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Pursue Accounting CPA from scratch or stick in current field and pursue CIP instead?

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  • Jan 22nd, 2015 5:18 pm
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Newbie
Aug 24, 2014
27 posts
BC

Pursue Accounting CPA from scratch or stick in current field and pursue CIP instead?

I am turning 28 and currently worked a few years in insurance; plus a few more years in retail banking. The insurance company I work for has told me they will fund my CIP (Chartered Insurance Professional) designation, a total of 10 courses. Right now I am getting paid over $50K. I'm just not sure where to go from here. As a result, I have looked into Accounting; however, the road to a CPA is much longer and possibly more difficult. Due to my background, I will need to start with Module 1 - Intro to Financial Accounting offered by the CPA PREP. From there, it will be a total of 12 courses and then I will eligible to participate in the CPA PEP, which is another 2-3 years with work experience.

I don't want to want to sell insurance for my whole career, but I am open to working in insurance as a risk manager/analyst. Ideally, I'd be happy with $70-80,000 at the peak of my career, a 9-5 M-F job, preferably 40 hours a week (no more), a field that isn't prone to outsourcing and a good quality of work/life balance. Is accounting a better situation for me or would I experience better career growth in my current field?

TL;DR: Is it worth it for a 28 year old to move to accounting and complete a CPA from scratch or would my career outlook be better if I stick with insurance? What else can I transfer to from insurance?
11 replies
Jr. Member
Feb 17, 2007
105 posts
44 upvotes
Vancouver
Speaking from experience (Level 1 only). Why don't you just sign up for Level 1 exam? They will send you the text books. All you need to do is study all of them instead of doing the prep courses.
Newbie
Aug 24, 2014
27 posts
BC
There's no level 1 for CPA; the requirement is CPA PREP (or accounting degree which I don't have) to get into the program.
Member
May 29, 2008
263 posts
14 upvotes
It really depends on how ambitious you are and what you want to do with your career/designation.

I'm sure you are aware that the CPA has much higher potential. But if the CIP can get you to where you want, then there is no point putting in those extra effort.

I'm a designated accountant myself, younger than you, and my base salary is already over 80K on a (mostly) 9-5 job. If this is what you want, then put in the effort now (I had zero social life for 3 years...) before you have a family/kids to take care of.

*Note that a CPA will not guarantee you an 80K career
Deal Addict
User avatar
Apr 22, 2009
1360 posts
692 upvotes
Scarborough
CPA will open way more doors and give you lots of opportunity for a 80k+ job

CIP limits you in my opinion. But if you love your field stay in it.
Deal Addict
Jan 9, 2011
2074 posts
1599 upvotes
Vancouver
Are you trying to go through an audit firm to get your CPA, or industry?
Newbie
Aug 24, 2014
27 posts
BC
Sypsy wrote: Are you trying to go through an audit firm to get your CPA, or industry?
Industry. Does it make a difference?

The timeline looks something like this:

------ CPA PREP start-------
Jan 2015 - Mod 1
Summer 2015 - Mod 2
Winter 2015 - Mod 3

Jan 2016 - Mod 4
----- Prerequisites completed-----
Summer 2016 - Mod 5
Winter 2016 - Mod 6

Jan 2017 - Mod 7, 8
Summer 2017 - Mod 9
Winter 2017 - Mod 10, 11

Jan 2018 - Mod 12
-----CPA PEP start-------
2018-2020 Industry and work experience

2020-2021 - Exam, Designated
I'll be about 32-33.

I think it's a pretty generous/realistic timeline. About 5 years from now with courses spread out. Of course, there's always the option to just work in accounting without a designation.
Deal Addict
Jan 9, 2011
2074 posts
1599 upvotes
Vancouver
I worked through an audit firm, so I'm biased towards that, since I got my CA that way. Going through the audit firm way and then into industry, are probably the "high paying" jobs you are looking at. I'm guessing Sammy above worked in public practice and is now at industry with an 80k job, after being in audit for 3 years.

By working in industry directly, you are going to the equivalent of the CGA or CMA, both good, but they are less "prestigious".

Essentially, what I am saying if you got your CPA in industry, when you want to change jobs, someone would look at your resume and say "oh, I was looking to see if you worked for a big 4 or mid-sized firm and I see you didn't. Sorry, we're only looking for those types of applicants." I would hate for this to be the case for you since it will seem like such a waste of energy and time.

I've seen tons of people working in industry without a designation and they do just fine. If you want a CPA that can get your doors open, most would recommend go the hard route and go to public practice. Though as a staff 1 in the GVA, you would earn ~45k (bigger the firm the less, since you are getting the name) and slowly make your way up to 60k in about 3 years, while working like a slave (probably, unless you're lucky)

This is only one perspective, and i'm completely out of touch with the job scene these days and the whole new CPA and how it works. I definitely recommend talking to designated CGA/CA's who are more familiar with how the CPA has affected things.
Member
User avatar
Dec 15, 2011
371 posts
669 upvotes
Calgary
Just as a point of reference, I'm 26 with my CIP working in Insurance and earning a 6 figure income. The CIP has opened some doors for me, but the main reason I earn what I do is because I work 60 hour weeks and am always on call.

Designations and credentials are, in my opinion, only 20% of the formula for success in a professional financial sector-related career. The other 80% derives from working hard and being front and centre whenever anyone needs something from you. The post-nominals without the supporting experience and drive to put in the hours are meaningless.

It's worth noting that the CIP program, when all is said and done, costs around $7,000. If your employer is willing to foot that bill, you'd be silly not to take advantage of that. Whether you succeed there, then want to take it to the next level by committing to every possible opportunity to advance is up to you.

The same can be said of the CPA program, I suspect. I know three CA's earning less than I do, not because they can't, but because their drive lies elsewhere.
Newbie
Aug 24, 2014
27 posts
BC
fearlessfx wrote: Just as a point of reference, I'm 26 with my CIP working in Insurance and earning a 6 figure income. The CIP has opened some doors for me, but the main reason I earn what I do is because I work 60 hour weeks and am always on call.

Designations and credentials are, in my opinion, only 20% of the formula for success in a professional financial sector-related career. The other 80% derives from working hard and being front and centre whenever anyone needs something from you. The post-nominals without the supporting experience and drive to put in the hours are meaningless.

It's worth noting that the CIP program, when all is said and done, costs around $7,000. If your employer is willing to foot that bill, you'd be silly not to take advantage of that. Whether you succeed there, then want to take it to the next level by committing to every possible opportunity to advance is up to you.

The same can be said of the CPA program, I suspect. I know three CA's earning less than I do, not because they can't, but because their drive lies elsewhere.
If you don't mind me asking, how did you get to where you are? What exactly are you in right now? Underwriting, claims, risk management, etc?
Member
User avatar
Dec 15, 2011
371 posts
669 upvotes
Calgary
I've been working in Insurance since I was 17, starting as a CSR, then as a broker while going to University and doing my business degree. I completed my CAIB and CRM over 4 years while working as a broker and finishing my degree and then moved into independent loss adjusting where I got my CIP.

I now do large loss claims adjusting. It's a pretty interesting field as I usually see something new every day, however claims isn't for everyone, especially if you can't compartmentalize dealing with pissed off people all the time and take things too personally.

In my opinion there's a few key points for success in this field:

- never stop taking educational courses, taking a break just makes it twice as hard to start again
- see who works the hardest in your office and aim to work harder than them and emulate their qualities
- if your goal is money, work as a commission broker or independent adjuster where your income is heavily dependent on how many hours you put in at the office
- have smart goals on 2 and 5 year timelines that are reasonable enough to stick to

Also, if you're looking for a job; be open to recruiters and head hunters. My current job was found through a head hunter and for the most part they do pretty good work, as their revenue stream derives off successfully placing you in a new job. Linked in is also a surprisingly effective resource.
Member
Sep 9, 2009
297 posts
122 upvotes
Calgary, AB
I was in a similar situation as the OP.

At the age of 24, I was in an Underwriting role and had completed my CIP designation. I was also done 70% of the FCIP and CRM designations. My goal was to become a risk manager/analyst for a O&G company. I had a couple interviews for these positions but was unsuccessful. It got me worried that I would never obtain one of these positions as there are not many available and many of them require you do have x amount of years experience. I couldn't picture myself underwriting my whole life and had other interests I wanted to pursue which I knew could increase my income potential drastically so I went back to school. I got my degree in Finance and am now currently pursuing my CPA designation. I make 20% more now and enjoy what I do.

As others have said, have a CPA designation opens up so many more doors and in multiple industries, rather than a CIP being limited to risk management/insurance. Not saying it's not possible to make $100k, but it's definitely harder and will be working more hours. If you decide to stick to the CIP, fearlessfx's key points for success in the insurance industry are bang on. Claims was just something I could never do.

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