HOW TO BECOME AN ACCOUNTANT

1. SERVICE INDUSTRIES ACCOUNTANTS - + - + - + INCOME FEES JOB PROSPECTS JOB PROSPECTS At a glance The outlook for a career in accounting is good, and should remain so because of growing demand for accounting services. This career usually requires a degree, but your job prospects are better with membership of the New Zealand Institute of Chartered Accountants. Becoming a chartered accountant requires work experience and some further study. Accounting software has yet to impact on demand for experienced chartered accountants with well-developed skills. There are also opportunities to work in accounting at more junior levels and progress by undergoing further education while working. Ɣ How to become an accountant Accountants prepare financial accounts for businesses and individuals. They also advise on financial matters, such as tax and reporting compliance requirements. Rents vary from place to place. Estimated market rents by re- gion, city and suburb are available on the MBIE Tenancy Services website. The StudyLink website provides general budget advice for students, and the Sorted website provides help with detailed budget planning. Being a chartered accountant gives you a base of knowledge to have a successful career in commerce, business and finance. Many of New Zealand’s largest companies have chartered ac- countants as chief financial officers, and some charted account- ants are chief executives. → Tenancy Services: www.tenancy.govt.nz/rent-bond-and-bills → StudyLink: www.studylink.govt.nz → Sorted: www.sorted.org.nz/calculators/money-planner Qualifications needed Where to study Accountants usually require a commerce degree majoring in accounting or finance. Accounting and finance can be studied at tertiary institutions throughout New Zealand. If you are looking to become a char- tered accountant, you’ll need to study at an approved tertiary institution. A list of these can be found on the NZICA website. Most people working as accountants are also members of the New Zealand Institute of Chartered Accountants (NZICA), as employers prefer this. → NZICA-approved accountancy programmes: www.nzica.com/ Students/Tertiary-study/Where-to-study-to-become-a- member.aspx To become a chartered accountant you need to: • complete a three-year degree at an NZICA-approved tertiary institution AND Completed qualifications The number of students completing accountancy qualifications has been relatively steady over the past few years, increasing from 1,360 to 1,455 between 2012 and 2014 (up 7.0%). • undertake the Chartered Accountants Program, which includes five modules of further study, plus practical experience OR • complete the Master of Professional Accounting (Accountancy) offered by universities (this is done after completing a bachelor’s degree – which need not be in commerce). 2,000 completing qualification Number of students 1,500 Cost of study 1,000 Chartered Accountants Program Bachelor of Commerce 500 $18,600 over three years $7,400 ($1,480per module) 0 2006 2007 2008 2009 2010 Diploma 2011 2012 2013 2014 Bachelor's Degree Average costs in 2015/2016 for a domestic student. Costs vary between institutions. Further costs include materials, textbooks, and accommodation. Source: Ministry of Education

2. SERVICE INDUSTRIES ACCOUNTANTS Ɣ Income and employment prospects Income Accountants are on Immigration New Zealand’s immediate skill shortage list. If a job appears on the list, it means the govern- ment is actively encouraging skilled people in the role to come and work in New Zealand. A full list is available on the Immigra- tion New Zealand website. In 2015, the average income for accountants was estimated to be $79,700, but not all of these people will be chartered account- ants. The average salary for registered chartered accountants is $140,700. → Immigration NZ, skill shortage list: skillshortages.immigration.govt.nz Where to find job vacancies Estimated average income The number of online job vacancies for accountants increased by 1.9% from September 2014 to September 2015, compared to an overall increase of 1.9% for all vacancies over the same period. $79,700 Average income from Statistics New Zealand’s June 2015 New Zealand Income Survey. Estimated from average hourly earnings. Accountancy vacancies are advertised through public media such as the Trade Me Jobs, and Seek websites. Graduates with a bachelor’s degree in accountancy earned $42,150 one year after their study ended. After five years, income had increased to $61,600. → Trade Me Jobs: ww.trademe.co.nz/jobs → Seek: www.seek.co.nz → www.universitiesnz.ac.nz/studying-in-nz/fees Career path → www.nzica.com/CAtimetable.aspx A career in accountancy is more diverse than many people think. Accountants work in a range of industries including government, law, fashion, entertainment and advertising. Median earnings after qualification completion One year Two years Five years After fundamental skills are learned, accountants often look to specialise into roles such as: $42,150 $45,800 $61,600 • Financial planner • Auditor Source: Ministry of Education • Chief financial officer Employment and skill shortages • Tax specialist Accountants’ employment • Forensic accountant. Ɣ Other information Links Current Projected growth 2013 2014 2014–19 2019–24 31,100 up 3.5% 3.4% 3.0% 30,100 More information on accountancy is available on the Careers New Zealand website. Demand for accountants is expected to keep rising as the economy continues to improve. Many accountants leave New Zealand to work overseas, which also creates vacancies. → Careers New Zealand: www.careers.govt.nz More information on becoming a chartered accountant is avail- able on the NZICA website. → NZICA: www.nzica.com 45,000 40,000 35,000 Employment 30,000 25,000 20,000 15,000 10,000 5,000 0 2009 2014 2019 2024 Estimate Forecast Source: MBIE Estimates