[Finally_a_CPA]

Ok, so I’ve been with my current firm for 1.5 years. I was hired right after graduation with no accounting experience.
For the most part, I like workiny here. However, I am unhappy with my salary. I recently became a CA CPA and even with a raise, Im still just under 50k. I feel that my city is affordable compared to other cities in CA but I still am not happy and have no idea what CPAs in my area make. I know that being licensed doesn’t automatically make me knowledgeable but my employer did raise my billing rate.

I’ve thought about sending my resume to a few local firms perhaps after next tax season but I’m not sure if I’m ready to go to another firm. I don’t know if they will expect me to know more than I actually do.
So my question is, how long did you stay at your first public accounting job?

AUD - 75
BEC - 78
FAR - 81
REG - 92

"If you study, you will pass" - Roger

[Ndom1]

I've been with my public firm (medium sized) for about 5 years now. Right out of college as well. I am a senior and work a 50/50 mix of audit, tax and other non-attest services. I love public. I love my clients and the craziness that comes with the job. I am not a CPA (yet), but I am working on it because I did my MBA first.

You only have 1.5 years of experience. Cut and dry that is the reason you aren't making as much as you think you should. The experience is everything. The title means nothing without the experience. You can probably command a higher salary in a bigger city that has a higher cost of living. But not by much. I am in CT and work in a medium sized town, not a big city by any means. We have a staff person who has been here for about 2 years right out of college and also has his CPA. His salary is right around where yours is. When we go out on jobs, I am his “in charge” simply because I have more experience than him. Sure he passed the exam, but that doesn't translate too well to real world applications.

You have your CPA. The sky is the limit for you. Just keep learning and advancing in your career.

AUD - 86
BEC - 79
FAR - 87
REG - 78

G

[TommyTheCat]

Agree with Ndom. Experience matters just as much as the CPA license at this point in your career. $50k for 1.5 years experience seems about what it should be depending on which area of CA you live in. Bay Area its a little bit higher, but that's mainly due to cost of living considerations.

To answer your question…I left my first gig out of college (PWC) at 3 years. Made senior first, worked for a little over a year as a senior and then took a much better paying gig at a smaller firm. Having the big 4 experience on the resume, and having at least a bit of senioring experience in big 4, did wonders for my resume and i leveraged that into a 6 figure salary. So my advice is stick with it a bit more and then leverage your experience, and credential, to a nice pay raise at your next gig.

AUD - 85
BEC - 89
FAR - 91
REG - 97

[Recked]

Does your current salary include bonuses?
What's your hourly billing rate and how many billable hours are you producing?
I can't stress this enough to younger accountants. What you are paid is in direct relation to what you produce.
As accountants we all understand its dollars and sense.
The largest firm in my area would bill $200/hr for a Senior with a few years experience, Expect them to bill out about 200k a year, and pay them approx 90k, plus health and retirement.
With the perks and payroll taxes the total cost to the employer for that employee would run a bit over 50%.

The general breakdown for larger firms is one third to overheard, one third to wages, one third to profit.
A smaller firm, the principle, or partners would expect to lose about 30-40% to overhead, and reap 60-70% of their billings as compensation.
You're pretty low on the totem pole right now. I'm not sure what types of engagements you can handle completely on your own.

Get yourself some business cards, network, grind hard, produce more billable hours, bring clients into the firm that you could potentially take with you if you decided to leave, build your book of business. Your employer's goal is to pay you just enough so you stay. Their goal is to maximize their profit based off their investment in you. Your goal is to be paid as much as possible. Your maximum bargaining position is right before tax season. You'll probably do about 50% of your years billings from Feb 1st to April 15th. If you leave after giving them another tax season they are getting the best of both worlds.

My strategy that has paid off well for me is to track how much I bill each year, and then I make a goal to produce an additional 10-20% over the prior year.
I am currently less than 10k away from the total I billed out last year. This year I got a 10k raise and a 10k bonus after tax season. I billed out about 60% more during this tax season over last tax season. Make the money, track the results, get the raises, or show your boss how much they will be missing out on when you leave.

“If you don't build your dream someone will hire you to help build theirs.”

To answer your question – I interned and was hired out of college at the same firm, I've been here full time for 15 years.

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)

[JCVFUTURECPA]

I worked at a mid size firm in the Bay Area after I graduated for 1.5 years. I was ultimately laid off. I deserved it. I wasnt serious about the CPA exam in 2013 and dreaded public accounting at the time. Fast forward to now 2017 I work as a staff accountant for a city in the Bay Area making almost $80K, but not day goes by where I wonder where I could be if I passed the exams earlier with more time working in public accounting. I feel like a big fish in a little pond in my department, but I would rather be a small fish in a big pond working to learn more and grow.

There is so much you can learn and experience with your accounting firm. Money will will come.

I would love one more shot at an accounting firm once I pass the CPA exam, which I am currently studying for. Paid $2000 for Becker out of my own pocket too.

Good luck!

[Finally_a_CPA]

Thank you all. I really appreciate your feedback. I know experience is everything and I definitely don't feel ready to move to a new firm.

Reckedracing: To answer your question, it does include bonuses because as far as I know, we don't get any bonuses.

I would say Im on par with my coworkers when it comes to billable hours…maybe a bit lower but that would mostly be because we dont have much work during the summer, as most other CPA firms.

When I have no work, I ask my bosses on a daily basis for work and most of the times, they can't give me anything so I feel that can't be held against me. During busy season, I actually work more hours than required and probably 98% percent of my time during busy season is billable.

AUD - 75
BEC - 78
FAR - 81
REG - 92

"If you study, you will pass" - Roger

[FormerCPA14]

I left my first public accounting job after three years, though I secured my offer about 2.5 years in. (I've been out of public accounting now for 4 years.)

I think something you need to ask yourself 1) Can you do better and why do you deserve better? 2) Where else would you go?

1) Did you have other opportunities when you were graduating college? It seems like your displeasure is mostly marked to pay so I'll focus on that. Why didn't you get a higher paying job / firm to begin with and how have you changed since graduation to make yourself more valuable? Having a CPA designation is great, but are you actually differentiated from a practical standpoint?

2) Once you have your CPA nailed down, you'll get a lot of calls from recruiters. Just make sure you're running towards something and not away from something. When I was about a year and a half in, I had a job offer that would have paid 80 base with a 20% bonus which was a step up from what I was getting at PwC. I turned it down because I realized I would just being running away from something, not towards and it was one of the best decisions I ever made. If I took that other job, I wouldn't of ended up where I am now.

[ragepsn29]

I would do more research about how much CPAs with less than 2 years experience make in your area. Then present that to your boss and ask for a raise. If you don't get a raise, you should start looking for another firm. Busy season is just around the corner.

To your question, I have been out of college for 5 years and I just started in public accounting at a small local firm in an affordable city in midwest. I did my research that a 50k salary in my city should equivalent to 64k in Chicago if I want to keep stamdard of living the same. I'm in the audit team and am currently making 52k. I'm happy as I just started less than a month ago.

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

[Want2BeCPAsoBad]

It depends on your area. I have similar experience. I'm still a staff, but considered an “experienced” staff since I had industry experience before switching to public. I don't have my license and without bonuses I'm currently at 68k, with bonuses and 401 matching my compensation comes to 78-80k. But again our firm is in the bay area with high cost of living. I do tax and OFA department.

AUD - NINJA in Training
BEC - 82
FAR - NINJA in Training
REG - 82

Your intelligence has nothing to do with your score!  It's a matter of dedication, study habit and how well you test.

AUD- 64 (Retake 1/2)-Waiting on score

BEC- 82 (2x)

FAR-May 2018

Reg- 82 (1x)

[ineedthiscpa45]

Adding to that I'm in a similar position. So I'm currently working as a staff accountant for a non-for-profit organization that I've been at for about 1.5 years. Compared to the average for staff accountants in my area I'm underpaid by 10-20k. Even worse there's no bonuses or reimbursement for study materials for the CPA exam so not only am i coming out of pocket for studying materials, i won't get any type of bonus for passing. Originally i was hoping to stay until 2 years and have my CPA prior to pursuing employment elsewhere. Then i thought why not leave now and possibly get a bonus and potential reimbursement for materials? Any advice or suggestions? It's well appreciated!

BEC - 74, 70, 76 (expired)

AUD - 67

REG - N/a

FAR - N/a"

[ultrarunner]

My company (a high-tech company) didn't reimburse any of my exam fees or pay bonus since my job doesn't require a license. Once I got my license, I asked for reimbursement for my licensing fee, ethics exam fee, a state society membership fee and small CPE fee etc. My company did reimburse all. But I decided to move on and found a new job in a public accounting firm. Many public accounting firms pay a bonus and offer reimbursement. Unfortunately, I am not eligible. Anyway, not many companies reimburse or pay bonus for the exams. Just let you know.

CPA/ MST/ Roger CPA Review

FAR 72,67,79 (Roger+Wiley test bank)11/15
AUD 80 (Roger)10/15
BEC 80 (Roger)4/16
REG 63,78 (Roger+Ninja MCQs)5/16

[Pete]

Hang tight man, 50k/year really isn't that bad with 1.5 years of experience.

I'm currently earning about 40k/year, having passed the CPA exam, over 1 year ago (recently passed the CFE exam as well). I have 6 years experience and am living in an area, which is likely much more expensive than yours. I've been on over 6 interviews in public, but I can't break into anything better/higher paying.

I was at another firm briefly for about 5 months. The firm paid 45k/year (starting), but required you to work 100+hours/week, during the last few weeks of tax season. I also heard that the 60-70 hours, during tax season extension, was a lot more than normal. The firm also had a deductible of over $5,000; they essentially took the lowest plan possible. Needless to say, me and the guy after me, were utilized for tax season, then dropped, when the work declined.

Please keep your job right now, until you make senior/manager. The job market is absolutely awful right now. If you make senior/manager, you'll be in so much better shape than I currently am.

B=84 This exam was such a b**** that I thought I failed-don't know how these things work
A=76 Slacker I am, I'll happily take it
R=81 I LOVE taxes
F=80 I don't wanna get banned for an expletive I'm thinking with "yea" proceeding it

[Reverie]

Anyone know why the job market is bad? I've suspected it to be bad since 2014 but don't know why.

[Pete]

In my state, I’ve read that the number of professional jobs has declined while the retail/customer service (low wage) market has surged. Further, automation/off-shoring has reduced the number of staff CPA firms need. They can do more with fewer people.

The mentality of companies has changed as well. Since 2008, companies expect people to do twice the amount of work while paying the same wages. If the person doesn’t, they simply fire him/her, paying the new guy less than the old. Thus, they eliminate

B=84 This exam was such a b**** that I thought I failed-don't know how these things work
A=76 Slacker I am, I'll happily take it
R=81 I LOVE taxes
F=80 I don't wanna get banned for an expletive I'm thinking with "yea" proceeding it

[sotom3239]

@ndom1 I am also in CT I was wondering if you would be able to help me out and land an internship or an entry level position. I just bought material to study for the exam but I would lack the experience needed. I have emailed multiple firms in CT (mainly Fairfield County) but no luck yet. Would you be able to assist me with some advice?

Be like a postage stamp, stick to a thing till you get there. - Josh Billings

[Pete]

Sotom3239, I'm in your state as well. I've been on over 6 interviews this fall with nothing to show for it. I've also PASSED the entire exam and have near a 4.0 GPA on the extra credit hours, needed for the license. Further, I've got 6 years experience, yet I can't break into any entry level public accounting positions, despite having multiple people tell me I interview well.

I don't think the local CPA firms in our area are really even hiring for entry level (or are only hiring 1 person for 300+ people applying); when they do hire, they're incredibly, incredibly finicky about whom they choose. Passing the CPA exam should help; I couldn't even get interviews before passing the exam. Now, I've at least managed to get interviews.

B=84 This exam was such a b**** that I thought I failed-don't know how these things work
A=76 Slacker I am, I'll happily take it
R=81 I LOVE taxes
F=80 I don't wanna get banned for an expletive I'm thinking with "yea" proceeding it

[Author]

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