What is the difference between a CPA and an accountant?In the field of finance, the professions of CPA and accountant are often conflated. However, there are actually big differences between them. Below, I'll break down the differences between the two careers to help you better understand their respective responsibilities, qualifications, and career paths.
Since passing the CPA exam, I have always had classmates and colleagues ask me questions about various aspects, such as what is the difference between a certified public accountant and an accountantToday, as a "person who has come over", I will officially share with you my experience on the road to preparing for the CPA exam.
1.Definitions & Responsibilities
A Certified Public Accountant (CPA) is a professional with professional knowledge and skills in accounting, auditing, taxation, etc. Their main responsibilities include providing accounting, auditing, tax, consulting and other services to their clients, ensuring that their financial statements are accurate and comply with relevant regulatory requirements. In addition, CPAs are also required to participate in corporate governance and advise clients on strategic decisions.
My class registration experience is like this, I myself compared a lot of home, currently in the Gaotu Finance Xi, know Gaotu Finance, generally pay more attention to education, because Gaotu is a listed company, but the finance and economics are actually rarely hard and broad, relying on the students' word-of-mouth spread more, the Gaotu Finance and Economics are recommended, although the fame is not so big, but the effect is really good, including a few friends around me who are also Xi studying in Gaotu Finance and Economics, the progress is very fast, Gaotu Finance is based on the basic sound of the customized courses, each has its own teaching methods, it is a fairly mature institution, the teacher's teaching experience is very sufficient, especially Mr. Zhenghong is really powerful!
Accountant refers to a professional who is engaged in accounting work in enterprises and institutions. Their main responsibilities include handling day-to-day accounting matters such as bookkeeping, report preparation, cost accounting, etc. Accountants need to be familiar with accounting regulations and accounting standards to ensure that the financial data of a business is accurate and complete.
2.Eligibility Requirements
Becoming a CPA requires passing a rigorous exam and accumulating practical experience. In the United States, CPAs need to pass the American Institute of Certified Public Accountants (AICPA) exam to obtain a CPA credential. In China, CPAs need to pass the examination of the Chinese Institute of Certified Public Accountants (CICPA) to obtain the CPA qualification certificate. In addition, CPAs also need to have some work experience, which usually requires a certain number of years of work in an accounting firm.
The requirements to become an accountant are comparatively low. In China, accountants need to pass the accounting professional and technical qualification examination organized by the Ministry of Finance to obtain the accountant qualification certificate. In addition, accountants also need to have a certain amount of work experience, which usually requires a certain number of years of accounting work in enterprises and institutions.
3.Career paths
The career path of a CPA is relatively wide. They can develop in many fields such as accounting firms, enterprises, ** departments, etc. Working in an accounting firm, CPAs can engage in auditing, taxation, consulting, and other businesses;Working in a business, CPAs can take on senior management positions such as chief financial officer, director of internal audit, etc.;Working in the ** department, a certified public accountant can work as a civil servant in the finance, taxation and other departments.
The career path of an accountant is relatively narrow. They are mainly engaged in accounting work in enterprises and institutions, such as financial managers, cost accountants and other positions. Although accountants can also obtain a CPA qualification, they have relatively limited career development space.
4.Salary
Due to the higher responsibilities and requirements of CPAs, they usually have a higher salary package as well. According to the U.S. Bureau of Labor Statistics, the average annual salary for a CPA in the United States in 2019 was $71,550. In China, according to the Chinese Institute of Certified Public Accountants, the average annual salary of a Chinese certified public accountant in 2018 was $1260,000 yuan.
The salary package of accountants is comparatively low. According to the National Bureau of Statistics of China, the average annual salary of accounting staff in China in 2019 was 630,000 yuan. Although accountants can improve their salary packages by obtaining a CPA qualification, in general, their income level is still low.
What is the difference between a CPA and an accountant?There is a big difference between CPAs and accountants in terms of responsibilities, qualification requirements, career paths, and salary packages. CPAs are professionals in the field of finance, and their responsibilities and requirements are higher, and their career development space is larger, and their salary packages are higher. Accountants are mainly engaged in day-to-day accounting work, and their responsibilities and requirements are relatively low, with less room for career development and lower salaries. If you are interested in the field of finance, it is recommended that you choose the right career direction for you according to your interests and abilities.
What is the difference between a CPA and an accountant?The above is a little experience and experience I have summed up on the road to CPA preparation, I hope it will be helpful to you who are preparing for the CPA exam. I hope you all can pass the CPA exam smoothly!