Arizona is a welcoming destination for launching an accounting career. The Grand Canyon State hosts multiple Fortune 500 companies and ranks among the fastest-growing U.S. states.
Labor market projections also indicate a bright future for accounting professionals in Arizona. The U.S. Department of Labor projects a 21.6% job growth rate for accountants and auditors in Arizona from 2020-2030.
To become a certified public accountant (CPA) in Arizona, candidates must meet certain standards and pass a challenging exam. Arizona CPA requirements include at least a bachelor's degree from an Arizona accounting school or another accredited institution.
This resource explains key details on CPA licensure. Use this information to plan your educational path and career development as you prepare to become a CPA in Arizona.
Education Requirements for Becoming a CPA in Arizona
Like most U.S. states, Arizona requires each CPA to have at least 150 credits of college coursework and a bachelor's degree. Arizona allows a student to sit for the CPA exam if they have completed their degree and have at least 120 credits. However, an applicant must acquire the remaining 30 credits before becoming eligible to hold a CPA license.
Students can earn these 120 credits in a standard bachelor's degree. Learners who wish to earn more advanced credentials can also consider accelerated bachelor's-to-master's accounting programs.
According to the CPA Journal, exam-takers with master's degrees have higher pass rates on the Uniform CPA Examination. Bachelor's-to-master's programs also offer a built-in pathway to earning the 150 credits required for CPA licensure in Arizona and most other states.
Concentrations, Credits, and Course Acceptance
An aspiring CPA must hold at least 150 credits of college coursework and a bachelor's degree. Arizona CPA exam requirements state that each candidate must have a degree and at least 120 of the required 150 credits to take the examination.
Candidates do not specifically need accounting degrees. However, their education must include at least 24 accounting credits or similar relevant coursework.
Of those 24 credits, at least 12 hours must come from upper-level accounting courses. Each candidate must also complete at least 18 credits of college coursework in related areas.
The Arizona State Board of Accountancy recognizes the following subjects as related areas:
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Statistics and algebra or other advanced mathematics -
Business administration, business law, economics, finance, management, and marketing -
Computer science, data processing, or information systems -
Advanced oral or written communications -
General ethics
The state board may also consider or recognize coursework in other related areas. Candidates can only apply to take the CPA exam in Arizona once they meet all educational requirements.
Arizona Experience Requirements
Arizona CPA requirements include 2,000 hours of work experience to qualify for a license. However, the state is very flexible regarding how a candidate can acquire that experience, allowing for any paid or unpaid full-time or part-time employment. Internship and volunteering experience also count.
The experience must include direct work with professional accounting practice. Specifically, their duties must require them to apply detailed knowledge of financial information and accounting principles.
Examples of qualifying tasks include:
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Preparing balance sheets, cash flow statements, or income statements -
Preparing individual or business tax returns -
Oral or written communications involving the analysis of financial information as carried out on behalf of a client, employer, or another third party
Applicants can acquire experience in the United States or internationally. Arizona requires all experience to be verified by supervisors using a Certificate of Experience.
Discover the value of internships and practicums
Arizona CPA Exam Requirements
CPA candidates nationwide must take the Uniform CPA Examination. However, eligibility standards and some other details vary among jurisdictions.
The sections below explain eligibility, application, and scheduling practices specific to Arizona.
Eligibility to Take the Exam
In Arizona, candidates can qualify for the CPA exam as soon as they meet all education requirements:
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At least 120 college credits, including a bachelor's degree -
At least 24 credits of accounting coursework, including 12 upper-level hours -
At least 18 credits of coursework in business or other related subjects
The Arizona State Board of Accountancy also considers applicants educated outside the United States. However, these applicants must have their coursework evaluated by the National Association of State Boards of Accountancy International Evaluation Services (NIES). NIES is the only agency authorized across the United States to assess foreign educational credentials.
CPA candidates seeking licensure can gain the required 2,000 hours of work experience before or after passing the CPA exam.
The following general requirements also apply:
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Candidates must be at least 18 years of age -
Applicants must be U.S. citizens -
Applicants require a Social Security number (SSN)
Before obtaining initial licensure, aspiring CPAs must also pass the American Institute of Certified Public Accountants (AICPA) Professional Ethics Exam. Candidates have two years from the date of their CPA application to pass the AICPA's ethics examination.
Applying for and Scheduling the Exam
Candidates apply for the Uniform CPA Examination through the Arizona State Board of Accountancy. Arranging to sit for the exam involves two distinct steps: application and scheduling.
During the application phase, state officials verify that candidates meet exam requirements. Institutions submit transcripts on each applicant's behalf, and applicants can request transcripts through the Arizona State Board of Accountancy's Transcript Request Form.
After confirming the applicant's eligibility, the candidate will receive a Notice to Schedule. Candidates choose their preferred exam date, time, and location. Early applicants usually have more scheduling flexibility.
As of March 2023, initial applicants in Arizona pay a $100 fee, while re-examination applicants pay $50. Each section of the exam costs $238.15.
Aspiring CPAs can take individual sections of the exam or all four in one sitting. Grades do not expire. However, candidates have only 18 months from the date they passed their first section to pass the remaining parts.
Find out more about the CPA exam
Take courses to prepare
After Passing the Exam
To obtain CPA licensure in Arizona, an applicant must have:
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Passing scores on all four sections of the Uniform CPA Examination -
A passing score on the AICPA's Professional Ethics Exam -
At least 150 credits of college coursework -
At least 2,000 hours of qualifying professional experience
The educational requirements for obtaining CPA licensure in Arizona differ from the standards for taking the exam. To obtain licensure, the 150 credits of college coursework must include:
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At least 36 non-overlapping credits of accounting coursework or the equivalent -
At least 30 hours of upper-level accounting coursework -
At least 30 hours of coursework in related areas of business, communications, computer science, ethics, and mathematics
Candidates must bridge any gaps between these educational standards and the lower standards needed to sit for the examination before obtaining a license.
As of March 2023, initial licensure applications cost $100. The Arizona State Board of Accountancy notifies applicants about the status of their application within 30 days of receiving it. Applicants who submit incomplete applications have 30 days to correct errors.
CPAs can verify their licensure status to employers and other organizations by submitting an online application through the Arizona State Board of Accountancy.
Learn more about earning a CPA license across the U.S.
Retaining Licensure
In Arizona, CPA licenses operate on biennial schedules. Licensees must renew every two years during their birth month. CPAs who fail to renew on time receive an automatic and immediate license suspension. Licenses expire if they are not renewed within three months of suspension.
Continuing professional education (CPE) standards also apply. CPAs must submit documentation indicating their completion of CPE each time they renew their licenses.
Arizona CPAs must complete at least 80 hours of CPE each biennial period, including:
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At least 40 hours in accounting, auditing, business law, consulting services, or taxation -
At least 16 hours specifically in accounting, auditing, or taxation -
At least 16 hours of classroom-based or synchronous online learning -
Four hours of ethics training
The ethics requirement must include at least one hour of AICPA code of conduct standards training. Candidates must also cover at least one hour of content covering Arizona State Board of Accountancy administrative rules and professional standards.
Professionals do not necessarily need CPA licensure to open accounting firms in Arizona. However, the firm cannot market itself as a CPA firm unless licensed CPAs from any U.S. jurisdiction own a simple majority of the company.
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Questions About CPAs in Arizona
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What is the requirement for CPA in Arizona?
Core Arizona CPA requirements include a bachelor's degree, at least 150 credits of college coursework, and at least 2,000 hours of relevant professional experience. Candidates must also pass an ethics exam to obtain their initial licenses.
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Who can take the CPA licensure exam in Arizona?
Arizona CPA exam requirements include a bachelor's degree that covers at least 120 credits. The candidate must also have at least 24 accounting credits, including 12 upper-level credits. They also need a minimum of 18 credits in related subject areas.
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When can I take the CPA exam in Arizona?
A person can sit for the CPA exam in Arizona as soon as they meet the education requirements. Arizona also requires CPA candidates to be at least 18 and possess citizenship with a valid SSN.
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Can a California CPA practice in Arizona?
Arizona maintains reciprocity standards to recognize CPAs from other jurisdictions. A California CPA can practice in Arizona by obtaining a certificate of reciprocity from the Arizona State Board of Accountancy.
(Video) Arizona Accountant License - What You need to get started #license #Arizona
FAQs
Should you answer every question on the CPA Exam? ›
You don't lose points for answering incorrectly. You only get no points. Therefore, you should ensure you always answer every question within a testlet before moving on. If you leave questions blank, you'll be certain to remain on the “medium” track, which will hurt your score.
What are the requirements to become a CPA in Arizona? ›- Complete 150 semester hours of college-level education in accounting.
- Earn the required hours of experience.
- Complete the American Institute of Certified Public Accountants (AICPA) ethics course and exam.
- Take the Uniform CPA Examination.
- Apply for a CPA License.
- Receive a license.
Often considered the most difficult exam, Financial Accounting and Reporting (FAR) has had the lowest passing scores of the four exams. The amount of material CPA Exam candidates have to learn for the exam, coupled with the combination of memorization and application, makes this exam more difficult.
How hard is it to pass the CPA Exam on the first try? ›About half of the individuals who take the CPA Exam don't pass on their first attempt. According to the AICPA, the national average pass rate is 45-55%. Cumulative pass rates reported by the AICPA for the calendar year 2021 show that FAR had the lowest pass rate at 44.54% and BEC had the highest pass rate at 61.94%.
How many questions do you need to get right to pass the CPA? ›You must achieve a minimum score of 75 to pass the CPA Exam. 75 is not a percentage score of how many questions were answered correctly and should not be interpreted as such. The range of the sliding score is 0 to 99.
How many questions do you have to get right on CPA Exam? ›There are four sections to the CPA exam, and you must score a minimum of 75 (on a scale of 0 to 99) to pass in each. The score is often misinterpreted in several ways. Hence, at the very outset you should know that: ⇨ It is not a raw score – your CPA exam score is not just the number of questions that you got right.
How many credits do you need to sit for the CPA exam in Arizona? ›Arizona CPA Exam Requirements
The CPA Exam requirements in Arizona are the same as in any state when it comes to the Uniform CPA Exam. You must have a four-year bachelor's degree or higher in order to take the exam. Typically, this means you can sit for the CPA in Arizona with 120 credits.
Arizona Exam Fees
The cost to take the CPA exam in Arizona is $226.15 per exam section. See the Arizona State Board of Accountancy website for more info.
To become a CPA, the Arizona CPA exam cost consists of five main fees: an initial application fee of $100, a re-exam application fee of $50, the $238.15 per CPA exam section totaling $952.60 for all four sections, an initial licensing fee that costs $100 and then finally the biennial license registration fee of $300.
How many people pass all 4 CPA exams first try? ›The overall pass rate for each section of the CPA exam hovers around 50%, but how many people manage to pass all four sections on the first try? About 20%. Around 1 in 2 people will pass a specific section of the exam, and about 1 in 5 people will pass each section on their first try.
What is the easiest CPA exam to pass? ›
CPA Exam Written Communication Testlets
BEC is the only CPA exam section with WCTs. Some students find this makes the exam easier, but some do find WCTs to be harder than TBSs. Either way, BEC is considered the easiest part of the CPA exam because it has the highest pass rate.
Colorado's (CO) CPA exam requirements are possibly the most advantageous of all the states. It does not require 150 hours to sit. With no requirement to be a US Citizen, a resident of CO, or a certain age, it makes Colorado one of the easiest states to sit for the CPA exam and become licensed.
Can you get a 74 on the CPA exam? ›To pass a CPA Exam section, you must score a minimum of 75. Have you ever wondered how the AICPA calculates your CPA Exam section scores? Scores are reported on a scale that ranges from 0 to 99.
How common is it to fail a CPA exam? ›Failing the CPA Exam can be devastating. And while the exam is notoriously difficult with a pass rate often below 50%, there's really only one way to look at why you failed: you didn't properly prepare for the exam.
Is it common to fail the CPA exam? ›Just know that you're not alone—the CPA Exam is hard. The CPA Exam has a pass rate of around 50%. So, though millions of candidates have passed the CPA Exam, many first faced failure along the way. Remember, not passing the CPA Exam doesn't mean you can't do this.
Is a CPA harder than a bar? ›Overall, however, the passing rates for the UBE average between 50% and 60%, a little higher than the CPA Exam. So, more Bar Exam candidates pass the Uniform Bar Exam vs. the CPA Exam.
What college has the highest CPA pass rate? ›- University of Pennsylvania: 90.9%
- Rice University: 90.8%
- University of Texas – Austin: 89.5%
- Brigham Young University: 89.4%
- Wake Forest University: 88.8%
For the average candidate, you should plan to commit a total of 300-400 hours to your study and review period across all 4 sections in total. The goal of 300+ hours of studying gives you 80 to 100 hours for each section of the test.
What is a 75 on the CPA? ›What is a passing score? The CPA Exam is scored on a scale from 0 to 99, and a score of 75 is required to pass each of the exam's four sections. Scoring is based on a complicated formula, but here are the basics. It's important to note that your score is not based on a percentage of correct answers.
Is the CPA Exam curved? ›The CPA Examination is not curved. Every candidate needs to score 75 points in each section to pass the exam. The score of every candidate is entirely independent of other candidates.
Does the CPA Exam get harder if you do well? ›
The first testlet is always a medium testlet. If a candidate performs well on the first testlet, he/ she will get a more difficult second testlet while those who do not perform well on the first testlet will receive a second medium difficulty testlet. This testing process is called multi-stage testing (MST).
Can you take all 4 parts of the CPA Exam at the same time? ›You are not required to take all four parts of the CPA Exam at the same time. However, you can schedule multiple sections of the exam at any time and even take multiple parts of the exam on the same day. Gleim recommends you take one exam section at a time to help you focus on passing each section.
How long do you have to pass all 4 parts of CPA Exam? ›While every state/jurisdiction has its own unique requirements for obtaining a CPA license, they all require that a candidate pass the CPA Exam, and you have 18 months to finish all 4 parts of the CPA Exam (clock begins ticking after you pass your first section), so be mindful of scheduling and studying.
How many times can you take each part of the CPA Exam? ›You may take any unpassed section of the Uniform CPA Exam year-round. Your only restriction is waiting to receive your score from a previous attempt of the same section. Additionally, there is no limit as to the amount of times you may repeat a failed section.
How many CPAs are in Arizona? ›About us. The Arizona Society of Certified Public Accountants (ASCPA) is an active professional organization of CPAs of almost 5,000 members working together to enhance the profession and better serve the public.
How long does it take to become a CPA in Arizona? ›Arizona CPA licensure requirements
Must complete at least 150 semester hours of education that includes: At least 36 semester hours of non-duplicative accounting courses of which at least 30 semester hours are upper-level courses. At least 30 semester hours are business related courses.
The CPA exam is a 4-part exam that includes 50% multiple-choice questions and 50% task-based simulations (50/50 allocation applicable for AUD, FAR, and REG; for BEC, the breakdown is: 50% MCQs, 35% TBS, and 15% Written Communications).
What is average cost per CPA? ›Average cost of tax preparation by a CPA
CPAs charge different rates for business tax services, tax forms, auditing, and other tasks. The average cost for tax preparation and filing services is $1,500-$3,000. Ultimately, where your business falls in that range depends on your revenue and complexity.
Hourly rate for a CPA: Around $200 to $500
Many CPAs charge an hourly rate for some tasks in addition to your tax returns' flat rate.
§ 32-721(A) requires that an applicant meet citizenship requirements, is at least 18 years of age, and has not engaged in conduct that would constitute grounds for revocation or suspension of a certificate or other disciplinary action pursuant to A.R.S. § 32-741.
What is the lowest passing rate for the CPA board exam? ›
The board exam for CPAs is notorious for its difficulty as evidenced by its low passing rate. According to the results, the passing rate of the recently concluded exams is 25.84% which means, on average, only 1 out of 4 test takers would pass the test.
What do I do once I pass all 4 CPA exams? ›After successfully passing all four sections of the CPA Exam, the next step is to complete the other requirements for obtaining a CPA license in the state in which you plan to ultimately practice as a CPA.
What is the shortest CPA exam to study for? ›There are several reasons why the BEC section is considered the easiest section of the four. In addition to the fact that it covers the least material and is of the shortest of the four exam sections, BEC also does not have any simulation questions; however, it does contain 3 written communication questions.
Is CPA harder than medical boards? ›The CPA Exam is widely recognized as one of the most difficult professional exams out there: Many consider it to be harder than the BAR exam, and even rank it as more difficult than many medical board exams.
How can I pass CPA quickly? ›- Create a study plan. ...
- Go through as many CPA multiple-choice questions as possible. ...
- Use CPA flashcards. ...
- Complete a set of 30 cumulative multiple-choice questions daily. ...
- Download a mobile app to do practice questions in your downtime.
The top-paying industries for accountants include finance and insurance, management of companies and enterprises, tax preparation, and the government. The top-paying states/districts for accountants include Washington D.C., New York, New Jersey, California, and Massachusetts.
Which state has the highest first time pass rate for the CPA exam? ›In 2019, the jurisdictions with the highest pass rates were: Utah (66.0%), Wisconsin (63.4%) and Iowa (62.2%). Performance metrics also indicate 83,017 candidates took the Examination in 2019 (of which 63,034 were new candidates) with 23,407 candidates passing their final section of the Examination.
What is the hardest subject in accounting? ›Tax Accounting: Usually some of the most difficult classes for an accounting major as they delve into the minutia of tax codes, though this knowledge is a major source of income for accounting graduates.
Has anyone ever aced a CPA Exam? ›Michael Kimble, CPA
Perfect score on Audit. Passed all sections on the first try with an average score of 96.5. Eligible for the Elijah Watt Sells Award.
From what I can remember, the average age is 29 according to the report. If anyone has the opportunity to knock out this exam before they start work after college, you should absolutely do it. I started at the big 4 a mere 14 days after graduation, lol. I was a December graduate, so no time for a summer of CPA study….
What is a decent CPA score? ›
According to the AICPA a high CPA exam score is anything over 85. Since less than 50% of candidates don't get above a score of 75, a score of 85 is in the top 10 percentile. Remember, the CPA exam isn't scored on a percentage basis. It is a standardized test that is scored on percentiles.
Why do so many people fail CPA exams? ›Studying Inefficiently (Or Studying the Wrong Material)
Candidates who have disciplined study plans are more likely to pass the exam the first time around! Another common mistake that candidates make is not researching what specific concepts will be tested on the exam.
All re-examination candidates are required to pay the CPA Exam retake fees, which include both the re-application and examination fee. Fees will vary based on the state you are seeking CPA licensure in.
How many hours to study for CPA retake? ›You only need 2-6 weeks to study for this retake assuming you can put in around 15-20 hours per week of CPA exam study time. The less time you give yourself and the higher intensity you study the better. This will help you avoid burnout.
What is the most failed CPA exam? ›Often considered the most difficult exam, Financial Accounting and Reporting (FAR) has had the lowest passing scores of the four exams.
What percentage of people never pass CPA? ›About half of the individuals who take the CPA Exam don't pass on their first attempt. According to the AICPA, the national average pass rate is 45-55%. Cumulative pass rates reported by the AICPA for the calendar year 2021 show that FAR had the lowest pass rate at 44.54% and BEC had the highest pass rate at 61.94%.
How many people fail the CPA the first time? ›You've probably heard quite a bit of intimidating details about how hard it is — it's long, it requires hundreds of hours of study time, it's so difficult that the average CPA Exam passing rate for first-time candidates is only 50%.
Can you skip a question on the CPA Exam? ›If I Don't Know an Answer When Taking the CPA Exam, Should I Guess Or Skip The Question? None of the questions in the CPA exam carry a penalty for an incorrect answer, so you shouldn't leave any questions blank.
How common is it to fail a CPA Exam? ›Failing the CPA Exam can be devastating. And while the exam is notoriously difficult with a pass rate often below 50%, there's really only one way to look at why you failed: you didn't properly prepare for the exam.
What are the odds of passing all 4 CPA exams on the first try? ›Of CPA candidates, what percentage pass all four parts of the CPA exam the first time? About 20%, or one in five, CPA candidates pass all four parts of the exam on the first try.
Is it common to fail the CPA Exam? ›
Just know that you're not alone—the CPA Exam is hard. The CPA Exam has a pass rate of around 50%. So, though millions of candidates have passed the CPA Exam, many first faced failure along the way. Remember, not passing the CPA Exam doesn't mean you can't do this.
What is the easiest part of the CPA Exam to pass? ›What is the easiest part of the CPA exam? BEC has the highest pass rate and is considered the easiest CPA exam section.
What happens if you don t pass all 4 CPA exams in 18 months? ›That window begins from the time you pass the first exam. If you don't pass all four parts within the 18-month window, you lose credit for the first part you passed, and the 18-month window rolls up to the next part you passed; this cycle continues until all four parts are passed within the time frame.
How do I cope with failing my CPA Exam? ›Recap for a failed CPA exam
To recap, you want to do sets of 30 MCQs 2 at a time back-to-back, so 60 MCQs. You take a break in between and read through the explanations. Like we just said, make your flashcards for the ones you missed. Two sets of 30 MCQs, so for each 2 sets of MCQs, then do a set of practice SIMs.
To pass a CPA Exam section, you must score a minimum of 75. Have you ever wondered how the AICPA calculates your CPA Exam section scores? Scores are reported on a scale that ranges from 0 to 99.
Is the CPA Exam harder than the bar? ›Overall, however, the passing rates for the UBE average between 50% and 60%, a little higher than the CPA Exam. So, more Bar Exam candidates pass the Uniform Bar Exam vs. the CPA Exam.
Does the CPA Exam get harder if you are doing well? ›The first testlet is always a medium testlet. If a candidate performs well on the first testlet, he/ she will get a more difficult second testlet while those who do not perform well on the first testlet will receive a second medium difficulty testlet. This testing process is called multi-stage testing (MST).
Are fewer people taking CPA exam? ›Fewer than half of all accounting graduates ever sit for the CPA exam—and even fewer eventually pass it. The authors believe this is a major problem. Accounting programs and CPA firms must actively recruit increasingly diverse high school students while also recruiting from a declining white student population.
What does 74 mean CPA? ›Your 74 on the CPA Exam does not mean you were one point away from passing. Instead, your 74 means once they determined you failed, they compared your score with other people that failed and determine you performed better than them but still failed.