How to Become a CPA

Becoming a Certified Public Accountant (CPA) in the United States is a prestigious and rewarding career path, offering opportunities across accounting, taxation, consulting, and advisory services. CPAs are highly trusted professionals known for their expertise, ethical standards, and critical role in financial decision-making. With strong job demand, competitive salaries, and long-term career stability, the CPA credential continues to be a valuable investment.

This guide provides a clear roadmap for navigating the CPA licensure process, including recent updates that aspiring CPAs, especially those in California, should be aware of.

Understand the CPA Role

Before embarking on the CPA journey, it's essential to understand what CPAs do. CPAs are trusted financial advisors who help individuals, businesses, and organizations plan and reach their financial goals. They perform a range of accounting services, including auditing financial statements, preparing tax returns, and offering strategic financial advice.

Meet the Educational Requirements

Education is the foundation of CPA licensure, but requirements can vary by state. While all states require a bachelor’s degree, the structure of additional education is evolving, particularly in California.

Earn a Bachelor's Degree

All CPA candidates must earn a bachelor’s degree from an accredited institution. While an accounting degree is recommended, candidates may hold a degree in another field, typically consisting of a defined set of accounting and business-related coursework. However, students can take this coursework separately if transitioning careers.

Most states require a minimum number of semester units in accounting and business subjects, though the exact breakdown depends on the jurisdiction.

Educational Requirements: A State-by-State Perspective

Historically, many states have required CPA candidates to complete 150 semester units of education, which is 30 units beyond a standard bachelor’s degree. Candidates often meet this requirement through a master’s degree in accounting or taxation, or by completing additional accounting and business coursework through certificate programs.

However, this requirement is no longer universal, and recent legislation has introduced new pathways, most notably in California.

California CPA Pathway Update: AB 1175

In October 2025, California enacted Assembly Bill 1175 (AB 1175), a major update to CPA licensure requirements designed to modernize the profession, expand access, and increase flexibility, while maintaining high standards of consumer protection.

Key changes under AB 1175 include:

• Elimination of the 150-unit requirement in California
• Establishment of a bachelor’s degree with an accounting concentration as the core educational requirement
• A shift away from total unit counts and toward relevant coursework
• Authorization for the California Board of Accountancy (CBA) to recognize specific degrees as fully meeting educational requirements, streamlining transcript review
• Formal recognition of certain accounting certificates and training programs, which may substitute for a portion of the required accounting experience

Implementation timeline:

• January 1, 2026: Law takes effect; mobility provisions begin
• January 1, 2027: New licensure requirements become active
• 2027–2028: Candidates may choose between legacy requirements or the new AB 1175 pathway
• 2029 onward: Only the AB 1175 pathway will apply

This transition gives students and early-career professionals flexibility to choose the pathway that best aligns with their educational and professional goals.

Certificate Programs and Flexible Pathways

For candidates who do not pursue a traditional master’s degree, accounting certificate programs, including those offered through extended studies and community colleges, can play an important role. Under California’s updated framework, recognized certificates may help fulfill accounting concentration requirements and may also substitute for a portion of the professional experience requirement, depending on CBA regulations.

Programs such as UC San Diego Extended Studies’ Professional Accounting Certificate are designed to align coursework with CPA requirements while offering flexibility for working professionals and career changers.

Since CPA requirements vary by state and continue to evolve, candidates are encouraged to verify current standards through their state board of accountancy or the National Association of State Boards of Accountancy (NASBA).

Prepare for the CPA Exam

The CPA Exam is a rigorous, four-part examination administered by the American Institute of Certified Public Accountants (AICPA). It's important to note that the CPA released a new exam version in January 2024. You can learn more about the 2024 CPA Exam and how its changed in our previous blog.

The exam now consists of:

Core Sections (required):

• Auditing and Attestation (AUD): Auditing procedures, standards, and ethics
• Financial Accounting and Reporting (FAR): Financial reporting for business, nonprofit, and governmental entities
• Regulation (REG): Taxation, ethics, and professional responsibilities

Discipline Sections (choose one):

• Business Analysis and Reporting (BAR)
• Information Systems and Controls (ISC)
• Tax Compliance and Planning (TCP)

Candidates should carefully select the discipline that aligns with their career interests and professional strengths.

Gain Relevant Work Experience

Most states require CPA candidates to complete one to two years of supervised professional experience under a licensed CPA. This experience typically includes work in accounting, auditing, taxation, or attest services.

Under California’s updated framework, certain advanced degrees or recognized certificates may substitute for a portion of the experience requirement, offering additional flexibility for candidates entering the profession through nontraditional routes.

Meet Ethical Standards

Ethics is a cornerstone of the CPA profession. Candidates must demonstrate a strong understanding of ethical and professional responsibilities, which are tested on the REG section of the CPA Exam. Some states also require a separate ethics exam or course as part of the licensure process.

Always consult your state board of accountancy to confirm ethics requirements specific to your jurisdiction.

Apply for the CPA License

After completing the education, examination, experience, and ethics requirements, candidates may apply for licensure through their state board of accountancy. This process includes submitting transcripts, experience verification, exam results, and applicable fees.

Maintaining Your CPA License

Licensed CPAs must complete continuing professional education (CPE) to maintain their credentials. CPE requirements vary by state but typically involve ongoing coursework to stay current with accounting standards, tax laws, and professional best practices.

Becoming a CPA is a challenging yet highly rewarding journey. While the path requires careful planning and commitment, recent updates, particularly in California, have created more flexible and accessible routes to licensure than ever before. Whether you are a current student, a working professional, or a career changer, understanding your state’s requirements and available pathways is key to success.

Seek Guidance

Ready to begin your CPA journey or need help navigating your options?

Connect with experts in our Accounting Program at acctgtaxprogram@ucsd.edu to explore coursework, certificates, and next steps aligned with today’s CPA licensure landscape.

You can also join us for an upcoming in-person event with experts from the California Board of Accountancy (CBA), hosted in collaboration with the Rady School of Management. Learn more about California’s new CPA requirements taking effect in 2027, the role of the CBA, and what you need to know to move forward with confidence on your CPA path. Register for free here.