Choosing the right professional accounting qualification can shape your career and future opportunities. Among the most respected global certifications are the ICAEW ACA also known as Associate Chartered Accountant and the CPA which stands for Certified Public Accountant. Both open doors to high level accounting finance and audit roles. However they are different in structure recognition exam systems and career scope.
In this article you will learn the main differences between ICAEW ACA and CPA qualifications explained in simple terms to help you decide which path may suit your goals.
What Is ICAEW ACA?
The ICAEW ACA qualification is offered by the Institute of Chartered Accountants in England and Wales. It is one of the oldest and most respected accountancy bodies in the world. The ACA title means you are a Chartered Accountant with a strong foundation in financial reporting audit tax law and business management.
It is mainly recognized in the United Kingdom Europe Middle East and many Commonwealth countries but has global recognition and partnerships with several other accounting bodies.
What Is CPA
The CPA qualification stands for Certified Public Accountant and is awarded in the United States by state boards of accountancy. It is a license to practice as a public accountant and is required for certain regulated roles such as auditing public companies or submitting financial reports to the Securities and Exchange Commission.
CPA is widely recognised in North America and also in parts of Asia especially in multinational corporations or companies dealing with United States regulations.
Key Differences Between ICAEW ACA and CPA
Let us break down the most important differences between the two qualifications.
1 What Country It Comes From
ICAEW ACA is a UK based qualification and is more popular in Europe the Middle East Asia and Commonwealth countries.
CPA is a United States based qualification and is required for many accounting roles in the US.
2 Entry Requirements
ICAEW ACA usually requires a university degree or entry through a training contract with an authorised employer.
CPA requires a university degree with a total of 120 to 150 credit hours depending on the rules of the state board.
3 Work Experience
ACA students must complete a three year training contract under an ICAEW authorised training employer which includes practical work experience and support
CPA candidates usually need one to two years of relevant work experience which can be completed before or after the exams depending on the state
4 Exam Structure
ACA has fifteen exams divided into three levels Certificate Professional and Advanced
CPA has four exams including Auditing and Attestation Business Environment and Concepts Financial Accounting and Reporting and Regulation.
5 Study Content and Focus
ACA covers UK GAAP IFRS tax law ethics and business strategy giving a broad business knowledge.
CPA focuses on US GAAP US taxation business law and audit standards used in the United States.
6 Membership vs License
ICAEW ACA is a professional membership and Chartered Accountant status is granted for life if you meet CPD and ethical requirements.
CPA is a license which must be renewed with each state through regular continuing education and staying in good standing.
7 Fees and Support
ACA students often receive full or partial sponsorship from their employers who also provide study leave and guidance.
CPA candidates especially international ones usually fund their own exams study material and evaluation costs
Additional Comparison Career and Global Reach
8 Career Roles
ACA holders work in firms banks corporations or as advisors in audit tax or financial planning roles. Many progress to Finance Director or Chief Financial Officer positions
CPA holders work in public practice private companies or government agencies especially in roles related to US law or financial reporting.
9 Global Mobility
ICAEW has agreements with many global accounting bodies allowing ACA members to gain recognition in countries like Australia Canada South Africa New Zealand and India.
CPA holders may need to take additional exams to practice in other countries unless special recognition is granted which is rare outside the United States.
10 Continuing Professional Development
ICAEW members follow a flexible CPD program based on their current work role.
CPA holders must meet exact CPD hours defined by their state board with rules on ethics and technical training.
11 Employer Sponsorship
ACA training contracts are often supported by employers who pay exam fees and give time for study
CPA is less often sponsored and candidates usually complete it while working full time
12 Use of Title
ACA holders can use the title Chartered Accountant and write ACA or FCA after their name
CPA holders use CPA after their name but only in states where they hold a license
Common Myths About ACA and CPA Qualifications
Myth 1 CPA Is Easier Than ACA
CPA has fewer exams but the content is dense and the exams are hard. ACA has more exams but they are spread over time and include real work training
Truth Both are difficult and require serious effort
Myth 2 ACA Is Only Useful in the UK
ACA is recognised in many countries and is valued by global firms. Many ACA members work outside the UK.
Truth ACA is an international qualification with strong global partnerships.
Myth 3 You Need a Finance Degree
Both CPA and ACA accept students from non accounting backgrounds. You may need to take extra courses but the path is open.
Truth Your degree does not need to be in accounting. Entry depends on meeting study and training requirements
Myth 4 CPA Earns More Than ACA
Earnings depend on location experience and the type of job not just the qualification
Truth Both ACA and CPA holders earn high salaries in the right roles
Tips for Choosing Between ACA and CPA
1 Choose the qualification based on where you want to live and work
2 Check job listings to see what employers expect in your region
3 Make sure you meet the study and experience rules of the qualification
4 Think about how you prefer to learn and whether you want full time work plus study or a structured program
5 Look at how the qualification will support your career in the long run
Employer Preferences and Industry Demand
Employers around the world value both ACA and CPA qualifications. However their preferences may depend on the region type of industry and the nature of the accounting role.
In the United Kingdom and Commonwealth countries the ACA qualification is often seen as the gold standard. Many firms including the Big Four and top financial institutions recruit ACA trainees every year. They know that ACA professionals have gone through practical training and developed strong technical and ethical skills.
In the United States and some international companies that follow US accounting rules the CPA is a must. It is often required by law for roles that involve public accounting filing audited financial statements or handling tax matters. Employers trust the CPA to bring deep knowledge of US standards and regulations.
If you are applying to a multinational company or an international audit firm you may find that either qualification is accepted. In such cases your location and previous experience may matter more than the title.
Flexibility and Study Options
The way ACA and CPA exams are scheduled and delivered also affects your study journey
ACA exams are taken at different levels over the course of your three year training contract. This allows you to balance work and study step by step. Most ACA students receive study support from their firms and take exams in professional centers or through remote assessment where allowed.
CPA exams are more flexible in terms of timing. You can choose your own study schedule and sit for the four exams during open testing windows throughout the year. This works well for professionals who are working full time or have other commitments. However, flexibility also means that self discipline and planning are very important.
Long Term Career Growth and Specialisation
Both ACA and CPA can lead to senior leadership roles but the paths may look slightly different.
ACA professionals often move into finance director positions chief financial officer roles or become partners in audit and advisory firms. Many also choose to specialise in areas such as risk management business strategy or corporate finance. ICAEW also offers resources for lifelong learning and networking across industries.
CPA holders can become senior auditors controllers tax advisors or chief financial officers in US based companies. The CPA license also gives legal authority to sign audit reports for public companies. Some CPA professionals continue to earn further specialisations such as Certified Management Accountant or Certified Fraud Examiner to build a broader career path.
If you aim to open your own firm ACA and CPA both offer pathways to practice. However you must meet local legal and licensing rules in your country.
Support and Resources for Students
Both ICAEW and CPA offer structured support to help students succeed in their exams and careers. However the way this support is delivered may differ.
ICAEW students often receive access to official learning materials online practice questions mock exams and recorded lectures. If you are training through an authorised employer you will likely also receive study leave and regular feedback. Many employers assign a mentor or training manager who helps guide students throughout the three year journey.
CPA candidates usually prepare on their own or through private course providers. There are many review courses available which include video lectures test banks and study planners. However you will need to choose your course and manage your study plan without formal employer guidance unless you work in a firm that supports CPA training
Professional Community and Global Reach
The professional community you join after qualification can also play a role in your long term development.
ICAEW members gain access to a large global network of Chartered Accountants working in business government and practice. ICAEW also runs regional offices events technical updates and industry-specific resources for its members.
CPA holders become part of the American Institute of Certified Public Accountants or their state board community. They receive updates on legal changes accounting rules and ethics requirements. Some also join additional groups based on their area of practice such as tax audit or nonprofit accounting
Both communities provide networking career tools and ongoing education but the focus of each network is shaped by the local regulations and business needs of the region
Frequently Asked Questions
1 What is the main difference between ACA and CPA
ACA is a Chartered Accountant qualification from the United Kingdom with a focus on UK and international standards. CPA is a public accountancy license from the United States focused on US accounting laws and practices
2 Can I do both ACA and CPA
Yes many professionals choose to do both especially if they work in multinational firms or global financial services. However it requires meeting the education experience and exam requirements for both qualifications
3 Which qualification is better for working outside the United States
ACA is often more recognised in the United Kingdom Europe Asia and Commonwealth countries. It also has mutual recognition with other global accounting bodies. CPA is mainly required in the United States and is less portable without additional exams
4 Do I need to study accounting in university to qualify for ACA or CPA
No you can have a degree in any subject. For ACA you can enter through a training contract with an employer. For CPA you must meet credit hour requirements which may require extra coursework if your degree is not in accounting.
5 Is it easier to pass CPA because it has fewer exams
Not necessarily. CPA exams are very technical and must be passed within a specific timeframe. ACA exams are more in number but are spread out across different levels. Both paths require serious commitment and preparation .
For your help below are the links for these qualifications website: