If you’ve earned an accounting degree, or are contemplating acquiring one, the most logical objective is to be a Certified Public Accountant CPA, also known as CPA. CPAs use financial information to assist companies in making the most appropriate decisions to ensure their success. Any business, big or small, must be able to account for their income as well as expenses and make use of this information to remain in business and hopefully expand.
Becoming a CPA
There are three parts that are required to be a CPA Education, exam, and experience. You need to be aware of three important E’s which are as follows:
Education
There is a need for an undergraduate degree for appearing in the CPA examination. Furthermore, it will now require or soon will be requiring 150 credit hours for instruction which is higher than the requirements of the typical four-year undergraduate degree. Candidates for CPAs may fulfil the requirement of 150 hours in three different ways finishing a five-year course that will lead to a master’s certificate in accounting or earning an advanced degree in a different business field, or taking enough graduate-level courses to meet the requirements.
Different states have different specifications regarding specific courses that you must take.
Examination
After you’ve completed your educational requirements, you will need to take and pass your Unified CPA Examination. The test includes mainly 4 parts and needs to clear all of them. But, it is not necessary to clear it all in one go. These parts must be related to Auditing and Attestation business Environment, Financial Accounting and Reporting. To pass, you need to be able to score 75 or more for each of the sections and complete all four of them within an 18-month timeframe.
A majority of states require that you pass the CPA ethics test. It’s an online class that you can complete at your own home. You generally will have two years following having passed the CPA test to sit for the CPA ethics exam. You need to check for the requirement in your area with your current state’s Board of Accountancy.
Experience
Even after passing the CPA examination, you’ll need some experience before you are able to apply those three letters to your name. A majority of states require two years of experience as public accountant before you can be certified as a CPA. It is possible to gain experience through an organization other than a private company or an agency of the government however, it could require more time. Check with the State Board of Accountancy for the rules for your state.
Once you’ve received the necessary education, passed the CPA test, and put into public accounting, it is possible to make an application to get a CPA license. Once you have your license you are able to pursue many different accounting careers. For instance, you can:
- You will continue to work in public accounting in which you’ll be responsible for conducting audits and providing advice to other businesses regarding accounting issues
- Work in corporate accounting as a controller, or chief financial officer in an organization, whether private or public.
- are employed by an agency of the government or a non-profit in a variety of positions
- Teaching accounting in an academic environment
Certain CPAs specialize in specific specialties, such as business appraisal, foresight accounting, and financial planning.
The process of becoming a CPA isn’t easy as there’s lots of hard work required. However, once you have your certificate, it will provide you with many exciting career opportunities in renowned accounting firms Vancouver. If you do decide to work on your own, make sure to safeguard yourself by purchasing insurance for business. Even the most meticulous accountants are at risk of lawsuits and claims, therefore professional and general liability insurance is crucial.
