Hello, this is Stephanie from IPasstheCPAexam.com. In this video, I’d like to explore whether it is better to pursue the CPA or the MBA. Why MBA could be better
First, a more well-rounded education In terms of gaining knowledge, a typical 2-year
curriculum offered by MBA programs should be more thorough than a 6 to 12 month self-study
required by the CPA exam. An MBA program is generally broader covering
not only accounting, but also finance, marketing, business and even niches such as venture capital
and social enterprises. A better networking hub
The MBA program offers a great networking opportunity. For those who take the MBA in traditional
classroom setting, you get to study and interact with fellow students and professors on a daily basis. The training on brainstorming ideas, discussion
and team work can only be achieved in a classroom setting. Reputable MBA programs arrange information
sessions, career guidance and on-campus interviews to help students find a good job. This opportunity does not exist for CPA exam
candidates. No maintenance cost after getting the
degree Once you get your MBA, the knowledge and title
is yours for the rest of your career. For CPA however, after getting licensed you
will have to pay licensing fees and fulfill the necessary CPE requirements. The amount isn’t much but it’s something you need to do for the rest of your career. MBA is more versatile
The CPA title is not as highly valued in certain jobs, especially those in finance and investment. For example, it is better for aspiring investment
bankers to get an MBA than going for the CPA qualification. For the investment community, the CFA qualification
is more applicable. Why CPA could be better
Faster and less expensive Some recruiters do suggest getting a CPA instead
because it is faster and less expensive to get the credentials. You can take the exam right after getting your accounting degree and get your license after 1 to 2 years of experience. Studying is a lot more flexible. Most CPA exam candidates keep their full time job and study in their spare time. You can also take the exam anytime during the testing window throughout the year. More relevant for accounting professionals
If you are looking for jobs in financial accounting, management accounting and taxation, firms
do appreciate the CPA qualification. In fact, the CPA qualification becomes mandatory
once you reach a more senior position. For most CPA firms, you need the CPA
title if you want to promote beyond the manager level. This means that getting the CPA is a must
for medium to long term in CPA firms, while getting the MBA is not. CPA is a standard that is globally
recognized Candidates must fulfill similar educational
and experience requirements, and take the same Uniform CPA exam in order to become a
CPA. Therefore, companies, head hunters and recruiters have a good understanding of what a CPA can offer. On the other hand, the quality of MBA programs varies greatly. The fact that you have a MBA does not mean
much unless it is from a reputable institution. Conclusion
MBA and CPA are quite different: MBA is an academic degree while CPA is a professional
designation. For MBA, the critical point is where you are
getting the MBA from. An MBA from Harvard is quite likely better
than the CPA qualification alone; but an MBA from an unknown school or “diploma mill”
will be of little use. In terms of which qualification will help you find a better job, it is complicated because an MBA or CPA alone should not be
the deciding factor. Your education, and work experience count a lot too, so do the performance during the interviews. Having both is certainly a win-win strategy that works for many people, but then, either MBA or CPA require significant commitment
for one to pursue. At the end of the day, the school or the license
is not what gets you the job – you are! I hope this video helps you compare the pros
and cons of MBA and CPA. Please drop a note in the comment section
if you have any questions, or subscribe to my Youtube channel for more updates. Thank you for watching and see you in the
next video.