In the United States, a Certified Public Accountant (CPA) is a person who has proven to be qualified to handle various types of accounting tasks. The requirements for obtaining a CPA vary by state and can include factors such as age, education, and residency. To obtain a CPA qualification in the United States, an accountant must pass an examination, though the exam is typically state-specific. Similar designations and requirements exist in other countries, but the nomenclature is different.
Education is one of the most important aspects of obtaining a CPA certification. Each state’s State Board of Accountancy specifies how many hours of accounting-specific classes a candidate must complete before taking the CPA qualification exam. Most states require 150 hours of accounting education, which is usually completed as part of a full college program leading to a degree such as a bachelor’s in business administration. Once a four-year degree is obtained, an additional year of specialized study is required to complete the educational requirements and prepare the student to become a CPA.
A person is usually certified as a certified public accountant after taking and passing the CPA exam. This implies that the individual is capable of more than just basic accounting tasks. A CPA license allows an individual to supervise the work of other accountants. A CPA’s typical responsibilities include financial auditing and ensuring that a company or individual is following generally accepted accounting principles, or GAAP, when it comes to their finances.
The point at which a person who has received a CPA qualification can become a licensed CPA is determined by each state. Even though most states consider a person to be a certified public accountant once they have completed the educational requirements and passed the examination, new CPAs must usually gain some practical experience before they can be licensed. This is accomplished by working with a licensed CPA until you have the necessary experience.
A qualified accountant from another country can obtain a CPA certification by taking and passing a different test. The International Qualification Examination is the name of this test. The dates and locations of this exam vary by state, but each state’s State Board of Accountancy usually has testing information for those who are interested.