The complete guide to accounting degrees and careers

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Key information

Salary with bachelor’s degree: $62,616
Best state for accounting: Wyoming
Salary with master’s degree: $73,532

Ever since the invention of double-entry bookkeeping in medieval Florence, accountants have been helping clients keep track of their assets and achieve financial success. Accountants are fluent in the “language of business”, and play a vital role in the financial performance of both companies and government entities. Some accountants advise individuals on their taxes and personal finances, while others track down tax dodgers or manage the ledgers of huge multinationals.

Majoring in accounting is a pre-requisite for becoming a certified public accountant in most states, but becoming a CPA will likely require earning an additional 30 credits beyond the bachelor’s as well as completing a certain number of training hours and passing certification exams.

In addition to being able to work for virtually any kind of business, accounting majors can work:

in accounting or auditing firms
for the government
for NGOs

Accountants can also go solo, offering consulting services to individuals or organizations.

Studying accounting in college

Initially, accounting majors learn the basics of economics, business law, and taxation. They usually take mathematics courses too. Students then go on to obtain a more in-depth understanding of specific types of accounting, including audit and control, cost accounting, fund accounting, and forensic accounting. By graduation, accounting majors will know how to properly record transactions, report financial information, and keep their employer’s finances above board.

Associate degree in accounting

An accounting associate degree provides a foundation in accounting, math, and business principles, equipping graduates with the skills required for many entry-level positions. Better still, it is usually possible to transfer the credits earned on this program to a bachelor’s degree.

Popular online programs

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Accounting careers with an associate degree

With an associate degree in accounting, you can qualify for entry-level roles in bookkeeping, payroll administration, or tax accounting. Typically, progressing up the ranks requires on-the-job training, as well as building on your knowledge with a bachelor’s degree.

Tax Preparer

Tax preparers assist businesses and individuals in preparing and filing tax returns. The Bureau of Labor Statistics (BLS) notes “moderate on-the-job training” is required for tax preparers. This means you can enter the field with an associate degree, but will likely need a fair share of training before you can work independently.

Projected growth (2020-2030) 1.6%

Wage estimates

$27,680 10%

$34,350 25%

$48,250 Median

$74,500 75%

$96,610 90%

Bookkeeping/Auditing Clerk

Bookkeeping clerks are responsible for maintaining accurate financial records for businesses and organizations. Auditing clerks verify the accuracy of financial records and ensure compliance with regulations. In corporate settings, the work of clerks is typically monitored and verified by controllers and other supervisors, but smaller businesses may employ a full-charge bookkeeper to manage all accounting needs.

Projected growth (2020-2030) -3%

Wage estimates

$30,460 10%

$37,180 25%

$45,860 Median

$55,310 75%

$65,540 90%

Payroll and Timekeeping Clerks

Payroll and timekeeping clerks keep track of employee payroll data. They may also compute time worked, production, and commission, post wages and deductions, and prepare paychecks. The rise of automation is likely contributing to the predicted decline in jobs for these professionals.

Projected growth (2020-2030) -3%

Wage estimates

$30,460 10%

$37,180 25%

$45,860 Median

$55,310 75%

$65,540 90%

Bachelor’s degree in accounting

An accounting major teaches students about taxation, bookkeeping, economics, and various types of accountancy, as well as the information systems accountants use in their work.

At the undergraduate level, students may be able to choose between a B.A. (Bachelor of Arts), B.S. (Bachelor of Science), or a B.B.A (Bachelor of Business Administration), although the B.S. in accounting is the most common route.

There are many accounting careers for recent graduates with only a bachelor’s degree; demand for accountants is high, and accounting jobs tend to be fairly lucrative.

Is a degree in accounting worth it?

Short-term earnings with a bachelor’s in accounting (3 years after graduating) are $52,631. This is $1,543 more than the national average for all bachelor’s degrees and places bachelor’s in accounting earnings in the top 35% of 289 evaluated programs. These salary figures are for all bachelor’s in accounting graduates no matter what job they do after college. We provide career-specific salaries further below.

Years to earn back cost of bachelor’s in accounting

It takes the average bachelor’s in accounting student 3.37 years to earn back their educational investment, compared to 4.5 years for all bachelor’s students. We calculate payback by dividing the costs of attending a school by the average earnings compared to peers in the state without a college education.

Accounting

2.9

National average

8.5

Accounting

2.7

National average

8.2

Our economic score also takes into account how much more or less students earn when compared to the weighted average nationally for all majors, what we call EarningsPlus. The economic score of 3.2 places the bachelor’s in accounting in the top 35% of all bachelor’s degrees.

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Top 3 schools for accounting majors

Based on economic performance, CUNY Bernard M Baruch College, CUNY Hunter College, and the University of Florida are the top 3 schools for accounting majors nationally.

CUNY Baruch College

University of Florida

Florida State University

Jobs you can get with an accounting degree

National wage average

$46,310

National demand increase (2021-31)

7.7%

Accounting jobs with a bachelor’s degree pay around 70% more than the national wage average. Note that the salaries given below present a long-term, career-specific picture, as opposed to the short-term, degree-based earnings shown above. While financial risk specialists have significantly higher median salaries than other accounting professionals, financial examiners are most in demand, with 21% employment growth expected over the next decade.

A lot of the following careers have significant overlap with business and finance, and may be accessible with a degree in one of those fields.

Accountant/Auditor

Accountants advise individuals and businesses on a wide range of financial matters, record financial transactions, and prepare financial statements. Auditors verify the work completed by accountants, ensuring accuracy, validity, and compliance with generally accepted accounting principles (GAAP). Around 23% of accountants and auditors have a master’s degree.

Projected growth (2020-2030) 6.9%

Wage estimates

$48,560 10%

$60,920 25%

$78,000 Median

$101,150 75%

$132,690 90%

Budget Analyst

Budget analysts help organizations make informed financial decisions. They develop and manage budgets, monitor spending, advise on financial planning, and assist with forecasting future financial performance. Although you can enter the field with a bachelor’s degree, 31.9% of budget analysts have a master’s degree, which is higher than any of the other occupations listed here.

Projected growth (2020-2030) 4.8%

Wage estimates

$53,000 10%

$65,360 25%

$82,260 Median

$104,290 75%

$128,170 90%

Credit Analyst

Credit analysts are finance professionals who evaluate the “creditworthiness” of individuals or businesses by examining their past financial and credit history. They also monitor existing credit accounts to ensure compliance with policies and identify potential risks. Some aspects of their work may soon be replaceable by automated processes, which is a possible explanation for the negative predicted job growth.

Projected growth (2020-2030) -5.8%

Wage estimates

$47,960 10%

$60,290 25%

$78,850 Median

$105,900 75%

$161,800 90%

Financial Risk Specialist

Financial risk specialists, sometimes called risk analysts or risk managers, measure and assess various types of risks that threaten an organization’s financial position, and suggest ways to mitigate risk.

Projected growth (2020-2030) N/A

Wage estimates

$59,510 10%

$77,800 25%

$102,120 Median

$134,720 75%

$175,720 90%

Insurance Underwriters

Insurance underwriters evaluate and analyze the risks involved in insuring people and assets. They establish insurance pricing and determine whether insurance coverage can be offered to potential clients based on factors such as age, health, and credit score.

Projected growth (2020-2030) -1.8%

Wage estimates

$47,340 10%

$59,790 25%

$76,230 Median

$100,790 75%

$130,210 90%

Master’s degree in accounting

Although you can get a good position in accounting with only a bachelor’s degree, there are several reasons to continue on to a master’s on your road to becoming an accountant:

To fulfil the credit-hour requirement to become a CPA. This is one of the most common reasons to get a master’s in accounting.
To become the sharpest accountant in the room, able to take on positions that require more specialized skills, such as senior auditor or financial controller.
To enter a management position. If you want a position that combines managerial and accounting skills, you may also want to consider an MBA with an accounting specialization.
To get promoted faster and have access to higher-paying jobs.

Master’s in accounting salary information

Short-term master’s in accounting earnings (3 years after attending school) are $63,270. This is $917 less than the national average for master’s earnings, placing accounting graduate earnings in the top 38% of master’s programs out of a total 228 measured. Accounting master’s students see a 20% increase in earnings over the bachelor’s degree, which is slightly below the average of 30% for all master’s degrees.

Accounting

0.5

National average

0.7

Accounting

0.5

National average

0.7

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Top 3 master’s in accounting programs

According to our economic score, La Salle University, Abilene Christian University, and Georgia College & State University are the top 3 schools for graduate education in accounting nationally.

Abilene Christian University

Bryant University

University of Nebraska, Lincoln

Accounting careers with a master’s degree

National wage average

$46,310

National demand increase (2021-31)

7.7%

According to the BLS, no accounting roles formally require a master’s degree for entry. However, we list these careers here as they all require at least one of the following: additional credits beyond the bachelor’s, more than 5 years’ work experience, or substantial on-the-job training.

Long-term earnings in these finance and accounting careers exceed the national wage average of $77,750 for occupations that require a master’s degree, and significantly exceed the Census Bureau’s figure of $69,700 for workers aged 25-34.

Certified Public Accountant

CPAs hold special certification allowing them to perform key functions that non-certified accountants cannot. While the BLS does not show separate salary information for CPAs, the rigorous certification criteria mean experienced CPAs often earn on the higher end of the accountant salary range (closer to $128,970). Demand projections for CPAs are also likely higher than the figure for all accountants, given continued shortages of these top-tier accountants.

Projected growth (2020-2030) 6.9%

Wage estimates

$48,560 10%

$60,920 25%

$78,000 Median

$101,150 75%

$132,690 90%

Actuary

Actuaries assess and manage financial risks using math, statistics, and financial theories. They play a crucial role in the insurance, pension, and financial industries. The BLS notes “Long-term on-the-job training” for this highly lucrative and in-demand career. A master’s in accounting can replace some of that training and potentially speed up career progress.

Projected growth (2020-2030) 24.5%

Wage estimates

$71,760 10%

$84,800 25%

$113,990 Median

$155,670 75%

$199,300 90%

Financial Examiner

Financial examiners make sure banks and other financial institutions are complying with all relevant laws and regulations. Some focus on consumer compliance, ensuring consumers who borrow money do so on fair terms. Others focus on risk assessment, evaluating and monitoring the “health” of financial institutions. The BLS notes “long-term on-the-job training” for this role; a master’s in accounting could take the place of some of that training and accelerate career advancement.

Projected growth (2020-2030) 17.9%

Wage estimates

$48,490 10%

$62,250 25%

$82,210 Median

$118,370 75%

$162,760 90%

Financial Manager

Financial manager develop financial strategies, analyze and report on financial data, and advise senior management on decisions to maximize profits. Financial managers also monitor the organization’s financial performance and oversee investment activities and compliance with legal requirements.

Projected growth (2020-2030) 17.3%

Wage estimates

$79,050 10%

$104,150 25%

$139,790 Median

$203,720 75%

N/A 90%

Financial and Investment Analyst

Financial analysts help businesses and individual clients make choices around expending resources to make a profit. They use operational, financial, and external data like market trends to inform and guide corporate decision making. While you can become a financial analyst with a bachelor’s degree, 33% of these professionals have a master’s degree – more than any of the other careers listed on this page.

Projected growth (2020-2030) N/A

Wage estimates

$58,950 10%

$73,320 25%

$95,080 Median

$126,120 75%

$169,940 90%

Final thoughts

Accounting and finance professionals are likely to remain in high demand for the foreseeable future. Financial operations such as generating invoices, making payments, and managing accounts payable and receivable are crucial even for small businesses. In addition, larger businesses require skilled accountants for preparing tax returns, auditing books, and producing detailed financial statements. While certain roles such as payroll clerk and credit analyst may face the threat of automation, numerous other roles are predicted to remain in high demand.

www.degreechoices.com is an advertising-supported site. Featured or trusted partner programs and all school search, finder, or match results are for schools that compensate us. This compensation does not influence our school rankings, resource guides, or other editorially-independent information published on this site.

Accounting careers and fields

Key information

Studying accounting in college