How to Become a Chartered Accountant?

In recent years, the demand for Chartered Accountants has increased in the job market. From every stream of education, there are particular courses that students eye for, one such course is the CA course for commerce students. Those wondering how to become a Chartered Accountant need to understand that they have to devote 5-6 years to become a CA. CA is considered one of the highest forms of professional career choice in India and is almost like a dream come true for many people. Those who have an interest in tax and accounting should think of studying this course. Although, the journey to becoming a CA is not so easy, however, with sheer dedication nothing is impossible.    

Chartered Accountants are professionals who are hired by private and public organisations to deal with the account details of an organisation. Individuals who are interested in becoming a CA need to start gathering information after completing Class 10. To get a better idea of how to become a CA, aspirants can read this article.

Who is a Chartered Accountant?

CA (Chartered Accountant) is a credential which is given to accounting professionals in countries around the world. Those who want to become a Chartered Accountant in India, have to complete three levels of training that are designed by the Institute of Chartered Accountants of India (ICAI). It is only after qualifying all three levels that the candidate will be given the designation of a CA. The ICAI is a statutory body that is responsible for regulating and maintaining the profession of Chartered Accountancy in India. If you are wondering how to become a Chartered Accountant, you have to devote roughly 5 years to becoming a CA.

How to Become a Chartered Accountant: Highlights

Individuals wondering how to become a Chartered Accountant should get quick insights about this profession. Check out the significant highlights of a CA in the table given below:

How to Become a Chartered Accountant: Eligibility Criteria

If you are thinking how to become a Chartered Accountant, you need to meet the eligibility requirements first and foremost. There are 2 ways to become a Chartered Accountant and the eligibility criteria are different for both the process. The different levels of becoming a CA are CA Foundation, CA Intermediate and CA Final. Read below to understand the eligibility criteria for each level of the CA programme. 

CA Foundation

Students who want to appear for the CA Foundation exam should have secured a minimum of 50% aggregate marks in their class 12 Commerce stream or at least 55% aggregate grade in the Science stream. The candidates can only appear for the Foundation exam if they have registered with the Board of Studies and mandatorily studied for four months. However, candidates are eligible to register for the CA Foundation exam after passing class 10th from a recognized board of education in India or an equivalent exam as recognized by the Central Government of India.

CA Intermediate

Candidates who want to know how to become a Chartered Accountant should be aware of the CA Foundation route and the Direct Entry route. In either of these two ways, can an aspirant sign up for the CA Intermediate level course. Find below the CA Intermediate eligibility requirements for both routes:

• To qualify for the CA Intermediate level, the student must pass the CA Foundation exam with a minimum of 40% in each subject and an overall score of 50% minimum. 
• Graduates who have studied Commerce must receive 55% overall marks in their graduation or post-graduation OR Non-Commerce background graduates must obtain an overall score of 60% or above to directly apply for the CA Intermediate course level.
• Other than the aforementioned criteria, the students who have passed the ICWAI/ ICSI Intermediate level are also eligible to apply directly for the CA Intermediate level.

CA Final

CA Final is the last stage of becoming a Chartered Accountant. To enrol in this last stage, the students should have cleared both groups of the CA Intermediate exam with 40% marks in each subject and 50% overall marks at the Intermediate level. It is also mandatory for the students to complete the articleship training for at least 2 to 2.5 years during the CA Intermediate level. 

If you are wondering how to become a Chartered Accountant, you should know that ICAI has made some provisions in 25E, 25F and 28F of the CA regulations that permit candidates of class 10 to get admission through a provisional route.

Also Read:ICAI CA Foundation Course: Dates, Eligibility, Syllabus

How to Become a Chartered Accountant in India?

Applicants must know the detailed admission criteria and process of how to become a Chartered Accountant in India. There are 2 routes and aspirants need to follow any one route to become a Chartered Accountant. Candidates have to follow different selection processes for joining different levels of the CA course. The below process highlights the crucial details of how to become a Chartered Accountant in India.

2 Routes on How to Become a Chartered Accountant in India

Check out the significant pointers of the two major routes mentioned below on how to become a Chartered Accountant:

• Through Foundation course
• Through Direct Entry

How to Become a Chartered Accountant Through Foundation Course

Here we have provided the stages on how to become a Chartered Accountant in India after 12th standard via the CA Foundation route -

• CA Foundation
• CA Intermediate
• Articleship Training
• CA Final

CA Foundation

Candidates who have passed the class 12th exam can register for the CA Foundation level. Candidates, after completing registration with the ICAI Board of Studies (BoS) have to fulfil a minimum of 4-month period of study, which will make the applicants eligible to sit for the CA Foundation level exam. Before each session, participants are required to fill out the CA Foundation exam form to participate in the session. Enrollment in the Foundation course has a duration of validity that extends for three years. To pass the CA Foundation examination, the aspirants have to score at least 40% in each subject and an overall aggregate percentage of 50%. Candidates who fail to score the minimum marks required to pass the exam have to appear for the examination again in each of the four subjects on their next attempt.

The following is a list of the subjects that must be successfully finished to complete the Foundation course:

• Principles and Practice of Accounting
• Business Laws and Business Correspondence and Recording
• Business Mathematics, Logical Reasoning and Statistics
• Business Economics and Business and Commercial Knowledge

Those who want to know how to become a Chartered Accountant in India have to register for the CA Intermediate level if they are successful in passing the CA Foundation level.

CA Intermediate

After the completion of the CA Intermediate course registration process, the candidate has to study for a total of eight months to become a CA in India. Thereafter, the applicant needs to fill out the exam form for the CA Intermediate exam and mention that they want to appear for the examination. Similar to the CA Foundation level, applicants in this stage will have to pass each subject with a score of at least 40% to clear the CA Intermediate level. To become a Chartered Accountant, applicants need to achieve an overall score of more than 50% to meet the passing criteria. In addition, a provision of exemption is available for students of CA Intermediate who achieve a score of at least 60% or higher in a particular subject. In situations where a candidate who attempted group 1 exams and passed two subjects with scores higher than 60% but could not clear the remaining 2 papers can apply for exemption in the subjects in which he scored 60 or more marks.

The CA Intermediate level has 2 groups, where each group consists of four different papers or subjects. It is up to the candidates to appear for just one group at a time or appear for both groups at the same time. 

The following is a list of the eight subjects covered in CA Intermediate:

CA Intermediate Group 1:

• Accounting
• Corporate and Other Laws
• Cost and Management Accounting
• Taxation

CA Intermediate Group 2:

• Advanced Accounting
• Auditing and Assurance
• Enterprise Information Systems & Strategic Management
• Financial Management & Economics for Finance

Before beginning their articleship training, candidates are expected first to finish the Integrated Course on Information Technology and Soft Skills (ICITSS), which they begin after enrolling in the CA Intermediate course if they want to become a Chartered Accountant.

Articleship Training

Aspirants enrolled in the Chartered Accountancy course must complete three years of practical training. After completing one or both groups of CA Intermediate, a candidate can enrol for an articleship. Candidates must finish the Advanced Integrated Course on Information Technology and Soft Skills (AICITSS) in the final two years of their training before taking the CA Final exams. Although the training lasts three years, applicants can sit for the CA Final exams during the last six months of their training.

CA Final

Candidates who have achieved passing grades in both the CA Intermediate groups are qualified to register for the CA Final exam. Those individuals who have successfully finished both ICITSS and AICITSS and have reached the last stage of the articleship training are qualified to fill out the CA Final exam form and take the exam. Similar to the previous levels of the CA course, passing the CA Final requires a minimum of 40% in each subject and an average of 50% or higher. At this level, candidates can also benefit from the exemption rule, where a candidate who has gone on to score above 60% in a particular paper can apply for exam exemption in that subject. This way, they do not have to reappear for that paper and thus reduce the number of subjects to clear. The exemption will be valid for the next three terms of exams.

In addition, there are two groups for the CA Final, and each group has four papers; together, these add up to a total of eight subjects for the Final level. Once more, the applicants can appear for the CA Final via one group at once. 

The following categories make up the CA Finals:

CA Final Group 1

• Financial Reporting
• Strategic Financial Management
• Advanced Auditing and Professional Ethics
• Corporate and Allied Laws

CA Final Group 2

• Advanced Management Accounting
• Information Systems Control and Audit
• Direct Tax Laws
• Indirect Tax Laws

Apply for ICAI Membership

Applicants who have finished their articleship training and cleared both the CA Final groups are eligible to apply for membership in the Institute of Chartered Accountants of India (ICAI).

How to Become a Chartered Accountant Through Direct Entry

Please follow the details below on how to become a Chartered Accountant in India through direct entry with provisions for exemption from the CA Foundation course in cases of specific qualifications. Below are the applicant categories who are qualified for the CA Intermediate course through direct entry:

• Commerce graduates or postgraduates who have scored at least 55% on their exams are preferred.
• Graduates or postgraduates from fields other than commerce who have scored at least 60 per cent can apply.
• Applicants who have achieved passing marks or more in the CS Executive exam, administered by the Institute of Company Secretaries of India (ICSI).
• Applicants who have received a passing grade in the CMA Intermediate examination, administered by the Institute of Cost Accountants of India (ICMAI)
• Those applicants who choose to become a CA after completing a bachelor's degree or any other similar qualification and are enrolled into the CA Intermediate level through direct entry must complete a practical training program of 9 months after completing their registration for the CA Intermediate level.
• Candidates who finish this training period are eligible to submit their applications for the CA Intermediate exam and to take part in the upcoming session of exams.

Once done, the applicants have to follow a similar process from the CA Intermediate level, which they would have done in case they had joined the CA course via the Foundation Route. 

They have to clear one or both sections of the CA Intermediate exams and sign up for Articleship training. They have to pass both the CA Intermediate level groups, complete 3 years of Articleship training, and then register for the Final level of CA. The applicants must then achieve passing marks or more in both sections of the CA Final level and apply for membership in the ICAI CA.

Also Read: ACCA vs CA- Which is Better for Your Career?

How to Become a Chartered Accountant: Skills Required 

If you want to become a Chartered Accountant, you need to have certain skill sets. Some abilities that help you in becoming a CA have been listed below:

• Communication Skills: The CAs should have communication abilities to write and speak well. They need to describe financial transactions to their clients or organisations or share advice with them.
• Time Management: The essential skill that one should develop if they are thinking about how to become a Chartered Accountant is managing time. CAs have to submit all the reports and documents before the deadline.
• Analytical Skills: Having good analytical skills is essential for a Chartered Accountant to make decisions and solve problems.
• Problem-Solving Skills: Chartered Accountants often face complicated monetary problems and they need to recognize these issues and come up with effective solutions.
• Teamwork and Collaboration: Generally CAs work in a group, in an accounting firm, a business, etc. Therefore, they need to be good at working together for the team to succeed.

Advantages of Being a Chartered Accountant 

A Chartered Accountant is known for its professional standards, technical expertise, and honesty. There is a massive rise in the demand for CAs as the business and finance sectors are immensely growing. One of the advantages of getting enrolled on the CA course is that it does not require prior work experience. But, if you want to become a Chartered Accountant, you need to complete an articleship and get training. That is necessary to obtain a license to work as a CA professionally.

• With its education and, more importantly, internationally recognized training, a professional qualification in Chartered Accountancy has proper global mobility.
• A career as a CA is flourishing due to its global recognition as a highly regarded position. After passing the CA exam, plenty of well-paying jobs are available in top business and finance firms.
• A CA degree is a full-fledged professional degree offered by a certified institute administering the CA program in a specific country. There is no requirement to attend classes regularly, allowing students to study multiple CA subjects at their speed.

Tips for Chartered Accountancy Students

Aspirants who are looking, to begin with, the Chartered Accountancy, that is, who plans to be a CA after graduating from high school or after completing 12th grade, or who have enlisted in the CA course, may want to take a look at the tips that should be kept in mind:

• Although it is common knowledge that becoming a Chartered Accountant is not a simple process, few people are willing to admit that it is actually not all that challenging. 
• Maintaining a positive attitude and having patience throughout the course can make a huge difference in clearing the CA Course's levels.
• Aspirants should follow ICAI-suggested study materials and take official and unofficial mock tests throughout their period of preparation. 
• Only after a candidate has exhausted the approved learning materials should he or she consult new books or notes.
• Candidates must devise a fool-proof study plan and combine smart work and hard work strategies.

Job Opportunities of a Chartered Accountant

The demand for Chartered Accountants is increasing in banks, firms, finance companies, legal firms, stockbroking firms, etc. Now that you know how to become a Chartered Accountant, you should focus on the job opportunities that CAs can get. However, the salary options are not bright during CA articleship but candidates can expect a good salary after completing the course.

The starting salary of a CA will be around INR 6 LPA to 9 LPA. With experience, the salary of a Chartered Accountant will increase and later on in their career, they can expect to earn INR 25 LPA to 5 LPA. However, the salary of a CA depends on the city and company he/ she gets employed in. Here are the best industries and sectors along with the salaries where CAs are employed:

The benefits of working as a professional accountant are massive. A list of significant job profiles for a CA to work on is provided below:

• Financial Auditors, Consultants, Asset Manager
• Tax Specialist (Direct and Indirect Taxes)
• Manager or Assistant Manager in Credit, Accounts, Finance, etc
• Cost Accountant
• Investment Banker

Top Recruiters for Chartered Accountants

A chartered accountant is essential for all businesses, whether commercial or private, public or private, governmental or non-governmental, for-profit or not-for-profit, large or small, or even professionals that work on their own. A chartered accountant is essential for the proper management of a company's finances and tax obligations, and any organisation that brings in money needs one. Therefore, they either employ the services of a chartered accounting firm's services or seek an independent professional's assistance.

Following is a list of some of the most prestigious corporate companies around the world that have a consistent need for chartered accountants:

Below is the list of top Indian business organisations who hire CAs -

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