CPA vs Accountant

The words ‘accountant’ and ‘CPA’ are at times used as synonyms; there are, however, unmistakable distinctions. This article discusses the distinction between an accountant and a CPA pertaining to roles, education, and career progression, as well as salaries, to recommend the best course of action for you, including a detailed analysis of CPA vs Accountant.

Who is an Accountant?

Definition & Qualifications

An accountant is a business professional responsible for preparing, analysing, and maintaining financial documents. An accounting degree is often required to become an accountant. Most receive an accounting degree online due to its affordability and flexibility.

While a CPA is an accountant, not all accountants are CPAs. The distinction is education, certification, and authority.

Common Roles & Responsibilities

• Preparing financial statements
• Managing budgets and ledgers
• Conducting audits (internal)
• Ensuring compliance with tax laws
• Assisting in day-to-day financial operations

Skills Required

In order to succeed as an accountant, the essential skills are:

• Strong numerical ability
• Attention to detail
• Proficiency in accounting software
• Knowledge of financial regulations
• Analytical thinking

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Who is a CPA (Certified Public Accountant)?

Definition & Licensing Requirements

A professional who has qualified by successfully passing the CPA exam and by satisfying state education and experience requirements is a CPA (Certified Public Accountant). If you are asking yourself, “What is CPA?”, then you realise that it’s an internationally recognised credential of advanced-level accounting knowledge and high character.

In order to obtain a CPA degree, candidates are usually required to complete 150 hours of education, pass the Uniform CPA Exam, and meet practical experience requirements.

Specialised Roles & Responsibilities

Unlike general accountants, CPAs can:

• File reports with the SEC (in the U.S.)
• Represent clients before the IRS
• Conduct external audits
• Offer advanced tax planning and consulting
• Sign and certify financial statements

Skills & Expertise of CPAs

In addition to basic accounting skills, CPAs bring:

• In-depth knowledge of tax codes and financial law
• Expertise in forensic accounting and auditing
• Strategic financial advisory capabilities
• A strong ethical and regulatory understanding

What Are the Key Differences Between a CPA and an Accountant?

Education & Certification Requirements

• Accountant: Typically has a bachelor’s degree in accounting. They often decide on an accounting degree online due to affordability and flexibility. No licence is required.
• CPA: An additional education (usually 150 credit hours), passing the CPA Exam, and licensure by the state. This is where the CPA degree fits.

One of the key differences between cpa and an accountant is formal licensing and certification.

Scope of Work & Specialisations

• Accountants manage day-to-day financial work such as bookkeeping, reporting, and internal auditing.
• CPAs can perform all accounting duties plus complex services like external audits, SEC reporting, and legal representation.

The public accountant vs CPA argument most often centres on the breadth and thoroughness of services provided.

Legal Authority & Representation Rights

• Accountants cannot legally represent clients before the IRS or sign audit reports.
• CPAs are legally qualified to do these activities and are regulated by state boards.

This legal distinction is the biggest contributor towards CPA vs accountant career choices.

Career Growth & Global Recognition

• CPAs are promoted faster, especially at Big 4 firms, MNCs, and advisory firms.
• Their qualification is recognised worldwide and has value across borders.

A non-CPA accountant will have flat potential for growth and limited powers at high-level positions.

Salary & Earning Potential

• On average, CPAs earn 15–30% more than accountants without certification.
• In America, the average salary of a CPA is USD 85,000–100,000. Presently, the average salary of general accountants is USD 60,000–75,
• CPAs in India are paid anywhere between ₹8–20+ LPA, depending upon the job and experience, while average accountants earn ₹4–10 LPA.

Is an accountant better than a CPA from a pay standpoint? Yes, industry-wide and geography-wise, CPAs earn more money and have higher potential bonuses.

What Career Opportunities Exist for CPAs vs Accountants?

Job Roles for Accountants

• Bookkeeper
• Accounts Payable/Receivable Officer
• Internal Auditor
• Payroll Specialist
• Financial Analyst (junior roles)
• Tax Assistant

These roles are often ideal for accounting degree online graduates or traditional bachelor’s degree recipients.

Job Roles for CPAs

• External Auditor
• Forensic Accountant
• Tax Consultant
• Controller
• Chief Financial Officer (CFO)
• Finance Director
• International Tax Advisor

These jobs demand or recommend a CPA qualification and present superior growth opportunities.

Industry Demand & Future Outlook

• Accountants are always required for operational finance tasks.
• CPAs are becoming more sought after because of the complexity of regulations, cross-border taxes, and financial risk management.

Greater focus on transparency and global compliance is bringing the gap between terms such as CPA vs accountant to the forefront while deciding.

Which Path Should You Choose?

When to Become an Accountant

• If you like a secure career in finance despite not choosing a broad-based certification
• If you’d like to start early and gain experience
• If your goal is to help businesses that already have established internal finance functions

This is ideal for those comparing the choices of entry-level spots or an accounting degree online that includes job placement.

When to Pursue CPA

• If you aim for leadership positions in finance
• If you are interested in auditing, tax strategy, or international roles
• If you’d like to work at Big 4 accounting firms, large international companies, or begin your public practice

Certification as a CPA provides credibility and flexibility for your career.

Long-Term Career Considerations

• Developing additional opportunities globally and within specialist fields.
• Though becoming a CPA is money- and time-consuming, the payoff in the long run is greatly increased.
• Accountants can also become CPAs by meeting eligibility requirements and passing exams; many do after gaining a few years of experience.

Can an accountant become a CPA? Yes, and many do, at least as they seek to move beyond mundane accounting.

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Conclusion

Choosing between an accountant and a CPA is conditional upon your career goals, test preparation, and long-term vision. While both hold extremely fundamental positions in finance, the debate between CPA vs accountant boils down to one aspect: specialisation and credibility. A CPA offers higher legal status, salaries, and global opportunities. 

Getting an accounting degree online as an initial step and learning from experience by becoming an accountant first is also a smart move. Whether you start small or choose high from the very start, getting a public accountant vs CPA comparison or exploring a CPA course is the first step of building a bright financial career.

FAQs on CPA vs Accountant

What is the main difference between a CPA and an Accountant?

A CPA is licensed to perform an audit as a certified public accountant, who represents taxpayers against tax authorities and provides professional financial services. Only CPAs are qualified to undertake such tasks.

Is a CPA better than an Accountant in terms of salary?

Indeed, CPAs normally receive much higher pay because of their certification, statutory mandate, and professional expertise.

Can an Accountant become a CPA?

Yes. Upon acquiring the appropriate education and passing the CPA exam, any accountant will be able to acquire a CPA licence.

Do all accountants need to be CPAs?

None. Relatively few accounting careers require the CPA certification, but holding one substantially enhances career prospects.

Which has better global career opportunities: CPA or Accountant?

CPAs also tend to experience higher levels of international recognition and employment around the world, especially by multinational firms and governing regimes.

Current Role

Co-founder and Executive Director at Zell Education

Education

• Chartered Accountant (CA) from The Institute of Chartered Accountants of India (2010 – 2015)
• Company Secretary (CS) from The Institute of Company Secretaries of India (2011 – 2013)
• Bachelor in Financial Markets, Finance, General from H.R. College Of Commerce & Economics (2010 – 2013)

Location

Mumbai, India

Expertise

CA Certified, CS Certified