For entry level CPAs, the accounting profession is providing them with good and competitive salaries. This salary of a CPA is very true especially if they have accomplished their CPA certification.
There are various reports and surveys with regards to CPA salaries and the figures differ slightly with each other. This is because of some factors that the numbers are dependent upon.
Factors Affecting the Salary of a CPA
The key factors that affect CPA salaries are: 1) the state where they practice their profession, 2) the CPA’s level in the company, 3) the number of years they have been practicing their profession, and 4) the size of the company they are working with.
The salary of a CPA is higher in bigger states such as New York and California in comparison to other states in the United States. It is quite obvious that the larger the company the CPA is working with and the higher is his position in the company, the bigger will be the pay package given to him.
For CPAs having one to three years of work experience in their profession, small companies will give them the salary range from $35,000 to $47,000 while big companies can provide the salary range from $42,750 to $60,000. The salary of a CPA who has earned a master’s degree as well as a CPA certification is more likely to about ten percent more than those who do not have these essential certifications.
For CPAs who are public firm partners, they tend to receive salaries at the average of $175,000. This amount gets higher as their work experience increases and as the firm gets bigger.
For CPAs who are directors in large companies can expect receive a salary that range from $85,000 to $130,000. For those in the medium size companies, they can expect their salaries to be around $76,750 to $111,000. Smaller companies will have the capacity to offer salaries from $71,500 to $90,250.
In the world of business and industry, the salary of a CPA who are the company’s Chief Financial Officers or treasurers range from $244,500 to $347,250. This applies to those companies who have their annual sales of more than $500 million. Bonuses as well as incentives do greatly play a major part in the compensation package for CPAs who are in the senior level positions of the companies.
Comparing the salary of a CPA state-wise, the states with the highest median salaries are New York and California amounting to $75,000. Next in line is the state of Texas for the amount of $69,000 and followed closely by the state of Illinois for the amount of $68,000.