams: A significant shift from high school studying, this dedicated practice time is essential. [citation:2]
Key Study Tips from The Actuarial Foundation: [citation:7]
- Understand the exam structure before diving into studies—review the official syllabus from SOA or CAS
- Create a schedule with daily and weekly goals, breaking study sessions into manageable chunks
- Invest in quality study materials from reputable providers like Coaching Actuaries or The Infinite Actuary
- Practice under timed conditions to simulate the actual exam environment
- Take care of your physical and mental health—sleep, nutrition, and stress management are essential
Step 3: Complete VEE Credits (Validation by Educational Experience)
VEE stands for Validation by Educational Experience. Instead of taking separate exams, you can fulfill these requirements by passing approved college courses with a grade of B- or higher. The Society of Actuaries (SOA) and Casualty Actuarial Society (CAS) have three VEE topics: [citation:1][citation:6]
- VEE Economics: Microeconomics and Macroeconomics
- VEE Accounting and Finance: Financial accounting and corporate finance
- VEE Mathematical Statistics: Regression analysis and time series (SOA) / Mathematical statistics (CAS)
Important Note: You must pass two actuarial exams before applying for VEE credit. VEE topics are not prerequisites for preliminary examinations and may be fulfilled independently. [citation:1][citation:6]
If your university does not offer approved courses, you can complete VEE requirements through alternative providers like Coaching Actuaries, The Infinite Actuary, or online courses from accredited universities. The CAS requires VEE in Economics and Accounting & Finance, while the SOA also requires Mathematical Statistics. [citation:1]
Step 4: Choose Your Track (SOA vs. CAS)
After completing the preliminary exams (P, FM, and often IFM or other shared exams), you must choose between two professional societies: [citation:1]
Society of Actuaries (SOA) Track
The SOA focuses on life insurance, health insurance, retirement benefits, and finance. If you want to work with life insurance companies, health insurers, or pension consulting firms, this is your path.
Associate (ASA) requirements: Preliminary exams (P, FM, IFM, SRM, FAM), VEE credits, e-Learning modules, and the APC (Associateship Professionalism Course). Starting January 2026, the new PCPA exam and project will also be required. [citation:1]
Casualty Actuarial Society (CAS) Track
The CAS focuses exclusively on property and casualty risks—auto insurance, home insurance, workers’ compensation, and liability. If you are interested in pricing and reserving for insurance that covers physical assets and liability, this is your path.
Associate (ACAS) requirements: Preliminary exams (P, FM, IFM, MAS-I, MAS-II), VEE credits, Exams 5 and 6, Data and Insurance Series Courses (DISC DA, IA, RM), and the CAS Course on Professionalism. [citation:1]
Note on Switching Tracks: Switching between SOA and CAS tracks later in your career can be challenging. The DW Simpson job market guide notes that “switching tracks (life or health vs P&C) is harder when hiring is cautious, so if that is your goal, prepare thoughtfully and be ready to take a step back financially.” [citation:8] Choose carefully based on your interests.
Step 5: Build Technical Skills (Excel, SQL, Python, R)
Passing exams shows you have the mathematical discipline. But technical skills get you hired. According to DW Simpson, a leading actuarial recruiting firm: “Employers also value skills like Python, R, SQL, and BI tools. If you’ve been focused only on SOA or CAS exams without building technical projects, you might miss an important skill hiring managers are searching for; proof you can work with data and not just talk about it.” [citation:8]
Essential Technical Skills for Actuaries
- Advanced Excel: Pivot tables, VLOOKUP/XLOOKUP, INDEX-MATCH, array formulas, Power Query, VBA macros
- SQL: Querying large databases, joining tables, aggregating data, writing efficient queries
- Python: Data manipulation (pandas), data visualization (matplotlib, seaborn), statistical modeling (scikit-learn, statsmodels)
- R: Statistical analysis, data visualization (ggplot2), actuarial packages
- Power BI / Tableau: Data visualization and dashboard creation
Build a portfolio of projects that demonstrate these skills. Examples: automate a reserving model in Excel VBA, analyze insurance claims data using Python pandas, or create an interactive dashboard in Power BI showing policyholder demographics.
Resume Tip from DW Simpson: “Include quantifiable results such as ‘Automated reserving models that cut processing time by 25%’ on your resume. Make it easy to see the reasons you are a fit for the job.” [citation:8]
Step 6: Network and Find Internships
Networking is essential for finding actuarial internships and entry-level roles | Photo: Unsplash
The actuarial profession values relationships. Many entry-level jobs are filled through networking and referrals before they are ever posted publicly. [citation:8]
LinkedIn Groups to Join
According to career guidance from St. John’s University, these LinkedIn groups are essential for aspiring actuaries: [citation:3]
- The Entry-Level Actuary: Over 20,000 aspiring actuaries. Actuarial jobs are posted daily, with lively discussions on all topics actuarial.
- Casualty Actuarial Society (CAS): Over 10,000 members focused exclusively on property and casualty risks.
- Society of Actuaries (SOA): The world’s largest actuarial professional organization with more than 32,000 members.
Networking Strategies That Work
- Attend SOA and CAS events: Many have discounted rates for students. These events are where you meet hiring managers face-to-face.
- Ask for referrals and recommendations: A warm introduction from a current employee dramatically increases your chances of getting an interview. [citation:8]
- Connect with actuaries on LinkedIn: Send personalized connection requests explaining your interest and ask for informational interviews.
- Join your university’s actuarial club: Most universities with actuarial programs have active clubs with corporate sponsors.
- Participate in actuarial case competitions: These are excellent resume builders and networking opportunities.
Internships: The Most Important Step
An actuarial internship is the single best way to secure a full-time offer. Most large insurers and consulting firms fill their entry-level classes almost exclusively from their internship programs. Apply to internships during your sophomore or junior year. Many programs recruit 12-18 months in advance.
Example: Aviva’s Actuarial Graduate Pathway in the UK offers a starting salary of £34,200 with exam-related pay increases, and recruits from STEM and numerical degree programs. [citation:5]
Step 7: Land Your First Actuarial Job
The entry-level actuarial market is competitive, but candidates who follow a strategic approach succeed. Here is your action plan: [citation:8]
Before You Apply
- Pass at least 1-2 exams (Exam P and FM are the most valuable)
- Complete at least one actuarial internship
- Build a portfolio of technical projects
- Get your resume reviewed by an actuarial recruiter or career counselor
- Be open to hybrid and in-office roles. “If you require a remote option, you will be significantly limiting your options. Hybrid and in office roles are the norm now.” [citation:8]
Where to Find Actuarial Jobs
- DW Simpson: The largest actuarial recruiting firm—they post current opportunities and provide salary survey data. [citation:8]
- LinkedIn Jobs: Search “actuarial analyst” or “actuarial assistant”
- SOA and CAS Job Boards: Exclusive to the profession
- Company career pages: Major employers include Liberty Mutual, Travelers, State Farm, AIG, Prudential, MetLife, Milliman, and Willis Towers Watson
- Government actuary positions: IRDAI, PFRDA, and Ministry of Finance in India; similar agencies in other countries [citation:10]
The Application Process
Most actuarial graduate programs follow a multi-stage process. For example, Aviva’s application includes: [citation:5]
- Online application
- Online situational strengths and numerical reasoning tests
- Video interview
- Virtual assessment day
Working with Recruiters: “Hiring Managers may get hundreds of responses to a posting. Working with a recruiter is a sure-fire way to be visible in the process. Also, review your resume and cover letter to confirm you are mentioning keywords from the post.” [citation:8]
Step 8: Continue Exams and Earn Credentials
Once you land your first actuarial job, the exam journey continues. Most employers provide generous study support:
- Paid study hours (typically 100-150 hours per exam)
- Reimbursement for exam fees and study materials upon passing
- Pay raises for each exam passed ($2,000 – $5,000 per exam on average)
- Bonuses for completing associate and fellowship credentials ($10,000 – $25,000)
The path from associate to fellow involves additional exams specific to your track. For the SOA, fellowship exams cover advanced topics like life insurance, retirement benefits, or investments. For the CAS, fellowship exams cover advanced property-casualty topics including rate making, reserving, and reinsurance.
Study Resources and Tools
Top Exam Prep Providers
- Coaching Actuaries – The industry gold standard. Features Earned Level and Mastery Score systems that predict exam readiness. “90% of users who reach an Earned Level 7 or higher pass their exams.” [citation:9]
- The Infinite Actuary – High-quality video lessons and practice problems.
- ACTEX Learning – Traditional study manuals with excellent practice exams.
Free Resources
- SOA Exam Syllabi – Official learning objectives and sample questions.
- CAS Exam Information – Official syllabi and past exams.
- BeAnActuary.org – The official career site of the actuarial profession.
Frequently Asked Questions
Do I need a degree in actuarial science?
No. Many successful actuaries have degrees in mathematics, statistics, economics, physics, engineering, or computer science. What matters is passing exams and demonstrating quantitative ability. [citation:5]
How many exams do I need before getting a job?
Most entry-level actuarial positions require 1-2 exams passed. Candidates with 2 exams and an internship are highly competitive. Some students pass Exam P and FM before graduating college. [citation:2]
Can I become an actuary without an internship?
It is possible but much harder. Internships provide critical experience, networking, and a direct pipeline to full-time offers. Prioritize securing at least one actuarial internship.
How long does it take to become a fellow actuary?
The typical timeline is 7-10 years from the first exam to fellowship. Most candidates work full-time while studying for exams. The pace varies based on your study habits, work schedule, and exam difficulty.
What is the difference between SOA and CAS?
SOA focuses on life insurance, health insurance, and retirement benefits. CAS focuses on property and casualty insurance (auto, home, liability). The first few exams overlap; you choose your track after passing the preliminary exams. [citation:1]
Final Thoughts
Becoming an actuary is a marathon, not a sprint. The journey requires discipline, patience, and resilience. But the rewards are substantial: a high-paying career with excellent job security, intellectual challenge, and meaningful work that protects people from financial ruin.
Your Action Plan for This Week:
- Visit the SOA or CAS website and download the syllabus for Exam P
- Sign up for a free trial with Coaching Actuaries or The Infinite Actuary
- Join “The Entry-Level Actuary” LinkedIn group
- Research actuarial internships at companies near you
- Set a target exam date 4-6 months from now
The actuarial profession needs smart, dedicated people. Every actuary started exactly where you are now—with zero exams passed and a decision to begin. Your journey starts today.
Sources: Casualty Actuarial Society, Society of Actuaries, DW Simpson, The Actuarial Foundation, Coaching Actuaries. External links open in new tabs. Last updated: 2026.