What no one tells you about studying CA

In December 2017, close to 60,000 students appeared for CPT, and the pass percentage was approximately 38 per cent

By: Education Desk | New Delhi | Published: July 13, 2018 12:34:39 pm
CA, CA Preparation, Chartered Accountant, CA course In December 2017, close to 60,000 students appeared for CPT, and the pass percentage was approximately 38 per cent

The last decade has seen an increasingly large number of applicants who have opted for various commerce degrees. Of these, many have chosen to pursue chartered accountancy as a career path, along with their degree. The reasons for this are plenty – from the appealing salaries to the respect the CA course garners. Chartered Accountants have large responsibilities. They sign off the book of accounts, file taxes, and audit financial statements for individuals and businesses. In December 2017, close to 60,000 students appeared for CPT, and the pass percentage was approximately 38 per cent.

If you are one of the students who has attempted CPT this year in June, or are aiming to in December, here are a few things that you should know.

1. Cracking CPT does not guarantee a degree

Unlike engineering or medical which have a very small drop out percentage, cracking CPT does not guarantee a degree. Even after passing the CPT exam, a large number of students struggle to clear both groups at the IPCC level in a single attempt. In November 2017, around 27 per cent of the students passed in at least one of the groups after appearing for both. For the Final CA exam, this number was close to 23 per cent. This means, that even though the duration of the CA course is roughly 4.5 years, most students take much longer to complete it. This is the reason why many drop the course mid way.

If you wish to pursue the CA course, you must be prepared for taking longer than your friends studying engineering, arts etc.

2. The CA syllabus is extremely vast

If you have studied the CPT syllabus, remember that it is just an overview. Think of the CA course as a complex game. With every level up, the difficulty of crossing over to the next level increases.

2 As for the question – Why is the syllabus so vast? Chartered Accountants have a huge responsibility. They are responsible for auditing and signing off a company’s book of accounts. They sign off on tax returns of large and complex organisations and are expected to not make any errors. Due to this, they are required to have in depth insights into Company Acts, Accounting and Auditing Standards, Taxation laws, other laws like SEBI and FEMA, and Audit Information Systems.

The only way to even complete a vast syllabus is putting in effort on a daily basis. A dedicated number of hours every day will surely help you crack all exams in the first attempt.

3. Challenges during articleship

Students pursuing this are required to complete 2 years of articleship by working under a licensed CA or CA firm. This articleship is extremely valuable since it provides industry experience and practical knowledge. However, students face many challenges during this period. The first challenge is applying to a good firm and being selected. If you need quality experience and want to make the most of these two years, you need to be associated with a good firm. These firms have their own criteria like number of attempts. Their selection process is stringent. The second challenge is the low stipend. Even reputed firms do not provide adequate money. However, you must keep in mind that your articleship is less about earning money and more about gathering immeasurable industry experience. The third, is a poor feedback system. You may be in a big firm, but you are also in danger of getting lost in a sea of faces. You may not receive adequate feedback to improve your skills. Providing feedback completely depends on the amount of interest that your manager takes in your personal growth.

4. Placement system

If you have had the opportunity to complete your articleship with a reputed firm, chances are that you may be recruited by the firm itself. If this does not happen, or if you don’t want to continue working with the same firm, the Institute of Chartered Accountants of India (ICAI) offers campus placements. However, in the last few years, the number of candidates appearing for these placements has almost doubled, while the number of jobs have stagnated. Since companies have a larger variety to choose from, they prefer candidates who have completed the course in their first attempt. Students with multiple attempts end up applying for jobs outside this system and often end up with a low stipend. The silver lining here is that the average salary offered to candidates has improved over the years. It is advisable that you should try your best to receive a lucrative job offer from the firm that you completed your articleship with.

5. The learning never stops

In the medical field, you must be aware of newer drugs and latest treatment methods. In engineering, you cannot function with outdated technology. In law, you must keep track of constantly amending acts, and historic court precedents. Similarly, after you graduate as a CA, you cannot close yourself in a box and stop learning. You must keep track of new policies, laws, and regulations that are brought in by the government. Moreover, India has a dynamic economy and tax policies are under a lot of change. The GST has just been introduced and is still under an evolutionary stage. These laws will keep changing over the years an you must keep learning to stay updated.

Everything said and done, CA is one of the most respected careers across the world. Completing this course needs a lot of hard work and dedication, but this goes hand in hand with excelling in any other field, and even in sports. As a CA, you will make a difference to the larger economy and in turn touch millions of lives.

- Authored by Mr. Rajshekhar Ratrey, VP, Educational Content, Toppr.com