My location: University of La Verne - Southern California
Hi everyone,
Honestly I am just looking for advice. I am currently on track to graduate in 1 1/2 years with a bachelors in accounting. Everyone recommends that I take my CPA and continue to a public accounting firm which should later lead me to leave it and then pursue a field that I actually enjoy. But I am unsure if accounting really is something I can do for the rest of my life, which I know, should have been decided before even picking the major, but stuff happens so it did not work out that way. Can you recommend other paths that I can maybe take?
Things about me: GPA is a 3.29, I have had two accounting internships. One with Sony Pictures and the other with FIJI Water. I am very imaginative/creative and would consider myself a people person. I do not mind accounting but sometimes I simply feel that maybe it is not the best option for me to take and that there are so many other students that far exceed my knowledge no matter how much I study. Any suggestions as to where I can go after college that maybe matches my personality and does not have to do with any direct accounting work? All suggestions appreciated, thank you!
You certainly don’t have to become a CPA but it is an outstanding lifetime credential to have no matter where you end up. If you stay in the accounting field, you will be competing with CPAs for promotions etc. the rest of your career. Getting a CPA and working at least 2-3 years at a public accounting firm will open up more opportunities in the long-term. (but note that you do need 150 credits to become a CPA which often entails one extra year of school – many get a one year MS in Accounting).
But if you don’t want to follow the CPA road, I’d make an appointment now to talk to someone at your school’s career placement office. Try to get an idea of what companies interview on campus that would want someone with your background. Also if you had meaningful internships you enjoyed at companies,you liked being at, follow up to see if they will re-hire your for the summer and for full-time work after graduation.
@happy1 So you think that the few years in public accounting is worth it? I have heard from many individuals that public accounting is practically an absolute nightmare from how much hours you put in a week. A high concern of mine is salary so is this really the only way to achieve a higher than average pay?
Starting in public accounting is a HUGE boost for the rest of your career. I am a recruiter and we often have clients that are hiring CFOs or Controllers that absolutely want candidates that started in public accounting. Big 4 being even better!
In the beginning public accounting firm pay is can be lower and the hours are almost always greater as compared to private accounting. BUT if you put in a few years in public and get your CPA the long term benefits will be worth it.
If it means anything I follow the advice I’m giving here – I am a CPA and worked in a Big 8 (now Big 4) firm and stayed until I reached the manager level (and jumped off to a job I loved) and my S got his CPA license recently and is working at a Big 4 firm. IMO it is worthwhile to put in the time when you start your career to build credentials you will have for a lifetime.
But there are options and you have to decide the course you want to follow.
@ahsmuoh Thanks for the advice, pretty sure I’ll just go into public accounting @happy1, bit of a personal question, how much was your salary as a manager and has it improved since leaving, by a large or small amount?
I am not giving my historical salary information out on a blog (and I think it is inappropriate to ask personal information). Additionally as I noted above, I was at a public accounting firm years ago so numbers would not be relevant today.
If you start at a public accounting firm you will have to decide for yourself when is the appropriate time to jump into private accounting – the answer will not be the same for everyone
I agree with the others that starting in public and getting a CPA is optimal. However given your GPA and your college, you may not get into a Big 4 or other large public firm. I’d say to interview everywhere and see where your bet opportunity comes. If you end up with a choice between say Sony Pictures and a tiny local CPA firm, then private may be the best place to start. And if you work for a CPA doing certain type of work at a private company I believe it can count towards your experience for your CPA license.
Basically until you know your options there is no reason to decide now where to start your career.
Accounting is a great degree and you do not need a CPA to be successful. I graduated with an Accounting major and Computer Science minor and went into IT. I had to pay my dues at an entry level job, but after a couple years I got an IT management position running a financial system. Once I got the real world experience my Accounting degree separated me from other candidates. Would a CPA have helped? Only a little since the systems I have worked on focused on management reporting not public reporting. I think the two years I spend getting real IT experience was worth much more than the extra year of accounting courses and a year at an accounting firm.
I think a creative person that can perform Risk/Reward and Cost/Volume/Profit Analysis is a little unique. You should be able to use your accounting background to distinguish yourself in a creative position if you can get past the “bean counter” stigma. Be prepared to pay your dues and prove yourself.
As I said, Accounting is a great degree because you do so much with it. You can take the four year degree and make your own career path or choose the “expected” CPA / public firm path I chose the path less traveled.
PS, I got my CMA about 5 years after graduation and an MBA about 2 years later. Being the business guy in IT has worked for me.
I would highly recommend getting in your 150 hours and passing the CPA exam. Like said before it is a lifetime achievement award that will continue to help you throughout your career.
I worked two years public accounting, passed the exam, worked in private industry for five years and now have been employed by the government for the past 17 years. My CPA certification has helped me each step of the way.
@CaucAsianDad – While you do describe another career path that can be taken (which is always valuable information), I think your experience of not needing a CPA is atypical and is due to the fact that your career path has been in the IT arena. Any business background an IT person has is a big plus and someone in an IT department would not be expected to have a CPA. In contrast, I do believe that a person working his or her way up the ranks as an accountant would have a different experience and would find that having a CPA is a valuable credential.
I agree with Happy1. In the accounting field, having a CPA license enhances one’s career, especially mobility upward for high level jobs such as directors or controllers. I work in a Fortune 100 company and one cannot be a director or controller without a CPA license. Also, my Company likes CPAs with Big 4/Big 8 experience. In the finance area, having a CPA also helps. In finance, sometimes having a CPA is just as good as having a MBA from a top 25 school. Many finance jobs require a MBA.
The CPA also allows you to practice in public accounting, whether working for someone or a firm or your own CPA practice.
The public accounting experience at the entry/lower levels for new accounting graduate is valuable. You can get your feet wet in many areas such as audit/accounting (which includes many areas such as SEC reporting, cost accounting, many industries), tax, consulting, etc. and then decide on a career path. Also, you can branch out into finance or other areas that works with analyzing numbers.
In the IT area, if you work with accounting systems (i.e., SAP), accounting knowledge is very valuable. You don’t need to be a CPA.
Overall, in the accounting or finance area, you can still have a rewarding career without a CPA. However, the CPA helps enhance an accounting, finance or related career.
I’ll stick with my usual advice that most people are very well served taking a couple years to earn their CPA license at the start of their career.
CPA vs. CMA is apples and oranges. CPA is a state license that grants the holder certain privileges (signing tax returns, signing financial statements, representing clients before the IRS, etc.)
CMA demonstrates knowledge in a subject area (one I happen to find very difficult), but doesn’t entitle the holder to “do” anything per se. That’s not to say it is not a respected, useful and possibly required designation (CFA, CFP and many others are in the same category).
That said, after 25+ years in public accounting, I do know some people who have been very successful without having a CPA, but they tend to have some other specialized knowledge (former state sales tax auditors and the likes).
As to what is the best career path for the original poster, I have no clue.
You say you’re a “people person”. That sounds like the Audit route. I’m social myself, and never even vaguely considered accounting until I found out about Financial Consulting, via an Audit route. In audit, you’re not sitting at a desk all day, every day, staring at a computer screen, where your only human interaction is during breaks or an update from your boss. So you may even like a certain field within accounting.
I would say you should absolutely NOT work in any field you don’t want to. I’d rather work at a minimum wage job I liked, than make six figures at job I can’t stand. Being in a crappy job will absolutely drain the life out of you. It’s not worth it, especially when there are usually alternatives that pay a decent wage and you’ll actually enjoy.
Before I dropped accounting, I’d make sure there isn’t some niche within the field that I liked. If there really isn’t, well, it’s best to learn now. Keep in mind, most people don’t even have college degrees. So you’re ahead of the pack, regardless. And at worst if you don’t work in accounting or even general business, you’ll be in the same boat as most people with a history or psychology degree. Then it becomes time to find whatever it is that you really want to do. I would not stick with whatever my major is for the rest of my life. Your degree should be opening doors, not shackling you to the wall.
Yes it is, that is why I shared it. The OP is suggesting he does not want a typical accounting career either.
For me it was better to start in the career I wanted and pay my dues there versus take a fifth year, study for a rigorous exam and send a couple of years at in a career I didn’t want to be in just for a label. (A valuable one, but not one I would use).
The OP has had two internships and thinks"I simply feel that maybe it is not the best option for me." Then don’t do it! Don’t invest 2+ more years in a career you don’t enjoy and plan to leave. I think it would be better for the OP to make his career change now, start at the bottom to get experience while leveraging his accounting skills, and hopefully in 2 years he will be established in a career he enjoys.
@QatJack Have you looked into Project Management? It seems the PMs I have worked with struggled with the Budgeting/Financial aspects. Having basic accounting knowledge and analytical thinking skills would be useful in that field.
Since I work in IT, that is my reference. Business Analyst is usually an entry level job in IT, especially if you have an Accounting degree. It is easy to move up from that position if you are good. Believe it or not there are IT positions that require creativity and people skills.
The company I work for hires decreed accountants (non CPA) directly from college into IT Auditing and Compliance positions. Not a very creative position though.
@GoingConcern I have not taken an auditing class therefore I cannot really say that I like it or not. But if it includes being outgoing then I could maybe see myself joining such a position. @CaucAsianDad I haven’t looked into Project Management. Seems like an interesting path that may be right up my alley by the way you describe it.