If you are interested in becoming an accountant but are not certain if you want to go through the rigorous process of becoming a certified public accountant (CPA), then you may wonder whether this is feasible.
The good news? You do not necessarily have to be a CPA in order to work as an accountant. Ultimately, it boils down to the type of accounting work you want to do and your long-term career goals. With a better understanding of the differences between a CPA and an accountant — as well as some of the roles you could pursue in accounting without a CPA — you may be in a better place to determine the path that is right for you.
CPA vs. Accountant: Understanding the Differences
First, it is essential to understand the difference between a CPA and an accountant. The most basic fact to keep in mind is that all CPAs are accountants, but not all accountants are CPAs. With this said, there are some things a CPA can do that an accountant cannot.
What Can a CPA Do That a Non-CPA Cannot?
While both accountants and CPAs handle basic accounting tasks, like helping clients prepare tax returns and analyze financial statements, some examples of tasks typically restricted to licensed CPAs include:
- Representing clients in IRS proceedings (such as a tax audit).
- Handling external audits and Service Organization Control (SOC) audits.
- Preparing and certifying audited financial statements submitted to regulatory bodies such as the Securities and Exchange Commission (SEC).
Is It Worth It to Be an Accountant Without a CPA?
If you want to be able to represent your clients in audits and handle exterior or SOC audits, it may be worth it to pursue your CPA. However, for those who are interested in other aspects of accounting, there is nothing wrong with becoming an accountant without the additional CPA certification.
When weighing CPA alternatives and whether or not a CPA is right for you, consider your professional goals and if you are ready to complete the supplementary requirements for earning this certification.
Not only does obtaining a CPA require you to have a minimum of a bachelor’s degree in accounting or a related field, but it also requires that you pass a comprehensive and rigorous CPA exam, as well as accumulate certain types of work experience. Remember, too, that states set their own individual requirements to qualify for the CPA exam and licensure, so you might need to meet additional requirements in your state. In addition to paying for the CPA exam and getting your CPA license, you may need to renew your license every few years.
With all this in mind, some accounting students decide not to become CPAs and instead focus their skills and talents in other areas of the profession.
The Accounting Field Beyond CPA Certification
So, what does it look like to become an accountant without a CPA? There is a wide range of alternative careers for accountants you could explore with an accounting degree alone.
Overview of Accounting Careers Without CPA
Working as an accountant without a CPA may look different depending on the specific path you take. For example, some accountants may end up working for an accounting firm. Others, however, may choose to work independently and represent their own private clients. In some cases, accountants without a CPA may work in consulting or even auditing roles.
For the most part, accountants without a CPA spend the majority of their time working with numbers, reviewing financial statements, and possibly helping their clients prepare and file taxes. Many accountants also provide guidance and recommendations for businesses and organizations looking to improve their finances or financial processes.
The Value of Non-CPA Roles in the Business World
Non-CPA roles continue to serve important functions across many industries, offering a variety of ways for professionals to contribute to financial reporting, compliance, and operations. According to the United States Bureau of Labor Statistics (BLS), accountants and auditors work in settings that include public accounting firms, corporations, government agencies, and nonprofits. The BLS provides additional insights into the employment characteristics and trends associated with accounting and auditing roles.
Popular Accounting Careers Without CPA Certification
Looking to learn more about alternative jobs for accountants that do not require a CPA? Explore some of the most popular alternative careers for accountants below, along with a description of the type of work each role entails.
Bookkeeper
Businesses rely on bookkeepers to maintain their financial records and ensure that financial reports are as accurate as possible. Many bookkeepers perform a combination of these tasks plus other basic accounting and/or auditing tasks without the need for a CPA certification.
Accounting Clerk
Compared to a traditional accountant, an accounting clerk generally takes on more of an administrative role within a business or organization. This means they may work under the supervision of a lead accountant to provide business advice and strategic guidance for businesses based on their finances and goals. Accounting clerks generally require less education and training than lead accountants but may still carry out many of the same duties and responsibilities.
Tax Preparer
Many professionals with accounting degrees also go on to become tax preparers. These professionals work with businesses and/or individuals to prepare and file their tax returns. As you might imagine, tax preparers must possess a solid understanding of tax codes and tax laws. Because these can change annually, tax preparers also should proactively stay up to date in order to best serve their clients. Tax preparers may work for tax preparation firms or as independent contractors.
Payroll Specialist
Another option when it comes to accountant jobs that do not require a CPA is that of a payroll specialist. Professionals in this type of role are responsible for compiling and recording employee time and payroll data to ensure that deductions and paychecks are as accurate as possible.
Advancing Your Career in Accounting Without CPA Certification
If you are leaning toward pursuing an alternative career in accounting without getting your CPA certification, there are a few factors to consider in regard to advancing your career and possibly increasing your chances for growth and success.
Types of Accounting Degrees
First, understand the various types of accounting degrees that are available. A bachelor’s degree in accounting could be an excellent starting point if you are new to the field, as this type of degree program provides the foundational skills and knowledge needed to perform basic accounting tasks.
However, if you want to advance your education beyond a bachelor’s degree, you may consider pursuing a master’s degree in accounting after you finish your undergraduate studies. With a master’s in accounting program, you could expand your knowledge in important areas of the field — such as risk management, taxation, nonprofit, and governmental accounting — to diversify your skill set.
Continuing Education and Certifications
In addition to getting the right education, you may consider some CPA alternatives when it comes to continuing your education. Some professional accountants, for example, pursue certifications such as:
- Certified Internal Auditor – These professionals perform simulated audits for businesses to help them correct errors and prepare for the potential of a real audit.
- Certified Management Accountant – These professionals help businesses focus on their broad financial decision-making while empowering them to make the best decisions for their future goals and mission.
- Chartered Global Management Accountant – These accounting professionals specialize in areas of accounting like finance, operations, and global management.
- Certified Fraud Examiner – These accounting experts are specifically trained to investigate financial records while looking for signs of fraudulent activity.
Requirements for earning these certifications, such as passing exams and meeting other criteria, will vary by certification. While they do tend to be less rigorous than those for earning a CPA, they could still prove valuable in expanding your options as an accounting professional.
Networking and Professional Development
Aside from earning a degree and pursuing additional certifications, accounting professionals without a CPA may also be able to advance their careers through proactive networking and professional development. This includes attending industry events and conferences, building a strong professional network, and engaging in professional development opportunities (such as workshops and classes) whenever possible.
Is an Accounting Degree Useless Without a CPA?
Simply put, an accounting degree is far from impractical without a CPA. In fact, plenty of accounting professionals are happy with their careers without having ever pursued their CPA license. The key, of course, is to take inventory of your own interests and career goals in determining whether or not it would be worth it for you to pursue a CPA.
Regardless of the path you end up taking, the right degree program could round out your skill set. At Post University, our online Master of Science in Accounting offers a curriculum that addresses topics relevant to working in various areas of the field. Plus, because this program is offered entirely online, it is an ideal option for busy, working professionals looking to pursue an advanced degree without putting their careers on hold.
Get in touch to learn more about any of Post University’s programs, or get started with your online application for admission today.
Thank you for reading! The purpose of this blog is to provide general information to the reader, and as such, this information may not directly relate to programs offered by Post University.
Please note jobs and/or career outcomes highlighted in this blog do not reflect jobs or career outcomes expected from enrolling in or graduating from any Post program.