Being an accountant is not easy in the corporate world due to the difficult tasks. This is why you must be highly qualified to succeed in this career. One way to do this is by getting certified.
You can become a certified public accountant (CPA) to open your world to new opportunities. The best part is that you can easily achieve a high-paying job after getting the certification.
If you want to know more about a CPA and why you should become one, you’re in the right place. Here is a complete guide about certified public accountants.
What Is A CPA?
A certified public accountant is an individual who has passed the CPA exam. They must also have the relevant state education and meet the experience requirements to qualify for the license. The standards of becoming a CPA mainly vary from one state to another.
In Singapore, The Institute of Singapore Chartered Accountants is the national accountancy body.
What Does A CPA Do?
It is essential to understand the work of a CPA to determine whether the position is right for you. So here are the top things you are expected to do as a CPA:
This is the top duty of a certified public accountant in the corporate world. You have to audit your client's financial statements and offer an opinion to the clients. The primary purpose of auditing is to serve as an unbiased party and let the individual know about errors in the statements.
All public companies are also required to have at least one CPA audit their statements before releasing them to the public and shareholders. This rule has been set by the SEC. So you may encounter many accountants in this career field.
Forming tax reports is difficult for most companies because of the complex calculations. This is why many businesses hire external accountants to ensure their books are clean during that period. A CPA can easily offer this service to different clients and earn high.
Besides that, CPAs can prepare property tax reports to income tax reports. This is why many public accountants enter the tax preparation sector. The field also involves advising clients about structuring their finances effectively to minimize taxes, as well as providing guidance on important industry-specific topics such as the MTD for construction guide.
Another duty you will have to perform as a CPA is to offer advice to clients. The customer may be an individual business owner or a large enterprise. Your job will be to offer effective advice for helping the client improve the business while minimizing financial losses.
You can also offer advice for improving the finance sector of the company. Sometimes you may also have to conduct an internal analysis to offer the best consulting service. CPAs also have to identify potential financial issues and offer a solution to tackle them.
CPAs don’t just offer financial advice to businesses that want to improve their profits. You can also help a company sell at the best time by offering a valuation service. A client may consult you for selling their business to a competitor at the right price.
Besides that, you will also have to guide the owner on how to transfer their business to someone else. This field has a high scope, and many CPAs engage themselves in company valuation tasks. You can also entertain multiple clients simultaneously in this category.
6 Reasons To Become A CPA
Now that you understand the work of a CPA, you may be wondering why you should opt for the certification. After all, you can still work in the business sector without getting certified. So here are the top six reasons to become a CPA:
The job outlook for accountants will increase by 7% from 2020 to 2030 in the US. This means that more opportunities will be available for CPAs in the professional sector. So you don’t have to worry about being out of work for an extended period. It is also easier to get an accounting job after becoming certified.
Working as a CPA offers high security because the demand for certified accountants is greater than their non-certified counterparts. You will not have to worry about applying to multiple places and giving various interviews.
Many people are also shifting towards technological fields, especially the younger generations. This is why many CPA job openings are available each year. If you study well and pass the exam, you don't have to worry about being jobless for long.
If you're entering the business world to make good money, becoming a CPA will satisfy your needs. Many companies offer their accountants a bonus of about $5,000 for passing the CPA exam in the first year of their entry-level job. So you can easily get a reward for doing something that you were planning to do regardless of the company’s requirement.
Besides that, senior CPAs can earn as high as $150,000 yearly. This figure can also rise to more than $200,000 if you achieve a chief executive position. So making money is relatively easy after becoming a certified CPA. However, you must remember that getting a six-figure salary will be relatively difficult without a certification.
Luckily, getting a promotion is easy if you're a dedicated worker and certified. Most business owners prefer to give senior-level positions to CPAs instead of their non-certified counterparts. It will give you an edge over other employees and help you become successful promptly.
Most non-certified public accountants are required to be in the office building to manage tasks. However, that is not the same for CPAs. You will receive more flexibility due to higher qualifications. For instance, finding a job overseas will be easier if you have passed the CPA exam. Your company may also send you to their international branch allowing you to travel.
CPA demand is also high in other parts of the world. This means you can easily find a job anywhere as long as you have the right qualifications. Some work experience as an accountant will also easily help you land a job at your dream company. Most companies are searching for new CPAs daily, so your job search will not last long.
Another great thing about a CPA is that they can enter different fields. If you're good at creating reports, you may offer tax services. Meanwhile, a consultation service is more suitable if you only want to give advice. Whatever the case, you will still earn high. CPAs can also work remotely and enjoy flexible business hours.
Most parents want their children to enter a respected career field in today's era. Some consider medicine to be a great profession, while others prefer a position in the law sector. The best part is that CPA is also a highly respected career option. It is on the same level as lawyers and doctors making it easy for parents to accept it as a viable field.
People also know that becoming a CPA is not a piece of cake, so you will get high respect if you pass the exam. It will also help you prove your skills in front of company seniors and other people. The title will also help you in other business fields without much effort. You can also enter the litigation sector as a CPA by collecting financial evidence for different cases.
So if you want a respected profession, getting the certification will be helpful. You will have to make some effort and study well to pass the exam. However, life will become relatively easier once you get the certification. If accounting is your passion, the best option is to become a CPA.
Many career fields are unstable because of the fluctuating economy. You may have a job for one year, but there is no guarantee that it will be there the following years. The company may let you go after your contract is over, and getting a new job will be relatively difficult. However, this is not a primary issue for CPAs.
You can enjoy a stable career for a long because of the high career demand. Besides that, you will be eligible to get a job with the IRS at any time of your life. So if no place offers you an opportunity, you will still have a backup ready. This is why many graduates get their certification while working entry-level jobs for qualifying experience.
CPAs can also work as freelance accountants easily by using different platforms. There is a high demand for such individuals on Fiverr and Upwork. So you can easily work at a rate suitable for you without leaving the comfort of your home. Demand for CPAs also peaks during the annual tax reporting period.
Accountants face a lot of restrictions in the business sector without a CPA certification. For instance, you cannot report financial information for your company without a license. You will also not be allowed to sign documents for publicly traded businesses. This restriction can cause you to lose promotion opportunities and may limit your advancement.
However, the sky is the limit with a CPA title. You can sign all essential documents to help your company advance. It will also open you to new opportunities as many businesses require certified individuals for document signing. Tax reporting will also be easier after passing the CPA exam as it will improve your knowledge.
The best part is that you can get your certification while working as a full-time accountant at a reputable company. You can earn money and experience to utilize your time well. It will also allow you to achieve a senior-level job while you're in your youth years.
Tips To Become A CPA
Have you decided that you want to become a CPA and excel in the finance sector? If so, here are some tips to help you get the certification:
Planning will help you land jobs easily after getting licensed. You should make a list of requirements to become a CPA and ensure you meet all of them. Be sure to check the state-specific guidelines to avoid being blindsided.
You can also make a list of companies you can apply to after getting the license. Preparing all other documents beforehand will ensure you can apply for the position immediately after getting the certification. This will help you save time.
You will have to enroll in a specific coursed to become a CPA. This is a prerequisite for giving the exam in some states. It is also advisable to check the degree you must have. Some locations are satisfied with a Bachelor's degree while others are not.
The CPA exam is a four-part test that will check your understanding, memory, and learning skills. You must display excellent multi-tasking skills and ace the exam. This is why studying well is essential for getting your CPA certification. You may be a good student but preparing at the last minute is not advisable for this license.
So be sure to get the CPA study material and improve your understanding of different financial concepts, or get a professional Accounting tutor to help you digest the information. You can also use online forums for guidance and study guides to see how well you have memorized the material.
This is everything you need to know about becoming a CPA. The profession is well-reputed and will help you gain a high salary. You can also work remotely for established enterprises by getting this certification. So it is an excellent job if you don’t prefer working in an office environment.
Becoming a CPA is relatively easy if you study well and have the right degree. Some companies may also pay you for passing the exam and offer a promotion. This is why you should consider the license if you want to be in the accounting field for a long time.