CPA vs. Accountant: Which Should You Become?

Many people use the terms CPA and accountants interchangeably, but they aren’t the same. While all CPAs are accountants, not all accountants are CPAs.

Knowing the difference between a CPA and an accountant is important as demand grows for qualified professionals in the field. The accounting profession is facing a massive worker shortfall, with looming CPA retirements following years of dwindling accounting graduates, according to The CPA Journal.

So, understanding whether you need a CPA designation — or if just being an accountant will do — could have a big impact on your career path.

Learn more about what steps you need to take to become a CPA, what benefits the certification can lead to, and how that may or may not align with your career goals.

A Certified Public Accountant (CPA) isn’t a job title but rather a professional license that qualifies someone to provide accounting services to the public.

To become a CPA, you must earn a bachelor’s degree with at least 150 hours of college credit, obtain a certain amount of work experience, and pass the CPA Exam. The timing of how many credits you must complete before being allowed to take the exam varies by state, however, so long as you eventually pass the 150 credit threshold before becoming fully certified.

There are certain tasks that only CPAs can legally do while non-licensed accountants cannot. For example, CPAs — and CPA firms — can conduct external audits, sign off on financial documents submitted to the Securities and Exchange Commission (SEC), and represent individuals or companies in front of the Internal Revenue Service (IRS) during disputes or audits.

Not every accounting role requires that you have a CPA license to qualify. However, employers sometimes look for candidates who have it to ensure they’re hiring an experienced professional who can tackle a broader range of accounting responsibilities.

Colin Smith, certified public accountant and financial reporting consultant, notes that while many tasks overlap between CPAs and accountants, CPAs are often expected to apply a higher level of critical thinking in their work.

“CPAs are not only tasked with ensuring that amounts are calculated correctly, but that they’re in compliance with applicable accounting rules and regulations,” says Smith. “In many cases, CPAs often hold managerial and supervisory positions while accountants often hold contributor roles.”

Accountants work in virtually every industry and sector helping companies and individuals manage their finances and stay in compliance with regulations.

Their responsibilities can vary widely depending on their specific role, but some common tasks include helping individuals with tax preparation and conducting internal audits to ensure companies are in compliance with local, state, and federal financial rules.

An accountant may also handle other day-to-day responsibilities, such as preparing financial statements, managing budgets, or analyzing financial data to help businesses make decisions.

You don’t need a CPA certification to do the core work of an accountant. Financial reporting, tax preparation, advising, and planning are all within the scope of an accountant’s job, even without a CPA license.

All CPAs are accountants, but not all accountants are CPAs. A CPA is a professional license rather than a specific job title, and this distinction creates some key differences between the two.

The certification process is the main difference between CPAs and accountants. CPAs have to meet rigorous requirements set by their respective state’s licensing board to earn that licensure. Accountants, on the other hand, are not required to hold a license to practice.

To become a CPA, you need to meet several state-specific requirements, including 150 hours of college coursework. You typically only need to complete around 120 hours to earn your bachelor’s degree, so you’ll have to take on additional electives or consider doing a minor.

Most states also require 1-2 years of work experience under the supervision of a licensed CPA.

Additionally, you need to pass the Uniform CPA Exam, which consists of four sections that go into auditing, regulations, and other business concepts.

There are other professional certifications that you can get besides a CPA, such as Certified Internal Auditor (CIA) — but having a CPA license can expedite requirements for those certifications.

Accountants with and without a CPA, for the most part, have many of the same job responsibilities.

Both can help people and businesses with tax preparation and financial reporting, internal auditing, budget management, and other financial tasks regardless.

There are, however, a few key tasks that are specific for CPAs. “CPAs can sign audit opinion letters, represent clients before the IRS, and prepare and certify reports submitted to the Securities and Exchange Commission,” says Smith.

He also points out that non-CPA accountants typically cannot hold managerial positions at CPA firms.

Both non-licensed accountants and CPAs can work as financial analysts, tax accountants, internal auditors, and other related roles. However, becoming a CPA can help you stand out from the crowd in your job search.

According to the Bureau of Labor Statistics (BLS), being a CPA can improve job prospects. Additionally, some employers may consider whether you have a CPA license or not when deciding if you should be promoted to leadership positions.

Keep in mind that work experience is key to your career growth regardless of whether you earn a CPA certification or not, and pay tends to scale with experience. Building up work experience can even help non-CPA accountants get to senior positions within the profession.

According to January 2025 Payscale data, CPAs earn an average annual salary of $79,994, while accountants as a general group earn an average annual salary of $58,546.

According to the BLS, however, accountants and auditors as a general group — including those without certification — earn a median annual salary of $79,880 as of May 2023.

Keep in mind that earning a CPA license, while generally tied to higher earnings, isn’t a guarantee of higher pay. Your personal skills, experience, location, and employer will all influence your earnings.

If you’re willing to take on the rigorous educational, work experience, and exam requirements, earning a CPA license can pay off in the long run. It can open doors to higher earning potential and broader job opportunities.

It can also qualify you for specialized tasks, like representing clients before the IRS, which non-licensed accountants can’t legally do.

That said, it doesn’t have to be all or nothing from the start. You can begin your career in the accounting profession and pursue your CPA licensure down the road when you’re ready.