Accountants perform audits and general bookkeeping tasks on behalf of individuals or businesses. Accountants typically hold a bachelor’s degree, but qualifications for accountants vary depending on the job’s complexity. Many accountants have earned national or regional accounting licenses, while others in similar positions have received no formal education.
Accountants are required to pass exams administered by regulatory boards and pay a fee to register with an industry association in many countries. Aside from passing the exam, accountants are frequently required to sign a code of conduct in which they agree to act ethically. National or regional licenses are frequently listed among the accountant qualifications required for positions at large accounting firms. Furthermore, because these licenses are typically only valid for a limited time, qualified accountants must attend continuing education classes and pass regulatory assessments to keep their licenses active.
Many countries’ regulatory agencies require banks, investment firms, and insurance companies to hire qualified accountants as internal auditors, who are responsible for reviewing company accounts, securities trades, and other financial transactions. As a result, securities or insurance licenses are frequently required of accountants working in the financial services industry. Although accountants are not involved in the purchase or sale of investments or insurance products, they must be familiar with these products in order to complete their work.
Accountants in some countries are not permitted to sit for licensing exams until they have completed a certain amount of on-the-job training. College graduates are frequently recruited by accounting firms to fill trainee accountant positions. As a result, a college degree in accounting, finance, mathematics, or a related subject is usually required for these positions. Companies that work with large commercial clients may also require postgraduate degrees in commerce or macroeconomics from job applicants.
While many businesses hire certified accountants, others hire entry-level clerks to work in accounting. On behalf of the company, they balance general ledgers, make bank deposits, and make payments to vendors. Some employers do not require job applicants for these positions to have completed any formal accounting training, and in many cases, high school graduates rather than college graduates fill these positions. Small businesses may also require job applicants to have completed a bookkeeping or accounting course at a local community college. Because pay is largely determined by experience and qualifications, entry-level accountants without a formal education earn significantly less than their licensed counterparts.