The Importance of Certification in Todays Environment Accounting

The Importance of Certification in Today’s Environment

Accounting Jokes What is an accountant?

Accounting Jokes Someone who solves a problem you didn't know you had in a way you don't understand!

Accounting Jokes What do you call an accountant without a spreadsheet?

Accounting Jokes LOST!

Accounting Jokes What does CPA stand for?

Accounting Jokes CAN’T PASS AGAIN

Government Civilian Joke There was a bored government civilian who decided to pass some time by cleaning out his file cabinet, and he found an old brass lamp. He rubbed some dust off of it and a genie popped out who told him he had three wishes.

Government Civilian Joke Not believing what he was seeing he started out small and wished for a soda, which “POOF!”, magically appeared in his hand.

Government Civilian Joke Now believing the genie, he wished to be on a beautiful tropical island, and “POOF!”, he instantly was transported to the paradise of his dreams. As he sunned himself on his private island he thought, "Oh, man this is the life, I wish I never had to work again. "

Government Civilian Joke And “POOF!”; He was back at his desk in the government office!

WHAT DO YOU MEAN BY “CERTIFICATION”?

What do you mean by “certification”? • Accounting & Financial Certifications – At last count, there are over 30 – Major professional designations include, but are not limited to the following: • • CIA (Certified Internal Auditor) CFE (Certified Fraud Examiner) CISA (Certified Information Systems Auditor) CMA (Certified Management Accountant) CGAP (Certified Government Auditing Professional) CPA (Certified Public Accountant) CGFM (Certified Government Financial Manager) CDFM (Certified Defense Financial Manager)

CPA (Certified Public Accountant) • • CPA designation established in 1896 Oldest and most popular designation for accountants Approximately 450, 000 active CPAs in the U. S. Must have the four “E’s” – Education, Examination, Experience and Ethics • Only CPAs can perform the mandatory audits of all publicly traded U. S. companies • Are widely sought after by all industries – including the federal government • Each state has its own Board of Accountancy which grants licensure

CPA (Certified Public Accountant) REQUIRED EDUCATION • Bachelor’s degree • Most states require 150 semester hours – Currently six jurisdictions do NOT have the 150 hour requirement in place: California, Colorado, Delaware, New Hampshire, Vermont and the Virgin Islands – Although Virginia requires 150 semester hours for licensure, the exam can be taken once 120 semester hours are obtained (average hours gained with a Bachelor’s degree) • Accounting concentration or equivalent

CPA (Certified Public Accountant) UNIFORM CPA EXAM • Computer-based format • Consists of 4 sections – Auditing and Attestation (AUD) – Business Environment and Concepts (BEC) – Financial Accounting and Reporting (FAR) – Regulation (REG) • Passing score is 75 on a 0 -99 scale • Question types include multiple choice, simulation and written communication • Additional Ethics Exam required in Virginia before obtaining license

CPA (Certified Public Accountant) REQUIRED WORK EXPERIENCE • Many states require CPA candidates to have 1 – 2 years experience under a CPA, but Virginia does NOT require this. • Virginia’s requires only one year general experience in accounting or a related field gained through employment in government, industry, academia or public accounting or related services.

CPA (Certified Public Accountant) MAINTAINING THE LICENSE • Continuing Professional Education (CPE) – Typically 40 hours per year – Types (e. g. , computer-based vs. group/classroom learning) of CPE vary by jurisdiction – Includes Ethics training and compliance • Renewal required annually

CPA (Certified Public Accountant) ASSOCIATED COSTS • One-time, non-refundable application fee of $120. 00 • Cost Per Exam Section: – AUD – $193. 45 – FAR – $193. 45 – REG – $173. 60 – BEC – $173. 30

CPA (Certified Public Accountant) ADDITIONAL INFORMATION American Institute of Certified Public Accountants (AICPA) http: //www. aicpa. org/Become. ACPA/Pages/Becomea. CPA. aspx National Association of State Boards of Accountancy (NASBA) http: //www. nasba. org/exams/cpaexam/ Virginia Board of Accountancy (VBOA) http: //www. boa. virginia. gov/CPAExam/index. shtml

CGFM (Certified Government Financial Manager) • • Established in 1994 by The Association of Government Accountants (AGA) The first certification that covers the entire field of government financial management - federal, state and local More than 15, 000 individuals have received the CGFM designation Measures a wide range of knowledge and skills needed to succeed in the federal, state, and local government financial environment

CGFM (Certified Government Financial Manager) REQUIRED EDUCATION • Bachelor’s degree; may take if within one year of graduation • Completion of at least 24 semester credit hours (or 36 quarter credit hours) of study composed of courses in one or more of the following areas: – – – – – Accounting Auditing Budgeting Economics Electronic Data Processing Finance Information Resources Management Public Administration Other Financial Management or Related Topics

CGFM (Certified Government Financial Manager) EXAMINATIONS • Computer-based format • Consists of 3 exams – Governmental Environment – Governmental Accounting, Financial Reporting and Budgeting (focuses on state and local) – Governmental Financial Management and Control • Passing score is 500 on a 200 -700 scale • All multiple choice

CGFM (Certified Government Financial Manager) REQUIRED WORK EXPERIENCE • 2 years in a professional level financial management positions • Includes, but is not limited to 05 XX coded civilians, CWOs (F&S), FIN 10 coded officers, SKs, etc.

CGFM (Certified Government Financial Manager) MAINTAINING THE LICENSE • Remain in compliance with AGA Code of Ethics • 80 hours of Continuing Professional Education (CPE) credits completed within a two-year cycle • Renewal required annually

CGFM (Certified Government Financial Manager) ASSOCIATED COSTS • One-time, non-refundable application fee of $85. 00 • $125. 00 Per Exam (3 Exams Total)

CGFM (Certified Government Financial Manager) ADDITIONAL INFORMATION The Association of Government Accountants (AGA) http: //www. agacgfm. org/cgfmdefault. aspx

CDFM (Certified Defense Financial Manager) • • • Established in 2000 by The American Society of Military Comptrollers (ASMC) Most popular financial certification for Do. D financial management personnel Over 5, 000 individuals have received the CDFM designation Measures familiarity with 12 competency areas which includes cost estimation, auditing, and fiscal law Not to be confused with Do. D FM Certification Program (http: //comptroller. defense. gov/External. Links/FMCert/ )

CDFM (Certified Defense Financial Manager) REQUIRED EDUCATION • High School Diploma (or equivalent)

CDFM (Certified Defense Financial Manager) EXAMINATIONS • Computer-based format • Consists of 4 modules (1 optional) – Resource Management Environment – Budget and Cost Analysis – Accounting and Finance – Acquisition Business Management – Optional, if passed, CDFM with Acquisition Specialty (CDFM-A) designation is issued • All multiple choice

CDFM (Certified Defense Financial Manager) REQUIRED WORK EXPERIENCE • Three years of defense-related financial management experience - Only two years needed if candidate has an associates degree - Four years of federal government financial management experience are needed if work experience is not defense-related

CDFM (Certified Defense Financial Manager) MAINTAINING THE LICENSE • Adhere to the ASMC Pledge of Professionalism • 80 hours of Continuing Professional Education (CPE) credits completed within a two-year cycle • Renewal required bi-annually

CDFM (Certified Defense Financial Manager) ASSOCIATED COSTS • One-time, non-refundable application fee of $70. 00 ($35. 00 for ASMC members) • $99. 00 Per Exam (3 Exams Required, 4 Exams Total)

CDFM (Certified Defense Financial Manager) ADDITIONAL INFORMATION Please note, The CDFM is one of the Do. Dapproved Test-Based Certifications recommended for Certification Levels 2 and 3 of the Do. D FM Certification Program. For more information, please visit the American Society of Military Comptrollers (ASMC) http: //www. asmconline. org/certification/cdfminformation/

WHY IS THIS IMPORTANT TO ME?

The Importance of Certification Proves your skill sets and knowledge

The Importance of Certification Makes you more marketable and increases your chances for promotion

The Importance of Certification Increases your earning potential

I WOULD LOVE TO, BUT I CAN’T BECAUSE. . .

Battling Excuses “I don’t have the time to devote to studying. ”

Battling Excuses “I don’t take tests well. ”

Battling Excuses “The fees are too expensive. ”

CONCLUSION • Consider how important certifications are in today’s environment. • Determine which certification is the best fit for your current education and career experience. • Assess which certification would benefit your career more. • Do not underestimate yourself!