CPA Exam Requirements: On the short end of the 150 hour rule? Consider getting licensed in Colorado

10. Jan, 2009 13 Comments

Note – if you work in public accounting or plan on holding yourself out to the public as a CPA, then this information doesn’t apply to you – you need to meet your state’s CPA Exam requirements. This post will benefit those who are short on the 150 hour rule, but are only going to use the CPA designation as a “credential” within the private sector. Make sure you have full understanding on your respective state’s rules on holding yourself out as a Certified Public Accountant.

I have a friend who resides and works in a state that requires candidates to meet the 150 hour rule before they can even sit for the CPA Exam. He’s 24 and works in SEC Reporting for a Fortune 500 company. After graduation, he sat for and passed the Certified Internal Auditor (CIA) Exam. He didn’t have 150 hours and his current work load prohibited him from starting on an MBA or other graduate program which would give him his 150 hours, so he sat for and passed the Certified Management Accountant Exam (CMA).

Unbeknown to him previously (and me as well) – the State of Colorado allows out of state candidates who neither work in nor live in Colorado to be licensed as Colorado CPAs. My friend sent in his application, was approved…and is sitting for BEC this week. If he ever wants reciprocity, he will need the 150 hours, but his boss just wants him to pass the Exam – not be eligible to sign tax returns or audit reports.

Most people who work in the private sector let their licenses lapse anyway…the important thing is…did you pass the Exam? If the answer is yes – that’s all that they care about.

If you’re considering this, be sure to do your due diligence and find out if this is right for you.

The beautiful thing about Prometric offering a uniform exam is that someone in New York can theoretically sit for an exam in New York as a Colorado candidate.

Read more about Colorado’s CPA Exam requirements.

Related posts:

  1. NASBA: 150 hour rule doesn’t make public safer…
  2. CERTIFIED.
  3. What Section Should You Take First?
  4. Ask Jeff – Licensing Requirements
  5. Get Your 2010 CPA Exam Survival Guide

13 Responses to “CPA Exam Requirements: On the short end of the 150 hour rule? Consider getting licensed in Colorado”

  1. Lisa 03. Apr, 2009 at 9:56 am

    This is good news! What I’m trying to grasp now is this: if I get certified in CO then obtain the extra few credit hours to meet the 150-rule, can I then get certified in a state that requires 150 credits to sit for the exam? I just spoke with my home state’s PLA, and they were not helpful. I’m very confused.

  2. Anonymous 08. Apr, 2009 at 5:51 pm

    Lisa – It is so difficult to obtain information from state boards….. I am still unclear on this issue… and what is meant by “practice privilege”.. Can you call yourself a CPA if you do the above in a state that requires 150 hours!…etc… If you have anymore info do share.. and also tell us where you got the info from.

  3. Cayman 12. May, 2010 at 2:44 pm

    Can I use the CPA initials after passing the exams without getting licensed working in non-public accounting (nor do I ever plan to work in public accounting)?

    I am Canadian, have the 150hrs (undergrad in accounting), have an MBA and am a Canadian CMA working in the Cayman Islands.

    It’s like pulling teeth asking the state boards for this information. I’m planning on calling NASBA soon, but thought this may be a good place to start.

    Also, should I get AUD and FAR out of the way before the end of 2010?

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