How Much Do Certified Public Accountants Make
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How Much Do Certified Public Accountants Make

Certified Public Accountants (CPAs) are highly sought after by companies in various fields and for a very good reason. A skilled accounts expert is required by nearly every corporation to compile the accounts and provide financial guidance. 

According to Indeed, the average annual salary of a CPA in the US is $81,696. CPAs are in high demand, which means they have better pay, job security, and constant career advancement. Though a CPA’s income is difficult to top, the attractive package does not come cheap. Accountants conduct various difficult tasks, including tax preparation, financial reporting, and auditing, among others, that necessitates a high level of financial and accounting knowledge.

Factors That Determine An Accountant’s Salary

Accounting salaries are determined by different criteria, including education, experience, geography, and industry. Listed below are the factors that affect an accountant’s salary:

Education

Not all accountants are CPAs, but all CPAs are accountants. To become a CPA, you’ll need a combination of education and experience, as well as the ability to pass the tough Uniform CPA exam. The minimum requirement in most states is a bachelor’s degree.

You must meet the required on-the-job work experience and ethical standards to be awarded a license. CPAs often have a higher level of education than their counterparts, so they earn more money. At the same time, companies recognize CPAs’ high standards and are ready to pay more for them.

While the typical CPA pay in the United States is roughly $80,000 per year, senior CPAs having more than 20 years of experience can expect to earn around $150,000 per year.

Experience

The salaries of CPAs vary based on how many years of experience they have, along with the location and size of the company and the professional’s experience level.

  • Entry-Level: $40,000 to $65,000
  • Junior-Level (1-3 years of experience): $52,000 to $87,000
  • Senior-Level (4-6 years of experience): $66,000 to $110,000

The Bottom Line

The differences in salaries by states are related to differences in the cost of living in different cities. A shortage of accountants in some states may increase demand, resulting in higher compensation for CPAs in particular states.

Are you interested in learning more about different trends in accounting? ULeadNet has many resources on various topics that you can explore. Visit our blog posts today to learn more!

Lon Blythe
CEO, Aside from being a white-hat hacker, Lon is a tech security analyst, cybersecurity professional, and a father of three. We’re not sure how he juggles all of that but the whole team agrees- he’s doing a fine job at it.

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