What Accounting Certifications Are Available?
Elevate your accounting career. Understand the range of professional credentials available, the process to earn them, and how to keep them current.
Accounting certifications recognize specialized knowledge and proficiency. These credentials demonstrate understanding of financial principles, regulations, and practices. Obtaining a certification signifies expertise and ethical conduct, enhancing career prospects by validating skills to employers and clients. They often lead to advanced roles and increased responsibilities.
Major Accounting Certifications
The Certified Public Accountant (CPA) is a widely recognized credential, signifying expertise in public accounting, auditing, taxation, and financial reporting. The American Institute of Certified Public Accountants (AICPA) develops the Uniform CPA Examination, which candidates must pass. CPAs often work in public accounting firms, corporations, or government agencies, providing financial services.
The Certified Management Accountant (CMA) focuses on financial planning, analysis, control, and decision support. It suits accountants seeking roles in corporate finance and strategic management. The Institute of Management Accountants (IMA) issues the CMA, emphasizing skills for internal business operations. CMAs typically work within organizations, contributing to financial strategy and performance management.
The Certified Internal Auditor (CIA) is the only globally recognized certification for internal auditors. It demonstrates proficiency in risk management, governance, and internal control. The Institute of Internal Auditors (IIA) awards the CIA, valued for improving organizational efficiency and effectiveness. CIAs often lead internal audit functions, ensuring compliance and operational integrity.
The Certified Fraud Examiner (CFE) signifies expertise in preventing, detecting, and investigating fraud. The Association of Certified Fraud Examiners (ACFE) offers the CFE, covering financial transactions, fraud schemes, law, and investigation techniques. CFEs are employed across sectors like law enforcement, government, and corporate security to combat financial misconduct.
Specialized Accounting Certifications
Beyond major certifications, several specialized credentials cater to specific niches. They allow professionals to demonstrate focused expertise in particular areas, providing a pathway for career specialization.
The Accredited in Business Valuation (ABV) is a specialized credential issued by the AICPA. It focuses on valuing businesses and business interests. ABV professionals typically provide services for mergers and acquisitions, estate planning, and litigation support, assessing economic worth.
The Certified Information Systems Auditor (CISA), offered by ISACA, validates expertise in information systems auditing, control, and security. CISA professionals assess technology governance, manage IT risks, and ensure information system integrity. Their work safeguards data and maintains secure digital environments.
The Personal Financial Specialist (PFS), issued by the AICPA, is for CPAs providing personal financial planning services. It demonstrates competence in retirement, investment, and estate planning. PFS professionals help individuals manage finances to achieve long-term goals.
The Enrolled Agent (EA) credential is authorized by the U.S. Department of the Treasury. EAs are federally licensed tax specialists who represent taxpayers before the IRS. They prepare all types of tax returns and handle various tax matters for individuals, businesses, and other entities.
Steps to Obtain Certifications
Obtaining an accounting certification involves meeting requirements for education, professional experience, and examination success. These prerequisites ensure professionals possess foundational understanding and practical application of accounting principles. Criteria vary by certification.
Educational requirements typically include a bachelor’s degree in accounting or a related business field. Many certifications, like the CPA, require 150 semester hours of college coursework, including specified accounting and business credits.
Most certifications mandate a period of relevant professional experience, often supervised by a licensed professional. Required experience typically ranges from one to two years, providing practical exposure to real-world accounting scenarios.
The final step involves passing a rigorous examination. These multi-part, computer-based exams assess comprehensive knowledge and analytical skills. While content varies, exams generally cover technical accounting concepts, regulatory frameworks, and ethical considerations. Passing demonstrates competency and readiness for professional practice.
Maintaining Certifications
Maintaining an accounting certification requires ongoing professional development through Continuing Professional Education (CPE). CPE ensures professionals remain current with evolving industry standards, technological advancements, and regulatory changes, maintaining the certification’s relevance and value.
Most certifying bodies mandate a certain number of CPE hours over a specified period, often including an ethics component. The specific number of hours and acceptable activities differ by certification and issuing authority. Adhering to these requirements keeps the certification active.