What you need to become a CPA

A CPA (Certified Public Accountant) license requires four things: a bachelor's degree with accounting coursework, passing the Uniform CPA Exam, meeting your state's experience requirement, and explore through your state board of accountancy. The entire process typically takes three to five years from start to finish, depending on how quickly you complete the exam sections and accumulate work hours. Unlike a driver's license, there is no single national CPA license — you get licensed in one specific state, though most states have reciprocity agreements that let you practice across state lines.

The path is standardized enough that the steps are the same everywhere, but the timing and specific requirements shift by state. Your state board of accountancy is the body that actually grants the license, not a federal agency. You will need to check your state's rules early because some states require more than 150 college credits (the federal minimum), and some have different experience hour requirements depending on whether your degree is in accounting or a related field.

Key Takeaways

  • You must complete at least 150 college credits (typically a bachelor's degree plus additional coursework) with specific accounting and business courses before you sit for the CPA Exam.
  • The Uniform CPA Exam has four sections and costs several hundred dollars; you can take sections in any order, but most people take all four within an 18-month window.
  • After passing all four exam sections, you must work under a licensed CPA for a set number of hours (usually 1,000 to 2,000 depending on your state and degree type) before you can explore for your license.
  • Your state board of accountancy is where you explore for licensure, not the AICPA (American Institute of CPAs), which administers the exam but does not issue licenses.
  • Once licensed in one state, you can usually practice in other states through reciprocity, but you may need to notify those states or meet additional requirements.

Meeting the education requirement: 150 college credits and accounting courses

Most states require 150 college credits before you sit for the CPA Exam. This is typically a four-year bachelor's degree (120 credits) plus 30 additional credits, though some people complete it as a five-year program or through a master's degree. The credits must include specific courses: financial accounting, managerial accounting, auditing, taxation, and business law are standard. Your state board publishes the exact list of required courses on its website.

You do not need an accounting degree — a business degree, finance degree, or even a degree in another field works as long as you complete the accounting courses separately. However, some states give you credit toward the experience requirement if your degree is specifically in accounting, which can shorten the timeline. Check your state board's website before you enroll in a program, because some schools' accounting curricula do not meet all state requirements, and you could waste credits.

The 150-credit requirement is a federal rule set by the AICPA, but your state board enforces it. If you completed your degree before this rule took effect (2000 in most states), you may have been grandfathered in with fewer credits — ask your state board if you are unsure whether you meet the threshold.

Passing the Uniform CPA Exam: four sections and timing

The Uniform CPA Exam is administered by the AICPA and Prometric (the testing company). It has four sections: Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR), and Regulation (REG). You must pass all four, but you can take them in any order and retake any section you fail. Most people take all four within 18 months, though you have up to five years to complete them once you sit for your first section.

Each section costs between $200 and $250, so the total exam cost is roughly $900 to $1,000 before any retakes. You schedule each section through the Prometric website, and test dates are available year-round at testing centers in most cities. You must have your 150 college credits completed before you sit for the first section — your state board verifies this when you register with them.

Passing rates vary by section, but roughly 40 to 50 percent of test-takers pass each section on their first attempt. Most people study for 100 to 300 hours per section using review courses (Becker, Roger CPA Review, and Surgent are common choices, costing $1,500 to $3,000 for a full package). You do not have to use a review course, but most people find it necessary.

Registering with your state board before you test

Before you sit for your first CPA Exam section, you must register with your state board of accountancy. This is a separate step from registering with Prometric. Your state board verifies that you have completed the 150 college credits and meet any other requirements (some states require a certain number of credits in specific subjects, or a minimum GPA). Registration typically costs $100 to $300 and takes one to two weeks.

You will submit official transcripts from your college directly to your state board. If you are still completing credits, some states let you register conditionally and sit for the exam before your final courses are done, as long as you finish them before you explore for your license. Check your state board's rules on this — it varies.

Your state board will give you a registration number that you use when you register for exam sections with Prometric. Without this number, Prometric will not let you sit for the exam.

The experience requirement: working under a licensed CPA

After you pass all four exam sections, you must work under a licensed CPA for a set number of hours before you can explore for your license. Most states require 1,000 hours (roughly six months of full-time work), but some require 2,000 hours (one year full-time). A few states have different requirements depending on whether your degree is in accounting or another field. Your state board's website lists the exact requirement.

The work must be in accounting, auditing, taxation, or a closely related field, and it must be supervised by a licensed CPA. This typically means you work at a CPA firm, in a corporate accounting department, or in government accounting. The hours do not have to be consecutive — you can accumulate them over several years if needed. Your employer (or the supervising CPA) will sign off on your hours when you explore for your license.

Some states let you count work experience you completed before passing the exam toward this requirement, which can shorten the timeline. Others require the experience to come after you pass all four sections. Check your state board's rules before you start working, because the timing matters.

explore for your CPA license through your state board

Once you have passed all four exam sections and completed the required work hours, you explore for your CPA license directly through your state board of accountancy. You will submit an process (usually online), proof of your work hours signed by your supervising CPA, and pay a licensing fee (typically $100 to $300). Processing takes two to six weeks in most states.

Your state board will verify your exam scores with the AICPA and confirm your work hours with your employer. If everything checks out, you receive your CPA license and a license number. You can then use the CPA title and practice as a licensed CPA in your state.

Some states require you to take continuing education courses every year or every two years to keep your license active. These are usually 20 to 40 hours per year and cover accounting, auditing, taxation, or ethics. Your state board publishes the requirements and approved course providers on its website.

Practicing in other states after you get your license

Once you are licensed as a CPA in one state, you can usually practice in other states through reciprocity. Most states have reciprocity agreements, which means they recognize your CPA license from another state without requiring you to retake the exam or meet additional education requirements. However, you may need to notify the other state that you are practicing there, and some states have additional requirements (like a certain number of continuing education hours or a background check).

If you want to hold an active CPA license in multiple states, you typically explore for licensure in each state separately. Some states charge a reciprocity fee (usually $50 to $200) and require you to submit proof of your license from your home state. A few states have different rules — check the state board's website for the state where you want to practice.

Frequently Asked Questions

Can I sit for the CPA Exam before I finish my 150 college credits?

No, you must have completed all 150 credits before your state board approves your registration with Prometric. Some states let you register conditionally if you are in your final semester, but you cannot sit for the exam until your state board confirms you have finished all coursework.

What happens if I fail a section of the CPA Exam?

You can retake any section you fail. There is no limit on retakes, but you must wait at least one day before retaking a failed section. Each retake costs the full exam fee again. You have five years from the date you sit for your first section to pass all four sections; if you do not pass all four within five years, your scores expire and you must start over.

Do I have to work at a CPA firm to get my experience hours?

No, you can accumulate experience hours in any accounting role (corporate accounting, government, nonprofit, or industry) as long as you work under a licensed CPA's supervision. The work must be in accounting, auditing, taxation, or a related field, but the employer does not have to be a CPA firm.

Can I use my CPA license from another country?

No, you cannot transfer a CPA license from another country. You must sit for the Uniform CPA Exam and meet your state's requirements. Some states offer a pathway for international accountants, but it typically still requires passing the exam or meeting additional education requirements — check your state board's website.

How much does it cost to become a CPA?

The total cost varies, but expect $3,000 to $5,000 in direct costs: roughly $1,000 for the exam (before retakes), $1,500 to $3,000 for a review course, $100 to $300 for state registration, and $100 to $300 for licensing. If you retake sections or need additional college credits, the cost increases. Many employers reimburse CPA exam costs for employees.