What is a Certified Public Accountant (CPA)? Annual Salary Range Full-time entry level: $50,000 to $60,000 Full-time with several years of progressive experience: $100,000+ The entry-level range will vary by industry, geographic location, and other factors. You can obtain more detailed information concerning starting salaries from the career services or placement office of the college or university that you plan to attend. Increases in annual salary will depend on your professional growth. If you are an effective supervisor, work well with fellow employees and clients, and know how to improve profits, your salary increases can be significant. Annual salaries of experienced CPAs can be in excess of $100,000. Some CPAs with more than 10 years of continuously increasing responsibility can earn more than $200,000 per year. Educational Requirement Most state boards of accountancy now require that CPA candidates have 150 college credits in specified accounting and business courses before they are allowed to sit for the Uniform CPA Examination. (You need to check with your own state's board of accountancy to determine what the requirements are. If you do not meet your state's requirements, you will not be allowed to sit for the CPA Exam.) Reputable colleges and universities have accounting curriculums that meet their state's 150-credit requirement. Because the CPA Exam is considered to be highly rigorous, it is to your advantage that you select a college or university with an equally rigorous accounting program that will adequately prepare you for the CPA Exam. Learn more about choosing a College or University Other Requirements After you've passed the CPA Exam, most state boards of accountancy require you to have at least one year of professional experience and pass an ethics test before you can be licensed as a CPA. Once licensed, you will be required to earn professional continuing education credits to maintain your license. Again, check with your own state's board of accountancy for specifics. Find your State Board of Accountancy Membership Associations In addition to the organizations targeted to non-CPA accountants, CPAs are eligible to join a state society of CPAs and the American Institute of Certified Public Accountants (AICPA). View Organizations for CPAs View Other Accounting Organizations Who Hires CPAs? Before you can become a licensed CPA, you must first pass the CPA Exam, and then you must work for a period of time to meet the work experience criterion. As a result, a company that is looking to hire a new, young CPA often will hire a newly graduated accounting major who intends to become a CPA. Such employers recruit students who graduate with high grade point averages from well-respected accounting programs, as these are the students most likely to go on to pass the challenging CPA Exam. Major employers of CPAs include: CPA firms. These range from the small one-office firm, to regional multi-office firms, to large international firms with offices throughout the world.
Companies such as manufacturers, banks, insurance companies, government agencies, large not-for-profit organizations, e-commerce, and many more.
Tasks and Responsibilities during First Year at CPA Firms In order for a CPA firm to be profitable, its CPAs must be highly focused individuals who can complete tasks within a reasonable amount of time. CPAs are often billed out to clients using a per-hour billing rate, and clients do not want to pay high fees for CPAs who spend time on non-essential tasks. Some larger CPA firms assign newly hired college graduates to work in their tax departments or advisory services area. More common, however, is for firms to start new hires in the auditing department where they typically work audit engagements on a team comprised of a supervising or senior accountant, a manager, and one of the firm's partners. Smaller CPA firms, however, perform relatively few audits, so there
