[WileyoleYaeger]

I know that now coming off of the down economy the market is flooded with MBA’s, and it appears from all of my 5 accounts talking with friends in the HR world that having certifications cell more than your MBA’s or your PhD’s.

For those of you holding an MBA first and then going for the CPA, did you find this to be true? Did you find that you needed the CPA to be more competitive, or was it just another challenge?

Those with a CPA, did you find that you had to go back to school for that MBA or MAcc to get to where you wanted?

I am wondering as I am working towards my CPA, but do not have an MBA (heck, I do not even have a degree in accounting), and was debating the merits of going for my MBA.

[Study Monk]

I had MBA on my ten year plan, but the only school in my area I would consider is UCBerkeley. After finding out UCLA is 120k I crossed MBA off my list. 120k invested today can become more than 300k in ten years. I see value in my MST program, because I think it will prepare me for a career in tax and the school appears to have a solid tax recruiting fair. However if I don't get a job for this upcoming tax season I may cut my losses at 15k.

I spoke to an ancient wise man who sent me on a mushroom induced journey through an ancient forest to find the key to passing the CPA exam. A talking spider monkey told me to throw the last of my drinking water in the dirt to find what I was looking for. So I followed his instructions and the following message appeared in the soil:

"Do 5000 multiple choice questions for each section"

[Anonymous]

I'm not discounting the value of any graduate work. I happen to have a MACC solely in order to meet the 150 credit requirement in my state. However, comparatively, the value of CPA > any graduate degree in my humblest of opinions.

[John Tucker]

There's no answer to this question in TOTAL, because it depends on a person's career plan, however, from a broad and general point of view the CPA is better than the MBA no matter WHERE the MBA comes from. The core fundamentals of business is learned in undergrad and through your work experience, an MBA is just a continuation of those fundamentals you already learned. As a result, at the core, an MBA is nothing but a career marketing tool today, period.

If you go to a ranked MBA program, the POINT is to get recruited into a top corporation, Wallstreet, etc., using the Alumni Network of that ranked institution or being directly recruited. If you go to a non-ranked MBA program, forget about recruitment, the MBA is just an additional “item” you list on your resume that shows you have more “experience” than a regular bachelor's holder.

Again, in both cases the MBA's true value is just all about career marketing. The CPA License is a License, that requires that you pass not only an exam but that a STATE BOARD continues to verify your competency annually or every 2 years to confirm you are still competent within the areas covered. The CPA Exam is also famous as being one of, if not the hardest professional examination in the world which means IF you are a licensed CPA, there's no doubt that you are highly qualified, competent and credible in the game of business (not just accounting), this is not the case with an MBA.

If one had to choose the MBA or the CPA, I would choose the CPA. If that person was looking to be recruited into a large corporation, they should go to a ranked institution AND ALSO if they can grab the CPA as well. I personally have an MBA, 3 bachelor's degrees (Accounting, Management and Communications), and I'm about to grab the CPA License.

* State of MA CPA Exam Candidate
- BEC: Sunday, August 24th
- FAR: Saturday, November 29th
- AUD: TBA for February 2015
- REG: TBA for May 2015

[Mayo]

“general point of view the CPA is better than the MBA no matter WHERE the MBA comes from. The core fundamentals of business is learned in undergrad and through your work experience, an MBA is just a continuation of those fundamentals you already learned. As a result, at the core, an MBA is nothing but a career marketing tool today, period. “

They're both marketing tools. The value of an MBA is absolutely contingent on where it comes from. And to be clear, the value for both the CPA and the MBA are less about what you learn in the classroom and more about what the process is.

If you go Top 10 MBA, a recruiter's job is already done for them. Save some very weird personality, the candidate has already gone through a very stringent vetting process. In other words, 9.9/10 times, the candidate is a great candidate. That's why top firms hire at these exclusive places.

They could be learning how to do underwater basket weaving. As long sa the vetting process stayed the same then recruiters would still line up. Classes do teach you stuff; especially for career changers. But for individuals experienced in business, it's helpful but not groundbreaking.

If you take the CPA, the value is in the fact that you've taken quite a long and difficult journey to get to that point. You've taken classes in accounting, you've received a certain amount of minimum experience, and you've passed a difficult exam, that's considered that standard minimum of understanding in order to be “legit”.

It doesn't automatically make you a good accountant; it doesn't automatically make you an attractive candidate if your work history and education is not a good match.

In other words, both these certifications are just marketing tools to help you stand out. The circumstances around the credentials, the credentials themselves, and how they both interact on paper is what really gives both a CPA and an MBA its value.

/rant

@OP, get a CPA now if you have an accounting background. You can always choose to do a good/great MBA later in order to change careers (full time works best), or you can take an Executive or Part time MBA if you want to progress within your company to a higher level. Regardless, getting an MBA without adequate experience to maximize the rank of school you can be accepted in is a complete waste IMO.

Edit: I'll also say that a CPA usually is enough to get to a Controller or higher role in accounting. an MBA is helpful in order to move laterally into Corp Finance and not be a budget monkey.

Mayo, BBA, Macc

[How many letters do you need]

Lude: Not to burst your bubble I've worked for companies that have corporate HR policies. For example, in finance, no Senior Analyst level or above without a masters degree in the business area, period and without exception (that goes across the board on all disciplines based on paygrade) . Not that I think it should be that way, I agree 100% that your performance should rule all, however I know for a fact that much of the Fortune 100 type large companies have an masters degree policy. The ceiling may differ from company to company but if you are looking into large corporate America, I would give your odds of making it to a director level without a masters between slim and none. Just my $.02.

MBA,CMA,CPA, CFF?, ABV?

[John Tucker]

Mayo,

I agree, in a sense we might be saying the same thing though. Every degree and certification is a career marketing tool, my argument is that an MBA is ONLY a career marketing tool. Other degrees and certifications, in addition to being career marketing tools, assist with verifying a candidate's actual competency within the subject matter.

It's a very slim chance you will be a licensed CPA without truly knowing the basics of the accounting profession, but it's a very high chance you will be an “MBA” without knowing the basics of business as having an MBA doesn't require you to have actually operated a business per say.

Now I could be wrong, but from my experience and networking the days where most employers get all dirt happy over a ranked school being over your resume versus a no name institution are over. Today, most employers look at the total profile which is the education, experience, references, performance results, interviewing skills, etc.

Where you find this slightly slanted, is when you are trying to get into Large Corporations or major Academia. They usually have a political system in play that those in charge of hiring tend to favor those who come from the alma maters similar to them, those that are “ranked” or “brand name”. That's why getting an MBA from the top ranked institution is almost required if you want to play the game to get into the large corporate world.

If you are seeking to work for a start-up, small employer or a medium sized employer, they usually don't play these political ploys and instead look at the total profile of the candidate.

* State of MA CPA Exam Candidate
- BEC: Sunday, August 24th
- FAR: Saturday, November 29th
- AUD: TBA for February 2015
- REG: TBA for May 2015

[Skynet]

I think my fundamental question is whether I can get more hot girls with the CPA or the MBA?

[How many letters do you need]

Skynet: Or perhaps more to the point, which one will make you wealthier?

MBA,CMA,CPA, CFF?, ABV?

[Study Monk]

My friend got into the UCLA MBA program today. In looking at UCLAs ranking I cam across this site…

https://rankings.ft.com/businessschoolrankings/global-mba-ranking-2013

https://www.cpaexam.com/certified-public-accountant-salary/#.U5y7LaipqD4

The average salary appears to be a lot higher than most CPAs for a lot of the high level MBA programs. However some of the MBAs probably are in high level management and some probably make in the millions which could drastically affect the averages. However Partners bring up the CPAs averages as well(probably not as drastically as the big time CEOs for the MBAs). Either way it is interesting to have a direct comparison(i realize sources might be questionable). In a lot of ways its comparing accountants salaries to managers salaries. If you are a CPA with a high rated MBA you may be holding yourself back financially by staying an accountant. So the question comes back to “What is your end game?”.

I spoke to an ancient wise man who sent me on a mushroom induced journey through an ancient forest to find the key to passing the CPA exam. A talking spider monkey told me to throw the last of my drinking water in the dirt to find what I was looking for. So I followed his instructions and the following message appeared in the soil:

"Do 5000 multiple choice questions for each section"

[Mayo]

@John T,

“Now I could be wrong, but from my experience and networking the days where most employers get all dirt happy over a ranked school being over your resume versus a no name institution are over. Today, most employers look at the total profile which is the education, experience, references, performance results, interviewing skills, etc. “

Not sure if we agree here. School rank still plays a very large role in terms of entry level experience and career-switching. As you get experience it matters less and less. However, I would still say that being an alumni from a top school will always give you little inherent advantages here and there.

I think of it this way: A top MBA is like having a $100 bill and a low ranked MBA is like having a $20 bill (not to scale, but to illustrate). Let's say that an interview with Career A costs $90 and Career B costs $45. The difference in $ can be earned by networking, experience, certifications, grades, etc. A top MBA can basically get an interview on their resume alone in both careers. a lower tier MBA must make it up with a bit more. They're both attainable, but it's just harder to go one route and not the other.

However, there's no saying that Career A or B is what you want. Maybe you want Career C at $30, or D at $20, or etc. etc. Throw in the fact that a CPA + experience is probably worth anywhere from $30-90 in the accounting field; then an MBA becomes less and less useful. Of course that worth changes if you want to do say….M&A Finance at a F100. Then the value of the CPA drops significantly and an MBA becomes more valuable.

TL;DR, in my opinion school rank is not everything. But I do believe there's an interactive dynamic between school rank, networking, experience, and skills that fall into the equation.

@OP, before you choose either or, just realize that an MBA is completely unnecessary RIGHT NOW to have a good career in accounting. If down the line you need it, you might be in a position to A.) Have your company pay for it, or B.) Have a better chance of getting in to a better program than you do now.

Mayo, BBA, Macc

[Star86]

As a person with an MBA who is currently studying for my CPA license, I agree that it all depends on what your career goals are. Hindsight being 20/20, I'm not sure if getting an MBA was exactly the best decision at the time, since I no longer would like to manage people. However, I now feel that earning this CPA will be one of the best career moves that I have ever made. I look forward to working in accounting and like the broad range that the industry offers. My perspective is that navigating your career is like a game of chess, if you can accomplish your goals in as less moves (i.e., with less debt) as possible, then good for you, you're on your way. As much as I love school, I wish I knew then what I knew now.

[Study Monk]

“My perspective is that navigating your career is like a game of chess, if you can accomplish your goals in as less moves (i.e., with less debt) as possible, then good for you, you're on your way.” I love this!

This above comment brings us back to the point that a MBA is more helpful for people who want to be leaders in their given profession. Even though most people assume they want to be managers and big time CFO's the reality is that its not for everyone. A person can spend their whole life climbing the corporate ladder, spending hard earned cash on MBAs and the like, only to find that its not for them or they don't have the competency to perform well enough at that competitive level. A majority of people will not reach that level, because while they may work hard until 8:00pm every night the competition is working hard until 11:00pm including weekends. When choosing an MBA a person should really ask themselves if they want to dedicate their lives to climbing the corporate ladder because the MBA is worthless without the consistent work ethic that it will take to one day put it in use.

I spoke to an ancient wise man who sent me on a mushroom induced journey through an ancient forest to find the key to passing the CPA exam. A talking spider monkey told me to throw the last of my drinking water in the dirt to find what I was looking for. So I followed his instructions and the following message appeared in the soil:

"Do 5000 multiple choice questions for each section"

[GoVPI]

Just finished my accounting degree in June… 10/10 of our accounting professors said CPA > MBA. CPA solidifies any type of educational degree for one reason, it is a standardized test, it is HARD, you have to put money and effort. Anyone can show up and pass classes, but clearly we all are aware you can't just show up to the CPA exam and pass. I am going straight for CPA.

BEC 8/14/14 - Passed
Graduated from college 12/13/14
AUD 8/31/15 - 74. Retake - Passed
REG
FAR

[John Tucker]

Mayo,

Yes, I totally understand your point but the MBA as a whole has lost its value over the last decade. The MBA as a value selling point today just isn't what it was during the 80's and early 90's when I was in diapers. The reason I believe the value has decreased is because back then it was mostly a Harvard or Ivy League thing, now every college offers the MBA and there's a flood of all types of MBAs out there. Another reason is that the original purpose of the MBA from the Ivys was the quality Alumni Network, it was a filtering tool basically for the large corporations and large academia. That still stands for the most part today in the large corporation and academia route, but really once we get into mid-career professionals with the total package that becomes less relevant. Plus on the topic of quality networks, with the advent of LinkedIN you can create your own quality network more efficiently and with a lot less time and cost.

To each their own though, if you think the ranked MBA will help you in general over the non-ranked one, give it a try. It's just that you have to look at the costs here. A ranked MBA will run you about $120,000 if you are paying out of pocket v.s. a non-ranked MBA from a respected regionally accredited college might cost you $30,000.

If you gain a position paying $120,000 a year with the ranked MBA and the guy with the non-ranked one gets a position paying $100,000 a year, it will take you 4-5 years to “break even” with him because of your $90,000 in additional debt load. Plus in 4-5 years you both would be worth more and would probably be making about the exact same amount of money anyway. Plus you have to factor in the cost of living where you guys are at as well, if you are staying in a large city like New York and he's in a smaller city, then he's got you beat on that front as well.

Overall, depends on the career path though and what your career plan is. I'm speaking in a more broader and generic perspective here.

I don't know if I can put links to books on this site or not lol, but the author here explains a lot of what I've been saying about the MBA http://www.thembabubble.com

* State of MA CPA Exam Candidate
- BEC: Sunday, August 24th
- FAR: Saturday, November 29th
- AUD: TBA for February 2015
- REG: TBA for May 2015

[Anonymous]

CPA is most important for an accounting and finance professional. Big 4 or big time consulting experience is also outstanding since it is almost impossible to get after age 30. A CPA and any AACSB certified MBA will get you where you want to go in accounting and finance. The top MBA programs are mostly for marketers/brand management. I see no use for a MAcc unless you want to stay in accounting and at least say you have an advanced degree, or get one while you are earning your 150.

[Author]

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