Changing corporate strategies are putting more pressure than ever on chief financial officers (CFOs), a change that’s reflected in record high turnover of the position in U.S. businesses despite the fact that pay is at an all-time high.

What can stop the churn? According to a new study from Adrienne Rhodes, assistant professor of accounting at the Tippie College of Business, firms that delegate much of the CFO’s responsibilities to a chief accounting officer significantly reduce turnover.

Rhodes said the role of the CFO has changed significantly in recent decades. The position once focused on corporate financial issues only, such as securing financing, managing debt, balancing the books and meeting regulatory requirements.

But the position’s expectations have expanded rapidly, so that CFOs in most firms now also oversee such responsibilities as corporate strategy, digital strategy, HR and other tasks. For many, it’s simply too much—and burnout is the result. According to a survey from the consulting firm Russell Reynolds, 316 CFOs were replaced in 2025 alone, a 10% increase from the year before.

Rhodes said losing such a key C-suite executive is costly for corporations. The departing CFO takes with them a raft of institutional knowledge, while finding and hiring a replacement from a small pool of qualified candidates takes time and money. The search can also often involve other executives and the company’s board members, requiring their time and resources.

What can firms do to keep their CFO? A new study from Rhodes suggests that delegating responsibilities to a chief accounting officer (CAO) can help. She said many firms have shifted the financial and accounting responsibilities that were once the domain of the CFO to a CAO. This delegation provides the CFO more time, energy and resources to focus on their many strategic responsibilities, benefiting both them and the firm.

Her study finds firms with a CAO are 19% less likely to see their CFO depart than firms that don’t have chief accountant, significantly reducing the likelihood of turnover and saving significant replacement costs.

Rhodes also finds that by delegating accounting, CFOs improve their own chances of obtaining a CEO position. This results from their ability to focus and improve on strategic and general management skills that are required to be a strong chief executive.

Rhodes’ study, “Delegation and Chief Financial Officer Retention: Evidence from Chief Accounting Officers on the Executive Team,” was co-authored with Leah Muriel of the University of North Florida and Dan Russomano and is published in the current issue of the journal Management Science.

Source: University of Iowa Tippie College of Business