GeekGirlGeorgia

[Snaggletooth]

Dozens of posts on the EA thread from the planted question, so I'll start one just for the question asked by Old Jack - why not pass the exam and become a CPA?

A few years ago I was on an accounting assignment in Atlanta working for Wachovia in their VISA section (by the way, there is a staggering set of 40 different revenue accounts associated with VISA but that's a different topic). During this time I had occasion to talk with other accountants in Georgia.

Just so the CPA can be assured of adequate exposure to the public, the Georgia Board of Accountancy has deemed it necessary that a CPA work under the license of an established CPA prior to receiving his/her certificate. Folks, exposure to the public is NOT the game -- rather the existing CPAs are assured of a fresh pool of talented young men and women who must work five years, often at $7-$8 an hour, in order to become a
CPA. Internship carried to the greediest degree.

The outlook for a career as a CPA is different than 30 years ago. You could hang out a shingle in your home town and be assured of a busy auditing life with a captive clientele due to bank references and SEC requirements. At that time the attest function consisted of auditing only. Hang out a shingle today to services businesses in your town? The local restaurants have been replaced by Wendy's and Taco Bell. The gift shops and hardware stores? They're gone - you now have WalMart and Home Depot. Instead of handsome-paying audits, now you have some reviews and lots of compilations. Colleges used to teach auditing by dragging the student through an audit at a mid-size manufacturing firm. That plant has now moved to Borneo. To this modern-day spectre you must now starve for five years working for another CPA.

Today's young people sharp enough to pass the exam will still be in demand. Good minds and hard workers are always in demand, and the young CPA of today still has a bright future. Instead of auditing local firms, there is need for a wealth of expertise in accounting software development and other corporate areas such as actuarial calculating and enterprise solutions. But today there are more reasons than ever before why a taxlady from Georgia chooses not to pursue a CPA.

States are different, but I'm afraid the Georgia model is in place for many other states. Tennessee is not that bad but is headed in that direction. Controversial post? Maybe. Flail away...

[dyne]

Cpa

More than thirty years ago I talked to a tax preparer in a nearyby town who was about to
retire. He advised me that he was a CPA but had never advertized it or hung out his shingle
because he believed it would cause him to perform work he did not desire. He may have
advertized the fact that he was a CPA before he moved to this small town. He was already wealthy from simply preparing tax returns and performing some accounting work. Shortly afterwards he sold his business to a friend of mine who also prospered for about ten years until he died of a heart attack. He never became a CPA.

[OldJack]

Some of what you say may be true, but not in all states. I think you are looking at the past for the most part. However, it is a myth to think that a local CPA's business is only auditing or even primarily auditing. Only the national firms do the big audits. The average local CPA is in the business of small business consulting and small business taxes with only a minor preparation of executive personal 1040 taxes. CPA's in big cities are usually not interested in preparing easy 1040 tax returns for walk-ins, or the average worker, as the CPA's price is not competitive with store-front tax preparers sometimes using lesser qualified personnel. CPA's in smaller communities are definitely in the business to compete with the store-front preparers.

True... it is most difficult to obtain a CPA certificate and license in most, if not all, states and it is intended to be that way. The rewards are usually worth the effort. Those thinking about it should go for it. What do you have to lose except the exam fee and your time.

...

[Snaggletooth]

Resurrect

I'm going to resurrect this old thread by posting. The GeekGirl is back after somewhat of a hiatus, and I started this one just for her...

[geekgirldany]

I'm going to resurrect this old thread by posting. The GeekGirl is back after somewhat of a hiatus, and I started this one just for her...

Why thank you so much Nice to be back after being thrown a curve with all these extensions. I didn't expect to get so many new customers during extension time. The past few years have been quiet.

You know I can really see why there is a 5 year internship. Like you said exposure to public accounting in all aspects. Or so you hope. But I still would not do a 5 year internship. Even if I could turn back time to do it. Things have worked out so well for me. I spent 6 years working for a man that had over 35 years experience in tax preparation and accounting. I learned so much. I went to college and got my accounting degree while working for him. He semi-retired and I started my own business. That will be 7 years in May 2007 that I have been in business for myself. I've got 13 years experience in accounting/tax preparation under my belt. I am pretty proud and very blessed at age 32 to have accomplished this much. To bad there isn't a lifetime learning credit the state of georgia could give you so you could just take the CPA test and not do the five years

I was talking just the other day to a friend that has a accounting business. She has a fellow working for her that got his CPA. She said that he had to drive all the way down to Atlanta everyday to get his auditing part of the 5 years completed. She then said he paid several thousands hiring a tutor in order to pass the test. He failed and had to retake it. But he has his CPA now... had to go through alot to get it though. Like I said I respect folks that go through all that.

Now if I can just get my EA this spring I think this will help me to reassure my clients when they ask me if I am CPA. You know most of my customers have taken me to be a CPA for some reason even though I of course never said I was.

[Joe Btfsplk]

Getting CPA license

A CPA license is a good thing to have, but the amount of studying you have to do could well be a deterrant. I didn't take the CPA test until I had been out of college over 15 years. I had to start studying almost like I was going back thru college on a self-study basis.
I wanted to change jobs and thought a CPA license would help. I got the new job before I got the CPA license, and for years it was of no particular value to me. Then I took early retirement and began preparing taxes and working as a consultant to oil and gas companies. The consulting work dried up, and I got tired of the travel. The tax work and other accounting work was probably easier for me to get because I had the CPA license.

While many non-CPA know a lot more about taxes than I do, the public perception is, "IF you are so good, why aren't you a CPA?" There are many potenital clients who wouldn't go to any non-CPA. Of course there are other clients who would never go to a CPA because they think he would charge too much.

My bottom line view is that if anyone could go and pass the CPA test and meet other requirements without spending the time it took me, they should get the license. IF it is going to be a time-consuming and difficult job getting it, then you need to think it over and it may not be worth it.

[Unregistered]

The CPA license, or EA credentials, like many things in life (money, owning a home, having a college degree) doesn't mean anything unless you don't have it.