| As you are well aware, effective August 1, 2009, | | | | Beginning with the class of 2009, however, the number |
| candidates for CPA licensure in the State of New | | | | of accounting graduates entering the workforce is |
| York will be required to have 150 credits of qualifying | | | | poised to significantly decrease. As the new |
| courses, up from the 120 that was previously required. | | | | requirement kicks in these students will be faced with |
| What does this mean for you? Well, it depends on | | | | an additional year of college in order to get their 150 |
| where you are in the hiring process. For those of you | | | | hours. Accordingly, that shrinkage in the 2009 |
| graduating in 2008 and seeking employment with the | | | | graduates is boosting the demand in graduates in 2008 |
| Big 4 this year, it may help your chances. The reason | | | | to comply. Look for an increase in the number of new |
| for this is that, once the new requirement kicks in, there | | | | hires in the Big 4 this season. |
| may be a shortage of accounting students in the | | | | Should you accelerate Your Degree to Beat the |
| pipeline. | | | | Deadline? |
| In the April 2008 issue of the CPA journal that is a | | | | The new requirement presents a difficult dilemma for |
| great article that highlights this issue (see Meeting of | | | | students who are set to graduate in 2009. Should you |
| the Minds - Preparing Future Accounting Professionals | | | | continue your degree at the set pace and thus require |
| The CPA Journal, April 2008). According to Charles A | | | | an extra year of educational experience? Or, should |
| Barragato, professor of accounting and director of the | | | | you accelerate your study in an attempt to graduate |
| C.W. Post School of Accountancy, "practitioners are | | | | early and beat the deadline? This is a difficult decision |
| apprehensive about how many students will be coming | | | | and one that requires your own cost/benefit analysis. |
| out of the pipeline after August 1, 2009." In response to | | | | What does another year of accounting study mean? |
| this, notes Barragato, "some firms are considering | | | | The cost of an additional year of study and an |
| ramping up their recruitment efforts-preparing | | | | advanced degree will be the fact that you will be |
| themselves to hire more people to make sure they | | | | forever one year behind in your career. At this point it |
| can service their clients during the transition period." | | | | is likely too early to say what advantage an extra |
| Thus, in the short run, firms may be looking to hire | | | | year of school will provide. 150 hours and a masters |
| extra graduates to prepare for the downturn in the | | | | degree will be the status quo in 2009 so it does not |
| number of graduates the following year. Let's take a | | | | seem to offer much in terms of a competitive |
| look at this in more detail. | | | | advantage. Should you stick around for that 5th year |
| In a typical year, Big 4 firms would look to hire a "new | | | | you will be competing with a whole new class of |
| class" of recent graduates to begin working in the | | | | students with Masters degrees. However, what really |
| summer/fall timeframe. The number varies by office, | | | | matters is getting your foot in the door of the Big 4, |
| from as little as a few new hires in smaller offices to | | | | advanced degree or not. In this regard, it seems to |
| over one hundred in larger offices. Due to the "move | | | | make sense that jumping at the hiring ramp-up in 2008 |
| up or move out" promotion patterns found in most of | | | | would make more sense. As mentioned, this is a |
| the Big 4, it is essential that a fresh class of grads be | | | | difficult decision and a personal one. In the end, could |
| hired to fill the spots of the associates hired the | | | | another year of college really be a bad thing? |
| previous year who are now "experienced associates." | | | | |