How to Become a CPA: A Step-by-Step Guide to Licensure in 2025

A Step-by-Step Guide to Becoming a Licensed Certified Public Accountant & Completing Your CPA Journey

how-to-become-a-cpa-certified-public-accountantBecoming a Certified Public Accountant (CPA) is a rewarding achievement that opens doors to career advancement, higher salaries, and professional credibility in the accounting industry. The CPA credential is widely recognized and highly respected, signifying expertise in financial reporting, auditing, taxation, and business consulting.

However, earning this designation requires meeting specific educational requirements, passing a rigorous exam, gaining work experience, and fulfilling state licensure requirements.

While the process to become a CPA may seem complex, understanding each step can make the journey more manageable. This guide will walk you through the requirements, application process, exam details, and strategies for success, helping you navigate the path to CPA certification with confidence.


8 Steps to Become a Certified Public Accountant (CPA)

Step 1: Meet the Educational Requirements

Before sitting for the CPA Exam, candidates must meet state-specific educational requirements set by their State Board of Accountancy. While requirements vary slightly by state, most jurisdictions follow the “150-hour rule,” which mandates that candidates complete 150 semester hours of education, typically including:

  • A bachelor’s degree in accounting, finance, or a related field (usually 120 credit hours).
  • Additional coursework (often a master’s degree or extra credits) to reach the 150-hour total.
  • Specific accounting and business courses, such as financial accounting, auditing, taxation, and business law.

Some candidates complete their 150 hours by earning a master’s degree in accounting or an MBA, while others take additional undergraduate or online courses to fulfill the requirement. It is essential to check with your state board to ensure compliance with local CPA eligibility rules.


Step 2: Apply for the CPA Exam

Once you meet the educational requirements, the next step is to apply for the CPA Exam through the National Association of State Boards of Accountancy (NASBA) or your State Board of Accountancy. The application process typically involves:

  • Submitting official transcripts to verify educational credentials.
  • Completing an application form and paying exam fees.
  • Receiving a Notice to Schedule (NTS), which allows you to register for specific exam sections.

Since application requirements vary by state, candidates should check their state board’s website for specific instructions and deadlines.


Step 3: Prepare for the CPA Exam

The CPA Exam is a four-part test administered by the American Institute of Certified Public Accountants (AICPA) and NASBA. Each section is four hours long and must be passed with a minimum score of 75 within an 18-month rolling window.

The four sections of the CPA Exam are:

  1. Auditing and Attestation (AUD) – Covers auditing procedures, risk assessment, internal controls, and professional ethics.
  2. Business Environment and Concepts (BEC) – Focuses on business operations, corporate governance, financial management, and written communication.
  3. Financial Accounting and Reporting (FAR) – Tests knowledge of financial statements, GAAP, and complex accounting transactions.
  4. Regulation (REG) – Examines federal taxation, business law, ethics, and professional responsibilities.

Choosing a CPA Review Course

Due to the exam’s difficulty and breadth of material, most candidates use CPA review courses to prepare. Popular review providers include Becker, Wiley, Roger CPA Review, and Surgent, offering:

  • Video lectures and textbooks covering exam topics in detail.
  • Thousands of practice questions and task-based simulations.
  • Full-length practice exams to simulate real test conditions.
  • Personalized study plans and adaptive learning technology.

Studying consistently—at least 15-20 hours per week per section—and taking multiple practice exams can significantly increase the chances of passing.


Step 4: Schedule and Take the CPA Exam

Once prepared, candidates can schedule their CPA Exam sections through Prometric, the official CPA testing center provider. The CPA Exam follows a continuous testing model, meaning candidates can take or retake a section at almost any time throughout the year.

On exam day, candidates should:

  • Arrive at the testing center early with valid identification.
  • Manage time effectively, ensuring sufficient time for multiple-choice questions, simulations, and written tasks.
  • Stay calm and focused, using strategies learned during practice exams.

Since CPA Exam scores are released multiple times per quarter, candidates can check their results online through NASBA’s website.


Step 5: Gain Required Work Experience

Passing the CPA Exam is a significant milestone, but candidates must also fulfill their state’s work experience requirement to obtain CPA licensure. Most states require:

  • One to two years of relevant work experience under the supervision of a licensed CPA.
  • Experience in public accounting, industry, government, or academia, depending on state rules.
  • Verification of work experience through a supervising CPA or employer documentation.

Gaining hands-on experience helps candidates apply accounting principles in real-world scenarios, building practical skills that enhance their professional growth.


Step 6: Pass the Ethics Exam (If Required)

Many states require CPA candidates to pass an ethics exam as part of the licensure process. The most common ethics exam is the AICPA Professional Ethics Exam, which is an open-book, multiple-choice test covering ethical responsibilities and professional conduct.

Passing the ethics exam demonstrates an understanding of integrity, independence, and ethical decision-making, all of which are crucial in the accounting profession.


Step 7: Apply for CPA Licensure

After fulfilling the education, exam, work experience, and ethics requirements, candidates can officially apply for CPA licensure through their State Board of Accountancy. This process typically includes:

  • Submitting proof of education, exam scores, and work experience documentation.
  • Paying licensure application fees.
  • Meeting any additional state-specific requirements (such as background checks).

Once approved, candidates receive their CPA license, granting them the legal authority to practice as a Certified Public Accountant.


Step 8: Maintain CPA Certification Through Continuing Education

Earning a CPA license is a significant achievement, but CPAs must meet continuing professional education (CPE) requirements to maintain their certification. Most states require CPAs to complete 40 hours of CPE per year, which may include courses in:

  • Accounting and auditing updates.
  • Tax law changes and compliance.
  • Ethics and professional responsibility.

By staying up to date with industry trends and regulatory changes, CPAs ensure they remain competent and compliant with professional standards.


Frequently Asked Questions

What are the basic requirements to become a CPA?

To become a CPA, candidates must complete 150 semester hours of education, pass the four-part CPA Exam, gain one to two years of relevant work experience, and meet their state board’s ethics and licensure requirements. Each state has specific rules, so it’s important to check with the State Board of Accountancy in your jurisdiction.

How long does it take to become a CPA?

The timeline varies, but most candidates take five to six years, including four years for a bachelor’s degree, additional coursework to meet the 150-hour requirement, and six months to two years to pass the CPA Exam and gain experience. The duration depends on study pace, work commitments, and exam performance.

Can I take the CPA Exam before completing 150 credit hours?

Some states allow candidates to sit for the CPA Exam after completing 120 credit hours (a bachelor’s degree), but full licensure typically requires 150 credit hours. Check with your state board to confirm specific eligibility rules in your jurisdiction.

Do I need a master’s degree to become a CPA?

No, a master’s degree is not required, but many candidates pursue one to meet the 150-hour education requirement. Others fulfill the requirement by taking additional undergraduate or online courses instead of obtaining a graduate degree.


Bottom Line

Becoming a Certified Public Accountant (CPA) requires dedication, but the benefits are well worth the effort. By meeting educational requirements, passing the CPA Exam, gaining work experience, and fulfilling licensure obligations, candidates can achieve a respected and rewarding career in accounting.

While the journey can be challenging and time-consuming, careful planning, structured study habits, and persistence will lead to success. The CPA designation opens doors to high-paying jobs, leadership opportunities, and professional credibility, making it a valuable investment in your future.

For those considering the CPA path, the key is to start early, stay committed, and use available resources to maximize your chances of success. With the right approach, earning the CPA credential is not just achievable—it’s a career-defining accomplishment that will serve you for a lifetime.

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