Earning a CPA or CMA Earns You More

There’s nothing easy about the CPA exam. It requires hours of study – 400 minimum is recommended – and even then, the passing rate for all four parts hovers right around the 50% mark.

calculator accounting - blog.jpg

Having the Certified Public Accounting credential does open the door to a wider range of accounting jobs, but even so, it’s not a prerequisite. So the temptation can be great to bypass the investment of both time and money.

Now, a study by the Institute of Management Accountants, shows that the effort put into earning a CPA or the Certified Management Accountant (CMA) designation – or both – pays off handsomely.

“Consistently, holding some type of certification has a positive impact on compensation,” the IMA found.

How big an impact? Big, according to a survey the IMA conducted. For young accountants under 30 the median pay is $65,500. Add a CMA certification and median pay jumps to $80,000. The CPA bump is nearly identical at $79,925. For those holding both a CPA and a CMA, median pay came in at $97,250.

With more experience, the dollar differential is even more substantial. Median pay for a mid-career accountant without either a CMA or CPA is $101,500. With both, median pay jumps to $156,250.

“Overall, respondents holding only the CMA or the CPA earned 127% and 182% higher median additional compensation, respectively, above base salary compared to those holding neither certification,” the report notes.

CPA and CMA differential chart.png

“For all age groups, holding the CMA, the CPA or both certifications has an incremental, positive effect on median total compensation. This indicates that employers value employees for having the CMA, CPA, or both and are willing to compensate employees for holding these certifications.”

The report provides a rich array of other data about pay, including a section on gender pay differences. Comparing median base pay and total comp by gender and age, the report found women accountants of all ages earn 84% of what their male counterparts earn.

The differences are wider among older accountants, but the gender gap exists among even the youngest are groups. Women 20-29 years old earn a median total compensation that is 91% of the men in that age group.

Looking at it region by region, the IMA found women in the Northeast do better financially than the men. They earn 118% of what men earn in base pay and 105% in total comp.

Women though might want to avoid the Plains states. There the gender gap is the widest with women earning a mere 70% of what men are paid.

Photo by Kelly Sikkema on Unsplash

Impact of Women in Leadership
General Interest Green Key News Human Resources Leadership + Management Worklife

Impact of Women in Leadership

Recognizing Women’s History Month in the Workplace
General Interest Green Key News Leadership + Management Worklife

Recognizing Women’s History Month in the Workplace

How Wellness Initiatives Can Strengthen Your Workforce
General Interest Green Key News Leadership + Management Worklife

How Wellness Initiatives Can Strengthen Your Workforce

#WeAreGreenKey: Spotlight on Alexis Schumacher
Accounting + Finance General Interest Green Key News Worklife

#WeAreGreenKey: Spotlight on Alexis Schumacher

Women in Leadership at GKR
General Interest Green Key News Leadership + Management Worklife

Women in Leadership at GKR

Spain Becomes First European Country to Offer Paid Menstrual Leave
General Interest Green Key News Human Resources Worklife

Spain Becomes First European Country to Offer Paid Menstrual Leave

Green Key Unlocked: Benefits of Travel Nursing
General Interest Green Key News Healthcare Worklife

Green Key Unlocked: Benefits of Travel Nursing

How to Maintain Culture in Remote Environments
Architecture + Engineering General Interest Green Key News Worklife

How to Maintain Culture in Remote Environments

Tips to Strengthen Time Management
General Interest Green Key News Leadership + Management Worklife

Tips to Strengthen Time Management

#WeAreGreenKey: Spotlight on Katie Kressel
General Interest Green Key News Human Resources Leadership + Management Professional Support Worklife

#WeAreGreenKey: Spotlight on Katie Kressel

Workplace Trends 2023
General Interest Green Key News Human Resources Leadership + Management Worklife

Workplace Trends 2023

#WeAreGreenKey: Spotlight on Jason Kien
Accounting + Finance General Interest Green Key News Leadership + Management Worklife

#WeAreGreenKey: Spotlight on Jason Kien

How to Use ChatGPT to Build a Resume
General Interest Green Key News Information Technology Marketing Technology Worklife

How to Use ChatGPT to Build a Resume

Green Key Unlocked: Data Roles in IT
General Interest Green Key News Information Technology Worklife

Green Key Unlocked: Data Roles in IT

The New Marketing & Sales Team
Marketing Technology

The New Marketing & Sales Team

#WeAreGreenKey: Spotlight on Matt Schirano
General Interest Green Key News Information Technology Leadership + Management Worklife

#WeAreGreenKey: Spotlight on Matt Schirano

Green Key Unlocked: The Effect of Tech Layoffs
General Interest Green Key News Information Technology Leadership + Management Worklife

Green Key Unlocked: The Effect of Tech Layoffs

How to Prepare for a Recruiter Interview with a Staffing Agency
General Interest Green Key News Human Resources Leadership + Management Worklife

How to Prepare for a Recruiter Interview with a Staffing Agency

5 Ways to Make Your Job More Meaningful
General Interest Green Key News Worklife

5 Ways to Make Your Job More Meaningful

Minimum Wage Increases in 2023
Accounting + Finance Architecture + Engineering Financial Services General Interest Green Key News Healthcare Human Resources Information Technology Leadership + Management Legal Support Marketing Technology Pharma Professional Support Worklife

Minimum Wage Increases in 2023

Latest Blog Posts
View All Posts
Impact of Women in Leadership

Impact of Women in Leadership

As we near the end of Women’s History Month, we not only strive to admire all women who have fought...
Read More
Recognizing Women’s History Month in the Workplace

Recognizing Women’s History Month in the Workplace

If you're looking for ways your organization can recognize female contributions, both this month and beyond, we've compiled a handful...
Read More
How Wellness Initiatives Can Strengthen Your Workforce

How Wellness Initiatives Can Strengthen Your Workforce

Establishing an inclusive culture and focusing on employee health can boost productivity, encourage teamwork, and increase better communication.
Read More