Last updated on July 19th, 2023 at 12:30 pm
Are you attempting to advance your accounting career? Have you thought about earning your Certified Management Accountant (CMA) designation? This well-recognized certification can improve your knowledge and abilities in management accounting, financial planning, analysis, and decision-making.
In this blog, we will discuss what a Certified Management Accountant is, the advantages of becoming one, and how to obtain this esteemed qualification. Read on to see how a CMA may advance your career and make you stand out from your colleagues, whether a fresh graduate or an established professional.
What is a Certified Management Accountant?
The accounting credential of a "certified management accountant" (CMA) denotes proficiency in both financial accounting and strategic management. The individuals who get this credential are called CMAs and are eligible for various positions, including chief financial officer (CFO) and financial controller.
Certified Managerial Accountants may work in a large range of businesses because of how diverse their skill set is. CMAs can specialize in various industries, including education, manufacturing, insurance, communication, and banking.
However, they often work for major companies or governments. Most businesses may profit from having someone examine the finances and make judgments based on the information.
Certified management accountants may further serve as consultants. CMAs may work with the Big Four accounting firms (Deloitte, KPMG, PwC, and EY) to advise businesses on cost accounting, mergers and acquisitions, and restructuring.
A CMA is qualified and knowledgeable to fill various accounting, finance, and business administration positions.
A CMA can often perform the following duties:
- Prepare and analyze financial statements and reports
- Develop and monitor budgets and forecasts
- Evaluate and advise on business performance and strategy
- Manage cash flow and working capital
- Conduct risk assessment and internal audit
- Implement and maintain accounting systems and controls
- Ensure compliance with accounting standards and regulations
How to Become a Certified Management Accountant?
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Education
A bachelor's degree is required. However, having a degree in accounting and finance may be helpful. Some colleges offer unique courses to assist you in becoming ready for the CMA test or programs tailored exclusively for the career path of a certified management accountant.
Like most accountant certifications, you need two or more years of accounting-related job experience to qualify for the CMA test. Therefore, if you want to gain job experience before taking the CMA exam, having a degree in finance might assist.
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CMA Salary Trends
Across all designations and sectors, accountants and auditors make an average yearly pay of $83,980, according to the U.S. Bureau of Labor Statistics. However, due to their managerial abilities, CMAs could earn more money. In reality, the median wage for CMAs was 58% greater than non-CMAs, per a 2021 Institute of Management Accountants poll.
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Exam
Although difficult, the CMA test is not impossible. For each part, you must diligently study and be well-prepared. The test asks you to apply your knowledge to situations from the real world and covers a wide range of topics. You can utilize various study tools and resources, including textbooks, online courses, sample exams, study materials, study aids, flashcards, etc., to prepare. To help you along the road, choose a mentor or join a study group.
Why become a Certified Management Accountant?
Career advancement opportunities are plentiful for those who become a CMA, providing significant professional and personal development benefits.
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The CMA provides access to the corporate world
The CMA is a sophisticated, internationally recognized credential that shows competence in company financial decision-making. Because of its commercial orientation, some people prefer it to a CPA.
The CMA is your ticket if you wish to make business choices, assist in running a firm, or have any other involvement in the business. Understanding how accounting and business interact enables you to specialize in your accounting practice.
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The CMA advances your career
The CMA can provide an engaging, rewarding, and successful accounting career. The CMA distinguishes you from other accountants by stating your professional objectives in detail. The initials "CMA" following your name indicate that you wish to manage your finances rather than report them.
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Increase your network
As a CMA, you join a worldwide network of more than 140,000 CMAs in more than 150 nations. Through regional chapters, online forums, gatherings, seminars, mailings, etc., you may interact with other CMAs. The IMA also offers useful resources and services, including lobbying programs, publications on current research, and tools for professional development.
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Live out your passion
Becoming a CMA is a terrific method to accomplish your objectives if you love accounting and want to impact the corporate world. Using your creative and analytical abilities, a CMA enables you to solve issues and add value to your firm. Additionally, having a CMA allows you to be versatile and work in any field or business that interests you.
The Final Words
An accountant with Certified Management Accountant (CMA) designation holds much more than a professional degree. This demonstrates a person's proficiency in management accounting, financial analysis, decision-making, and strategic planning.
By earning the CMA credential, professionals can develop careers and assume business leadership positions. The CMA certification is a mark of distinction in accounting and finance that is widely accepted and acknowledged.
Therefore, becoming a Certified Management Accountant is a future investment worth considering if you want to realize your full potential as a financial expert and stand out in this competitive employment market.
Imarticus Learning offers the Certified Management Accountant (CMA) program - the gold standard in management accounting credentials administered by the prestigious Institute for Management Accountants (IMA), USA.
The certified management accountant course is ideal for accountants and financial professionals seeking a competitive advantage in today's employment market. It is designed to give advanced-level knowledge and abilities in accounting, business, finance, and analytics.
