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What are the advantages of CMA USA over CA?

Last Updated On -24 Oct 2024

The Institute of Management Accountants offers the Certified Management Accountant (CMA) USA course, a globally recognized certification program designed to improve financial accounting and business strategic management skills. Despite the belief that being a Chartered Accountant (CA) is the only way to succeed in accounting, the CMA USA certification is gaining popularity as an alternative to traditional accounting qualifications.

The choice between CMA vs CA can be complex. This blog will explain what are the advantages of CMA USA over CA. For those interested in pure accounting, a CA degree is a better option. However, for those interested in management accounting, a course like US CMA is a more suitable option. Understanding the difference between accounting and management accounting can help make a clear choice. But before that, you might want to know what is US CMA and CA.

What is CMA USA?

US CMA full-form Certified Management Accountant is a professional management accounting certification offered by the Institute of Management Accountants (IMA) in the United States. It's a globally recognized credential. CMA demonstrates proficiency and dedication in the field of financial management and management accounting.

It can lead to a progressive career and better job opportunities. The emphasis is on the in-depth expertise required to understand, interpret, and effectively explain cost and management accounting principles relevant to an organization's planning, budgeting, and regulating activities.

What is CA?

An organization cannot be successful without good accounting skills. It is a fundamental process that helps in arranging, recording and analyzing the financial activities of an enterprise. A qualified accountant or CA (Chartered Accountant) is a competent financial expert who provides various services to individuals as well as businesses such as preparing finance reports, and giving strategic directions based on the finances among others while ensuring they comply with laws and regulations.

What is the Difference between US CMA and CA?

The table given below compares CMA USA vs CA to make it easier for you to select one of the two credentials:

Features	CA	US CMA
Administering Body	ICAI – The Institute of Chartered Accountants of India	IMA (Institute of Management Accountants)
Course Duration	5 years	6 to 9 months
Difficulty Level	5.84% (Both groups)	35% for the first try
Eligibility	For a candidate’s eligibility into the CA foundation course at entry level, they must have completed their 10th and 12th examination successfully with a minimum of 50% aggregate in the latter.	The candidate should have either a passing mark sheet for class 12th, a diploma in Rural Service Examination from a recognized board, or a National Diploma in Commerce.
Jobs	Taxation Advisory Internal Auditing Forensic Auditing Statutory Audit Actuary Professional	Financial Risk Manager Internal Auditor Cost Accountant CFO
Top Hiring Firms	All firms, across all industries	MNCs
CA vs CMA Salary in India	INR 6 to 10 LPA	INR 5 to 20 LPA

Top 5 Advantages of Choosing US CMA over CA

Now that you know what US CMA and CA are and the differences between these two credentials, let's discuss some of the CMA US advantages over CA:

Short-Term Course:

CMA USA is a short-term course that can be completed in between six and nine months, depending on the learner. This course will provide an overall understanding of managing finances and strategic company management. After finishing this course, one might pursue a variety of employment prospects in multinational corporations and US-based banks.

Recognized Globally:

CMA USA accreditation is recognized globally, including in North America, Europe, the Middle East, as well as Asia. If someone wants to work abroad, they must acquire that country's recognized certification. CMA certification in the United States allows you to pursue your desired profession abroad.

Helps to Gain Experience in the Management Aspect of the Business:

If you pursue a Chartered Accountancy (CA) course, the skills you learn will be limited to accounting principles such as budgeting and taxes. However, completing a CMA USA program will allow you to understand management accounting fundamentals in the business setting.

High Demand For a Professional Course:

Consider your options carefully before enrolling in the CA course. A CA course is more popular in India, but a CMA USA certificate is in high demand worldwide. The pandemic has also gradually raised demand for the CMA USA course.

Higher Salary:

The CMA USA course enables students to work in India as well as abroad while increasing their salaries. CMA USA professionals can earn more money than those who complete other courses. The average compensation of CMA USA professionals ranges from INR 5 to 7 LPA.

Conclusion

To put it simply, the CMA course is versatile, allowing students to study at their own speed and take tests when they are ready. This differs from the CA course, which often has a predetermined schedule for finishing the tests. The CMA course is less expensive than the CA course, making it more accessible to students and professionals who want to further their careers but have limited financial means.

Overall, while both the CMA and CA certificates are well regarded in the accounting and finance industries, the CMA program's distinct advantages make it a good alternative for individuals seeking to advance their careers in management accounting.

Frequently Asked Questions (FAQs)

What are the advantages of CMA USA?

US CMA is a short-term accounting program that can be completed in 6-9 months. However, it teaches pupils worldwide strategic management skills.

Is the US CMA good for my career?

Yes, the US CMA is a wonderful career option if you want to enter into accounting management and gain opportunities to work all over the world.

What are a few drawbacks of the CMA certification?

The CMA certification requires effort and money. It consists of a two-part exam that may not suit individuals with alternative accounting or finance aspirations.

Is the US CMA course popular in America?

Indeed, the US CMA course is highly sought after across the United States as well as in Europe, North America, the Middle East, Australia, and Asia among other regions.