CMA vs. CPA

[GoofyforDisney3]

I don't normally post on the Community Board, but I have been looking for some info/opinions about the difference between a CMA (Certified Management Accountant) and a CPA.

Does anyone know if the CMA is really a benefit to you when it comes to your career? I am currently working as a staff accountant in private industry and am debating my options. I don't think I want to work in a firm and I am pretty sure I have no desire to be an auditor, so would it really be necessary to have a CPA when working in private industry? I have never worked in a firm and do not know what it really would be like. I just know that it appears that all new associates are automatically put on audit assignements and the hours from January to April are brutal. What is it really like to be in a medium size firm?

In order to do the CPA I need another 14 credit hours to meet the 150 hour rule and am having a hard time justifying the time and money involved to get the additional hours for something that may not be more of a benefit than the CMA would be.

Any opinions are appreciated!

 

[cc1013]

Hi GoofyforDisney3

Do you see yourself staying in the accounting industry for a long time? Are you considering other areas like corporate finance? I think knowing that might help answer your question.

 

[GoofyforDisney3]

I do want to stay in accounting. I love what I do, but would like to do more than just g/l accounting. I would like to go more towards cost, budget, etc.

I guess at this point, without knowing what to expect if I went to a firm (instead of staying in private industry), it is a hard decision for me to make. I know some people that say they tried to go to private industry and didn't like it as much as being at a firm. But, then I have heard the opposite also.

 

[emilymad]

I think you really need to decide what sector you want to work in in the future. The people I have known who like public like it because the schedule can be very flexible. ie, you need to audit xyz company by a certain time but it doesn't matter if you get there at 8 am or 10 am. Most of the people I have known work for very large firms though. If you want to stay in private I am not sure it would matter as much. I feel that companies around here want you to have the work experience over anything else. A CPA would never be a negative though. I am an accountant with zero desire for a CPA so what do I know

 

[M 'n C]

I would start with a CPA and then move on to the other certifications. Most companies when hiring (whether private, public, large or small) will ask and hire based on if you are a CPA or CPA eligible (meaning you are willing or are in the process of obtaining one) based on my experiences.

I work at a Big 4. I have put in my time and am in my hopefully final year before I jump into industry. From what I've seen if you want something above a g/l accountant you need to have public experience and you need a CPA or are in process and have been passing the parts.

I honestly don't hear many people talking about obtaining their CMA in accounting positions. I can't even tell you what you have to do to get one. I had a few professors in college with that designation as well as every other one so we just chalked it up to those wanting to have an alphabet soup behind their name -> CPA, CFA, CIA, CMA, JD (kid you not I had some professors like this).

 

[GoofyforDisney3]

I am an accountant with zero desire for a CPA so what do I know

I know what you mean. When I started school, I was in the mind set that I wanted to have my CPA and work in a firm, blah, blah, blah. But, about 1/2 way thru, I started to change my mind about the firm thing because I was getting nothing buy horror stories about hours and always being in audit. Now, I am working in private industry and really am starting to question wether I need a CPA or not. I know very few people that I work with have it and I do not see them being a better accountant than I am. But, then when I look at job openings and what is being required, they always have CPA desired listed.

What about the CMA, do you know anything about that? I wonder if it is worth the time and effort to study and take this test. I mentioned it to a couple people and they all kind of turned there nose up and said, well it isn't a CPA.

 

[M 'n C]

I know what you mean. When I started school, I was in the mind set that I wanted to have my CPA and work in a firm, blah, blah, blah. But, about 1/2 way thru, I started to change my mind about the firm thing because I was getting nothing buy horror stories about hours and always being in audit. Now, I am working in private industry and really am starting to question wether I need a CPA or not. I know very few people that I work with have it and I do not see them being a better accountant than I am. But, then when I look at job openings and what is being required, they always have CPA desired listed.

What about the CMA, do you know anything about that? I wonder if it is worth the time and effort to study and take this test. I mentioned it to a couple people and they all kind of turned there nose up and said, well it isn't a CPA.

Ok I just asked my bf who is also an auditor and knows a tad more about certifications than I do. Basically a CMA is a lesser certification than a CPA and companies would take a CPA over a CMA when hiring (which you said was alluded to you when you have already asked around). You also apparently don't have to take all the parts of the CMA if you already have your CPA so it sounds like it is a complementary certification to the CPA. Not sure if that helps you at all.

 

[GoofyforDisney3]

I would start with a CPA and then move on to the other certifications. Most companies when hiring (whether private, public, large or small) will ask and hire based on if you are a CPA or CPA eligible (meaning you are willing or are in the process of obtaining one) based on my experiences.

I work at a Big 4. I have put in my time and am in my hopefully final year before I jump into industry. From what I've seen if you want something above a g/l accountant you need to have public experience and you need a CPA or are in process and have been passing the parts.

I honestly don't hear many people talking about obtaining their CMA in accounting positions. I can't even tell you what you have to do to get one. I had a few professors in college with that designation as well as every other one so we just chalked it up to those wanting to have an alphabet soup behind their name -> CPA, CFA, CIA, CMA, JD (kid you not I had some professors like this).

I had a few professors like that to.

Do you do audit? I am not totally against being at a firm, but I really do not want to do audit work. Unless there is something that I am missing, it just doesn't not sound appealing to me. Maybe I just don't know what it is really like. What are hours like at a firm? I'm not opposed to working more than 40 hours a week occasionally, I just don't know that I can pull 60,70,and 80 hour weeks for months on end. Is there a time period when you absolutely can not take time off (other than tax season)? Are you restricted to not being able to take any time during the beginning of the month? I think I need someone to tell me the good, the bad and the ugly of working at a firm.

 

[M 'n C]

Both of us are auditors (we actually met at our first training). We tend to work 45 hour weeks during the fall and spring and 40ish hours during the summer. Busy season depends on your client - normally mandatory 55 hour weeks which can stretch up or down depending on what's going on. I worked 15-18 hour days last busy season (Jan-Feb only) because my client closed a $2+ billion deal late in the year and didn't give us numbers unil Feb 15th and we had to file on Feb 28th. That is not the norm though.

At large firms busy season tends to run Jan - Feb only and then March - may are small stand alone audits that don't require much work and therefore less hours. Quarter work is also usually 1 or 2 weeks top but we usually work 10 hour days and no weekends during the quarters and most of my friends do the same. Tax season though is different as there are quarterly deadlines and such. I find Tax to be dull and horrid so I stayed away (probably due to bad professors in school).

Medium (regional) to smaller (local) firms will vary though. The biggest perk is they pay overtime but at the same time they usually have much smaller clients than your big 4 firms so its a trade off because you won't see as much in the smaller firms. It really just depends on what you want to see and get out of your accounting/auditing experience. After this year the only thing I can say that I haven't experienced is bankruptcy. My client has IPO'd, offered debt, offered equity, bought small companies, merged with large companies, filed 8-ks with the SEC, formed joint ventures with other companies.

One last thing to consider about the small firms is that they can make you/force you to do both audit and tax rotations instead of letting you do one or another and that helps them cover all the busy seasons without having to increase their staffing but also means increased overtime/busy seasons for you.

 

[GoofyforDisney3]

Thanks, M 'n C! I appreciate all of the information. I actually liked tax in school, but didn't enjoy my auditing class. So, that may be why I am so sure I wouldn't like audit work.

 

[M 'n C]

Well feel free to pm me anytime and I can try and tell you everything that I've experienced/heard.

So from what I'm guessing you have just 1 semester left to graduate but more like 2 semesters if you want to be CPA eligible? If you don't mind me asking is this your first degree or second degree?