- Chartered Accountant
Who is a Chartered Accountant?
Work so hard that one day your signature will be called an audited financial statement ~ Anonymous
Do numbers interest you? Do you want to deal with finances of big companies? Not only that but do you want to play a significant role in saving a company in case of disputes or bankruptcy? Then, a career as a chartered accountant can be your go-to career option. It is one of the ideal career options for students from the commerce stream. Anyway, India needs more and more good chartered accountants. The pay is higher as well as the designation is very desirable. A chartered accountant meaning defines accounting professionals with international accounting qualification, apart from the United States, in many countries throughout the world. In the United States, a certified public accountant (CPA) is the equivalent of the CA designation.
Chartered Accountant in a Nutshell
Accountants offer financial advice to customers ranging from multinational and public organisations to small independent companies and individuals. Chartered accountant subjects comprises different practice fields, including accounting, management consulting, restructuring, forensic accountancy, taxation, insurance and corporate finance. A chartered accountant qualification requires a successful completion of chartered accountancy certification programme from ICAI. Chartered accountants are required across various business organisations in India whether private or public. A professional CA is employed to manage an organisation's account data, tax dues and investments. Chartered accountants also help to settle conflicts and prevent bankruptcies.
Quick Facts for Chartered Accountant
Male, Female, Others
The career as a chartered accountant is not gender-specific. Whether a person is male, female or belongs to any other gender, he or she can opt for a chartered accountancy career. Although gender should not have an impact on pay, it does, in practice.
Any special needs
A career as a chartered accountant is suitable for everyone with appropriate academic qualification. People with bodily deformity can also be chartered accountants. A chartered accountant should possess excellent mathematical and accounting skills.
Table of Contents for Chartered Accountant
What is the role of Chartered Accountant?
A career as a chartered accountant is considered as a reputed profession. Chartered accountancy requires good management and decision-making skills, in the public sector. A chartered accountant career involves preserving the credibility of public expenditure. Ensuring whether taxpayers achieve value for money through efficient and accurate distribution and monitoring of resources. Chartered accountants who work in practice provide companies with qualified financial services. Auditing, valuation, accounting, financial analysis, risk management and financial structure advising are only some of the wide-ranging services chartered accountancy firms offer.
From day-to-day VAT to sharing schemes, tax matters arise in every aspect of running a company. Tax accountants prepare corporate and personal income tax statements, and design tax plans which include topics such as financial preference, how best to proceed with a merger or sale, tax deferment, when to spend products, and other.
Working in audit includes reviewing accounting ledgers and corporate financial statements, which is the basis of many accounting practices. Auditing research is increasingly being computerized and may rely on efficient methods of random sampling. Auditing will require a great deal of travel which enables Chartered Accountants to operate in a wide variety of industries.
A financial accountant's job may be varied, one day they may be involved in significant financial matters concerning mergers and acquisitions, the next they may visit a client or supplier to set up a new invoice and talk about business. This research includes a clear understanding of both financial and accounting matters.
Many company accountants have traditionally been mocked as "bean counters." As management accountants most frequently work side by side with marketing and finance staff to grow new companies, this attitude has undergone significant change. Management accountants work in companies and assist in capital financial planning and business account review.
Budget analysts are responsible for the creation and implementation of financial arrangements for an organisation. There are plenty of government and private-sector jobs in this area. Besides mathematical aptitude, due to the compromises involved in the job, many budget analyst positions need superior people skills. The Chartered Accountancy certification provides students with the resources to succeed in this area.
Types of a Chartered Accountant
Accountant: An accountant is a professional who manages accounts of a company. He or she is responsible for creating sales and cash flow reports, maintaining balance sheets and administering payroll. An accountant work responsibilities include carrying out billing activities, managing budgets and keeping inventory.
Actuary: An actuary is a finance professional. He or she contributes to development of insurance policies. An actuary analyses financial costs of risk or uncertainty. An actuary applies mathematics, statistics and financial theory to determine the risk involved in potential events.
Auditor: An auditor is also a finance career. He or she is responsible for ensuring the accuracy of financial records and financial information compliance with state laws. An auditor calculates tax owed and prepares tax returns. His or her work responsibilities involve calculating evaluating the performance of accounting record and payment processes.
What is the workplace/work environment of Chartered Accountant like?
Chartered accountants mainly work in the office. A career as a chartered accountant is considered one of the prestigious and demanding profession. A chartered accountant stays involved in handling accounts, preparing financial statements and ranges from simple book keeping complex financial analysis and auditing of an organisation. A chartered accountant can work with individual clients, small as well as large business enterprises or organisations. A chartered accountant works in a company as a private auditor or in the payroll department. A chartered accountant plays an important part in lawsuits, bankruptcy. He or she can also provide consultation on matters of tax and finance to indvidual clients.
Does Chartered Accountant require travelling?
Yes, chartered accountants are often required to travel from one location to another, mostly to places wherever their clients are based. Whenever there is requirement, chartered accountants do travel for work purposes.
Full Time, Part Time, Work From Home
A career as a chartered accountant provides full-time, part-time as well as work from home employment opportunities. Several chartered accountants work independently. Mostly chartered accountants work full-time, but their working schedules can vary depending on workload and budget.
Several chartered accountants work individually, several others work for professional agencies in a team. Some chartered accountants collaborate on projects with their peers or meet with clients around the world. They can set up their office completely as they want in their living room, but they often require to travel to meet clients. Chartered accountants working conditions vary depending on the type of client or company they deal with.
Office, Work From Home
Chartered Accountants mostly work in their own offices or their clients. As far as the work hours are concerned, they work the regular eight to nine hours on a daily basis on normal days. However, if the financial year is ending or there is an audit to be done, then they work extra hours and sometimes even on weekends.
Presence in Geographical Area
As far as the geographical details are concerned, chartered accountants mostly work in urban settings. The reason is that most of the companies that hire chartered accountants are situated in urban areas such as Mumbai, New Delhi and various states’ capitals. Chartered Accountants have a better salary prospect in urban areas rather than rural or semi urban areas.
Time pressure varies depending on the type of job chartered accountants perform. Chartered accountants who work under an organisation generally work on the scheduled time and hardly face any time pressure. However, one who works independently is more likely to face time pressure and stressful situations.
As far as the work hours are concerned, chartered accountants work the regular eight to nine hours on a daily basis on normal days. However, if the financial year is ending or there is an audit to be done, then working requirements of chartered accountants extend to extra hours and sometimes even on weekends.
Weekly Hours of Work
Min 40 Hours
A chartered accountant works a minimum of 40 hours per week. A career as a chartered accountant often required to work extended hours during the completion of the financial year. It requires auditing, maintaining financial documents, filling GST, taxation and numerous other finance related work.
How to become a Chartered Accountant?
What are the skills and qualities required to become a/an Chartered Accountant?
Discipline: CA course syllabus is huge and takes a lot of time. Chartered accountancy require hard work, and social life often comes to an end. CA course syllabus is considered toughest and requires extended hours of study. Chartered accountant syllabus tests are difficult, with very poor passing rates. Furthermore, article ships are mandatory for successful completion of chartered accountant qualification. It is infamous for being paid peanuts for twelve to fourteen hours of work. That means students got to have the courage and determination to fulfil the curriculum, tests, and articles. The regular order of the day is to be difficult work. In short, the applicants have to be able to make compromises, maintain their concentration and handle their job and studies intelligently.
Numerical Ability: In CA course syllabus numbers are set to be students' best friends. Accuracy and pace in mathematics, in general, helps tremendously. The calculator is their reliable companion.
Learning Skills: Most of the students are trying to hurry up and acquire chartered accountant jobs. However, only the conceptually sound can really make progress in the industry. You have to grasp the principles for this, rather than simply mugging methodologies mechanically.
Communication Skills: The applicant will communicate with clients from various sectors and provide tailored services according to their unique requirements during the course of the internship. This requires good communication skills from the CA students.
Analytical Skills: In the case of chartered accountant qualification, analytical skill sets are required. CA course syllabus require candidates to develop technical qualifications during the period of the articleship and develop analytical skills when working on practical examples.
Project Management: Chartered accountancy students should bear in mind that the CA course is a difficult line to walk and involves balancing between the studies and the articleship. Besides, regular practices and continuity will ensure success as the chartered accountant syllabus is very comprehensive and the institute is rigorous in evaluating the mark sheets. A balanced approach is required as all chartered accountant subjects allow the student to score minimum mandatory marks.
Also read - Skills required to become an accountant
Which certifications and internships can be helpful in becoming Chartered Accountant?
Different financial organisations, as well as some famous chartered accountants, employ interns with different expertise and preferences. The online recruitment portals allow one to explore internship opportunities. Through internships the individuals get knowledge as well as experience. The major portion of internships are provided by higher-learning institutions that pay for the practice.
Career Path Progression for Chartered Accountant
As far as chartered accountants are concerned, there are no progressions titles as such. As and when the individual gets more experienced, the responsibility, the quality of the projects, and chartered accountant salary increases. In order to have a category at all, we have divided the profession into articled trainee, entry-level chartered accountant, mid-level chartered accountant, and senior-level chartered accountant.
Articled Trainee: As an article trainee one is required to understand various aspects of audits and taxation. This is generally taken by students and candidates in order to qualify to become chartered accountants. This is usually the first interaction they have with the job profile of a chartered accountant.
Entry-level Chartered Accountant: As a chartered accountant who is just starting one is required to understand corporate finance, banking, fundraising, coordination with banks, risk management, and a plethora of other activities. They often do the research and are supervised by the mid-level chartered accountants.
Mid-level Chartered Accountants: Those who have gained some years of experience come under this category and are responsible for a variety of things. They do tasks such as preparing cash flow, monitoring or executing various financial compliances, supervise those under them, and coordinate with other teams.
Senior-level Chartered Accountants: Those chartered accountants who have gained some considerable amount of experience in the field are the top guys. They bring in business, design a financial strategy, and supervise those below them. Often the senior-most chartered accountants have their own firms.
Chartered Accountant Salary
The salary varies depending on skills and experience of candidates. The average salary of a chartered accountant is Rs. 788,000 per annum. An entry-level chartered accountant could earn an monthly average salary of Rs. 60,000 per month. A senior-level chartered accountant could earn more than Rs. 1,100,000 per annum.
Also read - Career as a certified management accountant
What is the job outlook for Chartered Accountant?
The career as a chartered accountant is an interesting career choice for students with a business background. It plays a significant part in the economy of day-to-day life. CA course is one of the best training driven courses in India and abroad. The applicants would need to get membership and certification from the ICAI after completion of the CA course. The membership is extended annually by paying the Rs. 400 as the annual payment. A chartered accountant expert is unable to operate in any other area without ICAI membership. The market for young chartered accountants has been tremendously growing for last four to five years. Each year, only Indian market requires 7500 to 10000 fresh chartered accountants. All businesses and companies, for their accounting department require a professional accountant. ICAI members can work as a CA in government or public service firms as well as private sector firms.
Chartered accountancy students will also have the choice of either being hired as an employee of a company or opting to start their own private practice. There are plenty of chartered accountant jobs in various fields such as finance, tax administration, auditing, financial analysis, cost analysis, and consultancy. They may act as financial advisors, financial officers or directors as well as financial controllers for the individual companies. They will deal with market problems such as accounting, audit, audit, and consultancy.
Chartered accountancy have become one of India's most pursued courses. Most of chartered accountants' credibility is due to the fact that their thorough preparation (both theoretical and practical) makes them basically masters of all trades with respect to the finance domain. Despite changes in global trading structures and procedures, Chartered Accountants ' requirement has remained constant. In the past three to four years, chartered accountants demand has increased around ten per cent to fifteen per cent. Additionally, demand depends on the state of the economy, and when the economy is in a downward trend, there is a direct impact on demand of chartered accountants. But as opposed to other comparable colleagues, the legal provision for compulsory appointment of chartered accountants provides considerable support for the chartered accountant community. Chartered accountant qualification is known internationally therefore market outlook for CAs is still strong. Much appreciation for CA course college or ICAI is due to the fact that the CA course was able to meet with changes in the situation of the business.
Frequently Asked Questions for Chartered Accountant
Que. How many years is the CA course?Ans.
The minimum period for a person entering a Chartered Accountant Course after 10+2 (i.e. via CPT Route) is 4.5 years. The minimum length of the Chartered Accountancy Course (i.e. via Direct Entry Scheme) for an individual entering after graduation is three years.
Que. What are the chartered accountant qualifications?Ans.
For graduates and postgraduates in commerce, a minimum score of fifty per cent is expected while other graduates or postgraduates need a minimum of sixty per cent to qualify for Chartered Accountant. Candidates will register nine months before the exam and complete 100 hours of information technology training afterwards.
Que. Who is the first chartered accountant in India?Ans.
The first Indian to be issued a membership certificate by ICAI was C.A. Gopaldas Padamsey Kapadia. The membership certificate was issued to him on 9th June 1950. He was one of the founding members and the first President of The Institute of Chartered Accountants of India.
Que. Is there any age limit for CA?Ans.
There is also no upper age limit for admission to the Chartered Accountancy course. The original registration is valid for five years and can be re-validated for five years.
Que. What is the work of CA?Ans.
Chartered accountant designation is worldwide, which refers to professional accountants who are qualified to take on a number of specific activities within the spectrum of accountancy. Such tasks include auditing financial statements, filing of corporate tax returns and financial advising.
Que. Where is the Institute of Chartered Accountants of India (ICAI) located?Ans.
The headquarters of ICAI is located in New Delhi. Other five regional centres of ICAI are located in Chennai, Kanpur, Kolkata, New Delhi and Mumbai. It has 163 branches in other parts of the country. The institute also has 31 chapters abroad.
Que. How many times one can attempt to clear the CA foundation exam?Ans.
If you have registered for the foundation exam, it will be valid for next three years from the date of registration. A candidate can make a maximum six attempts to clear the foundation exam. Foundation exam is conducted twice in a year. It is conducted in the month of May and November. Those who have missed appearing in the exam in May can appear in November.
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