Choosing between pursuing a career as a CPA versus a general accountant is one of the most important decisions for those entering the accounting profession. Both paths offer rewarding opportunities, but they differ significantly in education requirements, licensing, responsibilities, and earning potential. This comprehensive guide examines the key differences between CPAs and accountants to help you make an informed career decision.
Whether you’re considering your first accounting role or looking to advance your existing career, understanding these distinctions will help you chart the most appropriate path toward your professional goals. For those interested in exploring accounting programs by state, our comprehensive directory provides detailed information about campus and online options.
What is a CPA (Certified Public Accountant)?
A Certified Public Accountant (CPA) is an accountant who has met stringent state licensing requirements and earned the right to provide specialized accounting services to the public. The CPA designation represents the highest standard of competence and integrity in the accounting profession.
CPAs are trusted advisors who help individuals and businesses navigate complex financial decisions while ensuring compliance with regulatory requirements.
CPA Education and Licensing Requirements
To become a CPA, candidates must meet specific education, examination, and experience requirements that vary by state. Our comprehensive guide on becoming a licensed CPA provides detailed information about this process:
- Education: Typically requires 150 semester hours of college education, including a bachelor’s degree with substantial accounting coursework
- Examination: Must pass the Uniform CPA Examination administered by the American Institute of CPAs (AICPA)
- Experience: Most states require 1-2 years of supervised accounting experience
- Continuing Education: Must complete 40 hours of continuing professional education annually to maintain licensure
For state-specific requirements, professionals can explore detailed guides for becoming an accountant in states like California, Texas, or Florida, each with unique licensing requirements and opportunities.
The Uniform CPA Examination
The Uniform CPA Examination consists of four comprehensive sections totaling 14 hours of testing:
- Auditing and Attestation (AUD): 4 hours
- Business Environment and Concepts (BEC): 4 hours
- Financial Accounting and Reporting (FAR): 4 hours
- Regulation (REG): 4 hours
According to the AICPA, less than 50 percent of exam-takers pass each section on their first attempt, making it one of the most challenging professional examinations in the United States.
What is an Accountant?
An accountant is a professional who performs basic accounting functions such as recording, reporting, and analyzing financial transactions for businesses, organizations, or individuals. Unlike CPAs, accountants are not required to obtain state licensing to practice, though many pursue relevant education and certifications.
Accountant Education and Training
While formal education requirements for accountants are more flexible than those for CPAs, most employers prefer candidates with relevant educational backgrounds. Students can explore various accredited accounting programs to build foundational knowledge:
- Education: Bachelor’s degree in accounting, finance, or related field preferred but not always required
- Certifications: Optional professional certifications such as QuickBooks or other software-specific credentials
- Experience: Entry-level positions often provide on-the-job training
- Continuing Education: Not legally required but recommended for career advancement
Common Accountant Roles and Responsibilities
Non-CPA accountants typically perform essential accounting functions including:
- Bookkeeping and maintaining general ledgers
- Preparing basic financial statements
- Processing accounts payable and receivable
- Handling payroll administration
- Preparing simple tax returns with certified tax preparer training
- Conducting basic financial analysis
CPA vs Accountant: Detailed Comparison
The following comprehensive comparison highlights the key differences between CPAs and accountants across various professional dimensions:
Key Advantages of CPA Certification
The CPA designation provides several distinct professional advantages that can significantly impact career trajectory and earning potential:
Exclusive Service Authorization
CPAs have exclusive authorization to perform certain high-level accounting services that non-CPA accountants cannot legally provide:
- Audited Financial Statements: Only CPAs can perform audits of public companies and certain private entities
- Reviewed Financial Statements: CPAs have exclusive rights to perform review engagements
- Attest Services: Various attestation services require CPA licensure
- IRS Representation: CPAs can represent clients in all matters before the Internal Revenue Service, similar to tax attorneys
Enhanced Career Opportunities
CPA certification opens doors to advanced positions that are often unavailable to non-certified accountants:
- Chief Financial Officer (CFO) and comptroller positions
- Partner positions in public accounting firms
- Board of directors appointments
- Independent consulting opportunities
- Specialized roles in forensic accounting and fraud examination
Accountant and Auditor Salary Analysis
Compensation represents one of the most significant differences between CPAs and non-CPA accountants. According to the Bureau of Labor Statistics, CPAs typically earn 10-15% more than their non-certified counterparts, with additional benefits including better job security and advancement opportunities. For comprehensive salary information, visit our detailed accountant salary guide by state.
National Salary Overview
Based on May 2024 Bureau of Labor Statistics data for accountants and auditors, compensation varies significantly by geographic location, experience level, and certification status:
Top-Paying States for Accountants and Auditors
Geographic location significantly impacts earning potential for accounting professionals. The following states offer the highest average annual wages for accountants and auditors:
Important Note: Salary data reflects general market conditions and does not account for CPA certification premiums, which typically add 10-15% to base compensation levels.
Educational Pathways and Requirements
Understanding the educational requirements for each career path is essential for making informed decisions about your professional development strategy.
CPA Educational Path
The path to CPA certification requires substantial educational commitment but provides comprehensive preparation for advanced accounting roles:
- Undergraduate Education: Complete a bachelor’s degree with substantial accounting coursework
- Additional Credits: Accumulate 150 semester hours through additional undergraduate courses, graduate studies, or professional education
- CPA Exam Preparation: Complete intensive study program for the four-section CPA examination
- Professional Experience: Gain supervised experience in public accounting, industry, government, or academia
- State Licensing: Apply for CPA license in your chosen state of practice
Accountant Educational Path
The educational pathway for general accounting positions offers more flexibility while still providing solid career foundations. Students can pursue various options including online associate’s degrees in accounting or affordable master’s programs:
- Formal Education: Pursue associate’s or bachelor’s degree in accounting, business, or related field
- Skill Development: Develop proficiency in accounting software and industry-standard tools
- Professional Certifications: Consider relevant certifications such as QuickBooks ProAdvisor or other specialized credentials
- Practical Experience: Gain hands-on experience through internships, entry-level positions, or volunteer work
- Continuing Education: Pursue ongoing professional development to stay current with industry trends
Career Advancement and Long-Term Prospects
Both CPA and non-CPA accounting careers offer growth opportunities, though the pathways and ultimate destinations differ significantly. Explore our comprehensive accounting career resources for detailed information about various professional paths.
CPA Career Progression
CPAs typically enjoy more rapid advancement and access to senior-level positions:
- Years 1-3: Staff accountant, junior auditor, or tax associate positions
- Years 4-7: Senior accountant, audit manager, or tax manager roles
- Years 8-12: Director, controller, or senior manager positions
- Years 12+: Partner, CFO, or C-suite executive opportunities
Accountant Career Progression
Non-CPA accountants can build successful careers with consistent professional development:
- Years 1-3: Bookkeeper, accounts payable/receivable clerk, or junior accountant
- Years 4-7: Staff accountant, payroll specialist, or department supervisor
- Years 8-12: Accounting manager, budget analyst, or specialized analyst roles
- Years 12+: Department head, controller (smaller organizations), or consulting roles
Specialized Accounting Career Paths
Both CPAs and accountants can pursue specialized career paths that align with their interests and market demands:
Advanced Specializations for CPAs
- Internal Auditing: Focuses on risk management and internal controls
- Forensic Accounting: Combines accounting skills with investigative techniques
- Government Service: Including IRS careers and regulatory positions
- Financial Consulting: Providing strategic advisory services to businesses
Specialized Roles for All Accountants
- Tax Preparation: Seasonal and year-round tax services
- Payroll Administration: Managing employee compensation systems
- Financial Analysis: Supporting business decision-making processes
- Compliance Monitoring: Ensuring adherence to financial regulations
Making the Right Choice: CPA vs Accountant
The decision between pursuing CPA certification or remaining a general accountant depends on various personal and professional factors:
Choose the CPA Path If You:
- Seek maximum earning potential and career advancement opportunities
- Want to provide high-level advisory services to clients
- Are willing to invest significant time and resources in education and certification
- Desire flexibility to work in public practice, industry, or independent consulting
- Aspire to executive-level positions or business ownership
- Value professional recognition and enhanced credibility
Choose the Accountant Path If You:
- Prefer to enter the workforce quickly with minimal additional education
- Are satisfied with steady, stable employment in traditional accounting roles
- Want to focus on operational accounting functions rather than strategic advisory services
- Are not interested in the ongoing continuing education requirements of CPA licensure
- Seek work-life balance that may be easier to achieve in non-CPA roles
- Have financial constraints that make additional education challenging
Understanding Related Accounting Concepts
To make an informed decision about your career path, it’s helpful to understand fundamental accounting concepts and how they relate to different career trajectories:
Financial Accounting vs Other Disciplines
Understanding what financial accounting entails helps clarify the scope of work for different accounting professionals. Additionally, learning about the differences between accounting and auditing can provide insight into specialized career paths.
Auditing Fundamentals
For those interested in audit careers, understanding basic auditing principles is essential, as this field often requires CPA certification for advanced positions.
Frequently Asked Questions
Can you be an accountant without a CPA license?
Yes, you can work as an accountant without a CPA license. Many accounting positions, including bookkeeping, tax preparation, and financial analysis, do not require CPA certification. However, certain services like auditing public companies require CPA licensure.
How much more do CPAs earn compared to non-CPA accountants?
CPAs typically earn 10-15% more than non-CPA accountants according to professional organizations. The exact salary difference varies by location, experience, and specific role, but CPA certification generally provides better career advancement opportunities and higher earning potential.
What can CPAs do that regular accountants cannot?
CPAs can perform audits and reviews of financial statements, represent clients before the IRS, and provide certain attest services that non-CPA accountants cannot legally perform. CPAs also have enhanced credibility for complex financial consulting and executive-level positions.
Is the CPA exam really that difficult?
Yes, the CPA exam is considered one of the most challenging professional examinations. With less than 50% of candidates passing each section on their first attempt, the exam requires substantial preparation and dedication. However, with proper study and preparation, many candidates successfully pass all four sections.
Can I become a CPA without an accounting degree?
While most states require substantial accounting coursework, you don’t necessarily need an accounting degree to become a CPA. However, you must meet specific education requirements including accounting and business courses. Requirements vary by state, so check with your state board of accountancy for specific details.
Do all accounting jobs require a college degree?
Not all accounting positions require a college degree, particularly entry-level bookkeeping and clerk positions. However, most professional accounting roles prefer or require at least a bachelor’s degree, and career advancement opportunities are significantly limited without formal education.
How long does it take to become a CPA?
The timeline to become a CPA varies but typically takes 5-7 years total: 4 years for a bachelor’s degree, 1 additional year for the 150 credit hours, 6-18 months for CPA exam preparation and testing, plus 1-2 years of required professional experience that often occurs concurrently with education.
Can CPAs work in all industries?
Yes, CPAs can work in virtually any industry that requires accounting and financial expertise. This includes public accounting firms, corporations, government agencies, non-profit organizations, healthcare, technology, manufacturing, and many other sectors.
Next Steps in Your Accounting Career
Whether you choose to pursue CPA certification or build a career as a general accountant, the accounting profession offers stable, rewarding opportunities for dedicated professionals. Consider your personal goals, financial situation, and career aspirations when making this important decision.
For those interested in pursuing CPA certification, research the specific requirements in your state and begin planning your educational pathway. Those preferring the general accountant route should focus on developing practical skills and gaining relevant experience in their areas of interest.
Remember that career paths are not always linear, and many successful professionals transition between different accounting roles throughout their careers. The strong foundation provided by either path will serve you well in the dynamic and essential field of accounting.
To explore educational opportunities in your area, visit our comprehensive directory of accounting schools and programs to find the right fit for your career goals.
May 2024 Bureau of Labor Statistics salary data for Accountants and Auditors reflect state and national data, not school-specific information. Conditions in your area may vary. Data accessed June 2025.
