Normal Accountant vs. CPA
- An accountant is a finance professional who performs a variety of tasks for clients, including tax preparation, business financial advice and legal considerations that apply to a client's finances. Accountants work for all sorts of clients, including the private sector, government bodies, nonprofit organizations and individuals. Accountants who are not certified public accountants typically need a university degree in accounting. CPAs, on the other hand, must earn additional certification.
- While normal accountants (those without CPA certification) perform a variety of accounting tasks, the CPA distinction can lead to more jobs, better pay and increased credibility. Normal accountants can simply enter business for themselves or secure employment with an accounting firm; they are judged simply on their job performance. CPAs, however, must earn their certification and maintain it through continuing education.
- The requirements to become a certified public accountant differ across state lines. But intense work is required to earn this certification. For example, the Pennsylvania Institute of Certified Public Accountants lists Pennsylvania's requirements. CPAs there must pass a CPA test after having at least two years of professional experience. After earning their CPA distinction, these professionals must complete 80 hours of continuing education on new accounting rules every two years. CPAs must also subject themselves to peer review every three years.
- Accountants who have to file with the Securities and Exchange Commission (for example, on behalf of public companies) are legally required to be certified public accountants, meaning some jobs can only be filled by those with a CPA distinction. CPAs are also widely respected in the industry for their continual education and recertification, allowing them to command higher rates. According to a survey conducted by SmartPros, a site for professional accountants, CPA accountants received an average yearly salary of $84,051, while non-certified accountants reported average salaries of $50,845.
Identification
Certified Public Accountants
CPA Requirements
Benefits of Being a CPA
Source...