The journey to becoming a Certified Public Accountant (CPA) is a rewarding yet demanding process that opens doors to prestigious careers in accounting, finance, and business. The CPA designation, governed by the American Institute of Certified Public Accountants (AICPA) and state boards of accountancy, is recognized globally for its rigor and credibility. This article provides a comprehensive guide to the CPA course requirements, detailing the education, examination, experience, and additional steps needed to earn this esteemed credential. Whether you’re a recent graduate or a seasoned professional, understanding these requirements is the first step toward achieving your CPA license.
CPA Course Requirements
To become a licensed CPA in the United States, candidates must meet specific requirements in three key areas: education, examination, and experience, often referred to as the “three Es.” Additionally, candidates must fulfill ethics requirements and comply with state-specific regulations. Below, we break down each component to provide a clear roadmap for aspiring CPAs.
Educational Requirements
The educational requirements for the CPA license are designed to ensure candidates have a strong foundation in accounting and related fields. Most states require:
- Bachelor’s Degree: A four-year bachelor’s degree from an accredited institution is mandatory. The degree can be in any major, but accounting or a related field like finance or business is highly recommended to meet coursework requirements.
- 150 Semester Hours: Candidates must complete 150 semester hours of college credit, equivalent to five years of higher education. This is typically more than the 120 hours required for a standard bachelor’s degree. Many candidates achieve this by pursuing a master’s degree in accounting, an MBA, or additional undergraduate coursework.
- Specific Coursework: States often require a minimum number of hours in accounting and business-related subjects. For example:
- Accounting Courses (24–30 semester hours): These may include financial accounting, managerial accounting, auditing, taxation, and accounting information systems.
- Business Courses (24 semester hours): These can include finance, economics, management, business law, and information technology.
- Accreditation: The college or university must be accredited by a recognized accrediting body, such as the Association to Advance Collegiate Schools of Business (AACSB) or regional accrediting agencies.
International Candidates: For candidates educated outside the U.S., credentials must be evaluated by agencies like the National Association of State Boards of Accountancy (NASBA) to ensure equivalence to U.S. standards. For example, in India, each year of college education is typically considered equivalent to 30 credit hours, but candidates must still meet the 150-hour requirement.
Pro Tip: Check with your state’s Board of Accountancy for specific coursework requirements, as they vary slightly by jurisdiction. Some states allow candidates to sit for the CPA Exam with only 120 hours, but the full 150 hours are required for licensure.
CPA Exam Requirements
The Uniform CPA Examination is a rigorous, computer-based test that assesses a candidate’s knowledge and skills in accounting. Administered by the AICPA and NASBA, the exam consists of four sections totaling 16 hours of testing time. Candidates must pass all sections within an 18-month window from the date of passing the first section. Below are the key details:
- Exam Sections:
- Auditing and Attestation (AUD): Covers auditing procedures, standards, and attestation engagements (4 hours).
- Financial Accounting and Reporting (FAR): Focuses on financial reporting frameworks, standards, and transactions (4 hours).
- Regulation (REG): Tests knowledge of tax law, business law, and ethics (4 hours).
- Discipline Section (Choose One):
- Business Analysis and Reporting (BAR): Emphasizes data analytics and financial risk assessment.
- Information Systems and Controls (ISC): Covers IT systems, controls, and data management.
- Tax Compliance and Planning (TCP): Focuses on advanced tax strategies and compliance.
- Scoring: Each section is scored on a scale of 0–99, with a minimum passing score of 75. Scores are a combination of multiple-choice questions, task-based simulations, and written communication tasks.
- Testing Windows: The CPA Exam is offered year-round, with testing centers managed by Prometric. Candidates can schedule exams at their convenience, subject to availability.
- Eligibility: Candidates must meet state-specific eligibility criteria, which typically include a bachelor’s degree and a minimum number of credit hours (often 120 or 150). Some states allow candidates to sit for the exam before completing all 150 hours, but licensure requires the full amount.
Preparation Tips:
- Invest in a reputable CPA review course, such as Becker, Gleim, or Surgent, to structure your study plan.
- Allocate 300–400 hours of study time per section, depending on your background and familiarity with the material.
- Practice with mock exams to familiarize yourself with the exam’s format and time constraints.
Experience Requirements
Practical experience is a critical component of CPA licensure, ensuring candidates can apply theoretical knowledge in real-world settings. Most states require:
- One to Two Years of Work Experience: The duration varies by state, with most requiring 1–2 years (approximately 2,000 hours) of relevant work experience under the supervision of a licensed CPA.
- Relevant Work: Qualifying experience includes roles in public accounting, industry, government, or academia, involving tasks like auditing, tax preparation, financial reporting, or consulting.
- Verification: The supervising CPA must verify the candidate’s experience, confirming the hours worked and the nature of the tasks performed.
- Part-Time Work: Some states allow part-time work to count toward the requirement, provided the total hours meet the state’s threshold.
State Variations: For example, New York requires one year of experience if the candidate has a master’s degree, while California requires two years unless the candidate works in public accounting, where one year suffices. Always verify with your state board.
Ethics and Other Requirements
In addition to education, examination, and experience, candidates must meet ethics and other state-specific requirements:
- Ethics Exam: Many states require candidates to pass the AICPA Professional Ethics Exam, a self-study course covering the AICPA Code of Professional Conduct. Candidates typically complete this after passing the CPA Exam.
- Background Checks: Some states require a criminal background check or fingerprinting to ensure candidates meet ethical standards.
- Continuing Professional Education (CPE): After licensure, CPAs must complete CPE credits (typically 40 hours annually) to maintain their license. This ensures ongoing professional development.
- State-Specific Rules: Some states impose additional requirements, such as residency, citizenship, or specific coursework in ethics or state tax law.
CPA Course Structure and Duration
The CPA course, as structured by the AICPA under the CPA Evolution initiative (effective January 2024), integrates theoretical learning with practical application. The program does not have a fixed duration, allowing flexibility based on a candidate’s pace and preparation. Key points include:
- Flexible Timeline: Candidates can schedule exams as they feel prepared, but all four sections must be passed within 18 months of the first passing score.
- Study Time: Preparation for the CPA Exam typically takes 12–18 months, depending on whether candidates study full-time or part-time.
- Total Commitment: Combining education (5 years), exam preparation (1–2 years), and experience (1–2 years), the full CPA journey often spans 5–7 years.
Table: Summary of CPA Course Requirements
| Requirement | Details | Duration/Timeframe |
|---|---|---|
| Education | Bachelor’s degree + 150 semester hours (24–30 accounting, 24 business) | 5 years (typical) |
| CPA Exam | 4 sections (AUD, FAR, REG, + 1 Discipline: BAR, ISC, or TCP); score ≥75 | 18-month window to pass all |
| Experience | 1–2 years of verified work under a licensed CPA | 1–2 years (state-dependent) |
| Ethics | AICPA Professional Ethics Exam; possible background checks | 1–3 months (self-study) |
| CPE (Post-Licensure) | 40 hours annually to maintain license | Ongoing |
International Candidates
The CPA credential is highly valued globally, and international candidates can pursue it by meeting the same core requirements with some additional steps:
- Credential Evaluation: Foreign degrees must be evaluated by NASBA or an approved agency to confirm equivalence to U.S. standards.
- International Testing: The CPA Exam is offered at select Prometric testing centers in 15 countries, including Japan, Brazil, and the United Arab Emirates.
- Visa and Residency: International candidates do not need U.S. citizenship or residency to take the exam, but some states require a Social Security Number for licensure.
- State Selection: Candidates must choose a U.S. state to apply through, as each state has its own Board of Accountancy. States like Colorado and Maine are popular for international candidates due to flexible requirements.
Career Benefits of Becoming a CPA
Earning a CPA license offers significant professional advantages:
- Global Recognition: The CPA is one of the most respected accounting credentials worldwide, opening opportunities with top firms like the Big Four (Deloitte, PwC, EY, KPMG).
- High Earning Potential: In the U.S., CPAs earn an average annual salary of $74,596, while in India, salaries range from ₹6.9–8.67 lakhs (Payscale and Glassdoor data).
- Diverse Roles: CPAs can work in public accounting, corporate finance, government, or consulting, with roles like auditor, tax advisor, financial analyst, or CFO.
- Job Security: The demand for CPAs remains strong due to their expertise in navigating complex financial regulations and market dynamics.
Practical Tips for Success
- Plan Early: Start planning your CPA journey during college to align coursework with state requirements.
- Choose the Right State: Research state boards to find one with requirements that match your education and experience. For example, Texas allows candidates to sit for the exam with 120 hours, while New York requires 150 hours for licensure.
- Network with CPAs: Connect with licensed CPAs for mentorship and guidance on exam preparation and career paths.
- Stay Organized: Use a study planner to track your progress and deadlines, especially for the 18-month exam window.
- Leverage Resources: Utilize AICPA and NASBA resources, such as candidate bulletins and state board websites, for up-to-date information.
FAQ: Common Questions About CPA Course Requirements
Q: Can I take the CPA Exam without a bachelor’s degree?
No, a bachelor’s degree from an accredited institution is required to sit for the CPA Exam. Most states also require a minimum of 120 semester hours, with 150 hours needed for licensure. Check your state’s Board of Accountancy for specific eligibility criteria.
Q: How long does it take to become a CPA?
The CPA journey typically takes 5–7 years, including earning a bachelor’s degree (4 years), completing additional coursework for 150 semester hours (1 year), preparing for and passing the CPA Exam (1–2 years), and fulfilling the work experience requirement (1–2 years). The timeline varies based on individual pace and state requirements.
Q: What is the hardest part of the CPA Exam?
The difficulty varies by candidate, but Financial Accounting and Reporting (FAR) is often considered the most challenging due to its broad scope and complex topics, such as financial statement preparation and GAAP standards. Candidates recommend dedicating extra study time to FAR and using practice questions to master its content.
Conclusion
Becoming a CPA is a challenging but achievable goal that requires dedication to meeting educational, examination, and experience requirements. By earning a bachelor’s degree, completing 150 semester hours, passing the four-section CPA Exam, gaining relevant work experience, and fulfilling ethics requirements, you can join the ranks of trusted financial professionals worldwide. Start by researching your state’s specific requirements and creating a study plan to stay on track. With perseverance and the right resources, the CPA designation can unlock a world of career opportunities.
References
- AICPA & CIMA. (2022). Everything You Need to Know About the CPA Exam. www.aicpa-cima.com
- The Wall Street School. (2023). A Complete Guide to the CPA Course. www.thewallstreetschool.com
- NASBA. (2025). CPA Exam and Licensure Information. www.nasba.org