CPA License Requirements: Education, Exam, Experience & Costs (2026)
The Certified Public Accountant (CPA) license is one of the most valuable professional credentials in the United States. It’s also one of the most demanding to obtain, requiring 150 semester hours of education, passing a four-section national exam, and completing 1 to 2 years of supervised experience.
The Three E’s of CPA Licensure
Every state requires the same three components, though specific thresholds vary:
1. Education
Most states require 150 semester hours of college education — that’s 30 hours beyond a standard bachelor’s degree:
- Bachelor’s degree: Accounting or related field (120 hours)
- Additional 30 hours: Master’s degree, additional undergraduate courses, or certificate program
- Required coursework: Accounting, auditing, business law, ethics
Exceptions: A few states (like Colorado and Montana) allow you to sit for the exam with 120 hours but require 150 hours for full licensure.
Typical paths to 150 hours:
- 5-year combined BS/MS program (most efficient)
- Bachelor’s + Master of Accountancy (MAcc)
- Bachelor’s + 30 additional undergraduate hours
- Bachelor’s + MBA with accounting concentration
2. Examination (CPA Exam)
The Uniform CPA Examination is administered by the AICPA and delivered at Prometric testing centers nationwide:
| Section | Content | Duration | Questions |
|---|---|---|---|
| AUD | Auditing and Attestation | 4 hours | 72 MCQ + 8 simulations |
| FAR | Financial Accounting and Reporting | 4 hours | 50 MCQ + 7 simulations |
| REG | Regulation (Tax, Law, Ethics) | 4 hours | 72 MCQ + 8 simulations |
| TCP/BAR/ISC | Discipline (choose one) | 4 hours | Varies |
Key exam facts:
- Pass score: 75 on each section (scaled)
- Pass rates: 45% to 60% per section (varies)
- 18-month window: All sections must be passed within 18 months
- Testing windows: Available year-round (continuous testing)
3. Experience
Most states require 1 to 2 years of supervised work experience under a licensed CPA:
- Duration: 1 year (some states) to 2 years (most states)
- Type: Public accounting, private industry, or government (varies by state)
- Hours: 1,800 to 2,000 hours per year
- Supervision: Must be verified by a licensed CPA
Some states accept experience in private industry; others require at least some public accounting experience.
Total Cost to Become a CPA
| Expense | Range |
|---|---|
| 150 hours of education | $20,000 – $80,000 (included in degree) |
| CPA review course | $1,500 – $3,500 |
| Exam fees (4 sections) | $800 – $1,200 |
| Application fee | $50 – $200 |
| Ethics exam (AICPA) | $0 – $200 |
| License fee | $50 – $300 |
| Post-degree total | $2,400 – $5,400 |
The CPA review course (Becker, Surgent, Roger, Wiley) is the largest post-education expense. Most candidates spend 300 to 400 hours studying across all four sections.
See costs for your state at LicenseCompass.
Timeline
| Milestone | Duration |
|---|---|
| Bachelor’s degree | 4 years |
| Additional 30 hours | 1 year (or concurrent with master’s) |
| CPA Exam prep + passing | 12 – 18 months |
| Work experience | 1 – 2 years |
| Total from high school | 6 – 8 years |
Many candidates begin the exam during their final year of school and work on experience concurrently with remaining exam sections.
CPA Salary
CPAs are among the highest-paid licensed professionals:
| Career Stage | Annual Salary |
|---|---|
| Entry level (1-3 years) | $55,000 – $70,000 |
| Senior (3-5 years) | $70,000 – $95,000 |
| Manager (5-8 years) | $90,000 – $130,000 |
| Director/Partner | $150,000 – $300,000+ |
The CPA designation typically adds 10% to 15% higher salary compared to non-CPA accountants at the same experience level.
Compare CPA salaries across states at our CPA salary page.
State-by-State Differences
While the CPA Exam is uniform nationally, states differ on:
- Education requirements: Some require specific accounting/business hours
- Experience duration: 1 year vs. 2 years
- Experience type: Public only vs. any accounting
- Ethics exam: Some require the AICPA ethics exam, others have their own
- Age minimum: Most have none; a few require 21
CPA Mobility: The Uniform Accountancy Act promotes substantial equivalency — CPAs who meet certain thresholds can practice across state lines without additional licenses.
Explore all 50 states at our CPA overview.
Continuing Education
Licensed CPAs must complete 40 hours of CPE (Continuing Professional Education) per year in most states:
- Ethics: 2 to 4 hours required per cycle
- Technical: Accounting, auditing, tax updates
- Format: Online, in-person conferences, or self-study
- License renewal: Every 1 to 3 years depending on state
Frequently Asked Questions
How hard is the CPA Exam? Pass rates range from 45% to 60% per section, making it one of the more challenging professional exams. However, with a quality review course and 300 to 400 hours of study, most dedicated candidates pass all four sections.
Can I become a CPA without a master’s degree? Yes. The 150-hour requirement can be met with any combination of undergraduate and graduate coursework. A master’s degree is one path but not the only one.
How long do you have to pass all four CPA sections? 18 months. If you don’t pass all four within 18 months of your first passed section, the earliest passed section expires and must be retaken.
Is the CPA license worth it? For accounting professionals, yes. CPAs earn 10% to 15% more than non-CPAs, have access to partner-track positions at accounting firms, and can sign audit reports (a legally restricted activity). The lifetime earnings premium is estimated at $1 million or more.
Can I take the CPA Exam in one state and get licensed in another? Yes. CPA Exam scores are transferable between states. You can sit for the exam in one state and apply for licensure in any other state where you meet that state’s education and experience requirements.
Data sourced from CareerOneStop (U.S. Department of Labor) and the AICPA. Verify current requirements with your state board of accountancy.