Accounting is an exciting career. It offers diverse career opportunities for students taking accounting as their major. Consequently, the profession is regulated by various bodies and states. The regulation is enforced through the requirements that individuals have to acquire various professional licenses to practice in the various career opportunities. Some of the professional licenses that students pursue are becoming a Certified Management Accountant (CMA), Certified Financial Planner (CFP), Certified Internal Auditor (CIA), Certified Financial Manager (CFM), Certified Fraud Examiner (CFE), Certified Public Accountant (CPA) amongst others (Barney & Tschopp, n.d.). Upon researching the different professional licensures, I found the CPA licensure to be quite crucial in my future career due to its global recognition and popularity. Besides, taking the CPA exam presents several benefits that are crucial in career advancement.
The CPA exam comprises of four sections viz Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR) and Regulation. The sections cover various concepts such as audits, business concepts, financial accounting and reporting, taxation, business law, ethics, amongst others (Franklin, University, 2020). Passing all the four sections of the CPA exam is an arduous task (Franklin University, 2020). The pass rates of the different CPA exam components reveal the challenging nature of the exam. In the first quarter of 2020, the pass rates were 47.97%, 61.76%, 46.37%, and 55.42% for the AUD, BEC, FAR and REG components respectively (American Institute of Certified Public Accountants (AICPA), 2020). The statistics are no different for the previous years, where the past rates have barely reached 50 per cent (Franklin University, 2020).
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Following the low pass rates reported for candidates taking the CPA exam, successful candidates receive a great deal of boost in their careers. Acquiring a CPA license is not a walk in the park. Hence, successful candidates become satisfied in their efforts and anticipate success in their career. The satisfaction gained makes the licensed individuals confident of securing various job opportunities. The CPA license is one of the requirements for professionals seeking advancement in public accounting. In the private sector, having a CPA license helps to put a candidate ahead of the pack when seeking employment opportunities (Barney & Tschopp, n.d.; Elkins, 2017). Besides, the CPA license is one of the accounting certifications that is mostly requested by potential employers whenever they make announcements for job vacancies within the accounting field. Hence, acquiring a CPA licensure is something to be proud of since it greatly advantages an individual.
Furthermore, a CPA licensure increases the confidence that employers and organizations have in a CPA. The employers find the CPAs to be reputable since they have acquired a top-notch accounting certification. The CPA license has gained a higher stature in the accounting career than the other accounting certifications. CPAs are treated with respect by their employers since they are regarded as proven experts in their careers (Elkins, 2017). Acquiring a CPA license helps one to win the confidence of the public for being a skilled professional. Besides some accounting functions such as making audited financial statements can only be made by a CPA.
Also, acquiring a CPA license widens the career options that an accountant can choose. Some of the career areas that CPAs are engaged in include finances, accounting, management, marketing, economics, amongst others. Having a CPA license expands one’s professional career, offers job security and presents opportunities for career advancement (Elkins, 2017). CPAs can practice within the public and private sectors and advance career-wise to occupy positions such as senior managers or partners. CPAs can also open individual CPA firms or work for not for profit organizations. Having a CPA license is also financially rewarding. Research indicates that CPAs make more money out of their careers than non-CPAs (Barney & Tschopp, n.d.: Elkins, 2017). The monetary rewards are attributed to salary raises, promotions and bonuses for being licensed. CPAs are set for a financially rewarding career. All that is required of them is to undertake continuous professional development and pay the applicable fees to the licensing bodies.
The CPA licensure in the US is subject to three main elements, education, exam and experience. Individuals are required to fulfil 150 college credit hours before getting a CPA license (Franklin University, 2020). Candidates should also acquire the requisite experience working in the accounting field. Taking a CPA exam and passing in all the four components is also a requirement for getting a CPA license. CPAs must also undertake continuing professional education (CPE) post acquiring a CPA license. The CPE is enforced by the particular state in which a CPA is practising.
The knowledge that I have acquired regarding the CPA licensure will significantly shape my studies and future career. I have realized that acquiring a CPA license requires considerable effort and dedication. College studies can act as crucial preparation for getting a CPA license. As such, I plan to study the course materials that are tested in the CPA exam and make sure that I select courses that cover the target subjects. College studies will also be crucial in completing the 150 credit hours required for the CPA licensure. Besides, I plan to treat to take my college studies with seriousness since the taught material might be covered in the CPA exam. High retention of the course material taught in college will ease my preparation for the CPA exam.
Despite the struggles encountered in getting a CPA license, the benefits realized are worth it. Increased confidence, reputation, a broader career path and higher monetary rewards are some of the benefits that are worth mentioning. I am convinced that I would want to pursue an accounting career. Hence, I plan to take accounting as my major course and pursue the other relevant steps until I become a CPA. It is a fulfilling career.
References
American Institute of Certified Accountants (AICPA). (2020). CPA Exam . AICPA. Retrieved 7 May 2020, from https://www.aicpa.org/becomeacpa/cpaexam.html .
Barney, D., & Tschopp, D. Why it’s Important to take the CPA Exam [Ebook]. New Accountant Magazine. Retrieved 7 May 2020, from http://www.renpublishing.com/Important.pdf .
Elkins, J. (2017). Top 5 Reasons to be a CPA | NASBA . Nasba.org. Retrieved 7 May 2020, from https://nasba.org/blog/2017/04/26/5-reasons-to-be-a-cpa/ .
Franklin University. (2020). What is a CPA? What does a Certified Public Accountant Do? . Franklin.edu. Retrieved 7 May 2020, from https://www.franklin.edu/blog/what-is-a-cpa-exactly-what-does-a-certified-public-accountant-do .
