How to Become a CPA: A Step-by-Step Guide
WebCE Staff
By
June 5, 2025
The Certified Public Accountant (CPA) credential is one of the most respected and valuable designations in accounting and finance, qualifying professionals for roles in tax, audit, and consulting while paving the way for long-term career growth and higher earning potential.
While each state sets its own rules for CPA licensure, the journey usually follows a similar structure: education, exam, experience, and licensure. This guide walks you through each step, offers links to the latest rule changes, and helps you navigate your own path to becoming a CPA—including what to expect from CPA continuing professional education requirements after licensure.
Let’s dive in.
Step 1: Check Your State’s CPA Requirements
CPA licensure is regulated at the state level, meaning everything from education requirements to passing an ethics test can vary from state to state.
In short, state boards may differ in:
Required education hours
When you can sit for the CPA Exam
What qualifies as work experience
Whether an ethics exam is required in addition to the CPA exam
Check your state’s CPA licensing requirements using NASBA’s State Board Lookup Tool.
Step 2: Meet the Education Requirements
Most states follow the “150-hour rule,” which means you must complete 150 college credit hours to become a licensed CPA. You can typically sit for the CPA Exam after earning at least 120 credit hours—the equivalent of a bachelor’s degree—but you’ll need an additional 30 credit hours to meet full license requirements. These additional 30 hours are often earned in a Master’s degree, such as a Masters of Business Administration (MBA) or Master of Accountancy (MAcc).
In other words, the typical education path is a bachelor’s degree in accounting, finance, or business to meet the 120 hour requirement, followed by a master’s program for the additional 30 hours, for a total of 150 credit hours.
Typical education path:
Bachelor’s degree in accounting or a related field (e.g., finance, business)
Plus: 30 additional credit hours (often through a master’s program)
Popular degrees for completing 150 hours include:
Master of Accountancy (MAcc)
Master of Business Administration (MBA) with accounting emphasis
Graduate certificates in taxation or auditing
Not all states follow this framework, however. Some states allow licensure before reaching 150 hours, while others require specific accounting, business, or ethics coursework. Double check your state’s CPA licensing requirements in step 1.
To further complicate matters, a new path to licensure has been announced, but it is up to each state whether this path is adopted.
New Model Legislation for CPA Licensure
The AICPA and NASBA approved new model legislation offering a third path toward CPA licensure. This new pathway essentially replaces the 30 additional credits beyond the 120 for a bachelor’s degree with an additional year of work experience:
Baccalaureate degree with an accounting concentration + 2 years of experience + passage of the CPA Exam
This new pathway would be added (where adopted) to the existing pathways:
Post-baccalaureate (master’s) degree with an accounting concentration + 1 year of experience + passage of the CPA Exam
Baccalaureate degree with an accounting concentration + 30 credits + passage of the CPA Exam
The adoption of this new model legislation is up to each state’s Board of Accountancy. Some states may maintain traditional requirements, while others could reduce the amount of credit hours or work experience needed. This is another reason to stay informed of your CPA licensing requirements discussed in step 1.
Step 3: Apply to Take and Pass the CPA Exam
Overview of the CPA Exam Process
While the process for taking the CPA Exam varies by state, the basic steps include:
Apply for an Education Evaluation
Complete an Exam Section Application (after you are found eligible)
Review the Tutorial and Sample Tests
Receive Your Notice to Schedule (NTS)
Schedule Your Exam
Take Your Exam(s)
Receive Your Score Reports
For a detailed walkthrough of each of these steps, see NASBA’s CPA Exam Candidate Guide.
CPA Exam Structure
The CPA Exam is a rigorous, four-part test administered by the AICPA and overseen by NASBA. You must apply to sit for the exam through your State Board of Accountancy (see above).
The exam is made up of three 4-hour long core sections and one 4-hour long Discipline section of your choice.
Core Sections (Required)
Auditing and Attestation (AUD)
Financial Accounting and Reporting (FAR)
Regulation (REG)
Discipline Section (Choose One)
Business Analysis and Reporting (BAR)
Information Systems and Controls (ISC)
Tax Compliance and Planning (TCP)
You must pass all four sections within a certain timeframe, which varies by state. Traditionally, this has been an 18-month rolling window, meaning you have 18 months from the date you pass your first section to pass the remaining three. However, many states have or are in the process of adopting a new rule that would extend the window to 30 months. Best practice here is to check with your state’s Board of Accountancy.
On top of that, most state boards temporarily extended expiring credits to June 30, 2025, due to delays caused by the CPA Evolution transition in 2024. For the most accurate information, candidates should check with their specific state board of accountancy.
CPA Exam Score Release Timeline
CPA Exam scores are released by NASBA to state Boards of Accountancy on a rolling basis year-round. Check the target score release date timeline to see when you can expect your scores, but keep in mind some states require at least one day beyond the published target dates to process and release exam scores.
What Happens If You Fail a Section of the CPA Exam?
Candidates must score 75 or higher to pass each section of the CPA Exam. If you fail a section, you will receive a Candidate Performance Report that offers information on your exam performance compared to others in the “just passed” category, or those who scored between 75-80. This includes a breakdown by content area and question type (such as multiple choice or tasked-based simulations), which can be an invaluable study tool when preparing to retake the exam.
To retake the CPA Exam, you must re-register for the section and obtain a new NTS before you can reschedule (see step 3). However, you may not be able to re-register immediately after receiving your scores because it can take up to five days after the score is released to close the section out. NASBA recommends contacting your state Board of Accountancy or CPA Examination Services (CPAES).
Remember, too, you are still bound to your testing window of 18 or 30 months (depending on your state’s regulations) that began the moment you passed the first section. Fail to pass four sections in this timeline, and your passing scores will expire.
Step 4: Gain the Required Work Experience
Most states require 1–2 years of relevant work experience under the supervision of a licensed CPA. As a general rule, 1 year of experience equates to 2,000 hours. Some states require direct verification from a licensed CPA, while others have specific hour requirements in areas like attestation or tax. Just what and how many hours need depends on your state and your chosen licensing path (see step 2 above for more on the different licensing paths).
Qualifying work experience includes offering any service or advice involving the use of accounting, attestation, compilation, management advisory, financial advisory, tax, or consulting skills under direct supervision and oversight of a CPA with an active license. NASBA also offers Experience Verification, which offers an alternate method of verifying work experience with a licensed CPA.
In many states, you can gain experience before, during, or after passing the CPA Exam.
Step 5: Apply for Your CPA License
Once you’ve passed the exam and completed your work experience, you can apply for your CPA license through your state’s Board of Accountancy.
While requirements vary by jurisdiction, applications typically include:
Submitting official transcripts to verify education
Completed experience verification forms signed by a CPA with an active license
Paying application and licensure fees
Undergoing a background check
Completing an ethics exam (required by some states; often the AICPA Ethics Exam)
The review and approval process can take anywhere from a few weeks to several months, depending on your state board’s current workload and whether your application is both complete and accurate.
If you plan on practicing in a different state, be aware that licensure is state-specific, and you may need to meet additional requirements for reciprocity or transfer.
Stay Licensed with Continuing Professional Education (CPE)
CPA licensure isn’t one-and-done. To keep your license active, you must meet your state’s CPA continuing professional education (CPE) requirements, which helps you stay informed and compliant in a rapidly changing profession.
CPE requirements vary by jurisdiction, so always check your state’s CPE requirements.
Generally, CPE for CPAs typically include:
40 hours per year or 80 hours every two years
Mandatory ethics hours (usually between 1–4 hours)
Courses delivered via webinars, self-study, or online
CPE topics may cover:
Ethics and regulatory updates
Accounting standards and tax law
Technology, cybersecurity, and data analytics
Whether you’re focused on meeting minimum CPA continuing professional education requirements or looking to grow your skills, selecting the right provider matters.
WebCE offers flexible, self-paced CPA CPE courses that align with state board requirements and offer maximum convenience. Explore our catalog of online CPE for CPAs to stay on track and in control of your professional future.
Becoming a CPA is a commitment—but it’s also a powerful career move. With the right plan, support, and tools, you can navigate every step from education to licensure.
Start by checking your state’s requirements, exploring your education options, and preparing for the exam with confidence. Whether you’re still in school or already working in the field, the CPA credential is within reach.