What an accounting degree really buys you

As a sophomore in college, I constantly observe many of my fellow classmates worrying about getting a job after graduating in May of 2012. Fear of life out in the “real world” starts to set in as we see jobs disappear and unemployment rates reach 9.8% due to the recession. Our professors are constantly urging us to build up our resumes and gain a competitive edge in hopes that it will make us more desirable to companies during interviews. Many students worry how they will pay back college loans, save up to buy a house, and support themselves if they cannot land a job after graduation. And let’s face it, no one wants to work for minimum wage in order to pay the bills after putting themselves through four years of schooling for that hard-earned degree. Luckily, I am pursuing a degree in accounting, which is one of the few fields projected to grow in the coming years.

The Bureau of Labor Statistics states that accounting is one of the few careers projected to increase in demand in the next five years. Between 2006 and 2016, the employment of accountants and auditors is projected to increase by 18 percent. This is faster than the national average for all occupations. The industry expects an additional 226,000 positions to be created throughout this projection period.

Why is this? A major reason for the anticipated growth stems from the current shortfall in accountants caused by recent modifications in federal regulations that are expected to continue through 2014. Additional explanations include the increase in the number of business start-ups, more consumers looking to manage their assets, the prevalence of various forms of white-collar crimes and fraud, and new industries requiring investment guidance and bookkeeping activities. It all comes back to the saying that you can guarantee two things in life- taxes and death. As long as there are taxes to pay, there will always be accountants needed.

The high demand and low supply for accountants creates a seller’s market. This market enables possible negotiation when it comes to the employee’s starting salary and signing bonus. Currently, the median salary range for accountants and auditors with one to four years of experience is between $36,329 and $52,007. This range results from differences in the location and size of the company and the nature of the work.

What does it take to ensure a successful accounting career? Although you can get a para-professional accounting position with only an associate’s degree, you must earn your bachelor’s degree in order to become an accountant. If you go for the fifth year of schooling, you can qualify to take the four-part exam and become a Certified Public Accountant (CPA). Becoming an accountant is not easy, but it is worth your time and energy if you are interested in the subject matter. One of the most important things is to find the area of accounting that best suites you.

The four major accounting fields are public, management, government accounting, and internal auditing. The wide-range of available careers allow accountants the opportunity to pursue their particular interests. There are numerous specialized jobs in accounting ranging from budget analyst, to loan officer, to forensic accountant. An important aspect of accounting is that it allows individuals to work their way up the corporate ladder through hard work and experience. A staff accountant can one day become a partner or a CEO as long as they are dedicated. Salaries for positions vary from an average of $43,273 for staff accountants to $79,336 for finance managers.

When the average college tuition is $25,143 for private universities and $6,585 for public universities per year, students start to question if earning that degree is really worth it. What does an accounting degree really buy you these days? Consider this, the May 2008 national occupational wage estimates released by the Bureau of Labor Statistics reported that the average annual income of an accountant or auditor was $65,840, compared to the average national wage for all occupations of $42,270 a year.

An accounting degree will not only better your chances of getting a job out of college and earning a decent salary, but it has the potential to be a career that allows you to look forward to Monday mornings. Accounting isn’t that stereotyped number crunching job it used to be. With the constantly changing corporate culture, accounting has expanded into many exciting branches that are in high demand.

My fellow students might be worried about getting a job out of college, which is understandable. This economy does not make it easy to land your dream job right out of school. However, as an accounting major, I know that if I keep a high GPA, get a good internship, and impress those employers at the interview, I have a good chance of landing that dream job of being a forensic accountant before graduation day. An accounting degree is really more than a dollar amount, it is the ticket to a career in an exciting and growing industry where you can advance as an individual and take pride in the work you accomplish.