Question

How different is it to be a CPA in Uk than being a CPA in USA?

I want the similarities and differences

Answer 1

HI There,

Here is my answer to the question asked.

Becoming a Chartered Accountant in the UK :

ACCA (Association of Chartered Certified Accountants) is a leading accountancy body recognised globally. With over 500,000 members (41,000 of which are based in China), and students learning in 170 countries, the qualifications you gain from studying with ACCA will give you the right to practice in many locations. Registering interest with ACCA is a straight-forward process, though becoming a fully-certified member only occurs once you have qualified.

It can take up to four years to qualify through ACCA to become a chartered accountant; there are 14 required modules and exams to pass. Students who have relevant accountancy qualifications from university (such as those who have completed Queen's University Belfast, International Year One in Accounting) will have earned exemptions from some of the modules required, potentially reducing the length of study time required by more than 50% (in some cases, students will only need to take the five professional modules set by ACCA). Exemptions are both course and university-specific; ACCA has set up a simple exemptions calculator on their site so students can see what they are able to apply for before registering for ACCA.

ACCA offers three ways to study for their courses; self-study, online, and through approved learning partners. The organisation is focused on helping their students to pass the courses, and provides access to support through their website. ACCA organise four examination cycles per year at over 170 centres around the world, and students can take up to four papers per session (fundamental papers must be taken in numerical order), though it is recommended by the association that a maximum of four papers are taken in any six-month period.

Though ACCA is recognised in most countries, unfortunately, their qualifications are not recognised in the US, and there is no reciprocal agreement that will entitle someone who has ACCA qualifications to automatically qualify for licensed CPA status.

Becoming a CPA in the US :

Overseen by the AICPA (American Institute of Certified Public Accountants), CPA (Certified Public Accountant) qualifications in the US are more locally focused, with each US state setting their own examinations and specifying qualifying requirements for an individual wishing to become a licensed CPA. The academic entry requirements to become a CPA are higher than those required by ACCA; any student who wishes to become a CPA must either be in their final year of an accountancy-related degree, or have completed their four years of study (e.g. Undergraduate Pathway in Business study programs offered at Drew University, Oregon State University, and University of South Florida).

Every US state sets the requirements each student must meet for sitting their CPA examinations, and while the four CPA exams are the same in every state, the additional qualifications and experience needed to earn the CPA license can differ; there are no exemptions awarded to students who have studied accounting (or an accounting-related subject) to degree level. In Missouri, a student must be a state resident and have studied at a regionally accredited college or university (St Louis University is state accredited). State residency is also a requirement for obtaining a CPA License for those who wish to practice in West Virginia. In Alabama, anyone wishing to earn a CPA License it is necessary to be able to prove legal US citizenship.

In the US, studying to become a CPA can take from 18 months to two years after completion of a four-year degree, this usually includes taking the AICPA examinations, earning 30 further semester hours (the equivalent of a Master’s) studying a program which includes modules that the state list as required, and working between 1,800 and 2,080 hours under the supervision of a licensed and experienced CPA, some states also require students take an ethics paper.

Distinction between CPA in US and UK are :

Both ACCA vs CPA are popular choices in the market; let us discuss some of the major Difference Between ACCA and CPA:

• ACCA is an international degree and is valid across the globe. CPA, on the other hand, stands for Certified Management Accountants. CPA works for the Regulator of a business whereas ACCA is the Advance module of Finance.
• The work experience required for ACCA is 1-2 years whereas CPA requires 3 years. Both ACCA vs CPA degrees require a minimum qualification of graduation.
• ACCA is a 100 years old course whereas CPA was established in 1974 and the professionals who have passed the course have served more than 75000 organizations to date.

The basis Of Comparison Between ACCA vs CPA	CPA IN US	ACCA IN UK
Related to	The degree CPA represents for Certified Public Accountant and the course is granted by American Institute of Certified Public Accountants (AICPA). The candidates passing this course are entitled to Auditing, taxation, Management Accounting, Handling accounts, etc.	ACCA stands for Association of Certified Chartered Accountant, which is granted by Royal Charter and the Degree is awarded Association of Chartered Accountant. The roles which can be chosen by ACCA are Accounting, taxation, Auditing, and Finance.
Field of Work	The field of work is related to license to accounting services to the public. To maintain the law and procedure these specialized degree holders are required to guide individuals, Small and mid-size firms and MNCs, etc. Other than Auditing, taxation, etc a CPA can indulge themselves with other Field of finance like Finance Controlling, Accounting, Financial Analysis, etc.	The role of Work is related to inspection to accounting services to the public, private entities, etc. They need to pass the certifications before the inspection. Other than Auditing; taxation etc. ACCA can mark their presence globally across the Field of finance like Finance Controlling, Accounting, and Financial Analysis, etc. They deal with International Accounting Standards.
Tenure	The tenure of the course for 18 months.	The tenure of the course is 2-3 years.
Position	They are entitled to the rules and regulations of a company and compile with the Auditing and Taxation part. CPA also looks at the ethical part of the organization.	They are primarily delegated to implementing ethics in the workplace. The policies are framed by them on behalf of the management.
Experience required	Work experience is 1-2 years of licensed CPA along with a Graduation degree and 40 Hours of Continuing Education Degree.	Minimum criteria required are a Graduation degree with Works Experience of 3 years and has to complete three stages.

Conclusion : CPA VS ACCA

  In every form of business, Rules and regulations are required along with Finance and Accounts, taxations, Auditing. Thus to maintain Chartered Accountants are very high in demand keeping in mind of the role each Business house implements. The rules and regulations vary from country to country. Again the Accounting standards, Labor policies, Regulatory framework are different from each country. ACCA includes all the latest modules which are internationally required and the candidates passing ACCA are capable of doing each and every bit of work. The pulse business is ever-changing and with the implementation of technology, things are implementing faster, swifter and in a flexible way. Finance is the backbone and the blood of a business and any sort of the change in strategy gets reflected through Finance only. Thus to make sure the business runs smoothly ACCAvs CPA courses come in the picture for better visibility of businesses.