John Tahan asked:


Logically, the first step in becoming a CPA is to have a desire to go into accounting. The next step is to ensure that you have the aptitude to be a CPA; that is, you must have an aptitude for math and numbers, as well as organization. A CPA candidate should also have a good sense of moral values and business ethics.

Once you have determined that you are a good candidate for an accounting career, you need to determine if becoming a CPA is the right accounting career for you. To do this, you must understand what a CPA does. A CPA can be employed individually or within a public accounting firm in tax or audit services. A CPA is, of course, a public accountant. That means that the CPA provides services on a fee basis, basically meaning that the CPA works for the public in general rather than a specific corporation or company. This can translate into variety in your CPA career.

CPAs make an average of $36,625 per year as a starting salary within local firms. Within national firms, a CPA can have a starting salary of around $44,375 per year. These figures may not seem fantastic, but for starting salaries they are very competitive. A CPA can easily start out making enough money to be considered middle-class income level, which is not a bad place to start in today’s society.
Once you have decided that you want to become a CPA, you must attend a college or university to obtain a Bachelor’s Degree in Accounting. All states within the United States of America have a Board of Accountancy or similar department or agency that lays down the requirements for an accountant to become a certified CPA. These requirements will tell you how many credit hours of your education must be in accounting related courses in order to become a CPA.

Once you have completed your degree, the Board of Accountancy will want you to undergo testing to see if you can become a certified CPA. This testing may include ethics examinations as well as examinations to test your knowledge of generally accepted accounting principles, accounting laws, and accounting regulations for your state, as well as tax law and principles.

Once you have passed all CPA examinations, some Boards of Accountancy may require you to provide them with references. These references should be people that can attest to your work ethic and moral character. These aspects of a CPA are very important, because CPAs have a lot of opportunity to commit fraud and embezzlement crimes. Therefore, only CPAs who have demonstrated good moral character and a sense of ethics is allowed to receive a CPA license.

Once all requirements are met, your state will issue you a license to practice as a CPA. You can then take this license to any firm and apply for a position as a CPA. If you prefer, you could start your own small firm and practice as a CPA alone. For more information about becoming a CPA, you should contact your Board of Accountancy or local college or university today!



LINCOLN

Tony Jacowski asked:


Although becoming a CPA is not a cakewalk, it pays to know what it really takes to become a CPA.

College Education and Training in the Formative Years

The way to the big job always takes years of preparation. A bachelor’s degree from your university or college in accounting or any related line of expertise is the first step. Using the job demands of entry-level positions in Federal and several State governments as a reference, a 4-year college degree is the norm; this includes 24 semester hours of auditing or accounting. But it is not entirely surprising to see some employers deciding to hire candidates with a combination they consider equivalent to the above, in education and a number of years of work experience.

To practice as in independent auditor or a tax consultant or investment advisor, one needs to have two mandatory things.

1.Certification from American Institute of Certified Public Accountants, AICPA
2.License from your State Board Of Accountancy

The Core Structure of CPA

Since early last year, 42 states along with the District of Columbia have adopted the recommendations of AICPA. CPA candidates are required by the new recommendations to complete 150 hrs of semester course work- that is an additional 30 hrs after the usual four years college graduation. The rest of the states, barring a few, follow a similar certification procedure by enactment of their own law to the effect.

The accounting curriculum varies slightly from state to state. Following the AICPA recommendations, colleges and universities have altered their course syllabi for master’s degree candidates to include the 150 credit hours of mandatory studies. Aspiring candidates would do well to check the exact requirements and the curricula applicable in their states.

The CPA examination is a rigorous 2-day, 4 part Uniform CPA Examination prepared by AICPA. Many states allow you to pass the 4-part exam in separate parts. You can take the examination in centers around the country.

Passing the Exams Is Not All

To succeed as a CPA, one must be capable of handling multiple responsibilities as dictated by business and market forces. For example, businesses are demanding expert advice from CPAs on matters as varied as tax planning, auditing, investment analysis, HR analysis, scrutinizing financial embezzlement and organized crime. Although there are recent restrictions on any one single CPA advising the same organization on multiple issues, a private CPA can advise different clients on various issues. There are no such restrictions on internal auditors.

Anyone planning to pursue a career as a CPA must have strong analytical abilities and an aptitude for mathematics. One should be able to critically analyze data, draw comparisons and interpret figures quickly and infer accurately from the resulting figures in order that decision making is expedited. Skills in computers, stock analysis, and knowledge of micro and macroeconomics and interpersonal skills all help.



EDGAR

Lee K asked:


I’m an accountant and I never balance my checkbook and most of the other accountants I know don’t do it either. I’ve had enough numbers by the end of the day.

PETER

Mike asked:


CPA network is generally an affiliate network as well.

There are many types of affiliate networks and the more common ones are ClickBank and Commission Junction.

FYI: An affiliate network is a company who helps advertisers to recruit people and pay a commission fee to sell their products or services.

1. Stricter Regulation but Lucrative

CPA network are very low-profile due to its stricter registration rules towards affiliates.

However if you get to enter one, you can be sure that it can be very lucrative as some of the online big players often take part in a CPA network.

2. CPA work closely with clients and affiliates

They work very closely with their clients and affiliates unlike most common affiliate networks. If you are performing well as a affiliate, you can be sure that the company will do their best to retain you.

Due to this close relationship, they often attract big name advertisers as CPA companies are very result-orientated.

3. What does CPA means

The term CPA means Cost-Per-Action or Cost per Acquisition.

You earn money when your lead (the visitor whom you send to their page) takes a desired action.

This are simple actions such as providing the advertisers with personal info(email address, phone number, zipcode) and sometimes a sale.

Please note that the advertisers will indicate earlier the type of action that warrant payment.

Ask anyone who generate sales before and they will tell you its not easy to ask your buyers to part with their cash.

4. Main attraction of CPA Network

The attraction about CPA Network is they will pay you even when your lead doesnt make a purchase. In fact, they will often offer gifts or discount vouchers in exchange for their contacts. This make conversion a lot easier when the visitor gets rewarded for a simple action.

As such, it is very attractive for affiliates to take part as most of the pre-sell work has been taken over by the advertisers .

However take note that a lot of CPA Network are very strict when recruiting affiliates because of all the frauds. You might need alot of convincing on your part using your online sales experience and your sincerity.



DARREL

Mitch asked:


I’m an accountant and planning to go to South Korea to find a better job. And I have this information that right now, South Korea is only up to production and factory workers. I just want to know if I got other options when it comes to working there aside from entering as a factory/production worker. pls. help. should i just apply to these type of jobs even if its not my line of work? and is it okay to work there?

ALI

Ron Piner, CPA asked:


Practical financial advice is what we all should desire. The WWRD series is designed to provide real life circumstances along with real life, practical solutions, to these circumstances. Here is the first set of circumstances in the WWRD series.

Suppose there is a middle income family with two children. Husband and wife both work and make contributions to their respective 401K plans. Their goal is to begin saving for the college education of their two lovely daughters. One of the daughters is quite smart; the other is very athletic and is good at every sport she attempts. Father recently got a raise in compensation at work and is thinking of what to do with the extra money. The family does have some savings outside of the retirement plan but would like to have more in case of an emergency. What would be your advice to this family in order for their financial goals to be met?

The first order of business is to identify all of the issues at hand. This family is saving for retirement for the parents, it is taking care of children, it is building a portfolio outside of the retirement plan (more attention should be given to this area), and the family is deciding how best to provide for the education of its children. Does this study case sound familiar to anyone? Before I get started on the solution to this situation, I would like to first mention life insurance. Is there enough protection against one ore both of the parents passing away? There should be enough insurance to provide for income replacement if both parents pass. This could mean having each parent purchase significant life insurance to protect family assets. A rule of thumb might be to assume a 6% return on investments and then calculate how much insurance will be needed to generate the same income provided by each working parent. For example, if one parent makes $120,000 per year, $2,000,000 in coverage will be needed to provide for income replacement. This insurance, in my view, can be obtained through a term policy that would expire at some point after the kids are projected to graduate college, say at age 24. Remember, life insurance is a hedge against living and there is coverage that is needed. We do not want to get more coverage than we actually need. Enough said on this portion of the discussion.

Let’s get back to our case study involving this family’s desire to provide for a college education. I will bet that many of you are already saying that the solution is simple, just get a 529 plan. I am going to stop you here and ask that you think of this investment strategy. Putting money into a 529 plan will be similar to you putting money into a retirement plan. The investment strategy will be the same. The contributions made will have a given purpose and will be invested with a strategy that will protect this interest. Doesn’t this sound like the 401K? It sure does to me. Let’s remember that this family wants to build on its emergency funds. In addition, it’s important to consider that the kids may not want to go to school, could get a scholarship of some sort, or could make some other arrangement to fund college. Mom and Dad should consider building the emergency funds needed and building a portfolio outside of the retirement plan. Tax exempt bonds and large cap stocks can be used in addition to savings to build the emergency fund and increase the portfolio. The argument many will make is that the 529 plan grow tax free. This is true. I will submit to you that a portfolio can grow outside of the 529 on a tax free basis if one knows how to master capital gains and losses netting (see my article on capital gains and losses as well as portfolio management). If this is done effectively, the portfolio can be built to accommodate all needs. It can build for education, it can provide for retirement, and it can be used for most anything. A variety of investments will be available outside of the 529 plan. These investments will take advantage of income tax attributes available to one’s portfolio (capital losses, suspended passive losses) and if managed properly, can gain similar tax free growth like the 529 plan.

As always, it is important to be flexible when managing a portfolio inside and outside of the retirement plan. The 529 can make perfect sense in the right set of facts and circumstances. If one is very wealthy, or the grandparents want to get involved in saving for college, the 529 plan could be the perfect venue. Match a financial strategy with the facts and circumstances that you have.

Ron Piner, CPA

Host of “Better Business”

Saturday Mornings at 10ET

ON WBIS AM 1190

www.wbis1190.com

www.mwibonline.com



GUY

Kay asked:


I know there is an audit and a tax accountant, but are there any other types of accountants?

CONRAD

Gray Rollins asked:


A certified public accountant (CPA) is a professional individual who works on their own or is a part of an accounting firm. A certified public accountant (CPA) is generally in charge of monitoring and keeping track of the financial records of an individual or business. Each year millions of Americans wonder if they should hire an certified public accountant (CPA). Why hire a CPA is a question that many individuals ask themselves.

There are many individuals and business owners who are not organized. Being unorganized can make it virtually impossible for an individual or business owner to accurately keep track of all of their finances. This is why many individuals make the decision to hire a certified public accountant (CPA). Another reason why many individuals or business owners may hire a certified public accountant (CPA) is because they do not have enough time to keep track of financial records on their own. Another reason is because the majority of certified public accountants (CPAs) are trained and experienced professionals.

To become a certified public accountant (CPA) individuals need to meet certain requirements that are imposed by the American Institute of Certified Public Accountants (AICPA). These qualifications typically include around one hundred and fifty college hours that are applied towards an accounting program. A certified public accountant (CPA) also is required to pass a CPA exam that is developed by the American Institute of Certified Public Accountants (AICPA). There are some states that require an individual be certified or have a particular amount of work experience before operating an accounting business; however, not all states have these requirements. With all of the training and experience that a certified public account must have it is evident that they are more experienced in the flied of accounting. Although it is not guaranteed a certified public accountant (CPA) is likely to produce better results than a traditional accountant.

A large number of individuals hire the services of an accountant all year round to make sure that their finances are in order. Although most accountants are hired on a long-term basis there are accountants that are only hired to professionally prepare tax returns. When being trained in the area of accounting a certified public accountant (CPA) also learns how to complete multiple federal and state tax returns. Why hire a CPA to do your taxes? The answer is because many certified public accountants know how to get their clients the maximize number of tax deductions and they also how know to accurately organize receipts and other document verifications for those tax deductions. http://www.taxhelpdirectory.com/taxdeduction

When hiring a certified public account (CPA) many individuals or business owners are encouraged to determine the amount of experience or qualifications that an accountant has. When searching for a certified public accountant many individuals and business owners prefer to work with a local accountant. Many individuals feel that working with an local accountant is easier should something unexpected arise; however, there are many accountants that work for a successful accounting firm or operate their own personal accounting business nationwide. Each individual or business owner will have to make their own decision as to which type of certified personal accountant (CPA) they wish to hire.

Why hire a CPA? The answer is simple because it is an easy to way to have your financial records in order or your tax returns professionally completed. The majority of certified public accountants guarantee their work; therefore, there really isn’t any reason why a certified public accountant (CPA) should not be hired. Instead of spending hours reviewing and sorting through your finances you should pick up your local phone or use the internet to at least schedule a consultation appointment with a certified public accountant (CPA) to see if hiring one is right for you and your situation.



MERRILL

Bladez asked:


I was thinking about becoming an accountant but I want to make quite a bit of money too…

STEVE