What states lowered CPA requirements?

Many states, including Ohio, Virginia, Indiana, Iowa, Texas, Tennessee, Georgia, Montana, Utah, New Mexico, Hawaii, Illinois, Connecticut, North Carolina, Pennsylvania, Delaware, South Carolina, Oregon, Nevada, Alaska, and California, have passed or are considering legislation to create alternative pathways to CPA licensure, often moving away from the strict 150-hour college credit rule by allowing combinations of education (like a bachelor's degree plus 120 credits) and relevant work experience, responding to accounting talent shortages.

Which states changed the CPA requirements?

The 22 states that have passed legislation to date are: Ohio, Virginia, Utah, Indiana, New Mexico, Iowa, Texas, Georgia, South Carolina, Tennessee, Minnesota, Montana, Oregon, Nevada, Hawaii, Alaska, Illinois, Connecticut, North Carolina, Pennsylvania, Delaware and now California.

Which state has the lowest CPA requirements?

What State Is Best for the CPA License? If you want to take the CPA exam as early as possible with fewer requirements, Alaska is a good state to get your CPA license in because it allows candidates to sit while completing an undergraduate degree if within 18 hours of meeting bachelor's degree requirements.

What states do not require 150 hours for CPA?

While most states still require 150 credits for CPA licensure, several states like Ohio, Virginia, Utah, North Carolina, Texas, Iowa, Illinois, Pennsylvania, and Delaware, among others, are implementing or have passed legislation for alternative pathways starting in 2026, often allowing licensure with 120 credits plus more experience or specific coursework to address talent shortages, though the 150-hour standard for full licensure often remains for some paths. 

What 3 states scrap the stringent 150 hour education requirement?

“By modernizing the licensure pathway, we are making the profession more accessible while maintaining the highest standards of competency and integrity.” Utah will reportedly become the third state to shed the 150-hour rule, following in the footsteps of Virginia and Ohio, according to CFO Dive.

CPA Requirements: JUST 120 credit hours NEW rule in 2025!

Can you get a CPA without 150 credits?

In California, you'll need to complete at least 150 college credits before you can become a CPA. A traditional bachelor's degree usually includes 120 credits, which means you'll need to complete additional education, such as a master's degree or graduate certificate.

Which CPA Exam is the hardest in 2025?

In 2025, the Business Analysis and Reporting (BAR) discipline has statistically been the hardest CPA exam section based on the lowest pass rates (around 38-40%), closely followed by Financial Accounting and Reporting (FAR), due to its massive content and complexity, though some find AUD's subjectivity tough; however, difficulty is subjective, with BAR and FAR being the toughest statistically, while Tax Compliance and Planning (TCP) is generally the easiest. 

Is a CPA harder than a bar?

There's no definitive answer, as it's subjective, but many who've taken both find the CPA Exam harder due to its four distinct sections, breadth of technical accounting knowledge, and the need to pass all within 18 months (a marathon), while the Bar Exam is often seen as a more intense, physically demanding sprint over two days testing broad legal concepts. The CPA's difficulty often comes from its multifaceted nature and the challenge of mastering different accounting/tax areas, whereas the Bar's challenge lies in the sheer volume of legal information and mental stamina required over consecutive days. 

Which state is best for a CPA license?

Washington, Alaska, Montana, Guam, and Illinois all allow Indian candidates to complete the entire CPA process without ever providing an SSN. States like Virginia and California occupy a middle ground, letting you sit for exams without SSN but requiring it before they issue your license.

Is NJ changing CPA requirements?

The law goes into effect on Feb. 11, 2026. Drafted to increase access to the accounting profession, the bill allows those considering CPA licensure to qualify by earning a bachelor's degree, completing two years of work experience and passing the CPA Exam.

Can you make $500,000 a year as an accountant?

Yes, an accountant can make $500k a year, but it's rare and typically requires reaching top-tier positions like partner at a large firm, Chief Accounting Officer (CAO) in a major corporation, or owning a highly successful practice, often involving specialization, significant experience (20+ years), business development, and strategic leadership rather than just basic accounting tasks. It's a long, challenging journey involving high leverage and significant responsibility, not typical for entry-level or standard roles. 

Which state pays CPAs the most?

According to the Bureau of Labor Statistics (BLS), the highest-paying states for CPAs in the U.S. are the District of Columbia, New York, New Jersey, Virginia, and California, with average salaries ranging from $89,000 to $105,000 per year.

Can I pass CPA in 3 months?

Passing the CPA exam in 3 months requires extreme dedication, a rigorous study plan (around 40+ hours/week), focused review of challenging topics (like FAR), consistent practice with MCQs and simulations, and prioritizing health, but it's achievable by dedicating 400+ hours to a structured routine using a review course, fitting study into daily chunks, and emphasizing active recall over passive reading. 

Is there still a shortage of CPAs?

About 124,200 new jobs per year are expected to open up for accountants and auditors through 2034, according to the U.S. Bureau of Labor Statistics. But a rise in retiring accountants along with a drop in the number of incoming individuals means a shortage of incoming CPAs.

What are the changes in CPA 2025?

Comments are due May 3, 2025

Enable states to adopt a third licensure pathway (earn a bachelor's degree, complete two years of professional experience, and pass the CPA Examination) Shift to an “individual-based” mobility model, which allows CPAs to practice in other states with just one license.

Can a CPA make 300k a year?

Yes, a CPA can definitely make $300k, especially in senior leadership roles like Partner, CFO, or VP in Big Four firms or large corporations, or by owning a successful firm, though it typically requires significant experience (often 10+ years) and strategic career moves into high-demand areas like tax, consulting, or corporate finance. While not the norm for entry-level or mid-level roles, hitting $300k is achievable by focusing on specialized skills, experience, and high-impact positions.
 

What states don't require 150 hours for CPA?

While most states still require 150 hours for full CPA licensure, several, including Virginia, Ohio, Utah, South Carolina, Oregon, Illinois, and others, are enacting alternative pathways, often swapping those extra credits for more work experience or different educational tracks, making licensure more accessible by allowing entry with 120 credits and experience.
 

Where are CPAs paid the most?

CPAs with three or more years of post-designation experience had a median compensation of $154K, up significantly from $143K reported in 2023. Among provinces/territories with at least 100 CPAs reporting, compensation was highest in Alberta ($169K), followed by Ontario ($163K) and Saskatchewan ($147K).

Do tax lawyers make more than CPAs?

Yes, tax attorneys generally make more than CPAs because of their specialized legal expertise and higher earning potential in complex legal matters, with lawyers' median pay around $151k versus accountants' $81k according to 2024 data, though top-tier CPAs in corporate roles can earn significantly, sometimes exceeding basic attorney pay. Both roles offer high earning potential in specialized areas, with tax attorneys focusing on legal strategy and court representation, while CPAs excel in accounting, compliance, and financial planning. 

Is a 75% on the CPA Exam passing?

Yes, a score of 75 or above on a CPA exam section is a passing score, but it's crucial to understand it's not a literal 75% of questions answered correctly; the score is on a 0-99 scale, reflecting sufficient knowledge to protect the public interest, based on weighted question difficulty and performance.
 

Is becoming a CPA impressive?

Becoming certified is a lot like getting a law license. It's proof that you've mastered the vital elements of your profession through years of academic and technical training. As a CPA, you'll also have access to jobs with higher authority and responsibility — and you'll enjoy greater career stability.

Is CPA still worth it in 2025?

Yes, the CPA is still highly worth it in 2025, offering significant advantages like higher earning potential, enhanced job security due to industry shortages, and access to leadership roles, acting as a career catalyst even with AI, because it validates specialized expertise and ethical commitment, opening doors in public accounting, corporate finance, and advisory, though its primary value shifts slightly depending on your specific career path. 

Which is the 3 toughest exam in the world?

The top 3 toughest exams globally consistently include China's Gaokao (college entrance), India's IIT-JEE Advanced (engineering), and India's UPSC Civil Services Exam (government jobs), due to their extreme competition, vast syllabi, and life-altering consequences, though other candidates like the All Souls Prize or Master Sommelier Diploma are also noted for extreme difficulty. These exams demand immense knowledge, analytical skills, and endurance, with failure often meaning significant setbacks, making them notoriously difficult.
 

How many people pass all four CPA exams first try?

Only a small percentage of candidates pass all four CPA exam sections on their first try, with estimates generally falling between 13.9% and 20%, though some older data suggests around 13.6%. While individual section pass rates vary (often 40-70% depending on the section and quarter), successfully completing all four parts on the first attempt is a challenging feat, with many candidates taking longer or needing multiple attempts to pass all sections within the 18-month window, say sources like Accounting Today and UWorld.