[Singularity77]

Just curious … if this is all worth it!

What is the highest CPA’s salary that you know of?

What does the highest-earning CPA you know of earn, per year?

I am not talking about a CPA that ends up doing something other than CPA career stuff…

Thanks!

[Fanalyst]

@Lindrobe understood. Could see it in an unstable industry. My argument to that would be that he shouldn't have had the consumer debt in the first place if he worked in an unstable industry. Drive a crappy car for a couple years and instead of paying $1,500 a month on the car, pay yourself $1,500 a month. But I certainly understand situations differ and that sounds like a tough one.

@CPAMommyof3 also understand your point. Just don't know that a few point bump on my credit score is worth the even small risk that something goes wrong with my new TV/couch/car and now I owe money on something I can't even use. Maybe I just have a crazy low risk tolerance 🙂

My favorite extreme example I've heard is someone financed a puppy for $700ish. A week after bringing the dog home, it ran into the middle of the street, caused $3,000 in damage, and made a trip to puppy heaven. So now the people owed $3,700 on a puppy that barely even knew.

[Lindrobe]

What an interesting thread this has become. Ha ha. Personally, I cannot stand the thought of having credit card debt. I am not blind to the fact that some people have to use credit cards for emergencies, but if not an emergency and you cannot pay off the charge at the end of the month, DON'T BUY IT. I charge EVERYTHING possible to my Hilton credit card including cell phone bill, cable bill, etc. My husband travels a lot for work and has to pay for his gas, hotel, etc. up front and be reimbursed by his company. He charges everything to the Hilton card too. Each month, our charges are between $4k and $6k and I have never paid a dime in interest cause I pay the card off every month. Then, each year, we use our Hilton points to stay at a resort in Hawaii free of charge.

FAR 12/3/14, 87
AUD 2/3/14, 90
BEC 4/1/14, 88
REG 5/27/14, 94

Licensed CPA, Indiana

"Successful people do things that unsuccessful people don't want to do"

[MustPass1988]

@fanalyst we do that because we only have a 1500 portion of student debt remaining with an extremely low interest rate. We make more interest in our savings account than we pay.. Other than that we have no credit card debt or loans, besides our mortgage.

AUD: PASSED [81]; Expired, retaking August 23rd
BEC: PASSED [83]; Expired, retaking July 11th
REG: PASSED [83]
FAR: FAILED [64]; Retaking May 23rd

[Pandarama]

@Lindrobe – I am the same way. I use my credit card to pay for everything, just to rack up all the points and then pay off the entire thing every month. Many people don't have our mindset though.

Someone else mention how a larger income typically equates to larger spending. I completely agree, but am very happy that I don't fit in with this stereotype. For the last 2 years I've been pretending I make the same amount of money today as I did 2 years ago. My boss gives me a raise and I act as if I never got it. Any money above what I use to make goes straight to savings or towards debt (gotta love student loans).

BEC - 80
AUD - 64, 75 - credit lost, 90!!
REG - 73, 74, 83
FAR - 61, 72, 85

Feels good finishing on my best note. Time to watch the mailbox.

[Fanalyst]

Totally understand. I may even do the same thing in that situation. But the Ramsey in me would probably pay the loan off (assuming you had the cash available), and call the $50ish interest spread a worthwhile opportunity cost.

[Anonymous]

@fanalyst–I understand your point as well and typically we live debt free with the exception of a mortgage and most recently, a car payment, which we will pay off early. A reliable car is something I will spend money on. I refuse to drive a “crappy car” for safety reasons. I have a long drive each day with my children in the car and I cross a 4 lane, 4 mile bridge twice a day. You will sing a different tune about how you spend money when you are constantly worried about the safety of your family. You will also think about saving more because you will not risk losing the roof over your family's head in the event that you lose a job or your spouse dies, etc. You sound just like me 10 years ago. 🙂

[Anonymous]

WOW did this thread change. Back to the Original Q- Yes it's possible to make $175K. In AL in pubic, I have a friend who is a partner in a small firm & made $150,000 first year partner, mid thirties with 10 years experience and lots of long hours. Partners in S.AL firm – $225K and up is normal.

Y'all forgot to mention engineer instead of Dr,/Law. I did quite a few taxes for various types of engineers in non-govnt jobs, 1 college degree, 40-42 yrs old, $225K and up.

Heck, my local HVAC guy made $300 K last year – did his taxes too.

@Onestep@atime – BTW you can live very comfortably in north AL for $135,000. I'm from Huntsville, lived in Birmingham, and now live in South AL. cost of living is not much different here due to living near the beach. We have lower prop. taxes but much higher insurance and to find the best paying jobs you have to commute to Mobile or Pensacola. My parents are still in H'ville and I have friends in HSV with kids who live fine below $135K. I'm not getting on to you – Just letting other people know another opinion.

It's all about living below your means.

[MustPass1988]

@cpamommy I totally agree with your view of spending/saving. I feel so much more comfortable knowing I have a safety net in case my husband or I are laid off or some medical bill comes up. A paid off car is great but it's really not going to do a person much good if they're laid off and have no money, because they spent it paying off their car. If I had 10,000 in credit card debt, of course I would be putting a lot towards that debt, instead of savings.

@Fanalyst- I guess I just don't see the point in paying it off to be honest. It's my husbands student loan and he paid off most of it before we got married, so it's just a small amount left. Credit card debt would stress me out to no end…I would do anything I could to pay that off as soon as possible! 33% interest, no thank you! It's the only debt we have, so it just doesn't really keep me up at night 🙂

AUD: PASSED [81]; Expired, retaking August 23rd
BEC: PASSED [83]; Expired, retaking July 11th
REG: PASSED [83]
FAR: FAILED [64]; Retaking May 23rd

[letsgetthisoverwith]

these all seem low.. my first year in a regional firm i made 62k no experience and no CPA….. I know a guy in Big 4 principal in advisory i think 800-900k and when left big four for other jobs always came on as a Director and took some equity… another friend of mine, his dad worked big four (boss).. i was told 2 mill range. to be successful you need the whole package and some luck which i have found most accountants dont have

[Anonymous]

@Keely and cpahopeful2828 you both made great points. I make around the same bringing in about 50k annually working in sales and IT consulting (looking for a career change soon after passing the exam) and we don’t live lavishly by any stretch. Some months are good and others we are cutting it pretty close, but overall we are living paycheck to paycheck. I think a major point some posters are missing is the necessary comparison of income to expenses, specifically the biggest expense -housing. I rent a So Cal 2 bed house for $1500 monthly with other housing expenses (electric, gas, phone, etc) bringing my total to about $1900 monthly, this is almost half of my monthly paycheck. So, I can see how someone making 100k could just as easily be living month to month if they have a housing expense twice that of mine; and $3,800 monthly housing is not extravagant in Ca by any means. So considering you guys make about the same as me, but are living comfortably, and maintaining a savings, what am I doing wrong?! Lol, but I do wonder, if you don’t mind me asking, what do your housing expenses look like?

[Singularity77]

What I am taking away from this thread is…

I think a lot of CPAs are aiming *way* too low, in terms of salary goals and expectations.

I think it might be a personality thing. I think the CPA profession attracts a certain type of personality – the perfect attendance striving, validation seeking, hang-my-certificates-on-my-office-wall type, with deeply-rooted insecurities that perhaps make it difficult to realize that we're getting played, financially, in the grand scheme of things.

Becoming a licensed CPA is quite an accomishment, in my opinion, with significant barriers and hurdles to overcome, and this should be appropriately rewarded, in the end. It only makes sense.

I think, if you asked most regular people off the street, they would expect CPA salaries to be much, much higher than a lot of the salaries I have seen quoted in many places on this forum. There seems to be a big disconnect between public esteem/prestige, and reality, when it comes to salary.

[jeff]

“I think it might be a personality thing. I think the CPA profession attracts a certain type of personality – the perfect attendance striving, validation seeking, hang-my-certificates-on-my-office-wall type, with deeply-rooted insecurities that perhaps make it difficult to realize that we're getting played, financially, in the grand scheme of things.”

haha – are you trolling? 😀

Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[MintsRGood]

Oh dear…this thread is going to go bananas in 5, 4, 3, 2, 1………..

https://www.youtube.com/watch?v=hSb7mlz7Hag

REG: 75 DONE 🙂
AUD: 61, 71, 68, 92 DONE 🙂
BEC: 76 DONE 🙂
FAR: 72, 74, 79 DONE 🙂
Licensed Michigan CPA 🙂
-Some people dream of success...others wake up and work hard for it!!!
-The cowards never start and the weak die along the way!
-You better work, b***h!
-Only those who dare to fail greatly can ever achieve greatly.-JFK

[Anonymous]

Someone should have taught him to chew with his mouth closed. 🙂

[samdiegoCPA]

@Singularity77 LOL WAT. If that is what the CPA profession is all about, then I am in the totally wrong one. All of those things are opposite of me (aside from hanging the certificate on the wall, duh)

AUD: 84
REG: 84
BEC: 79
FAR: 83

[Author]

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