In our September issue, we asked if it was too hard to become a CPA, and a large number of readers replied, often at great length and with plenty of passion.
It should probably come as no surprise that they were widely divided, with some contending that the monetary cost of extra schooling and the cost in time and effort of passing a very difficult exam are driving people away from the CPA profession, and others warning that any measures would dilute the value of the credential itself. Still others said that it wasn’t a question of the ease or difficulty of becoming a CPA, but rather a matter of communicating the true value of getting licensed and its career-boosting potential (see page 3), while yet others suggested that it’s the brutal hours and low entry-level salaries that are turning young people away from joining the profession.
Representative excerpts from the responses are below. (Unabridge versions of these responses, and most of the rest of the many, many thoughtful comments that we received, are available
Leave it as it is
The CPA is the gold standard, and it should be hard to obtain. The public relies on us to ensure financial statements are complete and accurate. On other issues that involve forensic accounting and other consulting services, people look at the CPA differently than the other credentials, some of which are not worth the paper they are printed on. … In no way should we be making it easier. That mentality has led to kids getting trophies for sixth place.
— Jonathan T. Marks, CPA, CFF, CITP, CGMA, CFE
I do not think making it easier to become a CPA is an answer. Where does it leave us if we “dummy down” the profession? Sorry, but I took the CPA exam back in the day when you took all four parts at the same time without a calculator. I took a Saturday review course while finishing my senior year. I studied for months and passed all four parts the first time. It was not easy but we did it! And I also took extra accounting courses in order to have the knowledge to pass. This was before the 150-hour rule, but I knew I needed those courses that were not required to graduate but were needed to pass the exam. Making it easier helps no one — not the students and not our clients.
I hope the profession does not go down this path. How sad if it does for all of us.
— Eileen L. Schneider, CPA
It should always be hard to be a CPA. Otherwise it does not mean anything if you achieve it, if it is too watered down.
The profession should encourage more women and minorities to become CPAs. There should be more outreach.
— Philip Russell, CPA
The title of CPA is well earned. Unlike lawyers, there actually is an apprenticeship work requirement to get a license. Plumbers, electricians, etc., all have apprenticeships and tests. Consequently, there is a glut of lawyers in this country and their ranks include many who cannot find a job in their profession because there are simply too many of them.
Dumbing down the requirements is silly. There are shortages of skilled tradespeople. Do you see them dumbing down the requirements? Of course not. They are out there actively recruiting.
— Douglas Harris, CPA, MST
My feeling is that I spent so much time and money to get my CPA license that I feel it is unfair to give the young and new students an easy ride that I wasn’t entitled to. Also, if the goal of the exam difficulty and additional schooling is to keep the profession at a high level, then I feel we should keep it that way. It wasn’t easy for me but I did it (and did it with three young kids at home and a full-time job). I hope people wouldn’t give up that easy and would push through it for the benefits that the license brings.
— Jonathan Weisz, CPA
The education issue
How much more knowledge are students getting with 30 more hours of education? Would we be better served by decreasing the education and increasing work time requirements?
I think if you surveyed practitioners, they would rather hire someone with a BS in accounting and an additional year of work experience instead of an additional year of education. The profession is changing, what we as accountants do is changing, and the requirements should change too.
— Mary J. Miller, CPA
I was able to complete my accounting degree while working full-time and raising three children in about five years. I won’t tell you how many times I sat for the CPA exam — suffice it to say that without perseverance I would never have passed. I can honestly tell you that if I was required to do another year of college I don’t think I could have. The cost alone would have prohibited it. I paid off my student loans over the next 10 years, just in time for my firstborn to go to college. Not requiring those additional credits made it possible for me to become a CPA, but not easier.
— Doris Emond, CPA
As a profession, we need to drop the 150-hour requirement as a starting point. It is discouraging too many from even considering the profession.
We need to look at our pay structure and work-hour requirements. Salaries need to increase, work hours need to be adjusted.
Amazingly, in my opinion, the one item that everyone says needs to change, the exam, is fine as is. When the other items change, the exam, a one-time challenge, will not seem like the obstacle.
— Timothy S. Hefty, CPA, CFE, CFF, DABFA
I can agree to forego an official fifth year of school in lieu of real-life experience. I was in the last group of CPAs not required to have that fifth year. I also had to work to put myself through college and found that the experience within a public accounting firm — albeit a small, local regional firm — was worth as much or more than most of the accounting courses that were required for graduation ... . Practicing CPAs should embrace the opportunity as well to help groom the future. ...
There is room for those that don’t want to make the sacrifice; however, we cannot give up the integrity of the profession because it is too hard. … Personally, I chose to rise above because I wanted to be seen as an expert in my field. It wasn’t easy financially, and I sacrificed family time to make it happen. Why should we dismiss this for future generations? This isn’t a “participation trophy” field!
— Dalene “DD” Mariani, CPA
The real issue exists within the bloated college experience and rising tuition costs. Four years to obtain a degree in accounting and qualify for the exam is not only ample but preferable if a path of higher education allowed students to focus on an area of concentration without subjecting themselves to subjects they should have been exposed to at the high school level. Is a two-year associate’s degree less valuable than a four-year degree that has been diluted with general study requirements? I say no, students should be allowed to focus on their career choice earlier and with more intensity, thereby obtaining the necessary skills within a shorter time frame.
— Marvin K. Odom, CPA/PFS
I believe our professionalism and credibility is lifted by having a rigorous exam requiring us to prove our level of knowledge. … So I am in favor of keeping that in place. … However, I do believe the 150-hour requirement should be lifted. A four-year degree (or equivalent) should be sufficient for qualification to take the exam. That is not to say they would be fully prepared to pass the exam if there is material on it covered in a course they have not completed. To help students prepare, colleges and universities should allow them to fulfill their elective hours by allowing them to audit or take upper-level classes pass/fail to gain that knowledge.
Alternatively, similar to the bar exam, I believe allowing exam candidates to qualify for the exam by “reading” or apprenticing under another CPA should be instigated. This would allow persons who have been connected to the profession as an experienced staffer to qualify to take the exam. Again, it may be difficult for such persons to pass; however, their ability to learn the material should not be limited to the classroom.
— Sarah A. Adams, CPA, CGMA
The additional 30 credits is nothing more than an unnecessary barrier to entry. Accountants love to regale each other with their tales of suffering as auditors and tax associates with Big Four firms and how tough it was for them. Adding the additional 30 credits is nothing more than adding a snowstorm to the accountant version of “I used to walk to school uphill, both ways… .”
— An aspiring CPA
Yes, college is important. However, nothing can take away from on-the-job training. The new CPA format wants less on-the-job training and more college. It does not make sense to me. You are encouraging individuals to incur more student debt and getting less experience (one year instead of two years).
Reflecting on my career, I feel I was so much more comfortable and knowledgeable as a CPA in my second year compared to my first year. I think most CPAs would say the same thing.
— Michael Marion, CPA/EA/CFP
Rethink the exam
I’m working at a CPA firm and studying for my license. I think that with the grueling hours of tax season and the needed recuperation afterwards on top of working full time, the 18-month time limit to take four exams is the hardest part for me. Not many college grads can afford time off to study and not work.
— An aspiring CPA
One rule I’d love to see the state board abolish is the rule that you have to pass all four parts in a 18-month window. I’m a mom of two that graduated over 15 years ago. I’ve passed various parts, but it is hard with everything I have going on to make that window. I keep losing credits.
— Sarah Griffin
We have many staff accountants at our firm studying and taking exams. One thing that could help is extending the 18-month “pass all your exams” clock. We had a staff member who had tests they actually passed drop off. That was so painful and she actually left public accounting. It is far too difficult to work as a full-time accountant and study for exams and pass them all in 18 months. Plus there is no time to study during tax season. If only they could extend it to four years or something, that would help.
— Amy Hardman, CPA
The testing process really needs to be updated. The two-year limit has become unrealistic for working people trying to pass the exam. Yes, people are still passing, but many are giving up on the exam before they pass all four parts, especially if a prior exam is too old to count any more. Maybe a four-year window would make it more attainable and not “hurt” the value of the credential.
The CPA exam itself is not that applicable to real-world accounting work. No one comes out of the exam and is ready to prepare a tax return or be of any use on an audit without an extreme amount of oversight and additional training. Shouldn’t the exam test for skills that will make you much more useful to the profession at large?
— Brian Streig, CPA
My vote would be to extend the length of time to complete the four parts to 24 months. Most of our young professionals have a busy season where they have to put studying on hold, so that eats up precious time necessary to pass. We just had someone in our office that did not make the 18 months and has to start all over again. That is discouraging.
Also, back in the day (I passed in 1991), they used to release the prior exams and you could use them to study from. Now they don’t and it just makes it harder, putting these young professionals at a disadvantage especially with the simulations. I’m watching my daughter go though this now and it’s unbelievably stressful. I vote for change!
— Danielle Cagno, CPA
The current structure of the exam — taking individual sections at a time, at various times during the year (for most students after they have started their careers) is too hard for many (or most) new accountants to schedule and manage. There’s too much planning involved, too much balance involved for young people just starting in their careers. The old model — May/November — made perfect sense. Everyone knew when they would be taking the exam, everyone knew when to take an exam prep course to be ready for the exam. Most higher-level university accounting programs built the students’ last year (certainly last semester) around passing the exam. The structure that created was so beneficial.
— Harry Steindler, CPA
I think serious changes need to be considered for the CPA exam in order for the license to stay relevant. The structure and content of the test, the number of tests, the time-frame to pass it, the amount of hours to pass the exam, etc. Right now, it makes no sense for people to go out of their way, especially when they feel like the test itself is designed to make them fail.
— John Lowndes, EA, MBA
Here is the problem with the CPA: all of the logistical nightmares and red tape that drive the machine. The CPA exam should be integrated with the degree. There is no reason why a student should need to take a very expensive prep course to pass the exam after they have obtained 150 hours. ...
Wish me luck on the exams!
— John Stuller, CPA exam candidate
It’s a perception problem
The profession has a marketing problem, not a difficulty/education problem.
To become a lawyer requires seven years, two more than a CPA. Clearly, the law profession has no problem attracting young professionals. Accountants and the profession have perhaps the worst marketing skills of any industry. Even the trucking industry has better PR.
To go one step further, we are actually our own worst enemies. Have you ever met a CPA that didn’t complain about the hours? Until we fix that basic problem, we will continue to have staffing shortages.
— An anonymous CPA
The bureaucracy
Is it too hard to become a CPA? The answer is yes, yes, many times yes. … While I understand the need to have a high bar for CPAs, many of the hoops we’re expected to jump through are needlessly complicated and feel downright mean-spirited, like a frat hazing process. Many times in the past year I found myself thinking, “It really doesn’t seem like they want people to become CPAs.” I’ve heard that sentiment echoed repeatedly by other folks going through the same process. ...
Some ways to make the process more bearable would be standardization of the process and requirements among the states, encouraging employers (and helping small employers) to give paid time off to study for and take the exams, and finding a way to help candidates financially with the cost of the fees and exam prep material. Another idea would be to eliminate or modify the requirement that all four sections must be passed within 18 months. I know candidates who passed one or two sections and then had to pause due to health or family issues beyond their control. When they realized they would have to start over they simply decided it wasn’t worth it.
— An anonymous CPA candidate
It’s just not worth it
As someone who is half-way through my fifth year of accounting with over five years of industry experience … at this point I’m not planning to sit for the CPA because:
1. Public accounting firms notoriously work their people to death, so I won’t ever work for one.
2. The CPA requires knowledge in most areas of accounting, even though you’ll likely only use one in your career (for example, my interest is in tax, but that’s only one portion of the test).
3. Everything I truly know about accounting I’ve learned on the job, so spending the time studying and the money paying for study guides to pass a test that literally proves nothing isn’t worth my effort.
It’s a nice title to have and everywhere I’ve worked has incentivized becoming a CPA with large raises and bonuses, but ironically admit that those with the license don’t necessarily produce better quality results than those without.
Maybe they could specialize the test? If I could get a specific CPA that would show I have special knowledge in my chosen industry I might consider it, but until then I’m not going to waste time “becoming an expert” in every accounting field, for a test that I will forget the answers to shortly after taking it. As we like to say at work, CPA stands for Couldn’t Pass Again.
— Kate Wilder
“Is it too hard to become a CPA?” I’m not sure if that is even the correct question. … The bigger question now is whether enough folks see the CPA designation as relevant any longer. I spoke with a former CPA yesterday who decided it was no longer relevant 11 years ago and let his certificate lapse. He felt like he was set free to serve clients better and has earned a pretty good living in the process. This profession as a whole has been headed in the wrong direction for decades.
— Steven T. Kirkman, CPA
I currently work as a CFO, and have had two prior CFO positions with other organizations. In these positions, the pay would remain the same if I had a CPA. Simply put, the CPA license would add costs and time to my life, without adding additional pay in my current position.
— Luke Canady
If you want more CPAs, the industry needs to make the salary attractive enough to justify the gruelling academics. IT, law, medicine, pharmacy are very demanding areas of study but they delight in admirable entry-level pay.
— Ben Umeadi
It’s the job
No, I don’t think it is too hard [to become a CPA.]
Is it too hard to become a doctor? ...
If there’s any issue with being a CPA, it’s in the work-life balance (or lack thereof) achieved by big accounting firms (the major supply and demand for CPAs). Any perceived shortage is due to firms failing to compensate adequately for the loss of balance, or failing to achieve balance that would keep employees at firms. The solution isn’t to saturate the market by making certification easier.
— Jeremy Grant, CPA exam candidate
I think the problem is less the exam and more the profession and its unreasonable expectations from its staff.
— Matt Bowen, CPA
I personally don’t think it’s too hard. I think the problem is the Big Four and most other accounting firms that follow the Big Four “traditional” model treat employees like something that just needs to be squeezed until there is no more juice. And with social media and other platforms like Glassdoor, potential accountants can see comments from employees about how terrible it is. It just doesn’t look appealing. It is a challenge to get a CPA and I think they compare the challenge to what they are seeing it would be worth, and they are choosing anything other than becoming a CPA.
— John D. Briggs, CPA
Why is it necessary to become a CPA?
The CPA may still be a profession serving the public interest, but it is rapidly deteriorating into an industry.
Over the past 30 years, self-inflicted missteps lost our control as standard-setters and self-regulators to Public Company Accounting Oversight Board lawyers and the Securities and Exchange Commission, which formerly deferred to the American Institute of CPAs. “Non-GAAP” financials further dilute our relevance.
1998 started a precipitous decline with the AICPA’s “The Vision,” that consultants might not have to learn auditing to become CPAs. You can become a CGMA without becoming a CPA. (What’s a CGMA?) Those initials were added to PFS/PFP, CITP/IT, ABV, CFF, and FVS, among others. While these dilute the prestige of the CPA — some were once ethically proscribed as “incompatible occupations” — you can keep those extra initials only while continuing to pay AICPA credential dues. For tax accreditation, become an Enrolled Agent, or a Certified Fraud Examiner for fraud.
Audits are now loss leaders used as “feeders” for consulting engagements. Consulting revenues dwarf audit revenues. What was once considered status to call a firm “Certified Public Accountants” has been dropped by most firms in favor of showcasing a multidisciplinary professional service organization. The top partner is now called CEO, highlighting the business rather than professional aspect of the firm.
The profession has rendered itself leaderless because no one credible voice can speak responsibly for the divergent interests of consultant, product salesman, and professional CPA — roles that carry conflicting obligations to clients, the bottom line and the public.
The profession’s decline resulted from the seductive profits of providing consulting services to audit clients. As trusted professionals, CPAs already had their foot in the clients’ doors. It was access they were trusted not to abuse. Ultimately, CPA firms decided to undertake consulting services, staffed entirely by non-CPAs and serving no public interest, as a “business” while simultaneously carrying on an accounting practice as a “profession.”
— Jay Starkman, CPA
