What is the Difference Between ACCA and CA

Introduction

It is a great decision to select the right career path. If you are a student thinking of becoming an accountant, you must have surely heard of two major qualifications: ACCA and CA. Many students ask about what both mean, what is the difference between ACCA and CA, which is easier, and which gives better job opportunities. In this blog, we are going to break everything down for you in simple words so you can understand and make a knowledgeable decision. So let’s begin by learning what ACCA and CA mean.

What is ACCA?

ACCA stands for the Association of Chartered Certified Accountants. It is indeed a professional body that provides qualifications in accounting. One qualification is recognized in more than 180 countries, which means once you finish your ACCA, you can pretty much work anywhere in the world. As it seems under one roof lie so many qualification topics such as financial reports, auditing, and management accounting. One good thing about ACCA is the flexibility it offers. One can sit for his or her exams at their discretion and can even finish the whole qualification on a part-time job basis.

What is CA?

CA stands for Chartered Accountancy. Qualifications for a CA change to some extent in different countries. In Pakistan, the Institute of Chartered Accountants of Pakistan (ICAP) is the governing body for CA qualification. The CA tends to be more domestic on taxation laws, financial regulations, and the practicing standards of the audits that are related to that country. It is a highly respected qualification, especially in the cultures of Pakistan, India, and the UK. Once the CA is completed, the CAs are sorely needed since it is a qualification considered difficult; however, it pays off.

ACCA vs CA: Overview

At a glance, both ACCA and CA seem to be very alike since it’s all about accounting. Still, they are different in so many crucial ways.

ACCA is more globalized as opposed to CA, which is often very localized.
You can study while you are working and is flexible. However, the CA course is quite strict, with numerous mandatory internships.
The exam pattern of ACCA is less tough than CA. However, it still requires hard work and dedication.

ACCA: An Overview

International Recognition:

One of the main advantages of ACCA is its international recognition. If you are interested in working for multinational companies or in various countries, then ACCA can be a very good option for you. ACCA members are in high demand from employers in the UK, Canada, the Middle East, and Asia.

Modules and Subjects:

ACCA offers all the modules and subjects. Some of the key subjects you will come across include:

Financial Reporting
Audit and Assurance
Taxation
Management Accounting
Performance Management

These topics are broad enough to give you an understanding of the accounting and finance world. And they expose you to various kinds of roles that you will perform in different industries.

Flexibility:

One thing that students like about ACCA is its flexibility. You can take your exams at any time you are ready for them, and there are many exam sittings in a year. So, you might finish your ACCA qualification while working on a part-time or even full-time job.

CA: An Overview

Local Recognition:

CA is one heck of a respected degree in countries like Pakistan, India, and the UK. However, Chartered Accountancy is a bit more country-specific. For example, if you have a completion of Chartered Accountancy in Pakistan, then it might not go that much good in other countries unless getting some more accounting certifications.

Core Subjects:

CA also contains taxation, financial accounting, and auditing careers but with much greater depth, especially regarding local laws and regulations. Some of the core areas in CA include:

Financial Reporting
Corporate Laws
Taxation
Audit and Assurance

Structured Program:

CA is much more formal than ACCA. You have to undergo a mandatory internship or training period, usually at the hands of a recognized auditing career or accounting firm. This is very good to be working your way through but also implies that CA is a program of more duration compared to ACCA.

ACCA vs CA: Career Opportunities

ACCA Career Paths

Some of the common job roles for ACCA professionals include:

Financial Accountant
Management Accountant
Internal Auditor
Tax Consultant
Chief Financial Officer (CFO)

Since ACCA is an internationally accepted qualification, you can also serve multinational companies and banks and even set up your consulting business.

CA Career Paths

CAs enjoy great respect in their countries, particularly in auditing, taxation, and financial advisory. Some of the significant job roles for CAs are:

Auditor
Tax Consultant
Financial Analyst
Compliance Officer
Chief Financial Officer (CFO)

While CAs may not be as mobile around the world as ACCA professionals are, they have much more of an edge in specialized local knowledge when needed, especially in fields like taxation.

ACCA vs CA Salary Comparison

ACCA Salary Prospects

ACCA professionals can earn pretty good salaries, more so as they gain experience. For example, in Pakistan, a newly qualified ACCA can expect PKR 700000 as an annual salary, but it can be much higher with experience. In countries like the UK, the salary can go as high as £40,000 per annum for ACCA professionals.

CA Salary Prospects

Salaries for CAs are a little high when joining as compared to those of an ACCA professional. An entry-level CA can get an annual package of PKR 800,000 to PKR 1,200,000. As you gain experience and assume senior positions in companies or become a partner in an auditing firm, payment will shoot up correspondingly.

ACCA vs CA: Duration and Requirements

Duration Needed to Finish ACCA:

ACCA is usually completed in about 3 to 4 years, depending on how quickly you pass the exams. You can take the exams at your own pace, and there are several exam sessions throughout the year.

Entry Requirements

ACCA is more flexible regarding entry requirements. You could be able to enroll for ACCA within a short time after your A-levels or Intermediate. The CA requires much stiffer requirements. In Pakistan, one would usually have to finish his or her Bachelor’s degree before enrolling for CA.

Duration Required to Complete CA:

Chartered Accountancy generally takes longer to finish. For example, in Pakistan, it would take 4-6 years, depending on how long one can take to pass the exams and complete the mandatory internship.

Accounting Certifications: A Global Comparison

How ACCA Fits in Globally

ACCA is one of the world’s leading accounting qualifications. Its importance is international, so you can follow your dream of working for a multinational company or in different countries. You can find an ACCA professional working in more than 180 countries.

How CA Compares Globally

CA is more location-specific, but it is equally respected within its country of origin. For example, CAs from Pakistan are very much sought after in terms of job options in the Pakistani job market; however, they may need additional qualifications to work outside the country.

Auditing Careers: ACCA vs CA

ACCA in Auditing

ACCA professionals can work in the auditing field but may work more likely in multinational firms, where international auditing career standards are applied. With ACCA, you will be given a wide knowledge of auditing practices that you can apply across the globe.

CA in Auditing

CAs are usually perceived as possessing special skills in auditing, especially in the local market. For example, a CA is most frequently in demand in large firms, government agencies, and large organizations in Pakistan for auditing assignments

Difference Between ACCA and CA in Pakistan

Growths in CA among Pakistani Users:

Chartered Accountancy has remained the most widely accepted form of accounting qualification in Pakistan. It has a history, and often, it represents the gold standard for professionals working in the accounting and finance fields.

Growths in ACCA among Pakistani Users:

ACCA is gaining popularity rapidly in Pakistan, especially among those seeking to have higher flexibility and global opportunities. In Pakistan, many multinational companies prefer professionals with international experience offered by ACCA.

ACCA or CA: Which is Better?

The difference between ACCA and CA depends on your career aspirations. If you want to work in multinationals or possibly abroad, then ACCA is the best choice for you, otherwise, if you plan to work in Pakistan or even other countries where CA is highly respectable, then you may go for CA.

Is ACCA better than CA in Pakistan?

In Pakistan, CA is still more prestigious, but ACCA is catching up. Many multinational firms prefer hiring ACCA professionals as they are better equipped with international standards. However, if you wish to work under auditing or taxation, within Pakistan, CA might favor you more.

Difference between ACCA and CA via Difficulty Level:

ACCA Difficulty Level

Exam Structure: ACCA has a modular exam structure, which means you can take one exam at a time. To the students, this does not feel as daunting. The exams require lots of intensity but also go easy with proper preparatory work.
Available Resources: There are many resources and study materials to undertake the ACCA, including online learning courses as well as discussion forums to seek help from other students.

CA Difficulty Level

Extreme Training Program: The CA course involves a lot of formalized training, with an internship period compulsory; this is demanding. It is expressed that the pass rate is very challenging, and most students find the exams challenging not because of the subject matter but due to the depth of the knowledge required.
Thorough Subjects: CA exams include specific local legislation and laws that demand a lot of memorization and also understanding of very complex subjects.

Student Life: ACCA vs CA

Life as an ACCA Student

Studying ACCA is relatively flexible. One can study part-time, and a lot of students balance work with studies. There are also communities of students who study ACCA, and thus there are study groups and online services, such as ACCA thesis writing help, for those needing support.

Life as a CA Student

CA students normally live a better disciplined life since the internship demands posed to them are considerably tough. The internship is very demanding and time-consuming, but it provides quality work experience at the same time. Most students claim that they suffer from stress mainly due to the high expectations and the harsh nature of the course.

Networking Opportunities: ACCA vs CA

Networking as an ACCA Member

Joining ACCA will open a chance for you to be part of a global professional network. You may attend international conferences or get opportunities to attend local events, whereby you might make connections that could prove useful later; you could join that specific network to get job opportunities or even guidance in your career.

Networking as a CA Member

CA professionals also have excellent networking opportunities, particularly within their own country. Such local institutes will conduct various events, workshops, and seminars in which the local CAs can interact with industry leaders and colleagues. In such circumstances, networking within your country can play a vital role for you to climb up the career ladder.

Making the choice that suits you best:

The difference between ACCA and CA depends on career objectives, learning preferences, and where you’ll work in the future. Here is a quick summary of the main differences:

ACCA provides global recognition, flexibility in studying, and a wide breadth of subjects for study. It is ideal for people who want to work in international settings.
CA offers local recognition and follows a planned curriculum with practical experience, although, in some places, it is held more respected, especially in Pakistan.

Both courses have excellent career opportunities in accounting and finance; however, it depends upon which one best complements your aspirations. You take your time to conduct research by thinking about the environment, either local or international, where you would like to be working.

Frequently Asked Questions (FAQs)

Is CA better than ACCA?

CA is relatively focused more on Pakistan’s financial system, whereas ACCA is acclaimed globally. Therefore, the decision depends upon whether you want to opt for a career locally or internationally.

Who earns more CA or ACCA in Pakistan?

CAs generally receive higher salaries than ACCA professionals in Pakistan. It is because CAs are in high demand in the country’s domestic market.

How much does a CA earn in Pakistan?

The newly qualified CA in Pakistan usually gets between PKR 70,000 and PKR 120,000 per month and increases the same as it grows.

How long is CA after ACCA?

It takes almost 2 to 3 years to complete CA after ACCA, depending upon the papers for which exemptions have been granted.

Which level of CA is the toughest?

The toughest level is the CA Final, and the toughest time for the student would come when he is dealing with subjects like financial reporting and advanced auditing.