Accounting professionals are held in high respect by everybody. People who master the CPA exam are well-recognized in accounting and commerce. There are CPAs anywhere when there is a trade involving money. They deal with small firms, government organizations, and IT departments, and some of them are even CFOs of large companies. To become a Certified Public Accountant (CPA), individuals should first meet the criteria of their respective state. Here’s how to pass the California Board of Accountancy (CBA) exam and be a CPA in California.
If an individual would like to become a CPA in California, they don’t have to be a California resident or a US citizen. In addition to that, you may be of any age. When applying for a license, one needs either a Social Security number or an Individual Taxpayer Identification Number. On top of having to clear all 4 parts of the state CPA exam, California has specific academic, professional, and ethical criteria.
CPA educational requirements
Students must complete at least 150 credit hours of undergraduate coursework, culminating in a bachelor’s degree. These 150 hours should include 24 hours of accountancy, 24 hours of business studies, 20 hours of bookkeeping study, and 10 units of ethical codes.
In a period of 24 hours, one must complete the following:
- Financial Reporting – External or Internal
- Financial Statement Analysis
If one-course descriptions do not include those precise phrases, the following are equally acceptable under California Board’s framework:
- Assurance, etc.
To apply for a full license, individuals must pass the CPA test. The American Institute of Certified Public Accountants (AICPA) offers this four-part test.
- Financial Accounting and Reporting
- Auditing and Attestation
- Business Environment and Concepts
All of the parts of the course may be taken independently and over a long period of time, which allows students to begin preparing for each part specifically. Many individuals will have to carry out the test, so they must take their time.
The CBA also demands that individuals have valid work experience in order to be fully licensed as a CPA. This means one must have at least a full year’s worth of experience in the following areas: accounting and auditing, taxation, financial advice, consultation, and many more. Individuals with proper skills and expertise may work in any firm that is private or public.
An official Certificate of General Experience (CGE) document signed by the supervisor is required by the Board. There are different formats for public accounting and private accounting, respectively.
CPA in California: How much does it cost?
To obtain a CPA license in California, one will have to spend a variety of fees, including the following: Two types exist: examination and licensing fees. To take all four parts of the CPA test in California, one has to pay $585 plus a $250 application fee. The registration fees for re-examinations vary based on the number of parts. This includes the $120 yearly renewal charge. The overall cost of obtaining a California CPA license California is $585.
In a nutshell, here is a detailed account on the California CPA exam and its requirements for the year 2021.