Accountants typically manage financial records to ensure accuracy and compliance with laws and regulations. They also help organizations and individuals make informed financial decisions. According to the US Bureau of Labor Statistics, employment of accountants and auditors is projected to grow 4% from 2022 to 2032, making this an in-demand job.
An accounting degree can pave the way to fulfilling your accounting career aspirations. An accounting degree is also a prerequisite for those aiming to take the Certified Public Accountant (CPA) exam, which is required for many advanced roles in the profession.
Let’s take a closer look at the benefits of having an accounting degree and what it takes.
What is an Accounting Major?
Earning a bachelor’s degree in accounting typically requires completing around 120 credit hours at an undergraduate institution, which usually takes about four years when enrolled full-time. Students generally declare their accounting major in their sophomore year and must complete prerequisite courses.
Types of Classes Required
While every school will have its own curriculum for accounting majors, here are some of the most common courses you’ll be expected to take:
- Financial Accounting: Teaches the principles of financial reporting and how to prepare financial statements. This is fundamental for any accounting role as it provides the basis for understanding an organization's financial health.
- Managerial Accounting: Focuses on internal processes and how to use accounting information for decision-making. This is primarily useful for accounting roles that involve budgeting and performance evaluation.
- Auditing: Covers the procedures used to examine financial records for accuracy and legal compliance. It’s essential knowledge for accountants who need to maintain the integrity of financial information.
- Tax Accounting: Introduces the principles of taxation and how to prepare tax returns.
- Accounting Information Systems: Explores the technology used to manage accounting data.
- Ethics in Accounting: Discusses the ethical standards and regulations in the accounting profession. This will be one of the key prerequisites for those wishing to take the CPA Exam.
Skills Learned as An Accounting Major
Earning an accounting degree equips students with a variety of hard and soft skills that are valuable not only in accounting but also in many other professions.
Hard Skills Learned:
- Tax law and liabilities
- How to prepare financial statements
- Managing costs and bookkeeping
- Government compliance
Soft Skills Learned:
- Critical thinking
- Strategic planning
- Time management
- Communication and teamwork
- Research and analysis
Do I Need a Master’s in Accounting?
Many professional accountants don’t necessarily need a master’s in accounting. However, in order to become a CPA, a master’s is required. You’ll need to complete your bachelor’s degree before getting a master’s.
5 Benefits of An Accounting Degree & Becoming an Accountant
If you’re thinking about becoming an accountant, it’s a good idea to pursue a degree. Here are five reasons why.
1. Job Security
Nearly every field needs accountants, so getting a degree and pursuing an accounting career gives you a measure of job security.
2. Competitive Salary
The average salary for accountants with a bachelor’s degree is $68,326 as of 2024. That bachelor’s degree is also necessary on your road to becoming a CPA, whose average salary is $91,980.
3. Specialization
Since so many industries need accountants, there are many specializations you can pursue. Here are just a few:
- Tax Accounting: Focuses on preparing tax returns and devising tax strategies. Tax accountants ensure compliance with tax laws and help clients minimize their tax liabilities.
- Forensic Accounting: Involves investigating financial discrepancies and fraud. Forensic accountants often work with legal teams to provide litigation support and expert testimony in court cases.
- Management Accounting: Concentrates on helping businesses make strategic decisions by analyzing their financial data. Management accountants create budgets, performance reports, and cost management strategies.
- Financial Accounting: Involves preparing financial statements and reports that reflect an organization's financial position.
- Auditing: Auditors examine financial records and processes for accuracy and compliance with regional, state, and national laws and regulations. Auditors also provide independent assessments of a company’s financial health and operational efficiency.
- Cost Accounting: Focuses on analyzing production costs and helping businesses manage and reduce expenses.
- Government Accounting: Involves managing financial records for government agencies. Government accountants ensure public funds are used efficiently and in compliance with laws and regulations.
4. Geographic Flexibility
Accountants don’t just work at corporate offices in big cities. Depending on their specialty and employer, they can work remotely from home or anywhere in the world where people need accountants.
5. Career Flexibility
Earning an accounting degree doesn’t necessarily mean you have to become an accountant. It’s also an excellent foundation for various business careers.
3 Potential Drawbacks of an Accounting Degree & Career
Earning an accounting degree and pursuing a career isn’t for everyone. Consider these three potential drawbacks before enrolling in a degree program.
1. Educational Demands
Those who choose to earn a master’s in accounting and become CPAs will face intense and rigorous demands in their studies and test prep. This includes extensive coursework in advanced accounting topics. Taking the CPA Exam will also require a demanding schedule for study and prep.
2. Monotony
The work of an accountant can sometimes feel repetitive and monotonous, particularly at the entry-level. Tasks such as bookkeeping, data entry, and reconciling accounts often involve little variation from day to day. This repetitiveness can make the job feel less stimulating for some individuals, especially those who thrive on variety and dynamic work environments.
Entry-level accountants typically handle the most basic of accounting tasks. These responsibilities are vital to their organization but can be perceived as mundane over time. However, as accountants gain experience and advance in their careers, they often take on more complex and varied duties.
3. Busy Season
Unlike the monotony of the rest of the year, tax season (January 1 to April 15) can require longer hours than usual for some accountants. Note that this mainly applies to tax accounting but can also affect other specialties.
Those who wish to avoid high-stress situations, even just for a few months of the year, might not find this a fulfilling career.
Potential Jobs in Accounting to Pursue After Graduation
Here are just a few jobs you can hope to get as an accountant with either a bachelor’s degree or as a CPA.
Jobs With a Bachelor’s Degree
1. Staff Accountant
Average Salary: Approximately $66,994 a year
Staff accountants assist in maintaining financial records, preparing reports, and reconciling accounts. They typically work under senior accountants or financial managers.
2. Internal Auditor
Average Salary: Around $76,185 annually
Internal auditors review an organization’s business procedures to ensure compliance with laws and statutes.
3. Financial Analyst
Average Salary: Approximately $88,111 annually
Financial analysts evaluate financial data, study economic trends, and provide investment recommendations. They help businesses make better, more informed financial decisions.
Jobs as a CPA
1. Auditor
Average Salary: Approximately $72,633 annually
Auditors review company accounts to ensure compliance with financial regulations and offer advice on risk mitigation strategies.
2. Tax Manager
Average Salary: Approximately $129,367 annually
Tax managers oversee tax reporting and compliance within organizations. They ensure adherence to tax laws, develop tax strategies, and manage tax teams.
3. Forensic Accountant
Average Salary: Approximately $85,177 annually
Forensic accountants investigate financial discrepancies and fraud. They analyze financial records and provide expert testimony in situations that require legal proceedings.
Let StraighterLine Help You On Your Accounting Degree Path
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