The CFA and the CPA are two of the best-known finance credentials in the world, and both rest on a deep understanding of financial statements. But they are used for different work. CPAs prepare, audit and advise on the numbers. CFA charterholders use them to value companies and manage investments.
CFA vs CPA side by side
| CFA | CPA | |
|---|---|---|
| What it is | Global investment credential from CFA Institute | US state licence to practise public accounting |
| Focus | Valuation, portfolio management, economics, ethics | Audit, financial reporting, tax, regulation |
| Exams | 3 levels | 4 sections (3 Core + 1 Discipline) |
| Official fees | $3,520–$4,570 | About $1,000–$2,000 plus ethics and licence |
| Study time | About 900 hours | Several hundred hours |
| Time to finish exams | 2–4 years | Often 1–2 years |
| Education | Bachelor's (or near completion) to register | 150 credit hours or bachelor's plus extra experience |
| Experience | 4,000 hours | 1–2 years |
Which one to choose
- Choose the CPA for audit, tax, public accounting or a path to controller and CFO roles in the US.
- Choose the CFA for equity research, portfolio management, investment banking support roles or asset management.
- Choose the CPA if you studied accounting and want the fastest route to a recognised professional title in the US.
- Add the CFA after the CPA if you later move into investment roles; your reporting knowledge gives you a head start.
A test that settles it quickly
Think about the questions you would rather answer at work. "Are these accounts right, and do they follow the rules?" is CPA work. "Given these accounts, is this company worth buying?" is CFA work. Most people have a clear preference once the question is put this way.
Cost, time and pay
The CPA costs less in official fees and is quicker to finish, but has more state-level paperwork. The CFA costs more and takes longer, but needs no licensing step. Salaries for both are strong and depend mostly on role and seniority; compare the CFA salary guide with the CPA salary guide, and budget with the CFA and CPA cost calculators.
Frequently asked questions
Is CFA harder than CPA?
Many candidates find the CFA harder overall because each level is a single long exam with pass rates usually below 50%, and three levels take two to four years. The CPA has four sections, some with higher pass rates, and is usually completed faster.
Which pays more, CFA or CPA?
At senior levels, CFA charterholders in portfolio management and investment leadership tend to earn more. CPAs earn strongly as partners, controllers and CFOs. Earnings depend more on career path than on the credential.
Should I get the CFA or CPA first?
If you are in accounting or audit, the CPA first is usually more useful because it is needed for progression. If you are heading for investment roles, start with the CFA.
Is CPA useful for CFA?
Yes. CPA knowledge of financial reporting makes the financial statement analysis in CFA Level I and II easier, which is why some professionals hold both.
Can non-US candidates take both?
Yes. The CFA is designed as a global credential. The CPA can be taken by international candidates who meet a US state's requirements, with an extra fee for testing abroad.
Official sources