What is a CPA?
Certified Public Accountant
CPA stands for Certified Public Accountant, although the term is much narrower than the role many CPAs fulfill. Certified Professional Advisor, as a leading CPA once proposed, is probably more apropos. Because of stringent requirements for education, experience and testing, most CPAs do indeed live up to the higher level of respect they enjoy compared to other professionals, as research tells us. Their keen ability to analyze data, record it, interpret and compare it, make them a critical ally in many if not most important business and personal financial decisions.
CPA's are trusted and relied upon by both businesses and individuals because of their extensive training and experience in areas such as, objectivity, analytical ability and decision-making. They are professionals widely recognized and trusted because of their dedication to servicing their clients with the highest level of integrity.
A professional who meets the following requirements:
- Completed a program of study in accounting at a college or university.
- Passes the CPA Examination administered by the State.
- Obtains a certain amount of professional work experience in public accounting - this is required in most states.
How Does a Certified Public Accountant (CPA) Differ From an Accountant?
- Higher level of knowledge and experience with serving clients.
- Greater experience with issues involving independence and objectivity.
- Deeper understanding of matters which are not traditionally in the domain of accounting, such as personal financial planning and information technology consulting, but which are related to accounting and serving clients.
- Credentials - a CPA is a licensed by the State and has met the experience, educational and testing requirements to become a CPA and has continued to maintain the ongoing educational requirements.
- More experience working with other professionals such as attorneys, brokers, agents, etc.