How to Become an Accountant?

If you have the passion to play with numbers and calculations, then as an Accountant you get your chance to do exactly that, play with large numbers and fix the puzzles associated with it.

As an accountant, you should specialize in financial record-keeping, analyzing data, ensuring financial transparency, and financial management.

The career is highly rewarding, offers high job satisfaction and stability, and is in high demand as well. Since every business across industries has to have Accountants for effective financial management.

Considering these facts, your choice of becoming an accountant is laudable. But you must have been wondering, how to become one, or are curious about the various information around the career.

To help you out, we have this article, discussing about the accountant career, their work environment, salary, job prospects, responsibilities, pros and cons of the career, and importantly – how can you become one, even without a degree.

So, without wasting a sec, let’s dive in –

What is an Accountant?

In simple words – the one who does accounting is the accountant. They are the financial professionals responsible for examining, preparing, and reporting financial records for businesses or individuals.

An accountant plays a crucial role in helping individuals, businesses, organizations, and government entities manage their financial affairs effectively.

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They may also specialize in areas like Forensic accounting, Management accounting, or Cost accounting, depending on their career goals and interests.

Overall, accountants play a crucial role in ensuring financial transparency, compliance, and effective financial management.

Work Environment

They may work in any financial organization to create financial records and determine their financial health.

• For Government
• Non-Profits
• Large and Small Businesses
• Startups
• For Individuals   

Earning Potential

As per BLS 2022 data, the average annual salary of Accountants is $86,740 with an average Hourly wage of $ 41.70.  

While the highest 10% of top Accountants earn upwards of $132,690 and higher. This surge is due to several factors like experience, expertise, education, and such.

If you are just starting out, you can expect somewhere between $60,920 to $78,000, as your annual average salary.

This also depends on your education qualification – bachelor’s or master’s, expertise, GPA, internships, externships, etc.

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Earnings with the Degree Levels

The salary data of accountants with respective degree levels, 2021 data.

With higher degrees

Bachelor’s Degree – Average Annual Salary: $72,000

Master’s Degree – Average Annual Salary: $73,000

With Certifications

CPA – Average Annual Salary: $89,000

CMA – Average Annual Salary: $94,000

Top-Paying States for Accountants, BLS 2022 Data

Here is a list of 5 highest paying states for accountants –

District of Columbia – Average Annual Salary: $110,750

New York – Average Annual Salary: $110,320

New Jersey – Average Annual Salary: $102,040

California – Average Annual Salary: $96,210

Massachusetts – Average Annual Salary: $95,830

Job Outlook

As per the BLS, the projected employment growth rate for accountants and auditors is 6% for this decade. This means that there will be almost 136,400 job openings every year.

Irrespective of the size of the business and across industries, they require accounting professionals since it is a fundamental aspect of every business, so accountants are in demand across industries.

Besides that, with the surge of the start-up culture and the businesses going public, the demand is sure to boom for public accountants to manage financial affairs effectively.

Read More:

-> Is an Accounting Degree Worth it?

-> Requirements for Accounting Degree

-> How Long Does It Take to Get an Accounting Degree? 

What do they do? Roles and Responsibilities

They play a crucial role in helping individuals, businesses, organizations, and government entities manage their financial affairs effectively. Here’s a breakdown of what accountants typically do:

Financial Recording

They are responsible for recording financial transactions, such as sales, purchases, payroll, and expenses. They ensure accurate and consistent documentation of all financial data.

Financial Analysis

They analyze financial data to assess the financial health and performance of an individual or organization. They use various financial ratios and tools to identify trends, strengths, weaknesses, and opportunities for improvement.

Financial Reporting

They are responsible for preparing financial statements, such as income statements, balance sheets, and cash flow statements. These provide a detailed outlook of a business’s financial performance. 

Taxation

They specialize in tax accounting, helping individuals and businesses comply with tax laws and regulations. They prepare tax returns, calculate tax liabilities, and advise on tax planning to minimize tax obligations.

Budgeting and Forecasting

They assist in the budgeting process by helping organizations set financial goals, create budgets, and monitor actual financial performance against the budgeted figures. They also provide help in the financial decision-making of a business.

Compliance

They ensure that financial records and transactions adhere to relevant laws and regulations, including Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS).

Audit and Assurance

Some accountants work in audit and assurance services. They examine financial statements and internal controls to ensure accuracy and compliance with accounting standards and regulations.

These professionals may work for public accounting firms or within internal audit departments of organizations.

Financial Advisory

Some accountants offer financial advisory services, helping clients make informed financial decisions. They may provide advice on investment strategies, risk management, retirement planning, and more.

How to Become an Accountant

If you aspire to start a career as an accountant you first need to get hold of a Bachelor’s degree in accounting. Then, you can proceed accordingly to get your first job, and then advance your career with experience and education.

We are going to discuss, exactly all of that, in this step-by-step guide –

Step 1 – Research Schools and Gain Admission to Bachelor’s Program

To start with, research the schools that provide the best BA or BS degree in accounting, depending on your career goals, location, tuition costs, and any other personal preferences.

Your choice of school would have different admission requirements, so review it closely.

Now, fill in the application, submit it with all the required details, and attach the required materials.

Also, if you want to get certified, then there is an integrated bachelor’s program, that will prepare you for a CPA certification.

Step 2 – Complete the Coursework

A bachelor’s degree has 120 credits and takes around 4 years to complete for full-time students. Now, you might need to complete the assignments, and clear all the semester exams to demonstrate your understanding of the subject and be eligible to acquire the final exam.

Step 3 – Get the Degree 

So, considering you have successfully passed the exam, you get your bachelor’s degree. Considering your program choice, you will receive a BS, BA, BBA, or BAcc degree in accounting.

Know More -> Bachelor’s Degree in Accounting

Now, the part that you need to read attentively. After all, the skill of an accountant is paying a close eye.

Step 4 – Consider Internships or Externships and try to Network

Post-completion of the program or during it, if you get some hands-on experience opportunity, you should try it.

Also, if you find some part-time jobs or volunteer opportunities related to accounting, enroll in it. Practical experience can greatly enhance your resume and provide you with real-world exposure to accounting practices.

Building a professional network by attending career fairs, and accounting conferences, and joining student accounting organizations can help you connect with potential employers.

Step 5 – Craft a Strong Resume

Create a well-structured resume that highlights your education, relevant coursework, internships, and any other accounting-related experience or skills. Tailor your resume to the specific role you’re applying for.

Step 6 – Apply for Entry-Level Positions

Start your job search by applying for entry-level accounting positions such as staff accountant, junior accountant, or accounting clerk. You may also get some mid-level roles.

These roles are typically suitable for recent graduates. Don’t worry, your career will grow with each passing day.

Step 7 – Consider Certifications

Depending on your career goals, you may want to pursue professional certifications such as the Certified Public Accountant (CPA) or Certified Management Accountant (CMA). These certifications can help you with more career opportunities and increase your earning potential.

Overall, you must know that any profession requires some time for growth and the profession demands upskilling considering the AI and software that ease business day-to-day accounting tasks. 

Good Luck! 

How Long Does it Take to Become an Accountant?

To become an Accountant, you need to first get a bachelor’s degree in accounting. Post that you can apply for the jobs and if you get it, you become an accountant.

However, the course duration of a bachelor’s degree in accounting also depends on the format of your education. Traditional full-time enrolment takes around 4 years to complete, or it might even take 5 years.

Online courses take around 2 years to complete if you put in extra effort and dedicate full time. If not, it would also take around 4 years to complete.

So, considering the graduate time to be 4 years, let’s move ahead. In most cases, you’ll get entry-level positions post-baccalaureate. In such cases, you might require an additional 2 to 3 years to become an accountant.

Overall, the total years required to become an Accountant would vary between 5 to 7 years. Also, other factors might boost the chances like, a master’s degree, or CPA licensure.

How to Become an Accountant without a Degree?

There are some great ways to kickstart a career in accounting without going the traditional four-year degree route. First off, many institutions have Certification exams and Training programs, that can give you the skills you need for entry-level accounting roles.

The course duration for such certifications or training programs is between 1 to 2 years. These are undergraduate and graduate certificate programs in accounting that require shorter time commitment and the coursework is focused on accounting alone.

The certificate programs are offered in concentrations like – bookkeeping, public accounting, and auditing.

If you go after the undergraduate certificate, you can become a bookkeeper. But if you opt for graduate certificate programs, then you can specialize your career path as an accountant.

Besides that, there is another cool option to consider – apprenticeships or internships with well-respected firms. These hands-on opportunities let you learn the ropes from seasoned pros, which is super valuable.

So, if you need a career in accounting, there are pathways to an accounting career that don’t involve a four-year degree.

But you should know that these jobs might not pay as much as roles that demand a degree, but they can still offer job security and opportunity to enhance your career.

Read More:

-> Finance vs. Accounting Degree

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List of Jobs with salary data in Accounting That Don’t Require a degree

Here is a list of jobs in Accounting that don’t require a degree –

Bookkeeper – Annual average salary: $45,560

Accounting Clerk – Annual average salary: $44,465

Payroll Clerk – Annual average salary: $47,390

Tax Preparer – Annual average salary: $55,840

Accounts Receivable / Payable Specialists – Annual average salary: $56,880

Audit Associate – Annual average salary: $68,198

Pros and Cons of being an Accountant

As previously discussed, being an accountant can be a rewarding career, but like any profession, it comes with its own set of advantages and disadvantages.

Here are some of the key advantages and disadvantages of being an accountant:

Pros of Being an Accountant

Let’s explore the pros of being an accountant –

Job Stability and Prospect

Accountants are always in demand. Every organization, from small businesses to large corporations, requires accounting services, and this ensures a relatively stable job market.

As per the BLS, the projected employment growth rate for accountants and auditors is 6% for this decade. This means that there will be almost 136,400 job openings every year.

Irrespective of the size of the business and across industries, they require accounting professionals since it is a fundamental aspect of every business, so accountants are in demand across industries.

Earning potential

Accounting can offer competitive salaries and good earning potential, especially as you gain experience and advance in your career.

As per BLS 2022 data, the average annual salary of Accountants is $86,740 with an average Hourly wage of $ 41.70.  

While the highest 10% of top Accountants earn upwards of $132,690 and higher. This surge is due to several factors like experience, expertise, education, and such.

If you are just starting out, you can expect somewhere between $60,920 to $78,000, as your annual average salary.

Diverse and Flexible Career Opportunities

Accountants have a wide range of career paths to choose from, including tax accounting, auditing, forensic accounting, management accounting, and more.

Accountants often have the flexibility to work in different industries, including finance, healthcare, government, and non-profits, allowing them to explore their interests.

Some accountants have the option to work independently as consultants or freelancers, giving them greater control over their work and schedule.

Certification Opportunities

Pursuing professional certifications like the Certified Public Accountant (CPA) or Certified Management Accountant (CMA) can open up new career opportunities and increase earning potential.

Cons of Being an Accountant 

Let’s explore the cons of being an accountant –

Long Hours with Monotonous Tasks

During certain times of the year, such as tax season or financial reporting deadlines, accountants may be required to work for long hours, including evenings and weekends.

These aspects of accounting work can be repetitive and involve data entry and number crunching. While the clients could be different, the task is the same. This may not appeal to everyone.

High Stress Levels

Meeting deadlines and ensuring accuracy in financial reporting can be stressful, especially in roles like auditing or tax accounting.

Also, to maintain the accounting standards and tax laws that are subject to frequent changes, accountants must engage in continuous learning to stay up-to-date.

Client or Employer Pressures

Accountants may face pressure from clients or employers to achieve certain financial results, which can lead to ethical dilemmas.

Desk Job

Much of the work in accounting is desk-based, which may not suit those who prefer more active or varied work environments.

FAQs – Accountant

How much do Accountants get paid?

As per BLS 2022 data, the average annual salary of Accountants is $86,740 with an average Hourly wage of $ 41.70.  

While the highest 10% of top Accountants earn upwards of $132,690 and higher. This surge is due to several factors like experience, expertise, education, and such. 

If you are just starting out, you can expect somewhere between $60,920 to $78,000, as your annual average salary.

But, these types of profession’s earnings are based on their client’s status as well. For instance, if you are a top accountant and you have those high-ticket clients, you could even earn $500,000 a year. Yes, some accountants are earning much more than that, as well.

Is an Accountant a CPA?

No, they both are not the same.

To become an accountant a bachelor’s degree might suffice, but to become a CPA, you need 150 college credits, so a master’s is necessary.

Also, the pay gap is very huge. An accountant earns around $86,740 per year, but a CPA can make between $90,000 to $150,000 per year.

What percentage of Accountants are Males?

Fascinatingly, most of the accountants are females.

Yes, there are around 1,099,751 accountants who are working in the USA. Out of those a whopping 61.8% are women, while only 38.2% accountants are men.

Can I become an Accountant with an Online Degree?

Yes, you can.

For that, you need to get an online bachelor’s degree in accounting. This degree will equip you with a strong foundation in accounting principles, financial analysis, taxation, and business ethics. Most of the online programs offer a BS in accounting.

The course duration for most of the programs ranges between 2 to 4 years. The course credits are the same, 120 credits. But there is a big price difference, where you only need to invest around $15,820 to $31,640.

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