[Abby]

Hey everyone,

I am having a hard time at work right now; I work at a small firm where I do taxes during tax season and audits and bookkeeping the rest of the year. I live in a low cost of living area but I feel like I could earn more if I switched to one of the bigger firms in the area. The problem with that is I’ve been here over 2 years (started out as an intern and became full time when I graduated with my bachelor’s in accounting) and I am pretty much guaranteed a partner position in a few years when the oldest partner retires.
I just don’t know if it would be worth it to leave and work for a private company or one of the larger CPA firms in my city. I am treated really well at my current job, I have my own office and I accrue extra time off at 1.25 times for every hour I work over 40 hours per week all year long. I can either take this as time off or get a bonus check on December 31st.

Maybe it is just the stress of tax season beginning, studying for my first section of the CPA exam (BEC, February 27th), and planning a wedding but… Should I start applying for other jobs just to make more money or study and pass the CPA exam and stay at my current firm to become partner in the next 5-7years?

[Recked]

Being your own boss will be much more beneficial in the long run than grinding it out to make some else rich.
Studying for the CPA exam during tax season is just adding more stress on your plate.
If you like your current job, and you think they take care of you, just focus on one day at a time. Wrap up BEC, focus on tax season, finish the rest of the exams after tax season.

Also, never assume you are guaranteed a partner position unless you have it in writing.
The retiring partner will most likely be looking to sell his book of business. Perhaps there is a buy sell agreement in place, maybe there isn't.
The existing partners may absorb the retiring partners BOB and just look to offload the work on people like you, without giving or offering them equity.
Or they may expect you to kick in cash to buy out the retiring partner.

It would be a real dick move to leave your current firm right at the start of tax season, especially if they take care of you.

It's very normal to contemplate the meaning of life, and your place in it, as your work load and stress increase.
Just remember there is a rainbow on the other end, you just need to get through the next 10 weeks.
If you leave a small firm to go to a big firm, it would most likely be comparable to jumping out of the frying pan into the fire.
Focus on the exams, then see where life takes you.

Memento Mori - Kingston NY CPA & EA (SUNY Albany 2002)

FAR-93 11/9/17 (10wks, 250 hrs, Roger 1800+ MCQs, Gleim TB 600+MCQs, SIMs)
AUD-88 12/7/17 (3 wks, 85 hrs, Roger 1000 MCQs no SIMs hail mary)
REG-96 1/18/18 (6 wks, 110 hrs, 1400 MCQs, no SIMs)
BEC-91 2/16/18 (4wks, 90 hrs, 1240 MCQs)

[Right Brained Accountant]

Preach it, Recked!

Solid advice and can't think of anything to add.

Trust the process 🙂

REG - 79

BEC - 78

FAR - 90

AUD - 87

"The harder the conflict, the more glorious the triumph." Fortune cookie circa 2012

8 exams in 16 months - Licensed CPA 2018

[Defo]

The above is extremely reasonable advice, but…

If you are grossly underpaid, Don't put too much stock in whether its a “dick move” to start a search for better pay. Yes you are leaving your employer in a worse spot by leaving in the middle of busy season, but this isn't something owed by you. If they really wanted comfort of you not leaving then they should be paying you more. If you can get a large pay raise for similar work at another employer there should be some compelling reasons to pass that up. Most employers wouldn't take as much consideration for your situation if they felt like firing you.

AUD - 83
BEC - 84
FAR - 78
REG - 92

AICPA

[ragepsn29]

How much of pay raise are you looking for if you got another job?

AUD - 65, 72, 70, 74, 81
BEC - 80
FAR - 66, 71, 76
REG - 69, 65, 82

AUD - 65, 72, 70, 74, 81
FAR - 66, 71, 76
REG - 69
BEC - 80

[Abby]

Thanks everyone for the great advice!! Well I recently broke into the $40,000 range. I know people in larger firms in my city start at $48,000. My bosses here sincerely care about me and my family. We have two offices but only about 20 people working total. I worked at a F500 company during college and I absolutely hated it because how they were not lenient at all. I won't get into the details but I ended up quitting and finding my current job. As I stated before, I have my own office plus I can actually take my days off I earn. I just don't know if higher pay can justify leaving a more laid back office environment. If I were to leave, I would expect to start at that $48,000 mark.

Another problem with my current job is I will not get a pay raise once I complete the exams and my work has not helped me financially in any way toward taking the exams.

[Recked]

Your current employer will let you slack a bit during non peak times so you can focus on the exam.
Get the exams done, see if you get a raise, see how much you can pimp yourself to a larger firm for.
I would have a hard time leaving 40k with a good boss and team for 48k. After taxes you are talking about another 5k ish, to give up a comfy position with people that value you.

If I were in your shoes (and I sort of am, just with lots more years behind me) I would get BEC done, crunch for tax season, bang out the rest of the exams post tax season.
As soon as you pass and get licensed. Get business cards made up, and hand them out everywhere. Get your name out there, grow your book of business, bring in clients.
If things don't work out where you are, you already have the client base built up to move onto the next chapter in your life.

Your rate of pay is DIRECTLY related to 1, the work $ you produce, and 2, the money/clients you bring into the firm.
As a non-equity employee you should expect to earn about 40% of how much you bill out. You will usually cost your employer about 45-50% of your billings when they factor in health insurance, retirement, bonuses, employer portion of payroll taxes. They lose about 1/3 to overhead, so maybe the partners get 10-20% of your billings as their compensation for owning the firm.
The sooner you realize the direct correlation, the sooner you can focus on making them more money, so you make more money.
The CPA takes priority #1.

Don't leave a job that provides you flexibility to reach goal #1. The investment in yourself is the MOST important thing you can do for your future self now.
That big firm job will still be there after you pass, and most likely start you at more than 48K after you are licensed.

Memento Mori - Kingston NY CPA & EA (SUNY Albany 2002)

FAR-93 11/9/17 (10wks, 250 hrs, Roger 1800+ MCQs, Gleim TB 600+MCQs, SIMs)
AUD-88 12/7/17 (3 wks, 85 hrs, Roger 1000 MCQs no SIMs hail mary)
REG-96 1/18/18 (6 wks, 110 hrs, 1400 MCQs, no SIMs)
BEC-91 2/16/18 (4wks, 90 hrs, 1240 MCQs)

[ragepsn29]

I agree with the above poster. Just get your exams done first! Then you will have a leverage to negotiate. Money will come eventually.

AUD - 65, 72, 70, 74, 81
BEC - 80
FAR - 66, 71, 76
REG - 69, 65, 82

AUD - 65, 72, 70, 74, 81
FAR - 66, 71, 76
REG - 69
BEC - 80

[Author]

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