Why should you consider building a career in CMA?

The Certified Management Accountant (CMA) certification is an increasingly popular choice for professionals looking to advance their careers in finance and accounting. The designation of a CMA is one that is very important across the globe. Other courses such as the CPA of CFP are usually used as a benchmark to evaluate how effective this course is.  The perks of being a CMA is very unique and equally important. CMA is one of the very few accounting credentials that is considered important both in India and outside of it due to its global relevance. Quite a large number of accountants try to pursue a career in CMA each year for many reasons, such as having a well respected career to having career flexibility. In fact, a recent survey showed that the number of CMAs climbed to a all time high in 2019. 

The certification is awarded by the Institute of Management Accountants (IMA) and is a highly respected and sought-after credential in the industry. CMA is an ideal choice for professionals looking to advance their careers in finance and accounting. The CMA certification can help you move up the ladder in your current organization or make you a more attractive candidate for higher-level positions in other companies. It also opens up many opportunities for professionals who are looking to work abroad or for international companies. The CMA exam covers a wide range of topics, including financial planning and analysis, financial reporting, cost management, and strategic management, which makes CMA a well-rounded professional. Additionally, it requires discipline, focus, and hard work, which can help you improve your time management, study habits, and problem-solving skills. In short, if you’re ready to take your career to the next level, consider building a career in CMA.

Here are a few reasons why you should consider building a career in CMA:

1. High Demand: The field of accounting and finance is growing rapidly, and companies are always in need of skilled professionals to manage their finances. The CMA certification demonstrates your expertise in this field, making you a valuable asset to any organization.
2. Career Advancement: The CMA certification is recognized globally and can open up many doors for you in terms of career advancement. It can help you move up the ladder in your current organization or make you a more attractive candidate for higher-level positions in other companies, especially in the managerial positions.
3. Increased Earnings: According to the Institute of Management Accountants (IMA), CMAs earn on average 67% more than non-certified accountants. This is because the CMA certification demonstrates that you have the knowledge and skills to take on higher-level responsibilities, which often come with a higher salary. The IMA reports that the global mean base CMA salary in 2018 was $74,344, while the global median base CMA salary was $66,000. Typically, this will rise from year to year so we can feel confident in steady increases for the years to come. 

There could be a many number of reasons on why CMAs make substantially more money than non-CMA counterparts. For one, CMAs are better qualified to take management positions, which is where the pay scale tips to a much higher side in the corporate domain. Secondly, being certified showcases the high-level-management-related skills you would have as a part of the Chief Finacial Officer and even the Chief Executive Officer positions and most organizations are ready to pay a higher salary compensation for such roles. 

4. Professional Recognition: The CMA certification is a highly respected and recognized credential in the accounting and finance industry. It shows that you are a dedicated professional who has taken the time to advance your knowledge and skills in this field. According to the IMA, 87% of CMAs report that getting certified strengthened their ability to move across all areas of business. Being a CMA opens up a wide range of job opportunities for you and you would be able to take up a wide range of roles such as Cost Accountant, Senior Accountant, Internal Auditor, Finance Manager, Treasurer, Chief Executive Officer, Chief Financial Officer, Finance Manager, Vice President Finance, amongst others.
5. Broaden Your Skills: The CMA exam covers a wide range of topics, including financial planning and analysis, financial reporting, cost management, and strategic management. By preparing for the exam, you will gain a deeper understanding of these key areas, which will make you a more well-rounded professional.
6. Global Recognition: The CMA is a globally recognized certification, which means that it is accepted in many countries around the world. This opens up many opportunities for professionals who are looking to work abroad or for international companies. The CMA is predominantly located in the US but it’s popularity is increasing and they are in demand across various other nations such as China, United Arab Emirates, Saudi Arabia and almost 1/4th from the Asia Pacific. 
7. Self-Improvement: The CMA certification is not only about gaining knowledge but also about self-improvement. It requires discipline, focus, and hard work, which can help you improve your time management, study habits, and problem-solving skills. Pursuing a CMA demands a strong grasp of basic and complex management processes, as the two parts of the CMA exam test on an array of these topics. A CMA benefits from developing these critical skill sets in many different ways.

Along with attaining the CMA title would put you into acquiring a thorough and diligent knowledge of management accounting processes, applying these principles into practice will provide you with transferable skills. A CMA’s responsibilities are often more specialized than a general accountant’s job description. They would have to perform tasks such as budget analysis and planning, making key investment decisions, and risk management etc which would be a part of the everyday events which will push and expand your professional capabilities. 

Another perk of being a CMA would include expanding the career breadth, as this would require you to take on more tasks at a managerial level. Let us consider an example, most CMAs have to deal with preparing data in a digestible manager for executive boards and other important company personnel. The majority of the entry level accountants or even CPAs would typically not be able to perform in such job roles. As a CMA this would enable you to contribute to a larger business objective and would most likely be required to analyze external trends and figures, which is a task that is usually reserved for upper-level accountants. 

8. Networking: The IMA offers a variety of events and activities where CMAs can network with other professionals in the field. This can be a great way to make connections and learn from others who have experience in the industry.

The CMA certification is a great choice for professionals who are looking to advance their careers in the field of accounting and finance. It is a globally recognized credential that demonstrates your expertise in this field and can open up many doors for you in terms of career advancement and increased earnings. The CMA exam also provides a great opportunity for self-improvement, and networking with other professionals in the field.

To become a CMA, you will need to meet the eligibility requirements, which include a bachelor’s degree, at least two years of professional experience in management accounting or financial management, and passing the CMA exam. The exam is divided into two parts, and you must pass both parts within a three-year period to earn the certification.

Let us look at some frequently asked questions about the CMA

1. What are the requirements to become a CMA?

To become a CMA, you will need to meet the eligibility requirements, which include a bachelor’s degree, at least two years of professional experience in management accounting or financial management, and passing the CMA exam.

2. How is the CMA exam structured?

The CMA exam is divided into two parts: Part 1: Financial Planning, Performance and Analytics and Part 2: Financial Decision Making. Both parts are computer-based, consisting of multiple-choice questions, and an essay section.

3. How long does it take to become a CMA?

The time it takes to become a CMA varies depending on the individual. On average, it takes around six months to one year to prepare for the exam and pass both parts of the exam.

4. How much does it cost to become a CMA?

The cost to become a CMA varies depending on the study materials and resources you choose to use. On the whole, you should be able to cover it in 1-2 Lakhs. The IMA membership fee is around $230 for new members and $200 for renewals. The cost of the CMA exam is $415 for IMA members and $555 for non-members. Additionally, you may need to budget for study materials such as books, courses, or tutoring.

5. How can I begin my CMA Journey?

It is ideal to start with the right coaching as it will help you start on the right foot and give you all the necessary skills needed. Indian Institute of Commerce, Lakshya has over a decade of experience in professional commerce courses and all the classes are taught by certified experts. You can connect with the team to get more information.

If you’re ready to take your career to the next level, consider building a career in CMA. It’s challenging but rewarding path that can lead to a successful and fulfilling career in the field of accounting and finance. To know more connect with our career experts.