The Canadian CPA Process to Be a Designated Accountant

Earlier this decade, there were a number of paths to becoming certified as a professional accountant in Canada, each with their own designation. Yet, go back 100 more years, and the only professional accountant designation was that of a Chartered Accountant (CA). So, things have changed a little, but it sounds simple enough, right?

Well, not really. Throughout those 100 years, we saw the establishment, dissolution, merging and splitting of dozens of professional accounting organizations and managing bodies. While each of these worked toward a consistency of regulation, education, and professional standards, each change left the accounting world a little more fragmented.

Sourced from CPA Canada “Uniting the Canadian Accounting Position”

Since 2000, we’ve had Certified General Accountants (CGA), Chartered Accountants (CA), and Certified Management Accountants (CMA) as the registered elite of the accounting world. As if managing the acronyms isn’t trying enough, each of these had their own educational requirements and professional standards.

For example, a CGA had no educational requirements, but rather required and tested for practical workplace competency. Meanwhile, a CMA required a bachelor’s degree and professional experience. Within the finance sector, these distinctions aren’t a huge problem; if you know your industry you can sort out the differences. Where it becomes more problematic is when outside parties and professionals from other industries or countries are left trying to sort out the differences.

Sourced from CPA Canada “Uniting the Canadian Accounting Position”

Now, all of these roles and designations are consolidated under the Chartered Professional Accountant (CPA) designation. This unification standardizes education and experience requirements while organizing professional standards and practices.

Sourced from Maclean’s “Accounting Designations Get Together”

So, it all just got simpler, right? Well, sort of.

We still have to organize the people who already have these different designations. There is a ten-year transitional process where the new standards are assimilated, and implementation is underway in all provinces except Ontario, who have yet to introduce the new legislation.

Through the ten-year transitional period, those who hold the designation CA, CMA, or CGA will retain this designation alongside the CPA designation. After the transition period, these auxiliary designations will be phased out. For example: CPA, CA; or CPA, CGA; or CPA, CMA.

Many Paths Lead to the Elite Canadian CPA Designation

Depending on where you are in your professional career or education, there are different paths to becoming a CPA, each with their own requirements. The CPA designation is awarded to those who complete the CPA Professional Education Program (PEP). The CPA PEP is an undergraduate level program that teaches those with foundational accounting knowledge how to apply their knowledge in the real world.

The program is designed to put your knowledge into a professional context, covering the ethics, values, and actual application of learned principles. The CAP PEP will take you two years, part-time, while you work in a professional setting to establish workplace experience. The long, rigorous process is what makes CPA’s the elite of the industry.

Earning the Canadian CPA Designation Is a Demanding Workload

The full CPA PEP is a graduate-level course which consists of 6 modules and a final examination. Over the course of 2 years, you’ll complete 2 core modules, 2 elective modules, and 2 capstone modules. Considering the extensive prerequisites, it’s a long, comprehensive program. PrepFormula's Full Package is designed to help you navigate the process every step of the way and has a pass guarantee*.

Chart sourced from CPA Ontario

The CPA PEP is more of a trial in volume of work rather than the actual difficulty — that’s not to say it isn’t hard, though. Because you’ll be working as a full-time accounting professional while completing your course load, you’ll have a lot to manage into a limited schedule. PrepFormula can really help here by creating a custom schedule for each and every exam for each student.

There are a few different entrance requirements for the program, making accessible to all professionals in the field.

Any Degree Can Lead to CPA Profession

If your education wasn’t specifically preparing you for the CPA PEP, don’t worry. There is still a path to getting into the program.

See, you need to have the specialized education to enroll in the CPA PEP. If your undergraduate degree doesn’t qualify you for the program, you’ll have to take the CPA preparatory course, (formerly CPA PREP), beforehand. To enroll in the CPA prep course, you’ll have to get in touch with your regional CPA organization.

Canadian CPA Designation Achievable Without Undergraduate Degree

Even if you don’t hold an undergraduate degree, you can still enroll in the CPA program, but you will have to fill a list of specific requirements, including completion of the CPA prep course. According to CPA Canada, these are the official requirements and steps for enrollment, if you don’t have a bachelor degree:

Sourced from CPA Canada

Canadian CPA PEP Program Is Accessible to International Accountants

If you’re an internationally trained accountant with either a Mutual Recognition Agreement (MRA) or Reciprocal Membership Agreement (RMA), then there is a clear cut path to your CPA, depending on your current status and certification. CPA Canada offers clear guidelines on the course of action.

If you aren’t a member of an international accounting body with one of these designations, then your skills, education, and experience will all be individually assessed. You can start by reviewing the list of minimum requirements and getting in touch with your regional CPA governing body.

Alberta CPA’s Making an Average $184,000 Across All Sectors

The takeaway, here, is that the industry is getting more organized. With a unified recognition of accounting certifications and designations, everyone will be on the same page. Governance of the entire industry will be more streamlined and efficient — and we can assume more effective.

The CPA preparation process may be more expensive and grueling than some of the previous options, but the completion will now hold the reward as the top-tier of professionals in the biz. The value of this elite status should also be evident in salary, across the board:

Sourced from “2015 CPA Compensation Study Report” by CPA Canada and Nielson

The unification of this process will make Canada’s CPA among the world’s largest accounting organizations. This solidarity will serve as a measure of greatness, internationally, opening doors for more opportunities for businesses and individual CPA’s, alike.