Certified Public Accountant (CPA) Career Guide

What is a certified public accountant?

A certified public accountant, or CPA, is like a super accountant. They’ve gone through extra schooling, gained a bunch of experience, and passed a tough exam to get this special title. While all CPAs are accountants, not every accountant is a CPA. This particular certification shows they’re really good at what they do, knowing a lot about money, taxes, and how businesses handle their finances.

Duties and responsibilities

CPAs do all the normal accountant stuff, but they have the skills to take on bigger tasks. They can check company finances in detail (that’s called auditing), deal with the IRS on tax issues, and help companies figure out their money strategies. They’re also the go-to experts for advice when companies think about merging with or buying other companies.

Work environment

CPAs work in various places, from small local accounting firms to the big players known as the “Big Four.” They’re also found in big corporations handling important money matters. Their typical day is usually spent in an office, crunching numbers on their computers, but sometimes they travel to clients’ places to provide firsthand help.

Typical work hours

Usually, CPAs work regular office hours, about 40 hours a week. But when it’s tax time or big financial checks are due, they might work longer, including weekends. Their schedules can be pretty flexible, especially if they need to meet clients or travel for work.

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How to become a certified public accountant

If you want to become a CPA, follow these steps:

Step 1: Finish high school

Start by getting your high school diploma. Focus on business, accounting, and math classes. These will give you a solid foundation for what’s coming next in the world of accounting.

Step 2: Get a bachelor’s degree

You’ll need a bachelor’s degree in accounting or something related. Keep in mind, to become a CPA, you usually need about 150 semester hours of college courses, which is more than a typical four-year degree.

Step 3: Gain some real experience

Try to snag an internship or an entry-level job in accounting. This real-world experience is crucial as it helps you understand the industry better and sharpens your accounting skills.

Step 4: Pass the CPA exam

Next up, you have to pass the CPA exam, which is a big deal in accounting. It’s a tough test that covers a lot of ground, and you might want to take a review course to help you prepare.

Step 5: Work at a public accounting firm

After graduation, aim to work at a public accounting firm. This experience is invaluable as you’ll learn a lot by dealing with different industries and financial scenarios.

Step 6: Meet the experience requirements

Most places require one to two years of experience in public accounting to get your CPA license. Make sure to check the specific requirements in your state.

Step 7: Get your CPA licensure

Once you’ve nailed the education, passed the exam, and got the right amount of experience, you can apply for your CPA license through your state board. Getting this license is a game-changer, as it opens up lots of doors in your career.

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How much do certified public accountants make?

Certified public accountant salaries will vary by experience, industry, education, location, and organization size. Specific factors impacting their salary include years of accounting experience, a master’s degree or other advanced qualifications, and specializations such as forensic or tax accounting.

Highest paying industries

• Finance and Insurance: $110,400
• Management of Companies and Enterprises: $108,950
• Management, Scientific, and Technical Consulting Services: $106,200
• Securities and Other Financial Activities: $105,700
• Federal Executive Branch: $103,800

Browse CPA salary data by market

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Types of certified public accountants

• Tax accountant: Think of tax accountants as the tax experts. They know all the tax laws inside out and help people and companies prepare their tax returns, figure out how to pay less in taxes legally, and handle any audits from tax authorities.
• Auditing accountant: Auditing accountants are the detectives of the financial world. Their job is to look through a company’s financial records to make sure everything adds up and follows the rules. 
• Forensic accountant: Forensic accountants are like financial crime fighters. They dig into financial records to find and investigate crimes like fraud, money laundering, or embezzlement, often working with the police or lawyers.
• Management accountant: Management accountants are all about helping businesses make smart decisions. They analyze financial data to help plan where the business is going, check how well it’s doing, and figure out the best ways to cut costs.
• Financial accountant: Financial accountants prepare all the important financial reports that show how a company is doing financially. These reports help managers, investors, and regulators make decisions about the future of the company.
• Government accountant: Government accountants manage and track money for government projects. They ensure that public funds are used properly and might also check on businesses and people to ensure they’re following financial laws.

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Top skills for certified public accountants

• Financial expertise: CPAs need to be really good with numbers. They should know a lot about accounting rules, tax laws, and how to check financial statements.
• Analytical skills: Analyzing data is a big part of their job. They need to look at complex financial information and make sense of it, helping businesses understand their finances and make smart decisions based on those insights.
• Attention to detail: They have to make sure that all financial data they work with is recorded and reported correctly, without any mistakes. Even small errors can lead to big problems.
• Interpersonal skills: It’s not all about numbers; CPAs also need to work well with people. They often talk to clients and collaborate with other team members, so being good at communicating and building relationships is important.
• Ethics and integrity: These accountants have to be very trustworthy and ethical. They must always do the right thing, follow professional standards, and keep their clients’ data confidential.

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CPA career path options

Starting out

Most CPAs kick off their careers in roles like tax associate or auditor at public accounting firms. These entry-level positions are great for learning the ropes and getting a solid start in the accounting world.

Moving up to manager

After proving their skills and gaining experience, they can move up to managerial roles. Managers are responsible for guiding newer CPAs, making sure all the work is done right and on time. This role is key for developing leadership skills, which are crucial for climbing higher in your career.

Reaching senior management

With several years of experience as a manager, they can advance to senior management positions, such as director or partner. These top roles involve making big strategic decisions and helping to grow the business. They also come with higher earnings and recognize their expertise and reputation in the field.

Beyond public accounting

Not all CPAs stick to traditional paths in public accounting firms. Many find rewarding careers in government, non-profit organizations, or private companies. They can also specialize in forensic accounting, corporate finance, IT consulting, or international tax. These specializations can lead to unique and influential roles within the industry. Additionally, some decide to start their own private practices.

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Similar job titles

• Auditor
• Financial Analyst
• Tax Attorney
• Finance Director
• Controller
• Accounting Director
• Chief Financial Officer
• Financial Manager
• Treasurer
• Budget Manager

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Position trends and outlook for CPAs

• Embracing technology: Accounting isn’t just about crunching numbers anymore. Nowadays, they use advanced software that takes care of the basic math, allowing them to focus more on analyzing data and offering deeper insights to clients. 
• Specialization is key: As businesses and financial laws become more complex, those who specialize in certain areas are becoming more sought after. Whether it’s understanding the ins and outs of healthcare finance, cybersecurity, or international business, having a niche can make a CPA much more attractive to employers.
• Ethics more important than ever: In a world where every financial move is watched closely, being ethical is crucial. Accountants who hold themselves to high standards of honesty and accountability are not just doing the right thing; they’re also building trust with the public and enhancing the profession’s reputation.

Employment projections

According to the U.S. Bureau of Labor Statistics, the need for accountants and auditors, including CPAs, is expected to grow by 6% through 2031. This is faster than the average for all jobs. As the economy grows and financial regulations get more complicated, the demand for skilled CPAs is likely to keep going up.

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Certified public accountant career tips

Get certified

Becoming a CPA starts with getting certified. You need to pass an exam issued by the American Institute of CPAs (AICPA). This certification isn’t just a badge—it boosts your credibility globally and opens up more professional opportunities.

Choose a specialty

Diving deep into a specific area of accounting can really set you apart. Whether it’s corporate accounting, personal financial planning, forensic accounting, or auditing, specializing helps you become an expert in a particular field and increases your job prospects.

Keep learning

Continuing education is crucial in keeping your skills sharp and your certification valid. Here are a few ways to keep learning:

• Take advanced accounting courses
• Attend seminars and webinars on the latest in accounting regulations and trends
• Get trained on new accounting software and technologies

Stay current with tax laws

Tax laws are always changing, and it’s part of your job to keep up. Staying informed helps you offer accurate and timely advice to your clients, making you a reliable professional they can trust.

Network with other professionals

Building a strong professional network can open up new career paths and learning opportunities. Joining organizations like the AICPA or the Institute of Management Accountants (IMA) can connect you with peers and industry leaders.

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FAQs