How to become a chartered accountant (CA) – Qualification required for chartered accountancy :-
What is Chartered Accountancy :-Hello friends, welcome to career-swift.com. Once again, there is our topic in your service today, how to become a Chartered Accountant and a career after becoming a CA, what are the problems in this field, we are going to tell you about this CA’s career information in this post. Which will be helpful for our young comrades.
Chartered accountancy is one of the most popular career options in India. Though this profession is not easy but if you want to become a Chartered Accountant then you will need a right advisor and preparation.
After becoming a Chartered Accountant you get a very good salary, a great career path and honor.
What is chartered accountancy? < Qualification required for chartered accountancy > :-
Chartered accountancy is the most important field of business. Chartered accountants are required to run the company smoothly for the benefit of the company.
In the era of capitalism, the value of the market increases and every big company is trying to capture more and more market. In such a situation tremendous competition is seen in companies.
Every company needs creative ideas for progress, with different types of business accounting.
Chartered accountants are required to perform all such responsibilities.
Friends, this is a very challenging field. In which a deep understanding on the subject of socio-economic and market is essential to make a career.
Along with the ability to analyze all the finer aspects related to business, a good grasp of mathematics is also necessary.
It should also include the application of theoretical knowledge related to business.
How to become a Chartered Accountant?
To become a CA Chartered Accountant, you must become a member of the ICAI Institute of Chartered Accountants of India (ICAI).
The best part is that you can register for the CPT Common Proficiency Test (CPT) only after passing high school.
After 10 + 2 you have to take this exam. In this, questions related to basic principles of accounting, mercantile law, general economics and consequential knowledge are asked.
Students and young people who have passed the graduation examination from any category can directly appear in the second stage examination.
There is no compulsion for them to take the CPT exam. In this phase you will have to pass the IPCC Integrated Professional Competence Course (IPCC) exam.
In this examination divided into 2 groups, 7 papers related to accounting, business communication, taxation, auditing, tax etc. have to be given.
In the third stage you have to pass the final exam of Chartered Accountancy. This exam is counted among the most difficult examinations in the world. It is also divided into 2 groups.
In this exam, you have to give a total of 8 papers related to advanced level strategic financial management, auditing, corporate law, advanced level accounting, information technology, tax etc. You can become a member of ICAC only after passing this final exam.
Job and salary after CA < What does a chartered accountant do? > :-
After becoming a member of ICAI, you can apply for any government-semi-government or private institution for the post of Company Secretary, Economist, Accounting, Banking, Stock Broking etc.
ICICIC Prudential Life Insurance Company, Wipro Limited, ITC Limited, Jindal Steel & Power Limited, Bank, any auditing firm etc. can apply for jobs.
The pay scale of a chartered accountant varies according to qualification and ability.
But at the average level a chartered accountant gets an annual pay scale from 8 lakh to 12 lakh. Foreign company may have an annual pay scale of 16 lakh to 22 lakh.
Why build a career in chartered accountancy?
The simple reason to pursue a career in Chartered Accountancy is that it is a very well-paid and secure profession.
The whole world runs on money and every business needs someone to manage their finances, help with filing taxes, and audit.
The whole world runs on money and every business needs someone to manage their finances, help with filing taxes, and audit.
Scope of chartered accountancy :-
As a chartered accountant, you can work in the following sectors:
- Businesses and industries
- Chartered accountant firms
- Consultancy firms
- Institutions
- Capital market services
- Financial institutions
- Independent practice
Chartered accountants are always in high demand in the areas mentioned above.
You can work for either a business or an organization and help manage their accounts, finances, taxation or audit. You can also work independently and offer your services to someone who wants it.
Financial institutions are always looking for skilled chartered accountants, which is another employment opportunity.
Working for consultancy firms is another way to use your accounting skills.
Consultancy firms appoint chartered accountants to their various clients to help them with their short or long term financial goals.
Therefore, if you want to work for multiple clients then a consultancy firm may be right for you.
Demand for chartered accountants :-
According to the Times of India, in April of 2018, there were only 2.82 lakh CAs in India and of which only 1.25 lakh were in full-time practice.
This means that only 44% of the total CAs were actively working. Given the fact that India has 6.8 crore taxpayers and more businesses are setting up each year, the demand for CA is greater than ever.
So, this is the right time to come on the CA bandwagon and pursue this highly fruitful career. Employment opportunities are high and they are more likely to grow as more startups and businesses are being set up.
Pros and cons of a career in chartered accountancy :-
| PROS | CONS |
|---|---|
| Six figure salary | Ongoing learning |
| High demand job | Long monotonous working hours |
| Growing industry and opportunities | Difficult deadlines at the end of the financial year |
| Stable income | Lots of stress |
The path to becoming a Chartered Accountant is very clear and clear. If you happen to be a Chartered Accountant then I would like to tell you that this profession provides a steady job with steady growth and a good pay scale but on the other hand you have to be updated with the ins and outs of finance, which means continuous learning.
Further study will be required. In addition, there are certain deadlines that need to be met at the end of each financial year and the work can be really stressful.
Chartered accountancy, like anything, has its pros and cons, so it is really like diving into the deep river and it is important to find out if this money fits above your personality.
Qualification required for chartered accountancy :-
You can start your way into becoming a Chartered Accountant after your twelfth or even after graduation or post graduation.
The paths are similar but if you are an undergraduate or postgraduate, you can skip some steps that are mandatory for someone who has just passed their high school.
Foundation course route (after XIIth) :-
To become a Chartered Accountant you have to pass a series of tests, but before that you must have passed your twelfth and you have also passed your high school.
Here below I am giving you some series of tests which will be mandatory to pass, if you want to become a Chartered Accountant after Twelfth.
- CA Foundation course (previously known as CPT or Common Proficiency Test)
- Integrated Course on Information Technology and Soft skills (ICITSS)
- CA Intermediate (previously known as IPCC or Integrated Professional Competence Course)
- Articleship (3-year training)
- Advanced Integrated Course on Information Technology and Soft Skills (AICITSS)
- FC (Final course)
You need step by step guide to clear these exams and also you need to know all the courses about which it is given below.
Step 1: After completing the twelfth, enter the CA Foundation course.
Step 2: Complete the 4 month study period and appear in the CA Foundation Examination.
Step 3: After approving the CA Foundation Exam, take admission in the CA Intermediate course.
Step 4: Complete 4 weeks of integrated course on Information Technology and Soft Skills (ICITSS). This course has to be completed before your articleship.
Step 5: Complete the CA Intermediate’s 8-month study course and appear for the exam. There will be 2 groups of exams, you must pass at least one before proceeding.
Step 6: Attend 3-year article training after passing any group of CA Intermediate exams and complete ICITSS before starting your article.
Step 7: Clear the remaining group (if any) of the CA Intermediate Examination.
Step 8: Enroll yourself for the CA final course.
Step 9: 4 weeks Advanced Integrated Course in the last two years of your integrated article on Information Technology and Soft Skills (AICITSS) and before appearing for the final exam.
Step 10: Appear for the final exam either after completing your article or during the last 6 months.
Step 11: Complete your article training, if you decide to appear for the final exam while presenting your article.
Step 12: clear the CA final exam.
Step 13: Enroll to nominate yourself as a “Chartered Accountant” as a member of ICAI.
Direct entry route (after graduation or post-graduation) For CA :
If you want to become a Chartered Accountant after your graduation and post-graduation, then the way is the same way as I have given you the above information.
But you can choose this path only if you have done graduation or post graduation in commerce and your minimum is 55 percent.
If you have not done graduation and post graduation commerce then minimum 60% marks is necessary to choose this path.
If you are eligible to apply according to your graduation and post graduation results, then I am providing you some information step by step which you need to follow.
Step 1: Enroll in CA Intermediate Course.
Step 2: Complete 4 weeks of integrated course on Information Technology and Soft Skills (ICITSS). This course has to be completed before your articleship.
Step 3: Register for a 3-year article or practical training.
Step 4: Appeal for the CA Intermediate Examination after 9 months of your training.
Step 5: Clear both groups of CA Intermediate Examination.
Step 6: Register for CA Final Course.
Step 7: 4 weeks Advanced Integrated Course in the last two years of your integrated article on Information Technology and Soft Skills (AICITSS) and before appearing for the final exam.
Step 8: After completing your exam or in the last 6 months of it, appeal for the final exam.
Step 9: Complete your 3 years of training.
Step 10: clear the CA final exam.
Step 11: Enroll as a member of ICAI to nominate yourself as a “Chartered Accountant”.
Job role in Chartered Accountancy ( CA ):-
| TASKS | RESPONSIBILITIES |
|---|---|
| Financial Accounting | Manage accounts, Perform internal audits, Manage salaries and wages, Send out invoices, Managing tax |
| Auditing | Perform statutory audits as per Company Act, Internal audits |
| Cost Accounting | Forecasting, Budgeting & control, Expenditure control |
| Tax Management | Advise on taxes as per changes in business plans |
| Consultancy | Corporate law advice on financial aspects, Project planning, Business advise regarding profits, expansion and more, Information systems management |
Salary Details of Chartered accountant :-
The average salary of a chartered accountant is Rs 786,098. Like any other jobs, the salary of a chartered accountant varies based on years of experience.
| EXPERIENCE | ANNUAL AVERAGE SALARY |
|---|---|
| 1-4 years | ₹3 lakh to ₹11 lakh |
| 5-9 years | ₹4.5 lakh to ₹20 lakh |
| 10-19 years | ₹6 lakh to ₹25 lakh |
Chartered accountant skills :-
| SKILLS | DETAILS |
|---|---|
| Communication | Correct complicated financial information to your friends who are not Chartered Accountants |
| Commercial Awareness | You have to understand every day who are influencing organizations in the business world and which days they are affecting. |
| Ethics | Chartered accountants deal mostly in money and require that great ethics are required by companies to trust them. |
| Analytics | It is a profession of numbers so to make the right business decisions it is necessary that you should also have great analytical skills. |
| Self Motivation | Chartered accountants need to learn continuously and do many things at the same time, then you need to be motivated to learn and adopt it. |
Important tips to get a job as a chartered accountanct :-
To become a Chartered Accountant CA, as much as our first step is necessary, the second is also necessary.
If you want to get the job of a chartered accountant, then you have to focus on your overall personality.
Every employer looks for specific characteristics in each of its employees. It is very important that along with your hard work, your overall personality also depends on you to become a good Chartered Accountant.
Here are some common traits that can make you stand out in an interview and shatter your dream of getting your dream job.
Communication :-
Written as well as oral communication is extremely important for performing any work. As a chartered accountant, you will need to interact with peers, stakeholders and decision makers, and therefore it is important that you are able to receive your message in a professional manner.
Some Important Tips to become a CA By Vedant Vaish < Vedanta Vaish’s journey to become a Chartered Accountant > :-
CA Vedant Vaish (Nov’19-AIR 33-Business Finance Analyst at Flipkart, Ex-EY)
“And, when you want something, all the universe conspires in helping you to achieve it.” ― Paulo Coelho, The Alchemist
When you want something with all your heart and you are truly tenacious towards your goal, your potential becomes unmatched! That was CA for me. Having invested around 5 years of my life for this degree, there was no turning back whatsoever. For the CA Final exams, my aim was just to clear it in the first attempt. Achieving a rank was more of an icing on the cake.
The CA journey for me has been truly amazing, especially my articleship tenure.
EY provided me an opportunity to work and interact with some of the brightest minds in the business.
Each day at EY had been full of new challenges and opportunities. Moreover, the bonds and friendships I have developed in that organisation is something I will cherish forever.
My message to all aspiring Chartered Accountants is to be patient and continue working hard in silence.
Do not give in to peer pressure and imitate what others tell you to do. Every individual is different and special in his or her own way.
You need to carve out the path for yourself. Stay humble, be kind and dream big! Your hard work will always be rewarded.
Keep Learning! Keep Growing!
For any further help or discussion, you can connect with him on LinkedIn:-Https://www.linkedin.com/in/vedantvaish
Click on the link to watch Vedanta Vaish interview.