What Are the Best Accounting Certifications for 2020 and Beyond?

When most people think of accounting certifications, they usually think of two of the most popular and well-known: the Certified Public Accountant (CPA) and the Certified Financial Analyst (CFA). The truth is that there are several credentials that should be considered for gaining skills and expertise in specific areas.

What follows is a list of alternative certifications you can earn. This list is not comprehensive, but it will serve as a start. When you take the Best CPA Exam Prep, you will discover more.

Certified Public Accountant (CPA)

Accountants who choose a career in public accounting would do well to select earning a CPA certification. There are additional benefits included, such as specialization in the areas of financial services, management accounting, taxation, and auditing.

To earn a CPA license, certain requirements must be met. These are:

·        Education

·        Exam

·        Experience

Most states reciprocate in the licensing requirements of another, but the state board of accountancy should be contacted for their individual standards.

Chartered Financial Analyst (CFA)

The CFA certification is another credential that is highly sought after and well-respected. This certificate attests to the ability of a holder in the areas of financial planning, investment analysis, and portfolio management.

To become a CFA, a person must pass a three-level exam, the pass rate of which varies. About half of those who take the exam pass, broken down by 43 percent for level one, 45 percent for level two, and 56 percent for level three. In addition to passing the exam, those who earn the CFA charter must complete four years of qualified work experience.

Chartered Global Management Accountant (CGMA)

The CGMA is a relatively new certification, created by the American Institute of Certified Public Accountants (AICPA). As its name implies, the emphasis of the CGMA certification is on formulating business strategy based on non-financial information to improve planning and business outcomes.

The CGMA certification requires three years of specialized work experience as well as a computerized test that measures their management accounting abilities.

Certified Management Accountant (CMA)

The CMA certification is offered by the Institute of Management Accountants. To earn a CMA certification, a person must hold a bachelor’s degree from an accredited college and complete two years of continuous work in the management accounting or financial management field.

Certified Fraud Examiner (CFE)

Those who hold a CFE certificate are anti-fraud professionals. Those who sit for the CFE exam must study the Fraud Examiner’s Manual, a 2,000-page guide that teaches procedures that examiners use to detect fraud. The exam encompasses four main areas:

·        Financial transactions and fraud schemes

·        Fraud prevention and deterrence

·        Investigation

·        Law

To be considered to take the CFE exam, a detailed list of your education and work experience as well as recommendations from three individuals must be submitted.

Certified Internal Auditor (CIA)

Anyone who plans to make internal auditing a career would be well advised to earn a CIA certificate, which requires a combination of education and work experience.

For those with a master’s degree, a minimum of 12 months of related experience is required. Someone with a bachelor’s degree must have 24 months of experience. Those who don’t have a degree must have at least 60 months of experience in the field of internal auditing.

Which is Best for You?

In most cases, you can’t go wrong with a CPA license. Not only because it is highly respected, but it is also all-encompassing. The CPA license will get you a job ibn any number of areas. In fact, almost any type of business has CPAs on staff. If you plan to specialize, however, another certification can’t hurt, and will probably help.