Can you get rich in accounting?

From what I understand the best way to get rich with this degree is to become a CPA and sail the finance waters.

Partners at Big 4 firms make well over that in salary alone

I currently work in public accounting and I assure you that you won't be getting rich in public accounting unless you stick around long enough to become a partner. And this would be true for most regional up to big four accounting firms. The best way is to start out in public accounting earn your CPA and move to private. This is the path of most people.

Cook the books baby!

Get out before they boil over!

Of the CPAs I know (six), most worked at public accounting firms long enough to get job offers at "real" company as Controller or Finance Manager of CFO, while two were told they were on partner track so they stuck around. As entry level auditors they made crap money and worked insane hours, and even as junior partners they didn't make huge money. Senior partners start to make real groovy money.

My company tried to hire one of our auditors away from our accounting firm to be Controller, and his boss told him to stick around because he'd be a partner within a year (which actually did happen). When he was trying to convince the guy to stay, he revealed that he himself made $350k the prior year, and I believe it. So it's like anything... if you can climb to the top of the mountain, you're rewarded. But the CPAs I know who are making six figures are the ones who quit working for the accounting firm and started working for client businesses.

The only way to get rich is to have equity.

Otherwise, your owners get rich off of your knowledge and hard work

I'd say, for myself, coming out of college you make a decent amount of money compared to most other graduates. And you can do this with only a 4 year degree. But you don't move up much after that initial amount, even if you get promoted or earn your CPA. And you work a ton of hours. This is what eventually drives most to private accounting (controller, CFO, ect. for a company).

Phil Knight,CPA.....nuff said

beans iafsd wrote:

Can you get above the $200,000 mark in the accounting profession? Like if you get an MBA and manage a bunch of other bean counters?

$200k is definitely doable, but it will take time. I would say 8-10 years at least, if you stay in public. Just like anything else, if you are a stud and fast track, you have a higher likelihood of reaching that figure early. Also, there are some niche type specialities that lend themselves to higher incomes, due to being more specialty services that can be billed out at a higher rate. Also, of course, it depends on where you are working...$200k isn't $200k in all parts of the country.

Accounting is very much a turtle profession, when thinking about progression....slow and steady. The advantages, though, are that (a) it is HIGHLY stable and (b) it's not overly industry specific. It is to a certain degree, but a good accountant can apply the same rules to various industries.

Realistically, $200k is not that much money these days. You could probably go into sales or headhunting and be making that within a year or two (if you are good). To me, accounting is not the profession to enter if you goal is to be filthy rich. Comfortable, yes.

200k is a lot of money unless you're living in NYC or something.

My friend is a CPA. He's built his business over the course of 30 years.

He makes about 500k a year with a few years over a million. Certainly that's not typical for CPA's...but it's doable.

"Can one man, one hard drinking, chain smoking, backwoods accountant, stop a national conspiracy, change the course of history, and save a way of life? It's do-able... but it ain't gonna be purdy."

Surprise! wrote:

My friend is a CPA. He's built his business over the course of 30 years.

He makes about 500k a year with a few years over a million. Certainly that's not typical for CPA's...but it's doable.

And yet this begs the question, is he actually rich or about to go in or already in debt.

Being an accountant, or really a CPA is generally a piss poor return on investment of time and money especially when you factor in the time it took to get started and the time you will spend working (your real salary should be calculated from that).

But as far as job security if that is your thing, accountants will always be in demand because most successful and wealthy people don't want to spend much time on it.

A lot, as in several hundred millionaire accountants/money managers live in Israel. They had to flee there after stealing their client's money (like Nick Cage's mm) because Israeli will not extradite, but they did show it can be done. Painful truth.

Become a CPA and manage people's money. $$$$$$

Abe Foxxman wrote:

A lot, as in several hundred millionaire accountants/money managers live in Israel. They had to flee there after stealing their client's money (like Nick Cage's mm) because Israeli will not extradite, but they did show it can be done. Painful truth.

Why do contries NOT extradite? Seems like they are basically inviting criminals to come live with them.

If you can toil at a firm for long enough and get the needed training, forensic accounting can be a good way to make some decent money, be your own boss and do something interesting. I work with forensic accountants that charge more than lawyers for their time.

You do know that Phil Knight was a CPA, right? Working directly in the Accounting field doesn't necessarily make you big bucks. But Accounting gives you a great POV of knowing all the ins and outs of a business and a great basis for being an entrepenuer. The key thing is having the people person qualities and vision on top of the accounting skills.

As to making money directly in the accounting field? Its pretty simple to make $200,000. Get great grades in school as an accounting major. Join a Big 4 accounting firm. Work 80 hours/week year around and impress your superiors. Make Partner.

I'll tell you what's more difficult than working 80 hour weeks as an auditor in hopes of one day reaching the partner level....

Training through those 80 hour weeks! Any successful CPA runners out there?