Competence. Reliability. A commitment to excellence. These are the traits you expect from the recent accounting graduates you hire. Such traits also include ambition. Unfortunately, many of your newer hires might be taking longer to fulfill their ambition to become CPAs. In recent years, we have seen the number of bachelor's degree recipients in accounting rise. However, the number of CPA Exam candidates has slowly slid from its 1991 high of some 143,000. In 2004, that slide turned into a nosedive after the computer-based test was introduced.

There is good news. The number of exam candidates is climbing again since 2004. And, the passing rates are in the 40% range for each section of the exam, well up from the 20-30% average pass rates prior to the computer-based testing format.

Firms are in the position of encouraging new team members to take and pass the exam to ensure your bottom line is met and the firm’s future is secure in the hands of licensed professionals. Following are some solutions that can help your firm meet this demand.

·         Faster advancement after successful exam completion, along with reimbursement for registration, review courses, study materials, even mileage, and/or passing bonuses to cover some of these costs.

·         A tracking system to follow employee progress in preparing for and taking the exam. This system could show who has tested, who has passed, etc., and could be used as part of the annual review process.

·         Promote the benefits of taking the CPA exam by posting Top 10 Reasons to Take the CPA Exam in your staff lounge and discussing this list with your entry level accountants.

·         Vacation time to study; permission to study on the job, especially during the off-season; permission to not use personal leave for the day the exam is taken.

·         Communication of your firm's CPA Exam policy to new hires. This communication could come, for instance, as part of the employee handbook. Firms with an HR department can educate HR on its role in encouraging team members to make becoming a CPA a top priority.

·         "Window" policies, in which new employees are expected to take the exam only at certain times within the year, with a window of only perhaps two to four dates.

The following articles highlight the above, while providing quotations from practicing CPAs. Review these for insight and motivation.

·         With Flying Colors: Guidelines to Help Your Candidates Pass the CPA Exam

·         The CPA Exam: Keeping Your Staff on Track for Success

For more information, you can also visit The CPA Exam. The test of true excellence.