requirements in New Jersey //

New Jersey is home to a diverse population, many thriving industries, and a strong financial services sector. Because of the state’s financial challenges, there are many career opportunities for certified public accountants.

CPAs can provide financial advice for many people and businesses. CPAs provide financial analysis and fiduciary services. These professionals may be more equipped than other accountants to deal with licensing and regulatory challenges.

CPAs must also undergo a strict state licensing process, which includes education, experience and examination. This page will explain the requirements for CPA licensure in New Jersey. Find out more about the accounting degree options in New Jersey and the experiential options. Also, learn how to renew your state license.

New Jersey CPA Exam Prerequisites

The National Association of State Boards of Accountancy states that CPA candidates must fulfill specific education requirements in order to take the licensing exam. To apply for the Uniform CPA Examination, they must first have 120 credits and a bachelor’s from an accredited college. Credits and degrees can be from any level or discipline. However, they must include business courses and accounting.

CPA candidates must complete an additional 30 credits in order to be eligible for New Jersey state licensure. Schools may offer accelerated bachelor’s-to-master’s programs to help aspiring CPAs satisfy the 150-credit requirement. These credits can be earned by candidates who also have the option of pursuing certificates or graduate degrees.

Concentrations, Credits and Course Acceptance

According to NASBA New Jersey’s CPA education requirements include 120 credits for passing the exam and 150 credits for state licensure. At least 24 credits must be taken from accounting courses, and at most 24 credits from other classes.

CPA candidates in New Jersey have the option to complete 150 credits before taking the exam or the remaining 30 credits. To verify the final 30 credits, those who have only 120 credits must use NASBA’s licensing service.

Students must earn all credits at U.S. universities in order to meet these requirements. Even if students transfer credits from one school to finish their degree, CPA licensure requires that they submit transcripts from all institutions where the credits were originally granted. Credits earned through professional training programs or chartered accountant programs will not meet the requirements for educational credit.

Within six months of obtaining licensure, licensed CPAs must also take a four credit New Jersey law and ethics course.

New Jersey Experience Requirements

The New Jersey State Board of Accountancy requires prospective CPAs to have at least 1,750 hours of experience in full-time accounting. Part-time experience that is less than 1,750 hours in length, but not consecutively, qualifies. This experience must be supervised and verified by a New Jersey CPA.

Candidates must complete work experience and submit a statement form. Candidates must pass the CPA exam in two-tier states before they can earn the experience required for licensure. New Jersey’s CPA requirements allow candidates to gain experience prior to taking the exam.

Internships are a great way for prospective CPAs to gain practical experience, but they must be completed after completing a bachelor’s degree. These services and sectors can provide the experience that is eligible:

CPA Exam Requirements

The American Institute of Certified Public Accountants (AICPA), issues the Uniform CPA Examination. This exam evaluates potential CPAs in four key areas:

Although CPA candidates from all states take the same exam as the national average, eligibility requirements and the process vary by state. These sections provide details specific to New Jersey.

Eligibility for the Exam

CPA candidates in New Jersey must have a bachelor’s degree in order to be eligible for the Uniform CPA Examination. This means that their transcripts must contain at least 120 credits (including the 24 accounting and business credits).

Additional eligibility requirements for New Jersey test-takers are:

New Jersey’s CPA requirements don’t include AICPA’s ethical exam. The state doesn’t have a residency requirement.

Application for the Exam and Scheduling

The CPACentral online application system allows you to apply for the exam. The application fee for the first time is $160. Official transcripts must be submitted showing credit minimums and degrees, as well as a notarization, photo form and a recent photograph.

Transcripts must be submitted directly to schools by applicants. It may take several weeks for transcripts from recent graduates to be available. Candidates who submit incomplete applications are ineligible to test and will forfeit their application fees.

NASBA will process your application within 2-4 weeks after receiving all required materials. Prospective CPAs are notified by NASBA when they have been deemed eligible. This notice will contain the schedule (NTS), for the sections of the exam they intend to take. Each NTS expires after six months. Candidates should only apply for sections that they are able to complete within this time period. Each section costs $238.15.

Prospective CPAs who fail to pass any part of the exam can retake it. They must pay a $80 re-exam registration fee in addition to the $238.15 exam fee.

After passing the Exam

CPA candidates in New Jersey have an 18-month window to pass all sections. The date of the first exam begins the 18-month period. Exam-takers are not allowed to retake sections of the exam within the same six month testing window.

AICPA usually releases scores for exams within two weeks after the test date. Aspiring CPAs will be sent a congratulatory note with further licensure instructions after passing each section. These results are valid in New Jersey even if a candidate passes the Uniform Exam. This is especially important because candidates can take the Uniform Exam without having completed their year of professional experience, or 150 credits of education.

Candidates who pass the CPA exam, and meet all educational and work requirements, can apply for licensure at the New Jersey State Board of Accountancy. A statement of experience , and a criminal background check must be included in licensure applications. The application fee for licensure is $75, and the registration fee $135. The review process usually takes between 7-12 weeks.

Employers can check CPA licenses online through the online database.

New Jersey CPA Licensure Retained

The New Jersey State Board of Accountancy states that New Jersey has a triennial licensure process. This means that licenses are renewed every three years. 60 days before the expiry date, renewal notices are issued by the board. The renewal requirements require 120 credits of continuing professional training (CPE), which must be completed every three years. This includes at least 20 credits per year.

60 credits must be in technical subjects such as taxation, information technology and business law. Each cycle must contain four credits in law and ethics. Public practice accountants must also have at least 24 credits in auditing or accounting courses. CPAs must keep records that last at least five years in order to be eligible for CPEs in the event of an audit.

Each three-year renewal fee for licensure is $135. CPAs in New Jersey can renew their licenses up to 30 days after expiration. However, they will need to pay an additional $50 late charge. The license is suspended after that and reinstatement costs $150 in addition to the renewal fee.

New Jersey permits CPAs and CPA firms from outside the state to practice within the state without requiring a New Jersey license. Non-CPAs can co-own accounting businesses as long as they hold CPA licensure.

Questions about CPAs in New Jersey

Accounting.com first published the post New Jersey CPA Exam Requirements.

Author: atatum