To become a CPA you need the three Es: education, the Uniform CPA Exam and professional experience, followed by licensing through your state board of accountancy. Under the latest model law there are three routes: a graduate degree plus one year of experience, 150 semester hours plus one year, or a new 120-hour accounting degree plus two years, but the new route only works in states that have adopted it.
CPA stands for Certified Public Accountant, and it's a US license, not a degree. Each of the 55 US jurisdictions has its own board of accountancy, and that board decides when you can sit the exam and when you can call yourself a CPA. So the honest first step is picking the state you'll be licensed in. Everything else follows from its rules.
The three Es behind every CPA license
- Education. A bachelor's degree with an accounting concentration is the base. How many extra credit hours you need depends on the pathway your state allows.
- Exam. Every candidate sits the same Uniform CPA Examination, wherever they're licensed.
- Experience. Supervised professional work, with the length set by your pathway and the detail defined by your state board.
- Ethics and the rest. Some states also require an ethics course or ethics exam before licensure, plus citizenship, residency or other conditions.
The three model pathways after the 2025 changes
For years, the 150-hour rule was the only route in most states: a bachelor's degree plus roughly an extra year of study. In 2025, NASBA and the AICPA published the Ninth Edition of the Uniform Accountancy Act, the national model law, and added a third pathway. Here's how NASBA sets them out:
| Pathway | Education | Experience | Exam |
|---|---|---|---|
| Graduate degree | Graduate degree in accounting | One year | Pass the CPA Exam |
| Traditional 150-hour | Bachelor's in accounting plus 30 additional semester credits (150 total) | One year | Pass the CPA Exam |
| New 120-hour | Bachelor's degree in accounting (120 semester hours) | Two years | Pass the CPA Exam |
The catch most articles skip: the Uniform Accountancy Act is a model, not a law. NASBA says individual states have to enact legislation or adopt rules before candidates can use the new path, and implementation dates vary. NASBA keeps a list of jurisdictions that have signed the new pathways into law, so check it, and your own board's site, before you plan your degree around 120 hours.
The same update changed mobility. A CPA's right to practise across state lines now depends on their own education, exam and experience, rather than on whether their home state is judged substantially equivalent. CPAs licensed under the older rules as of the end of 2024 keep their practice privileges under safe harbor language.
What's on the CPA Exam
Since January 2024 the exam has followed a core and discipline model, the result of the CPA Evolution initiative run by the AICPA and NASBA. You pass three core sections that every new CPA needs, then choose one discipline section to go deeper.
| Section | Type | What it covers (per the AICPA) |
|---|---|---|
| AUD: Auditing and Attestation | Core | Audits, attestation, ethics and professional responsibilities |
| FAR: Financial Accounting and Reporting | Core | Financial statements, transactions and not-for-profit |
| REG: Taxation and Regulation | Core | Federal tax, business law and professional responsibilities |
| BAR: Business Analysis and Reporting | Discipline (choose one) | Financial analysis, technical accounting, state and local government accounting |
| ISC: Information Systems and Controls | Discipline (choose one) | IT audit, SOC engagements, data management, security and privacy |
| TCP: Tax Compliance and Planning | Discipline (choose one) | Advanced individual and entity tax compliance and planning |
Each section is a four-hour computer-based exam, so it's 16 hours of testing in total. Scores run from 0 to 99 and you need 75 to pass, but the AICPA is clear that 75 doesn't mean 75% correct: scores are scaled for question difficulty, and the exam isn't curved. Whichever discipline you pass, the license you get is the same.
The scheduling detail that trips people up
The core sections can be scheduled year-round, with scores typically back in one to two weeks. The discipline sections only run in specific testing windows each quarter, and scores come out about six weeks after each window closes. If you leave your discipline section until last, that delay sits right at the end of your credit clock.
And there is a clock. Once you pass your first section, you have a rolling period to pass the other three. In 2023 NASBA's board moved its model rule from 18 months to 30 months and based it on the date scores are released, but each state decides whether to adopt it. Confirm your own board's window before you book anything.
Don't pick a discipline by pass rate, either. The AICPA's early 2026 figures showed TCP near 79% and AUD at 48%, but it warns that candidates self-select into disciplines, so those numbers reflect who sits each section rather than how easy each one is. Choose the one that matches the work you want to do.
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Step by step: how to become a CPA
- Choose the state where you'll be licensed and read its board of accountancy requirements, including whether it has adopted the new 120-hour pathway.
- Plan your education to fit that pathway: a graduate degree, 150 semester hours, or a 120-hour accounting degree if your state allows it.
- Apply to your state board to be declared eligible for the exam. NASBA's Pathway to CPA Exam quiz helps you work out where to start.
- Receive your Notice to Schedule, then book your first section. NASBA's Florida guidance, for example, says to apply for a section only if you're ready to take it within the next six months.
- Pass all four sections inside your state's credit window.
- Complete the ethics requirement if your state has one.
- Finish the required experience and have it verified, then apply for your license through the state board.
A realistic timeline
| Stage | Typical length (from the official figures above) |
|---|---|
| Bachelor's degree | 120 semester hours |
| Extra study (150-hour route only) | 30 additional semester credits |
| CPA Exam | Four sections; up to 30 months from your first pass in states using NASBA's model rule |
| Experience | One year (graduate or 150-hour route) or two years (120-hour route) |
If you're weighing the 120-hour route against the 150-hour one, the trade is simple: one fewer year of study for one more year of supervised work. For many people the extra year of paid experience is the better deal, but only if their state offers it.
Running your own practice later
Plenty of people chase the license because they want their own firm one day. If that's you, our guide to the steps for starting your own CPA firm covers what comes after licensure, and if you're still deciding between careers, see how to become an accountant for the routes that don't need a CPA license at all.
My advice
Start with your state, not with a study course. The single most expensive mistake I see is someone planning a fifth year of study their state no longer requires, or counting on a new pathway their state hasn't adopted yet. Read your board's rules, write down your credit window, and book the discipline section early enough that a six-week score delay can't cost you a pass. And if you're a business owner wondering whether you need a CPA at all, our piece on when to hire a CPA versus filing yourself is a good place to start.
Frequently asked questions
How long does it take to become a CPA?
It depends on your pathway. You need a degree (120 semester hours, 150 semester hours or a graduate degree), four exam sections passed inside your state's credit window, and one or two years of experience. The new 120-hour route needs two years of experience instead of one.
Can I become a CPA without 150 credit hours?
Possibly. The 2025 Uniform Accountancy Act added a pathway of a bachelor's degree in accounting plus two years of experience, but it only applies once your state adopts it. Check NASBA's list of jurisdictions and your state board's own rules.
What are the four sections of the CPA Exam?
Three core sections that everyone takes, AUD, FAR and REG, plus one discipline section you choose from BAR, ISC and TCP. Each section is a four-hour computer-based exam.
What score do you need to pass the CPA Exam?
You need a 75 on a 0 to 99 scale in each section. The AICPA says that doesn't mean answering 75% of questions correctly, because scores are scaled for difficulty.
Do all states require an ethics exam?
No. Some states require an ethics course or ethics exam before licensure and others don't, so check with your state board of accountancy.
