CPA 2025 Requirements by State CPA Exam and Accountant Education

Someone engaged in private accounting notes unusual spikes and declines in revenues and expenses, and reports these variances to management. The intent of this analysis is to take action to improve the financial performance of a business. Both public and private accounting involve more or less similar job activities, skills, and education.

What is Public Accounting?

No matter which type of accounting is the job of your dreams, there’s a degree program to help get you there. If you’re ready to take the next step, visit the Accounting degree page to learn more about what Rasmussen College has to offer. Now that you know more about the ins and outs of public versus private accounting, you should be able to determine which path is best for your future. Here are a few points to keep in mind when weighing the pros and cons of a career in public vs. private accounting.

• They act as a third party to review the financial documents of various clients for public disclosure and determine if their financial statements accurately represent cash flow and financial position.
• You’ll need to master a range of hard and soft skills in order to excel in your career as a public or private accountant.
• University Headquarters (UniversityHQ) is your #1 resource for finding top rated colleges, scholarships, potential salaries and helping you find the right career.
• You may also work for an accounting firm that serves a large number of clients.
• Most accounting stereotypes display the world of accounting as a bland number-crunching field, which can’t be further from the truth.

If you need some more help comparing your options, speak with one of our knowledgeable admissions counselors about the degree options we offer at National University. Get where you want to be, faster with B&SC’s convenient, career-focused programs. Before you apply to get your degree, take a moment to learn more about both of these critical financial roles. While BAU does not offer its own on-campus housing, we have established relationships with apartments in the D.C. One thing is guaranteed, you will not miss a single thing on-campus housing offers.

Different Types of Business Degrees

Ultimately, deciding between public and private accounting depends on your career goals, preferences and lifestyle priorities. Whether you thrive in the dynamic environment of public accounting or prefer the stability of private accounting, both sectors offer rewarding opportunities for growth and advancement. Despite these challenges, many professionals find fulfillment and opportunity in private accounting. Private accounting involves managing the financial operations within a single organization, whether it be a corporation, government agency, non-profit entity, or small business.

Skills

However, even then, your accounting will serve only your employer, not the general public. You won’t have to concern yourself very much with making spreadsheets public knowledge. Your supervisor and the company owner rightfully expect that you will maintain confidentiality about the work you do for them. Working as a private accountant, you may work as a freelancer, with your office in your home. If you do freelance, you’ll be able to pick and choose the clients you wish to work for.

Certification Requirements in Public and Private Accounting

• A private accountant is more likely to have a limited span of knowledge that may be confined to a single industry.
• A public accountant is trained in the analysis of accounting systems, collecting evidence, and testing to see if assertions are correct.
• Ultimately, the decision between public and private accounting is a personal one, and there’s no one-size-fits-all answer.
• Unlike public accountants who serve multiple clients, private accountants become intimately familiar with their company’s industry, business model, and strategic objectives.
• Many accountants prepare financial statements for companies to use for stockholders, the IRS, creditors, and other stakeholders.
• Many positions accept candidates with a bachelor’s degree in accounting or finance.
• Generally, entry-level salaries may be similar, but public accountants may see faster salary growth as they advance.

They deal with a wide range of clientele, including individuals, businesses, and sometimes even the government. Getting your bachelor’s degree in accounting is more accessible than ever before. In Accounting that will help you gain the industry-ready skills to work in the public or private accounting environment. In addition to building your accounting capabilities, Franklin gives you a jump-start on pursuing a professional certification, saving you both time and money.

While working with solely one employer can feel more routine, it often leads to a healthier work-life balance. Private accountants often specialize in a specific industry, which can build specific knowledge and skill sets within the chosen field. Public accountants are often employed at tax preparation companies, accounting services, insurance companies and government agencies. Even still, a CPA license can give any accountant a leg up in their career—even those in the private industry.

Five Key Differences Between Public and Private Accounting

Some accountants may thrive in the demanding, fast-paced environment of a public accounting firm. Others may prefer the steady, low-stress environment of a private accounting job. Although both public and private accounting are well-paid, public accountants usually tend to get paid more than private accountants. Public accountants make around $76,165, whereas private accountants make $63,384.

Instead, you’ll be required to provide full disclosure to each client your employer accepts. This is one characteristic you can use to verify whether you will work as a public accountant or a private accountant. Unlike public accountants who serve multiple clients, private accountants become intimately familiar with their company’s industry, business model, and strategic objectives. This specialization allows them to provide customized financial insights and support decision-making processes within their organization.

So, let’s embark on this journey and unravel the complexities of public public vs private accounting vs. private accounting, empowering you to carve out a rewarding and fulfilling career in the world of finance. Public accountants work face-to-face with a wide variety of clients, so they need to have good communication skills. A meticulous attention to detail and respect for the privacy of their clients is vital for both public and private accountants. Even small mistakes can have big consequences for clients and the accountant could face sanctions. A public accountant may have experience in multiple industries, depending on the range of clients.

However, the distinctions can be seen in the skill developed after the fresh graduates join either career path. Public and private accounting can be seen as “external” accountants and “internal” accountants of a company, respectively. It is important to understand the various facets of the two in the pursuit of either career option.

However, according to data from Zippia, more than three-quarters of corporate or private accountants (76%) hold bachelor’s degrees, while about one in 10 (12%) hold master’s degrees. Still, when choosing the path you want to pursue, it doesn’t necessarily have to be permanent. Entry-level accountants begin working for large public accounting firms, where they’ll work extended hours as they seek their CPA license. These accountants tend to transition into a private accounting role if they prefer the nature of the work it offers. While both work in an office setting, public accountants might have to travel to visit clients at their offices, whereas private accountants typically work from a single location. This is because public accountants work with various clients, such as individuals, corporations, or government bodies.