Accountants prepare and analyze financial records, ensure accuracy across reporting systems, and help individuals and organizations manage money in compliance with applicable laws and regulations.
The role spans a wide range of responsibilities — from preparing tax returns and financial statements to auditing records and advising on budget decisions.
According to the U.S. Bureau of Labor Statistics Occupational Outlook Handbook, accountants and auditors held about 1.4 million jobs as of 2023.
The field offers several distinct specializations — public accounting, corporate accounting, government accounting, and forensic accounting — each with different day-to-day responsibilities, employer types, and compensation levels.
The median accountant salary sits at approximately $78,000 annually, with significant variation by credential, setting, and geography.
This guide covers what accountants typically do, how to enter the field, what they may earn, and how careers tend to progress.
What Does an Accountant Do Day-to-Day?
Core accountant responsibilities typically include:
- Preparing financial statements — income statements, balance sheets, and cash flow statements that report on an organization's financial position
- Analyzing financial data — identifying trends, variances, and anomalies that may indicate errors or opportunities for improvement
- Managing budgets — helping organizations plan expenditures and track performance against budget targets
- Filing and reviewing tax returns — applying current tax law, identifying allowable deductions, and ensuring compliance with IRS requirements and state tax codes
- Ensuring regulatory compliance — adhering to Generally Accepted Accounting Principles (GAAP), SEC reporting requirements for public companies, and industry-specific regulations
- Advising on financial decisions — providing management or clients with analysis to support capital expenditures, cost-reduction strategies, or organizational restructuring
- Maintaining general ledger records — reconciling accounts and ensuring that all transactions are recorded accurately
Day-to-day work varies considerably by specialization and employer.
A staff accountant at a large corporation may spend most of their time on journal entries and month-end closes, while a CPA at a public accounting firm may divide time among client meetings, audit fieldwork, and tax preparation depending on the season.
Those interested in the credentialing process should review our guide on how to become an accountant for a step-by-step breakdown.
Types of Accounting Roles
Accounting is not a single job — it encompasses several distinct career tracks, each with different employer types and areas of focus.
Public Accountant
Public accountants work at CPA firms — ranging from the Big Four (Deloitte, PwC, EY, KPMG) to regional and local practices — serving multiple clients simultaneously.
Work typically falls into three service lines: audit (examining client financial records for accuracy and compliance), tax (preparing returns and providing planning advice), and advisory (consulting on transactions, technology, or financial processes).
Public accounting is the most common entry point for new graduates and is often the fastest path to earning CPA licensure, as the work experience requirements for most state boards are efficiently met in this environment.
Management (Corporate) Accountant
Management accountants — also called corporate accountants or industry accountants — work in-house for a single organization, which may be a corporation, nonprofit, hospital, or other entity.
Their focus is on internal financial reporting, cost analysis, budgeting, and supporting management decisions.
Titles include staff accountant, senior accountant, accounting manager, controller, and CFO.
The Institute of Management Accountants (IMA) oversees the Certified Management Accountant (CMA) designation, which is widely recognized in corporate accounting roles.
Government Accountant
Government accountants work at federal, state, or local government agencies — including the IRS, SEC, Department of Defense, or state revenue departments.
Federal government positions may follow General Schedule (GS) pay grades.
The Department of Labor and other federal agencies employ accountants to manage grants, oversee contractor compliance, and maintain financial accountability for public funds.
Government roles often offer strong benefits, job stability, and defined career ladders.
Forensic Accountant
Forensic accountants investigate financial records for evidence of fraud, embezzlement, or other irregularities.
They frequently work with law enforcement agencies, law firms, and regulatory bodies on litigation support and fraud investigations.
The Certified Fraud Examiner (CFE) designation, offered by the Association of Certified Fraud Examiners (ACFE), is the primary credential in this specialty.
Auditor
Auditors examine financial records for accuracy, compliance, and internal control effectiveness. External auditors work for CPA firms and provide independent opinions on a client's financial statements. Internal auditors are employed by the organization they audit, assessing internal controls, risk management, and governance processes.
The Certified Internal Auditor (CIA) designation is the primary credential for internal audit professionals.
For a detailed breakdown of the audit specialty, see our guide on what an auditor does.
Education Requirements
A bachelor's degree in accounting or a closely related field (finance, business administration) is the standard minimum education requirement for entry-level accountant positions.
Accounting programs typically cover financial accounting, managerial accounting, taxation, auditing, business law, and economics.
For those pursuing CPA licensure — the most recognized credential in the field — most states require 150 credit hours of college education, which is equivalent to approximately five years of full-time college coursework.
The additional 30 credits beyond a standard 120-credit bachelor's degree are typically completed through a master's degree program in accounting or a fifth-year program.
Requirements vary by state, so prospective CPAs should confirm the rules with their state's board of accountancy before selecting an education path.
Graduate degrees (MBA with accounting concentration, Master of Accountancy, or Master of Taxation) may be pursued for career advancement, specialization, or to satisfy the 150-credit-hour requirement for CPA licensure.
A full walkthrough of the credential process is in our guide on how to become a CPA.
Certifications (CPA and Others)
Professional certifications differentiate accountants in the job market and are often required for advancement into senior roles.
CPA — Certified Public Accountant
The CPA designation is the most widely recognized credential in accounting.
It is required to sign audit reports for public companies and is strongly preferred or required for senior roles at CPA firms and many corporate finance departments.
The Uniform CPA Exam — administered by the AICPA and NASBA — consists of four sections: AUD (Auditing and Attestation), FAR (Financial Accounting and Reporting), REG (Regulation/Tax), and one discipline section of the candidate's choice (as of the 2024 CPA Evolution model).
Candidates must pass all sections within an 18-month window and meet their state's work experience and ethics requirements.
For a deeper dive, our guide on what a CPA does explains how the role differs from a general accountant's. The IRS also recognizes CPAs as authorized practitioners who may represent clients before the IRS without additional qualification.
CMA — Certified Management Accountant
The CMA designation, offered by the Institute of Management Accountants, is oriented toward corporate finance and management accounting.
It covers financial planning, analysis, control, and decision support.
The CMA is frequently held by accountants working in industry rather than public accounting firms.
CIA — Certified Internal Auditor
The CIA designation is the global standard for internal audit professionals. It covers internal audit basics, practice, and business knowledge. The CIA is administered by the Institute of Internal Auditors (IIA) and is commonly required or preferred for senior internal audit roles.
CFE — Certified Fraud Examiner
The CFE designation is the primary credential for forensic accountants and fraud investigators. It covers fraud prevention, financial transactions, investigation techniques, and legal elements of fraud. CFEs work in law enforcement, litigation support, government, and corporate compliance.
Accountant Salary (BLS Data)
According to the 2024 BLS Occupational Employment and Wage Statistics survey for Accountants and Auditors (SOC 13-2011), the national median annual wage was $78,000, or approximately $37.50 per hour. Compensation varies widely by industry, geography, and credential level.
BLS wage percentiles for accountants and auditors (SOC 13-2011, 2024 OEWS):
| Percentile | Annual Wage |
|---|---|
| 10th percentile | ~$47,000 |
| 25th percentile | ~$57,000 |
| 50th percentile (median) | $78,000 |
| 75th percentile | ~$103,000 |
| 90th percentile | ~$136,000+ |
Top-paying industries for accountants and auditors, per BLS OEWS data, include securities and commodity contracts intermediation ($103,000+ median) and management of companies and enterprises ($92,000+ median). Top-paying states include New York, the District of Columbia, New Jersey, Virginia, and California — all of which have large concentrations of financial services, government contracting, and corporate headquarters.
The cost of living in California and cost of living in New York should be factored into any comparison of nominal salary differences across states.
CPA-licensed accountants typically command a premium over non-licensed peers, reflecting the additional education, examination, and experience requirements of the credential. The size of this premium varies by role, employer, and market.
Career Advancement
Accounting careers follow a relatively structured progression in both public accounting and corporate environments. Advancement is typically driven by years of experience, CPA or other credential attainment, performance reviews, and specialization.
Typical corporate accounting career path:
- Staff Accountant — entry-level; performs day-to-day bookkeeping, journal entries, reconciliations
- Senior Accountant — takes on more complex analysis, mentors staff, owns specific accounts or processes
- Accounting Manager — manages a team of accountants, oversees month-end close, interfaces with external auditors
- Controller — oversees all accounting functions, financial reporting, internal controls, and often treasury
- Chief Financial Officer (CFO) — executive-level role with responsibility for the organization's full financial strategy
Typical public accounting career path:
- Staff / Associate
- Senior Associate
- Manager
- Senior Manager / Director
- Partner
Time to each level varies by firm size and individual performance.
Earning a CPA license is typically required for advancement past the senior associate level at most CPA firms.
At senior income levels, financial planning questions like average net worth by age and how much to save each month become increasingly relevant for long-term financial security.
Job Outlook
According to the BLS Occupational Outlook Handbook, employment of accountants and auditors is projected to grow 6% from 2023 to 2033 — described as about as fast as the average for all occupations.
The BLS projects approximately 126,500 job openings per year over the decade, driven by a combination of employment growth and replacement needs as workers retire or change occupations.
Factors supporting demand include:
- Increasing regulatory complexity and financial reporting requirements for organizations of all sizes
- Growing use of data analytics in accounting functions, requiring accountants who can work with technology tools
- Expanding forensic accounting work related to fraud prevention and regulatory compliance
- Ongoing demand for tax preparation and planning services for individuals and businesses
Automation and artificial intelligence are changing some routine accounting tasks, but the analytical, advisory, and judgment-intensive aspects of accounting work are expected to remain in demand.
Accountants who develop skills in data analysis, ERP systems, and advisory services may be best positioned as the technology landscape evolves.
Related careers to consider alongside accounting include what a financial analyst does and what a bookkeeper does — the latter being the role most directly below staff accountant in the financial recordkeeping hierarchy.
Frequently Asked Questions
What is the difference between an accountant and a CPA?
An accountant is anyone who performs accounting work — recording financial transactions, preparing statements, or analyzing data.
A CPA (Certified Public Accountant) is a licensed professional who has passed the Uniform CPA Exam, met their state's education and experience requirements, and holds an active state license.
CPAs have legal authority to sign audit reports for public companies and may represent clients before the IRS. Not all accountants are CPAs, but the CPA designation is the most recognized credential in the field and typically commands higher compensation.
Our guide on what a CPA does explains the distinction in detail.
How much does an accountant make per year?
According to the 2024 BLS Occupational Employment and Wage Statistics survey for Accountants and Auditors (SOC 13-2011), the national median annual wage was approximately $78,000.
The 10th percentile was around $47,000 and the 90th percentile exceeded $136,000.
Actual pay varies significantly by specialization, employer, industry, geographic location, and whether the accountant holds a CPA license.
For more detail, see our dedicated accountant salary guide.
Is accounting a good career?
Accounting offers stable employment, clear career progression, and above-average compensation relative to the overall labor market.
The BLS projects 6% employment growth for accountants and auditors from 2023 to 2033 — roughly in line with the average for all occupations — and the field generates approximately 126,500 job openings per year.
The CPA credential substantially expands career options and earning potential.
As with any career, job satisfaction depends on individual preferences regarding the type of work, work environment, and advancement goals.
What industries pay accountants the most?
According to BLS OEWS data, accountants and auditors in securities and commodity contracts intermediation — essentially financial services and investment firms — earn some of the highest median wages in the field, exceeding $103,000.
Management of companies and enterprises also pays above the overall median, at roughly $92,000 or more.
Top-paying states include New York, the District of Columbia, New Jersey, Virginia, and California, which all have large concentrations of financial services employers and government contracting activity.
Can an accountant give tax advice?
Accountants may prepare tax returns and provide general tax information, but the scope of advice they may offer depends on their credentials and state licensing.
CPAs are authorized by the IRS to represent clients in audits, appeals, and collection matters.
Enrolled Agents (EAs) are federally licensed tax practitioners who also have unlimited practice rights before the IRS, as described in IRS guidance.
Non-licensed accountants may prepare returns but typically may not represent clients before the IRS beyond the return preparation context.
Sources & References
- U.S. Bureau of Labor Statistics, Occupational Employment and Wage Statistics — Accountants and Auditors (SOC 13-2011), 2024 survey data — https://www.bls.gov/oes/current/oes132011.htm
- U.S. Bureau of Labor Statistics, Occupational Outlook Handbook — Accountants and Auditors, job outlook, duties, and wage data — https://www.bls.gov/ooh/business-and-financial/accountants-and-auditors.htm
- Internal Revenue Service — Enrolled Agent Information and IRS-Authorized Tax Professionals — https://www.irs.gov/tax-professionals/enrolled-agents/enrolled-agent-information
- U.S. Department of Labor, Employment and Training Administration — Workforce and Occupation Data — https://www.dol.gov/agencies/eta/tradeact/
Last updated: April 27, 2026