Certified Public Accountant Salary

CPAs can manage and calculate financial obligations.

Certified Public Accounts (CPAs) help individuals and businesses navigate the shoals of financial practice, taxes, investments and other money issues. They are specially licensed by their states to file reports with the Securities and Exchange Commission. Most states require CPAs to be college graduates, but some states allow experience in public accounting to substitute for a degree.

Salary

The base salary for CPAs is $47,771 to $69,920 per year, according to PayScale as of February 2011. However, bonuses for meeting accounting goals can add $1,466 to $5,164 per year, profit sharing for company success can bring in an additional $1,456 to $4,810 yearly and commissions for signing up new clients can run $525 to $5,112 annually. This can produce total annual compensation of $48,409 to $73,251 per year.

Experience

Experience generally results in higher salaries. For example, new accountants make $39,398 to $50,940 annually, while those with one to four years of experience get $43,760 to $57,231. At five to nine years of employment, they earn $50,605 to $70,847, and at 10 to 19 years, they receive $55,236 to $87,257. Finally, at 20 years or more, they are paid $60,689 to $105,439.

Employers

The type of employer can affect CPA salaries because it determines the type of accounting practices and clients. The highest salaries go to those working for the federal government, where pay is at $50,933 to $97,122 per year, followed by the self-employed, with earnings at $45,877 to $68,775. Those working for companies get $47,854 to $69,498, while those in state and local government make $47,743 to $76,164. Those at colleges and universities get $38,874 to $60,242, and those in schools and school districts receive $39,381 to $71,216.

Locations

The nation's more populous states offer the best salaries for CPAs, starting with New York, where annual pay runs $51,403 to $79,648, followed by California at $50,938 to $77,907. Texas ranks third with compensation at $47,103 to $71,356. As for cities, the ones with the greatest population also offer the best pay. For example, CPAs in New York City earn the most at $54,753 to $86,443 per year. They are followed by those in Houston, who get $49,818 to $77,268, and those in Los Angeles, who make $49,538 to $75,788.

References

• PayScale: Certified Public Accountant Salary
• PayScale: Certified Public Accountant Salary by Years Experience
• PayScale: Certified Public Accountant Salary by Employer Type
• PayScale: Certified Public Accountant Salary by State
• PayScale: Certified Public Accountant Salary by City
• Bureau of Labor Statistics: Accountants