Recent grads dish on 150 hours, CPA licensure
December 13, 2023 | Corey Butler
Much has been written about the challenges facing the accounting profession with respect to staffing and having enough quality staff to complete the ever-increasing workload.
It’s with these concerns that, in the 2023 legislative session, with support and advocacy from the MNCPA board, the MNCPA introduced bills in Minnesota to broaden the pathways to CPA licensure.
In addition to keeping the current standard of 150-hour college credit and one year of work experience requirements to become licensed, the proposed legislation allows for candidates with 120 college credits and two years of work experience to become licensed. This would offer an option that doesn’t require an additional 30 college credits — and the associated cost — as a barrier and allowing people to potentially enter the workforce a year earlier and start to earn money and experience.
It’s imperative the profession address the pipeline and introduce additional pathways to the CPA credential. It’s well-documented our country is experiencing a tremendous shift in the workforce:
- More than 10,000 baby boomers are now reaching the “retirement” age of 65 every day.
- More people, of all ages and experiences levels, are transitioning careers more frequently.
- Fewer high school graduates are pursuing higher ed and, thus, fewer candidates are entering accounting and earning the CPA credential.
- There are more career options now than ever, so it’s harder to stand out among the choices.
- Birthrates have been in decline for more than a decade, according to demographers, increasing the competition for future workers.
None of these issues are unique to the accounting profession, but the challenge is somewhat more pronounced given the requirements tied to earning the CPA credential.
So, with that in mind, I reached out to recent and current students from two Minnesota universities to see how they view the accounting profession, the requirements around accreditation and how those experiences and perceptions weighed into their professional choices.
The six people I connected with attended or are attending Concordia University, St. Paul or Minnesota State University, Mankato. Some of the comments were edited for clarity and length.
Is the CPA credential in their future?
- Four are CPAs.
- One has completed two parts of the CPA exam.
- One is planning to pursue the CPA.
Key comments:
- “I do plan to become a CPA. Most of the people that I work with in my department (outsourced and managed services) are not CPAs unless they transferred from a different department, but I do see the value in becoming one. If you look at accounting job advertisements, whether the job is in industry or public accounting, most of them require or prefer a CPA license to work there. Also, with a CPA license, I will have more opportunities to work in departments like tax or audit.” — Audrey Kamps, a senior at Minnesota State University, Mankato
- “I have been a CPA for about a year and a half. I chose to pursue it because I felt like getting the certification would be helpful to my career, and that once I became a CPA, I’d be one for life. I also felt that getting it quickly after graduating would set me apart in the early stages of my career and pay for itself.” — Luke Benson, 2018 graduate of Concordia University, St. Paul
- “I have passed two CPA exams and plan to complete the others before next summer. I believe that a CPA license is important and it will help me achieve my future goals. It will also help me become more knowledgeable in areas I normally don't work with.” — Maleia Ryberg, pursuing a master’s degree at Minnesota State University, Mankato
Do you think the 30 additional college credits provide value?
- Three said yes if used to increase knowledge in accounting.
- Two said no.
- One said yes, but only if it helps the student have a more well-rounded education.
Key comments:
- “I do not. It seems like [proponents of 150 credits] want the people who sit for the exam to be working through a master’s degree of some sort, but if that’s what they want, why not make that a requirement? As it stands now, the 30 extra credits have no real stipulation if you’ve graduated with a degree and taken the required classes in audit, tax, cost accounting and advanced accounting. It seems pointless to me, just an arbitrary barrier to entry. After graduating, I went back to a community college and took some online classes to get credits, which weren’t particularly valuable.” — Benson
- “Yes, I think there has to be a differentiating factor for this profession.” — Nathan Lee, undergraduate and graduate degrees from Minnesota State University, Mankato
- “No, not really. The only reason I think the extra 30 credits is worth it is because other states require it. It would be a bummer to move states and no longer be CPA eligible. I don’t necessarily think an extra 30 credits makes you more ready for the exam either because most people take easy “filler” courses to meet that requirement. Although, if you take accounting classes to fill those extra credits, there could be an argument that it adds value.” — Samantha Tramp, undergraduate and graduate degrees from Minnesota State University, Mankato
What requirements do you think there should be to become a CPA?
- “I think a bachelor's degree in accounting should be required, as well as required on-the-job training or work hours. I had an internship over the summer that taught me things and gave me experience with real-life situations that I would not have had just through my education. “ — Kamps
- “I wouldn’t change any of the requirements. There are different ways to set individuals up for success to pass the CPA. For example, talking more about the exams in school and the recent increase the time to pass all four exams before one expires.” — Crystal Sander, Concordia University, St. Paul
- “The specific accounting coursework requirements are fine and should be enough with a bachelor’s degree. I don’t think the additional credits should be necessary. The tests are hard enough to keep the certification selective.” — Benson
- “The most important thing is real-life experience. I think if you have an undergraduate degree in business (accounting or finance) and have at least two years of real-life experience, then you should be able to be a CPA once you pass the exams.” — Tramp
Learn more about this CPA pathways initiative
Do you want to learn more about this effort? You can keep up with the evolving conversation by visiting the MNCPA’s webpage about the broadening pathways to CPA licensure initiative.
VISIT CPA PATHWAYS PAGE
Topics: Legislative & Government Affairs, Regulation, Staffing, Professional Certification, Succession, Government, Education
Corey Butler
Corey Butler is the MNCPA communications manager, working to enhance the professional reputations of members through content, media relations and public affairs. He's been with the MNCPA since 2013. Corey keeps busy outside of the MNCPA spending time with his wife and children, serving on his local school board, volunteering in his community and catching up on long-lost hobbies. Corey enjoys the works of John Steinbeck and Rankin/Bass Productions, and Paul Bunyan, Robin Hood and Santa Claus lore. You may reach him at 952-885-5530 or cbutler@mncpa.org.
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