Accounting Degree

The earliest accounting records date back over 7,000 years, when early settlers in the Fertile Crescent began recording the growth of their crops and herds.  Methods have grown from the lines and dots carved in clay by ancient Babylonians, to the very complex practices used today, but the principle is the same. Accounting is the system of recording, analyzing and communicating the financial information and transactions of a business. Accountants create financial statements to describe the economic resources in a company’s holdings for two distinct groups.  Management accounting reports convey information to parties inside the business such as managers, employees and auditors.  Financial accounting provides information to interested parties outside the business such as shareholders, creditors, banks, financial analysts, economists and government agencies.  Accounting is considered “the language of business” as the information provided is the basis for most operating decisions in a company.  Learning how to become a CPA, or certified public accountant, would offer world-wide, life-long career opportunities, as accounting is an important part of any business venture, from the self-employed to the largest fortune 500 companies. 

Accounting Degree Description

There are many routes to take when it comes to accounting training.  An associate’s degree offers an educational fast-track into the field with a heavy emphasis on accounting courses, bypassing the unrelated content required for a bachelor’s degree.  Nevertheless, a bachelor degree is required for most entry-level and mid-level accounting jobs and offers a better chance for upward mobility.  Accounting training would be similar for both degree programs and would include accounting courses devoted to taxation, auditing, accounting technology, and management.  Students will also be expected to expand their computer skills and understanding of spreadsheets, databases and financial analysis packages.  Both an MBA and a MAcc (Master’s of Accounting) degree will offer greater accounting expertise and knowledge needed for how to become a CPA.  Accounting training will be more specified and accounting courses will include research, business valuation, cost management and consulting services.  For students who want to know how to become a CPA, start with a bachelor’s degree.  The certification requires 150 credit hours of accounting courses and passage of a four part exam that must be completed within an 18 month period. 

Accounting Careers

Accounting careers can be found in any job market and include jobs for those with as little education as an associate’s degree to high paying and in-demand positions for CPAs.  Lower level positions include accounts receivable clerks, accounting assistants, billing clerks, bookkeepers and payroll clerks and offer salaries in the $25,000-$35,000 per year range with plenty of room for advancement.  For employees with more advanced education positions include auditors, financial analysts, government accountants, management accountants, personal financial advisers, risk managers and underwriters.  According to the Bureau of Labor, starting salaries in 2009 for accountants with bachelor’s degrees averaged $48,993 and for those with master’s degrees averaged $49,786.  In 2008, the top ten percent of accountants averaged $102,380 annually. Accountants and auditors held 1.3 million jobs in 2008, with expected growth of 22 percent over the next decade, much faster than average. Those with professional certifications have the best prospects.