Mid tier firm as a Senior Associate or Big 4 as an Entry Associate

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  • #201110

    So I finally passed the CPA (best advice I can give is to never give up, YOU CAN DO IT!!!).

    On to the topic:

    I would like Another71’s advice on what I should do with my professional career, you guys already helped me with my CPA test and I feel you guys can help me with this next step.

    I am currently a Senior Associate, 6 years of experience at a really small local firm that has 8 associates and 2 partners, I make 45k a year and I am not getting a raise for becoming a CPA. At my firm I’m what they call a hybrid employee and I can do anything from taxes to auditing and financial and tax planning. I basically know how to do a lot of stuff but on a small scale for really small and simple private clients, no public clients.

    I may possibly have two other job options within the next 6 months

    1. A job interview scheduled next week with a Mid-Tier firm for a Senior Tax Associate position that pays 72k a year and I meet all the qualifications, I don’t want to write the name of the firm but is a top 10 firm (not a big 4). I am good at taxes but I don’t enjoy it that much.

    2. A good friend of mine (Tax Manager at a big 4) can get me an interview for an entry level position at either tax or audit for next fall 2016. Based on what my good friend told me I would start around 55k a year. I know I wrote tax or audit but I would choose audit cause I enjoy it more.

    I know I can make Partner at the local firm I’m working right now but I don’t visualize myself doing this for the rest of my working life and a partner at a firm this size doesn’t earn that much. On the other hand this people gave me my first shot and I feel really really bad about leaving.

    The mid-tier firm would be a great increase in my current income. I like the challenge of starting as a Senior and the increase in difficulty on the returns I will be working on could help me enjoy taxes again.

    And the big 4 will be the best looking one in my resume and I think will eventually be a better pay than the mid-tier firm. But I feel overqualified for an entry level position and feel I would get bored with the low responsibilities. (I perform best under pressure)

    So basically what I’m asking is what would you guys do if it where you? and what advice can you give me?

    Additional information about me that might influence your advises, I am 27 years old, married and no kids.

    AUD- 52,72,78!
    FAR- 59.79!
    REG- 59,31,76!
    BEC- 58,59,43,58,71,75!

Viewing 10 replies - 1 through 10 (of 10 total)
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  • #770812
    Anonymous
    Inactive

    One thing you didn't mention which you may want to think about is travel. I work for a top 10 (not big 4) and travel requirements for audit are considerably higher than they are for tax – upwards of 25-30% for audit and less than 10% for tax. I realize not all firms will be exactly the same (or even different offices in the same firm for that matter), but generally speaking you should expect to travel a lot more if you work in audit. You mentioned you are married so if you are planning on starting a family soon, the amount of travel may be something to consider.

    #770813
    nadroj
    Participant

    That's a good point about travel. When I was in AERS at the green dot, I was away from home 4-5 nights/week for months at a time. Sometimes I had local clients but travel was more than 50% over the long run. You may enjoy the road warrior lifestyle but it's a factor to consider.

    #770814
    ericl2
    Participant

    Over your career….I would choose the Big 4 right now. It isn't a huge bump in pay immediately…but over your career it would be significant. If you look at the CFO profiles of public companies….almost all of them have had Big 4 experience. Look at job listings….the ones that offer bigger salaries require audit experience (which you have) but also Big 4 experience. Take the hit now (work in Big 4) and in a few years….evaluate your situation and make changes then. It also depends on what you have going on in your private life. Do you want to make the sacrifices that you would have to make for a career in Big 4? Only you can answer that question. You have to do what makes you happy. Making more money won't make you happy. Having a career that you enjoy will make you happy. Good Luck!!!

    #770815
    fuzyfro89
    Participant

    You asked a very general question, so the very general answer is clear: Big 4 will help your long term career progression, on average, more than less-recognizable firms.

    Now, that does not mean you cannot be successful and reach partner or executive levels without it, but it increases the odds.

    Other things to consider, which others already mentioned:
    – desired/tolerable level of travel
    – long term career ambitions (public co/private co executive, public acct partner, other?)
    – short term/long term compensation needs
    – preference/skill/enjoyment in type of work
    – etc.

    You have to weigh those needs, short and long term, and make a decision. The “best” choice is different depending on how you value a variety of factors.

    #770816
    acamp
    Participant

    One challenge is figuring out what your blended experience of audit and tax translates to in terms of career level at a Top10 firm in either audit or tax.

    I have a friend at the Big4 I work at who came in as a second year associate due to him having 5 years of industry accounting under his belt. Turns out, the five years in industry didnt help much with auditing and his first year was tough because he was expected to know the basics and therefore his assignments were more challenging than entry level people.

    With that said, you DO have audit and tax experience so you'd likely have an easier time starting at a higher level, but I'd try to get some face time with an audit or tax senior, depending on which way you want to go, and see if you can pick their brain on their daily activities.

    For you, I might lean towards starting as a second year associate (one year behind Senior at most firms) as it gives you a year to get up to speed without the pressure of being the one running the engagement.

    Ninja + Wiley Test Bank: [FAR - 81] [REG - 76] [BEC - 88] [AUD - 73](doh!)

    Becker Videos: [AUD - 82]

    California CPA

    #770817
    acamp
    Participant

    Oh and in terms of travel, that is a mix of luck of the draw and office location.

    I'm in the SF market, we have TONS of clients in SF, so much of the office does not travel. Of course there are some clients that require travel, but depending on scheduling it can sometimes be avoided (e.g. some people raise their hands for these jobs).

    In terms of offices, I've found that our larger office sometimes borrows staff from smaller offices and in that case you are more susceptible to travel.

    Ninja + Wiley Test Bank: [FAR - 81] [REG - 76] [BEC - 88] [AUD - 73](doh!)

    Becker Videos: [AUD - 82]

    California CPA

    #770818

    Thank you all for your answers.

    Sorry, I know the question is kind of general but I couldn't find a way of asking without detailing my whole life and life plans. Currently dealing with the stress of busy season and the only person I can talk to about this is my wife and she just wants me to be happy so her answer is even more general. I cant talk to my work colleagues for obvious reasons so I wanted to see different responses that could help me think and maybe clear my head a little.

    To answer the traveling concerns I am licenced in Puerto Rico so travel wont be that much of a problem, the most I will travel is 1:00 hour a day in car, and that is like a worst case scenario.

    I'm gonna go to the mid-tier firm interview, after all it is just an interview so the job is not yet guaranteed. Maybe I like the environment and decide this is the place for me.

    I already forwarded my resume to my friend the manager at the Big 4 so I hope that works. The manager title sounds like a big deal but I don't know if it can actually make a difference in terms of getting me a job there.

    Thanks everyone for the responses!, even after completing the CPA in February I still come here every week to clear my mind and see how other candidates have been doing so thanks again.

    AUD- 52,72,78!
    FAR- 59.79!
    REG- 59,31,76!
    BEC- 58,59,43,58,71,75!

    #770819
    AJE
    Participant

    May I ask what you would make as partner at your current firm and where you are located? 45k for a Senior Associate seems quite low.

    I think a lot of people's answers are great – but in reality I'd urge you to think beyond the career prospects. People have a tendency to either think too big, or too small for what they want to do.

    Is there any specific reason you are only interested in public accounting firms to begin with? Are you not considering trying your hand at private? Again, I think your location matters a lot (in terms of how much money you actually need).

    I'm in the Bay Area and we need to make around 120k+ to even begin to think about starting a life (between my wife and I). Rent here can be around $3,000 for a studio in SF.

    It sounds like you do want something more challenging though (with higher pay). If you have been somewhere for six years give yourself a bit of a chance to be on the open market (talk to recruiters at least). With the sort of experience you have + CPA exam being passed I find it hard to believe you can't get offers for more than 75k.

    For example, this guy that recently left our firm (in the 5-8 regional big firm) did 1 year private, 2 years here public, got his CPA and exited with an assistant controller position for 115k + bonuses.

    FAR 91 - 04/16
    BEC 87 - 05/15
    REG 77 - 07/27
    AUD 92 - 08/31

    #770820

    I'm in Puerto Rico, 45k (80k if you count my wife's earnings) is a pretty decent income here. our mortgage only pays 1k monthly and this is a four bedroom house with 3 bathrooms. The senior partner here makes around 150k and the partner makes around 100k.

    The reason I still I want to work in public accounting, is because local firms (like the one I'm at now) in Puerto Rico normally deal with local clients who just do business in the island. If I want a high paying controller job like the one you mention, I need to work for an international company or a big US company that happens to do business in the island and there for have an office here. Most of these companies wont consider me if I don't have any experience with these type of companies.

    The only way to get that experience is to work for a big 4 or some of the mid-tier firm established here in the island.

    AUD- 52,72,78!
    FAR- 59.79!
    REG- 59,31,76!
    BEC- 58,59,43,58,71,75!

    #770821
    the LAST Coffee
    Participant

    Go with Big 4 if you want nice gigs in ten years or so. If you ever scan details during job searches for controller type positions, you'll see many want Big 4 experience.

    FAR 84 (AUG '15)
    BEC 83 (AUG '15)
    AUD 79 (OCT '15)
    REG 71, 78! (NOV '15, FEB '16)

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