If you want to work in the accounting industry, then the Certified Public Accountant (CPA) qualification is one you may have read about.
Although not every accountant you meet will be a CPA, if you do meet a CPA, then that means that they are a trained accountant.
There are quite a few differences between a CPA and an accountant that has no specific qualifications. The most common differentiators are:
- Certified or chartered accountants have to meet specific educational and professional experience requirements; and
- Certified or chartered accountants must pass specific examinations before they can become a certified or chartered accountant – accountants with no membership of a professional body often may not have completed any accountancy-specific exams.
There are tens of thousands of accountants across the world that hold the title of CPA, so you’d be in good company if you did decide to study this qualification.
The CPA is typically associated with the USA, so the designation carries particular weight if you happen to work in the United States, or would like to do so in the future. According to the AICPA’s website, “the American Institute of Certified Public Accountants (AICPA) is the national professional organization for Certified Public Accountants (CPAs) in the United States.” The AICPA has in excess of 430,000 members.
Having the CPA qualification can also be helpful in your future career. This is because it is well regarded across a broad range of industries. For example, with the CPA you could choose to work in public accounting or in industry. Equally, there are roles for a CPA in the public sector, including roles within the government and not-for-profit organizations.
Learn about the benefits of being a chartered accountant.
What is CPA?
The Chartered Professional Accountants (CPA) is a license for industry-based accounting professionals who experience the highest ethical and financial standards. CPAs are very important as they play different roles in the economy.
Therefore, an individual with a CPA license must possess a forward-thinking mindset to affect the necessary conditions for the economy's growth and the public interest.
To earn a CPA license, there are three steps to undertake: the education to learn accounting and its related courses, the examination, which usually involves the ethnicity test, and the experience required in the field as a career path.
How Many CPA Exams Are There?
The path to becoming a CPA isn't easy, and as part of the requirements to obtain the qualification you have to pass an exam known as the Uniform CPA Examination.
The exam is divided into four separate sections that take four hours each to sit. The sections are as follows:
- Auditing and Attestation;
- Business Environment and Concepts;
- Financial Accounting and Reporting; and
- Regulation.
You are given a year and a half (18 months) to complete all the sections. You are deemed to pass a section if you score at least 75 on the exam.
There are numerous opportunities to sit the exams throughout the year, with testing windows running quarterly from January to December. For more details on the specific dates for testing windows, it’s best to consult the AICPA’s website.
The vast majority of CPA candidates will sit their tests in the United States, but there are a number of international test centers where overseas candidates can sit the exam.
For example, if you are a citizen or resident of the United Kingdom, then there are a number of test centers in England, Ireland, Scotland, as well as Germany that you could attend.
Given the requirement to score at least 75 on each section in order to pass the exam overall, it's definitely worth spending ample time revising and preparing for the exams if you do decide to pursue the CPA as a qualification.
Although it may mean that you have to juggle a variety of commitments, whether they relate to your social life, work life, or home life, the best chance you can give yourself to pass the exam is to ensure that you have spent enough time going through and understanding the material.
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Aside from the examination requirements, it’s worth bearing in mind that a prospective CPA will also have to fulfil education and professional experience requirements, in addition to passing the Uniform CPA Exam.
Note that in the case of the CPA, every state and jurisdiction has their own requirements when it comes to professional experience and education, so it’s worth checking what requirements you would have to comply with according to where you are based.
It’s very common to have to meet a combination of exam, work experience, and education requirements before you can qualify and become a member of a recognised accounting body, and so in that sense the CPA’s membership requirements are very similar to what you may expect if you wanted to become, for example, a member of the Institute of Chartered Accountants of England and Wales (ICAEW) or another similar professional body.
Additionally, it is also common to be taught and even examined in areas such as ethics and ethical behavior when working towards becoming a chartered accountant.
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Who Should Consider Completing the CPA?
If you are looking to pursue a career in accounting, then you may have heard about the CPA qualification.
Whether you should undertake the CPA is a question of your own personal circumstances and where you would like to see your career develop.
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Where Do You See Your Career Taking You?
There are a few key items to note when it comes to the CPA. Firstly, and most importantly, the CPA is an American accountancy qualification. This means that it may not be as suitable for those who would like to work as an accountant in the UK compared to other qualifications, such as the ACA and the ACCA.
If, on the other hand, you would like to work in the United States, or know that you will spend a good portion, or the majority of your working life over there, then it may be worthwhile pursuing the CPA over other qualifications.
Generally, the CPA is very highly regarded in the United States, whereas in the UK, having a qualification such as the ACA is likely to be more highly regarded when it comes to proving your skills and advancing your career prospects.
The other thing to note is that, while the CPA, ACA, ACCA, and other accountancy qualifications are often associated with just the accountancy profession, the fact is that these qualifications can be helpful in the wider areas of accounting and business.
For instance, individuals working in taxation may also have a CPA or ACA qualification to their name, while others may work in the field of audit. The point to note is that having a qualification such as the CPA is a great way to highlight that you are well-versed in matters relating to accounting, such as accounting standards, but that you are also able to utilize these skills and your credentials within areas aside from pure accounting.
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Don't Be Afraid To Ask For Advice
Ultimately, the choice of which qualification, if any, to pursue is yours to make. If you do need some further advice, it’s always a good idea to reach out to someone who is able to provide first-hand experience of the various qualifications on offer and see what their opinion is over whether you should study the CPA.
Equally, speaking to someone such as a careers counsellor at your school or university should also give you a chance to talk through your situation and your career aspirations, and hopefully find some clarity over which qualification is right for you.
If you do decide to study the CPA or think that it’s something that you’d like to pursue in the future, it may be worthwhile trying to develop the core skills that successfully certified accountants need in their working life.
These skills are hugely diverse but can include things such as:
- Good communication and interpersonal skills;
- A strong analytical mindset;
- Knowledge of up-and-coming technologies that might impact the accounting or auditing industry; and
- An understanding of what makes businesses tick.
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Of course, any future accountant should also ensure that their numerical skills are strong. If you feel like you would like some extra help to get your mathematical knowledge up to scratch, or would like to learn about business studies and economics more generally, then you could reach out to an accounting tutor near me at Superprof for personalised lessons designed to help you achieve the learning outcome you require.
Regardless of whether you're currently at school or university, there is a range of Superprof tutors who are able to offer lessons designed to help you understand basic accounting concepts, or develop your numerical ability, at a pace that works for you.
You can find tutors based locally by entering your postcode, although it's also easy to find tutors that are happy to offer online-online lessons. You can also narrow down your search by selecting which subjects you would like to hire a tutor for. Lessons can be one to one, although group lessons or workshops are also available, so it’s a case of finding a teaching environment that works for you.
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What Help Do CPAs Render to Various Sectors?
CPA is a desirable criterion for recruiters and employers, which allows them to stand out due to their solid educational background and training. So now, what sectors do the CPAs support, and how do they render their services? This is discussed below.
Industry
CPAs have the required skills to ensure that they assist the industry in managing risks and providing support for companies to thrive in a competitive market while using their unique expertise. CPAs can function in various roles like treasurer, CEO, CFO, consultant, etc.
Government
There is no level of government in which a CPA cannot function effectively, and majorly, the financial sector is one of those levels of government where the skills of the CPA are treasured. CPAs work in roles such as tax auditors, financial analysts, fiscal control and help in financial planning and management.
Take accounting courses here on Superprof.
Education
CPAs can take jobs teaching business and related courses with little difficulty because they have extensive knowledge of financial control and can help impart their knowledge to younger and future business leaders.
NGOs
CPAs can assist nonprofit organizations to effectively plan and control their donations, tax payments, and financial budgets from the government and other donors. With the CPAs' involvement in the nonprofits' financial planning, it becomes easy to present quality and transparent reports of how the money received are utilized to the public and stakeholders.
What Can I Do With My CPA Qualification?
There are great benefits and career prospects for a CPA qualification, which does not restrict the individual to a particular sector or position. There are various job opportunities to be enjoyed when you have a CPA certification, and some of these are:
Financial analyst
The financial analyst's job is to conduct market research and identify the opportunities that can be used for investment and to make profits. Therefore, a CPA holder with strong skills in communication and analysis would have an outstanding career as a financial analyst. In addition, employers of labor would prefer the CPA qualification for a job as a financial analyst.
Financial advisor
Financial advisors assist their clients in making financial decisions and investments when necessary to avoid debt. A financial advisor with a CPA certification would be more trusted to handle financial budgets due to their vast background knowledge and training.
Accountants
A CPA certification would improve your job prospects as a professional accountant, with higher chances of climbing the career ladder into more expert roles. In addition, accountants with CPA credentials are highly demanded by large financial institutions, federal agencies, and well-known multinational corporations.
Corporate controller
This professional oversees an organization's financial and accounting operations daily. The corporate controller has more responsibilities than an accountant in management and financial planning.
It is easier to make a good start as an organization's corporate controller with a CPA license and stand out enough to be handpicked by employers of labor. Corporate controllers have a better chance to earn more as they climb up their career ladder.
Forensic accounting
They can work as forensic accountants whose services are required to analyze tax records and investigate financial crimes and business records. A CPA certification is usually needed for a job as a forensic accountant, and it is becoming more common in the employment statistics for many CPAs.
Take accounting courses here on Superprof.
Why get a CPA certification?
Getting a CPA certification goes a long way toward boosting your career and also earning potential in the financial sector of any industry you might work in. Most times, some employers of labor prefer to hire those with the CPA qualification rather than an ordinary accountant. So let's discuss some of the reasons for obtaining a CPA certification.
Most employers prefer CPA credentials
This is no longer a novel concept, as many employers today prefer to hire CPAs over ordinary accountants. In addition, many workforces in the accounting and auditing sectors prefer CPA qualifications as it is considered the only official approved license to operate in their industry.
There is a boost in the earning potential
There is a massive demand in the financial sector for CPA qualifications as they are preferred to assist in financial decision-making. This increase in the need for CPAs, in turn, boosts the earning potential of the license holders, who usually have more job prospects with substantial paychecks.
Increase credibility
The CPA qualification improves the credibility and proficiency of an accountant in the four significant areas of accounting, including financial analysis, auditing, taxation, and regulation. In addition, a CPA certification shows that the individual has achieved the highest professional standards in accounting.
Job security and development
An individual with a CPA certification would stand out among other job seekers and would be a top pick for employers, who often find it thrilling to have a CPA-qualified professional onboard. Therefore, there will always be a massive demand for CPAs soon, and this will allow the professionals to enjoy job security as it is a career path that can never go into extinction.
Job satisfaction
For a skilled worker with a CPA certification, there is always the benefit of getting job satisfaction in their career path. CPAs perform many specialized tasks and functions like accounting and auditing, financial analysis, consulting, etc.
There will be career satisfaction with the availability of various career paths with good paychecks for CPA holders.
Requirements for the CPA certification
The requirements for the CPA certification vary among states in the United States, which may include the ethnic exam, age, or the number of specific credits necessary. Some jurisdictions may also provide candidates with higher college credits depending on the required credits.
There are two distinct CPA requirements to consider when applying to obtain the CPA qualification, and they include:
Educational CPA requirements
To become a qualified CPA holder, you need to have a bachelor of accounting degree with high credit scores in business administration and accounting courses. For a bachelor's degree, there is a need for the candidate to acquire about 120 credits, with an additional 30 credits to be obtained upon completing a master's degree.
CPA Professional Requirements
Obtaining a CPA for the professional requirements also varies with jurisdiction, as some may request a minimum work experience of 12 months and others more. The professional needs do not focus on whether the work experience was paid or unpaid; what matters is that the stipulated amount of expertise is achieved as specified by your jurisdiction.
How Can I Prepare for the CPA Examination in Canada?
There are many private tutors with experience in CPA examinations who can assist you to study and obtain your CPA certification effortlessly. Here in Canada, Superprof can ease your fear by providing you with some of the best private tutors to guide you using previous study materials when preparing for your CPA examinations.
With Superprof, you can make a pick from the wide range of experienced tutors vast in knowledge for your study needs. You can study on Superprof by selecting the tutor and study option suitable for your needs at any location or time of your choice, making studying fun and easy.
Starting early is the best approach to prepare yourself for the CPA exam to be well prepared and succeed at the end of the study. Some top tips for preparing for your CPA examination include
Set a study schedule
Try to stay consistent with your study plan and create one that works flexibly with your daily schedule. However, even if you have a tight schedule, make time to study because it will go a long way toward ensuring your success at the end of the exam.
Study the CPA exam format
Those who have written the CPA exam would note a specific format that the CPA has used for the exams. Familiarize yourself with the exam format and study the previous questions to prepare yourself for expectations once your exam approaches.
Practice old questions.
If you can lay your hands on some of the previous questions of the CPA exam, it would do you good to study them and answer the questions, because this would let you know how prepared you are for the exam and how to tidy up your weak spots.
Ask questions from experts
Ask those who have obtained their CPA qualification. Since they have passed the same exam, they are in the best place to help you with the necessary research and concepts needed to achieve success on your test.
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