Masters In Accounting

There are different names for the Master of Accounting degree, including Master of Accountancy, Master of Professional Accountancy, and Master of Science in Accounting, but all of them serve the same basic purpose of providing students with the skills to do high-quality, meticulous financial accounting for a range of businesses; from small startups with relatively simple bookkeeping needs to massive investment banks with multi-dimensional financial instruments that need careful management.

What Do You Learn in A Master of Accounting Program?

Accounting programs cover a range of general and specific accounting knowledge, from basic double-entry bookkeeping, the industry standard, to complex financial analytics, budget planning strategies, and auditing techniques.

Accounting practices are intimately tied up with tax and securities law, and most Master of Accounting programs will cover the appropriate tax forms for different sizes and types of businesses. Accounting students should learn how to audit a company’s tax documents and keep track of income and payout receipts, exemptions and deductions, and other tax relevant numbers.

Math skills are crucial for an accountant. Being able to perform calculations correctly and consistently is a small but necessary part of the job, and understanding complex mathematical models and innovative metrics will help you grow a company and advance your role within it. Probability, statistics, and applied mathematical modeling are all part of the curriculum for accounting students.

CPAs, CFOs, The IRS and The SEC: Acronyms in Accounting and What They Mean

Like anything related to finance, the field of accounting is awash in acronyms that require further explanation to anyone outside the industry. Here are a few of the acronyms that accountants need to know, and explanations of what they mean:

• Securities and Exchange Commission (SEC): The SEC is a federal agency that monitors and regulates the exchange of stocks and options (collectively dubbed “securities”) and the financial practices of companies in the U.S.A. Publicly traded companies submit quarterly financial reports to the SEC, and any accountant submitting these reports needs to be certified.
• Certified Public Accountant (CPA): This is a big one. Any accountant submitting reports to the SEC must first pass the CPA exam. This is the primary credential for practicing accountants in the U.S., and rigorous study is required. 46 states require CPA candidates to be college graduates with at least 150 credit hours under their belts, and around half of CPA test takers fail at least one portion of the test on their first try. The CPA is a national credential, and many states require local certification for practicing accountants as well. Any aspiring accountant should be aware of the CPA before even entering a degree program.
• The Internal Revenue Service (IRS) is the governmental body that collects taxes and monitors individual and corporate tax activity within the U.S. Accountants have significant interaction with the IRS, and will become intimately aware of its workings throughout college.
• Chief Financial Officers (CFOs) are the big picture money managers at companies. An accountant with business experience and skill can become the CFO at a company, which will allow them to manage a team of financial workers to ensure that the company stays within its budget, pays its taxes, and generally manages its money efficiently. The title of CFO is relatively prestigious, and usually comes with a fat paycheck and a lot of responsibility within the company.

Careers for Master of Accounting Degree Holders

There are two major sectors of accounting, public and private, and diverse career options within each. Accountants can perform a broad range of duties at a single company, including tax preparation, bookkeeping, internal auditing and budget analysis, or they can focus on a specific field like forensic accounting, where they use their skills to investigate financial crimes and settle contract disputes. The following list describes a few common roles filled by people with Master of Accounting Degrees.

• Public Accountant: This is the most general category of accountants, and they do everything from corporate accounting to government consulting and non-profit work. Public accountants can work in the private sector as well. The “public” part of their name just refers to the necessary CPA licensure.
• Auditor: An auditor can specialize in internal audits, making sure a company is complying with financial regulations and using money efficiently, or external auditors, examining the financial books of companies and individuals that may have incorrectly complied with taxation or other regulations.
• Management Accountants: This position focuses more on strategy and innovation within a company. By developing new business models or metrics, a management accountant can increase the efficiency or output of a company, or help the company pivot and take its business in a new direction.
• Accounting Consultant: Instead of working in a particular position in one company, many accountants start their own consulting businesses, and provide various suites of services, tailored to the individual needs of their clients. Accounting consultants can provide a range of services, from tax preparation for individuals to efficiency and budgeting advice for companies. The benefit of owning your own business is that you can choose your own hours and be selective about your clientele.
• Actuaries: This career is heavily based on calculating the probability and economic effect of future events. Many actuaries work for insurance companies to calculate the risk of insuring people, houses, cars, possessions and even lives. Actuaries need strong math skills, especially the ability to use spreadsheets and do probability analyses. Actuarial licensure is different from that of public accountants, but a degree in accountancy can lead to a career as an actuary with additional training. Because of the difficult and technical nature of actuarial work it may take up to eight years of training to be a full actuary, but the pay is commensurate with the amount of required training. Accountants interested in actuarial work should focus heavily on the math side of the curriculum.

Accounting Careers and Their Median Incomes

The Bureau of Labor Statistics provides employment projections and median salaries for a range of accounting related careers. A 22% increase in employment of accountants and auditors is likely between 2008 and 2018. The growing number of businesses and complexity of financial management is causing this sector to grow much faster than the average for all careers.

• Accountants and Auditors Median Salary: $59,430 (as of May, 2008)
• Cost Estimators Median Salary: $56,510 (as of May, 2008)
• Economists Median Salary: $83,590 (as of May, 2008)
• Personal Financial Advisors Median Salary: $69,050(as of May, 2008)

A Master of Accounting degree is a solid choice for people with interest in mathematics and quantitative research as well as business, entrepreneurship, and the financial sector. With such a broad range of businesses existing, and new industries evolving rapidly, it won’t be hard to apply your accounting knowledge to problems you are passionate about.

Whether you want to participate in the coming energy revolution, or work with an internet startup, or just help regular Joes get their taxes done right, you’ll be qualified to do it with an advanced accounting degree. Check out the list of schools with strong online accounting programs below, and get in touch with them for more details about how to get started earning a Master of Accountancy or other post-baccalaureate accounting credential.