Talent Pipeline | Young Professionals | Students

New National Survey Report Sheds Light on Top Challenges Impacting the Talent Pipeline

A new national survey report by the Illinois CPA Society, in partnership with the Center for Accounting Transformation, offers fresh insights into the factors that influence accounting students’ and young professionals’ decision on whether or not to pursue CPA licensure. 

The Colorado Society of CPAs is proud to have served, alongside 26 other organizations, as a research partner in the endeavor, which yielded perspectives representing all 50 states, the District of Columbia, Puerto Rico, and abroad.

The report, "Re-Decoding the Decline: An Updated CPA Pipeline Report," is a followup to the Illinois Society’s 2021 offering, “A CPA Pipeline Report: Decoding the Decline.” The new report reveals respondents’ perceptions of CPAs and the CPA credential, and identifies the top challenges and deterrents driving their decisions on whether to pursue CPA licensure. 

The findings provide valuable insights that, the survey report authors note, the CPA profession and its stakeholders cannot ignore while trying to counter the persistent decline in the number of individuals pursuing the CPA credential.

The following are among the highlights of the report findings:

  1. The perceptions of the CPA credential are largely positive, even among those who don’t want it. Just 1% of respondents said the CPA credential isn’t valuable in the marketplace, and only 3% said the CPA credential isn’t valuable to their careers. The vast majority agreed or strongly agreed that the CPA credential carries significant benefits, such as building credibility with the people who CPAs serve (84%), opening doors with employers (83%), providing job security and stability (77%), providing higher earning potential (76%), providing valuable and transferable skills (74%), and building credibility with coworkers and peers (72%). 
  2. In line with the 2021 report’s findings, time remains the top barrier to prospective CPAs earning the credential. Across all survey respondents, “workload time commitments to study for the exam” ranked as the top challenge to becoming a CPA (25%), followed by “personal time commitments to study for the exam” (18%). 
  3. The hot talking points appear less dire. While some reports argue that the 150-credit-hour requirement and the cost of the exam are among the top barriers to becoming a CPA, the Re-Decoding survey findings show otherwise. The time related to obtaining the additional 30 credit hours, for example, wasn’t identified as a top challenge by any respondent group. Additionally, just 6% cited the “overall cost of the exam application, review course, and exam fees” (No. 7 top-ranked barrier), and only 5% of respondents cited “overall cost of obtaining the additional 30 credit hours” (No. 8 top-ranked barrier).
  4. Relevance and value drive career choices. What drives people to pursue the CPA credential? Survey respondents revealed that earning potential was the most popular criteria in selecting a job (60%), followed by three other notable factors: job security (37%), work-life balance (35%), and potential for advancement (34%). 
  5. The key to unlocking the CPA credential’s appeal is overcoming time constraints. The survey report notes that expanding testing windows, providing paid time off, reducing workloads, and other time-management assistance would go a long way in addressing the top barrier: time required to pass the CPA exams. It’s within the power of stakeholders in the profession to help repair the CPA pipeline if they’re willing to lend the support. This especially rings true in public accounting firms, where staff members must be CPAs in order to advance within their firms.

Thanks to widespread distribution efforts, 7,780 accounting students, graduates, and young professionals under age 35 who were pursuing, or had pursued, accounting degrees and careers — including CPAs and non-CPAs — completed the survey. Among the respondents were 3,287 full- or part-time students. 

A Colorado Perspective 

"The Illinois Society’s research provides another crucial puzzle piece of data and insights, enabling us all to address the systemic and multi-faceted pressures on the talent pool within our profession,” said COCPA CEO Alicia Gelinas, CPA. 

“At its core, the pipeline challenge revolves around a significant value proposition and requires looking at all the factors that produce a professional return on investment. By integrating insights and perspectives from various sources, we as a profession can determine how to preserve and enhance the overall ROI for future generations while maintaining our underlying duty to protect the public interest." 

The COCPA continues to support members in tackling talent pipeline challenges through a comprehensive, multi-faceted approach focused on the following:

Awareness: The COCPA raises student awareness about the accounting profession by engaging in activities such as attending career fairs and meeting with accounting student groups and educators, with the goal of inspiring and informing the next generation of accountants. Providing members the opportunity to participate in forums, surveys, and educational opportunities to share insights provides awareness to members to which they can respond.

Advancement: The COCPA supports students and emerging professionals as they embark on and progress in their accounting careers. COCPA initiatives include a robust mentorship program and leadership training sessions designed to equip students and early careerists with the skills and guidance that they need for success.

Assistance: The COCPA provides essential support to students and emerging professionals as they pursue accounting degrees and CPA licensure. This includes providing one-on-one guidance on navigating the licensure process, offering mock CPA exams, and granting  scholarships through the COCPA Educational Foundation to ease financial burdens. Consider donating to the Educational Foundation to help make a tangible difference. 

Advocacy: The COCPA advocates at both the state and federal levels to address pipeline barriers. Efforts include partnering with the Colorado State Board of Accountancy to streamline the licensure process, and supporting other initiatives aimed at removing obstacles for aspiring accountants.

Acknowledgement and attraction: The COCPA celebrates newly licensed CPAs and facilitates networking within the profession. Efforts include the annual CPAs Make a Difference celebration, various professional and social networking opportunities, and other initiatives to attract and retain talent within the accounting profession.

Above all, the COCPA champions the idea of professionals and states working together to address pipeline challenges. Collaboration is key to maintaining the benefits of mobility and ensuring a cohesive and supportive environment for the accounting profession.

Through these efforts, the COCPA remains committed to nurturing and sustaining the future of accounting, and seeks to make a meaningful impact on the profession and its members.

Visit the members-only COCPA Resource Center to download a copy of the Illinois CPA Society’s report, “Re-Decoding the Decline: An Updated CPA Pipeline Report.” 

Join COCPA CEO Alicia Gelinas, CPA, for a July 17 webcast, Hot Topics in Accounting, a discussion of the topics that are most pertinent to the profession, including an update on activities aimed at addressing talent pipeline challenges. The online session begins at 8:30 am and offers 2 CPE credits.

Additional blog posts on accounting pipeline-related initiatives: