Accounting has long been the backbone of India’s financial services, with Chartered Accountants (CAs) playing an important role in everything from bookkeeping to financial management. However, the path to becoming a CA in India is extremely difficult, with a pass rate of less than 15%. This leaves many aspiring accountants discouraged and stuck in the vicious cycle of re-sitting the exam year after year.
Interestingly, the global demand for qualified accountants is on the rise, particularly in the United States, where a significant percentage of the accounting workforce is set to retire, creating a critical shortage. This gap has led many multinational corporations and large companies to seek out qualified accounting professionals in India, further boosted by the country’s robust financial outsourcing sector.
This scenario presents a unique opportunity for Indian students. While the CA qualification remains prestigious, alternative global certifications such as ACCA, US CPA, US CMA, and IFRS are gaining momentum. These certifications are increasingly becoming prerequisites for employment in the Big Four accounting firms and multinational corporations. Not only do they open doors to diverse and well-paying positions, but they also position students for success in an evolving financial and accounting sector. As a result, these certifications offer a viable and lucrative path for those looking to build a successful accounting career beyond the traditional CA route.
It is a good opportunity for Indian students to explore these qualifications and apply for jobs that bridge the gap in global employment opportunities and a skilled workforce.
U.S. Certified Public Accountant (CPA)
Considered as one of the most prestigious certifications in the accounting and finance industry, the US CPA certification offers ample career opportunities, high earning potential, and professional recognition to accounting professionals in both India and the US. The CPA certification is administered by the US-based National Association of State Boards of Accountancy (NASBA) and is widely accepted by companies in over 180 countries, including India. Indian CPAs are trained to handle profiles in corporate governance, international financial accounting, and many other roles in the financial services industry. The Big Four firms in India typically hire US CPAs for audit, tax, and advisory services. The starting salary is INR 5 to 7 lakh per annum.
U.S. Certified Management Accountant (CMA)
The US CMA certification is a highly sought-after professional certification in the field of financial management and management accounting. It involves skills such as financial analysis, planning, and strategy, and makes it suitable for students interested in management positions. The US CMA qualification is recognized in over 170 countries. In India, job opportunities range from general accountants to senior leadership positions such as CFOs. The starting salary is INR 4 to 6 lakh per annum.
ACCA (Association of Certified Public Accountants) of the United Kingdom
One of the most widely accepted accounting qualifications, the ACCA is recognised in around 180 countries including India. ACCAs are widely accepted in consultancy positions, advisory firms, the public and corporate sector, as well as by individuals starting their own tax practice. They are qualified professionals who can work in multiple roles such as treasurers, auditors, financial analysts, risk managers, forensic accounting, etc. ACCAs are in high demand in India due to their skills and experience, and can apply for positions in all major multinational companies and the Big 4. The starting salary for an ACCA in India can range from INR 400,000 to INR 600,000 per annum, but as they gain experience and hone their skills, the package offers can be much higher.
IFRS (International Financial Reporting Standards)
International Financial Reporting Standards (IFRS) are globally recognized accounting standards developed by the International Accounting Standards Board (IASB). The course aims to bring consistency, transparency and competence to accounting reporting worldwide. Developing specialized skills in IFRS makes IFRS professionals a necessary player in the global business scenario. One can also acquire deeper knowledge and understanding of international accounting standards. In India, the starting salary for an IFRS professional is INR 600,000 to INR 700,000.
Career Opportunities
In addition to traditional accounting roles with the government, corporations, or individually in the global marketplace, one can explore career opportunities such as Forensic Accounting which allows one to investigate financial fraud, embezzlement, and other financial crimes; Tax Accounting which specializes in tax planning, compliance, and preparation for individuals, businesses, and organizations; Management Accounting which provides financial analysis, cost management, and decision support to help organizations improve performance and profitability; Financial Planning and Analysis (FP&A) which analyzes financial data, creates forecasts, and provides strategic financial insights to support decision making within organizations. Additionally, as Statutory and Internal Audit professionals, one can conduct independent assessments of an organization’s internal controls, risk management processes, and governance practices to ensure compliance and efficiency.
In addition to the roles mentioned above, one may teach finance courses at colleges and universities, conduct research, and contribute to the academic community. One may even start one’s own firm and provide advisory services to clients on various accounting and business issues, such as mergers and acquisitions, financial restructuring, and process improvement.
While Chartered Accountants have long been a benchmark for the accounting profession, the changing need of economies around the world has paved the way for various professional qualifications such as US CPA, US CMA, UK ACCA and IFRS, which offer tailored services to clients across the globe. The qualifications offer a diverse career path, a competitive advantage and open many doors to rewarding careers in finance and accounting.
(Author Pankaj Dhingra is a CA, US CPA, Managing Partner and Co-Founder of FinTram Global LLP. The views expressed are personal.)
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