Frequently Asked Questions The New CPA Certification Program: Overview 3 1. How will the competencies of the legacy programs be incorporated into the new CPA competency map?... 3 2. What will the new CPA certification program consist of?... 3 3. Will the new CPA certification program be recognized internationally?... 4 4. When will the new CPA program be available?... 4 5. I am considering obtaining an accounting designation. What should I do regarding the choice of a program?... 4 New CPA Certification Program: Entrance Requirements 4 6. What are the admission requirements for the CPA Professional Education Program (CPA PEP)? Is there an entrance examination required?... 4 7. Is the new CPA certification program flexible for different types of students?... 4 8. How can those with undergraduate degrees in areas other than accounting enter the CPA Professional Education Program?... 5 New CPA Certification Program: CPA Prerequisite Education Program (CPA PREP) 5 9. What is the CPA Prerequisite Education Program?... 5 10. How long will CPA PREP take to complete?... 5 11. When will the new CPA PREP be available?... 5 New CPA Certification Program: Professional Education Program (CPA PEP) 5 12. What will the CPA professional education program look like?... 5 13. How long does the CPA Professional Education Program take to complete?... 6 14. How will the modules be offered?... 6 15. How long is each module?... 6 16. Will there be evaluations after every module in the new CPA professional education program?... 6 17. How often will the modules be offered?... 6 The Canadian CPA Certification Program Updated May 2013 1
18. Will the new CPA Professional Education Program be offered on a part-time basis?... 7 19. Will the CPA Professional Education Program also be available through universities?... 7 20. What are the entrance requirements to the new CPA Professional Education Program (CPA PEP)?... 7 21. How do you assess international accounting credentials?... 7 New CPA Certification Program: Evaluation 8 22. Will there be evaluations after every module in the new CPA Professional Education Program?... 8 23. Will there be a Common Final Evaluation?... 8 24. What are team-based assessments?... 8 25. How will evaluations be set and marked?... 8 26. How often will evaluations be offered?... 8 New CPA Certification Program: Practical Experience 9 27. What are the new practical experience training models about?... 9 28. Is one practical experience model easier than the other?... 10 29. How will practical experience be verified as sufficient for certification?... 10 New CPA Certification Program: Public Accounting 10 30. Will accountants who do not currently have the right to practise public accounting receive that right through grand-parenting provisions?... 10 31. Will all CPAs be eligible to practise public accounting when they earn the CPA designation?... 10 32. Will there be a public accounting route within the CPA certification program? What will it look like?... 11 33. What will the practical experience requirements be to practice in audit and assurance based services?... 11 Transitioning to the New CPA Certification Program 11 34. What will happen to those registered in one of the current professional education programs? What will be the impact on their program?... 11 35. Should I speed up or slow down my studies to avoid the transition?... 12 Other Questions Related to the Unification Framework 12 36. What is the separate program referred to in the program description? What kind of education will students receive? What credentials will graduates earn?... 12 37. What will happen to current reciprocity agreements? Will those who became members through reciprocity agreements still be members? Will existing agreements cover members who do not currently have reciprocity?... 12 38. What impact will unification have on university programs and funding?... 13 39. What will happen to the current program specializations? Will these carry over to the CPA designation or will there be a new set of specializations?... 13 The Canadian CPA Certification Program Updated June 2013 2
The New CPA Certification Program: Overview 1. How will the competencies of the legacy programs be incorporated into the new CPA competency map? The new CPA competency map has been developed by all provincial bodies negotiating merger agreements. It is based on the breadth and depth of the competency maps of the existing legacy professional programs. The new CPA competency map includes the knowledge and skills expected of the pre-eminent Canadian accounting designation, and will ensure we can maintain and negotiate Mutual Recognition Agreements (MRAs) with the world s leading accounting bodies. The new map meets or exceeds the requirements of regulators, global accounting organizations and the Canadian business community for professional accountants working in both public practice and industry. 2. What will the new CPA certification program consist of? The development of more detailed provisional information on the transition period is an important responsibility of the Certification Steering Committee, which is now reviewing timelines of the legacy programs. The Steering Committee will monitor the progress of merger discussions in each province, and determine the appropriate period of transition based on the final provincial timetables. More detail will be shared on the CPA Canada website (www.cpacanada.ca) as it becomes available. The nationally developed, regionally delivered CPA certification program will consist of: Academic prerequisites: including an undergraduate degree and specific subject area coverage, which is defined in the CPA competency map. Graduate-level CPA Professional Education Program (CPA PEP): Candidates complete this program through the profession s nationally developed, regionally delivered two-year part-time program. Alternatively, graduate and undergraduate programs can be accredited to deliver components of the program. Relevant practical experience: All CPA candidates must complete a period of relevant, progressive, qualifying practical experience that is approved by the CPA profession. CPA Practical Experience Requirements, including transitional requirements, are under development. They will come into effect in 2014. Until that time, qualifying practical experience of legacy designations remain in effect and will count towards the practical experience requirements for CPAs. Evaluation throughout, including a multi-day Common Final Evaluation (CFE). All module evaluations and the CFE will be nationally developed and nationally marked. The Canadian CPA Certification Program Updated June 2013 3
3. Will the new CPA certification program be recognized internationally? Yes. The new CPA certification program will meet or exceed all International Federation of Accountants (IFAC) standards for education, assessment and practical experience. It will also meet or exceed the requirements of the leading global accounting bodies, ensuring the new profession can maintain existing, and establish, new Mutual Recognition Agreements (MRAs). 4. When will the new CPA program be available? The new nationally developed, regionally delivered CPA Professional Education Program will be available in parts of Canada in the fall of 2013, and across Canada in the fall of 2014. 5. I am considering obtaining an accounting designation. What should I do regarding the choice of a program? The CPA is being developed as Canada s pre-eminent accounting designation. You should choose your program based on your professional objectives. If you have not yet completed an undergraduate degree, a BComm or a BBA with a specialization in accounting will prepare you to meet the requirements for entry into the CPA Professional Education Program. The CPA Prerequisite Education Program (CPA PREP) has been designed for those with other undergraduate degrees. Completed courses from the legacy programs will be recognized for credit in the new CPA program in merging jurisdictions. New CPA Certification Program: Entrance Requirements 6. What are the admission requirements for the CPA Professional Education Program (CPA PEP)? Is there an entrance examination required? The admission requirements are an undergraduate degree and specific subject area coverage. No admission examination is required. 7. Is the new CPA certification program flexible for different types of students? Yes. The program will be flexible and accessible to many kinds of students, including those entering directly from post-secondary education or the workforce, those with a variety of education backgrounds, and internationally trained applicants. An undergraduate degree and specific subject area coverage in business and accountancy will be required for admission to the CPA Professional Education Program. Those lacking the requisite academic credits can enter the CPA Prerequisite Education Program (CPA PREP), an accelerated bridging program, as preparation for entering CPA PEP. The Canadian CPA Certification Program Updated June 2013 4
8. How can those with undergraduate degrees in areas other than accounting enter the CPA Professional Education Program? The CPA profession is offering the new CPA Prerequisite Education Program (CPA PREP), an accelerated bridging program for those who have an undergraduate degree in a discipline other than accounting, and lack some or all of the necessary subject matter coverage required for admission to the CPA Professional Education Program. Alternatively, subject matter coverage can be acquired through post-secondary institutions. New CPA Certification Program: CPA Prerequisite Education Program (CPA PREP) 9. What is the CPA Prerequisite Education Program? The CPA Prerequisite Education Program will be delivered on a part-time basis. To ensure maximum flexibility and accessibility, it combines online, self-study and classroom learning. CPA PREP will be modularized to allow candidates to complete only those modules they require. 10. How long will CPA PREP take to complete? Because CPA PREP is modularized, candidates will be required to complete only those modules for which they lack the prerequisite knowledge. 11. When will the new CPA PREP be available? The CPA PREP will be launched in 2013. New CPA Certification Program: Professional Education Program (CPA PEP) 12. What will the CPA professional education program look like? The nationally developed, regionally delivered CPA Professional Education Program will consist of six modules: two common core modules: which all CPA candidates must take, focusing on the development of competencies in management and financial accounting, and the integration of the six core technical competency areas, which all CPAs must have: financial reporting strategy and governance management accounting audit and assurance finance taxation The Canadian CPA Certification Program Updated June 2013 5
two elective modules that allow CPA candidates to develop deeper skills in their areas of career interest. Four electives will be offered: assurance, performance management, tax and finance. All candidates must choose two. Note: candidates pursuing careers in public accounting must choose assurance and tax. The electives will be developed to provide CPA candidates with the ability to develop depth in two areas of most interest to them in their future careers. The modules will not make you a specialist. They will, however, provide an important foundation should you wish to specialize in these areas in the future. a capstone integrative module * that focuses on the development of the enabling competencies such as leadership and professional skills and the integration of core competencies. a capstone exam preparation module* that prepares CPA candidates for the Common Final Evaluation. 13. How long does the CPA Professional Education Program take to complete? The nationally developed, regionally delivered program is designed to be delivered on a part-time basis over two years, while you gain your practical experience. Accredited fulltime graduate programs are expected to take one year. 14. How will the modules be offered? The modules will be delivered using a blended learning model, combining online learning, self-study, classroom learning and teamwork to enable CPA candidates to develop the competencies expected of Canada s pre-eminent professional accountant. 15. How long is each module? The length of each module will be determined by the course developers to ensure CPA candidates have the opportunity to develop the required competencies. The nationally developed, regionally delivered CPA Professional Education Program is designed to be delivered on a part-time basis over two years, while you gain your practical experience. 16. Will there be evaluations after every module in the new CPA professional education program? Yes. There will be an evaluation after every module. Candidates must pass the evaluation to proceed to the next module. 17. How often will the modules be offered? Ultimately, all modules will be offered at least twice each year. * A capstone course is a culminating course where students demonstrate all that has been learned over the program of study. The Canadian CPA Certification Program Updated June 2013 6
18. Will the new CPA Professional Education Program be offered on a part-time basis? Yes, CPA PEP is a two-year program delivered part time while candidates gain practical experience by working in relevant, progressive positions. 19. Will the CPA Professional Education Program also be available through universities? Yes. The CPA profession will develop national accreditation standards for post-secondary institutions interested in offering components of the CPA Professional Education Program (CPA PEP). The CPA profession expects to accredit full-time graduate education programs. 20. What are the entrance requirements to the new CPA Professional Education Program (CPA PEP)? To enter the new CPA PEP, you must have: an undergraduate degree specific subject area coverage If you are taking CPA PEP through a university program, you must meet the university s entrance requirements. There is great flexibility in how you can meet the undergraduate and subject area coverage requirements. These include: completing a four-year undergraduate program that includes all the specific subject area coverage completing a three- or four-year undergraduate degree, plus the CPA Prerequisite Education Program (CPA PREP), or other recognized courses or programs that provide the required subject area coverage a three-year undergraduate degree that includes all subject area coverage and is preceded by a year of post-secondary education (for example, a Quebec three-year university degree, preceded by CEGEP, and equivalent international baccalaureates.) CPA provincial bodies will work with post-secondary institutions to identity the specific courses that meet the required subject area coverage. 21. How do you assess international accounting credentials? The process for determining equivalency is up to your regional/provincial education body. International credentials are compared to the competency requirements of The CPA Competency Map. The Canadian CPA Certification Program Updated June 2013 7
New CPA Certification Program: Evaluation 22. Will there be evaluations after every module in the new CPA Professional Education Program? Yes. There will be an evaluation after every module. Candidates must pass the evaluation to proceed to the next module. 23. Will there be a Common Final Evaluation? Yes. The CPA program will have a multi-day common evaluation. In addition, each module will culminate in an evaluation. CPA candidates are required to successfully complete each module before proceeding to the next. 24. What are team-based assessments? Within the CPA Professional Education Program, candidates will have opportunities to work in small groups, sharing the various competencies learned in the program s common and elective modules, and developing additional critical professional skills such as team management and communication in a professional environment. At the same time, for certification, candidates will be asked to demonstrate the required competencies on an individual basis. 25. How will evaluations be set and marked? All module evaluations and the Common Final Evaluation will be nationally developed and nationally marked. 26. How often will evaluations be offered? Ultimately, all evaluations, including the Common Final Evaluation, will be offered at least twice each year. The Canadian CPA Certification Program Updated June 2013 8
New CPA Certification Program: Practical Experience 27. What are the new practical experience training models about? The new CPA certification program offers two experience models: Approved Path Model: Training positions offered by offices/organizations in training paths that are approved by the profession. Under the approved path model, offices/organizations will apply for approval for defined paths, identifying how the required competencies will be developed. The profession will work closely with the organization upfront to ensure the appropriateness of the paths; significantly less work will then be required to document the experience of the individual candidate. It is expected that the approved path model will be appropriate for many large firms and organizations. Experience Verification Model: Training positions which are appropriately supervised, requiring CPA candidates to submit detailed experience reports for approval by the CPA profession. The experience verification model will require candidates to complete detailed practical experience reports which the profession will review in detail throughout the period of practical experience. It is expected that the experience verification model will be appropriate for many small and medium-sized businesses. These models are based on the following principles, which underlie existing programs: 1. Students must be provided with the opportunity to develop ethical behaviour and professionalism in a working environment, demonstrated by organizational leadership and a code of ethics that is in place and adhered to. 2. Opportunities for development, including opportunities for advancement in the organization and progression during the training period into roles of increasing responsibility should be identified. 3. Organizational support, both philosophical and financial, for continuous learning to ensure the continued growth of professional competence should be demonstrated. 4. Appropriate supervision and monitoring of practical experience, either by a professional accountant within the organization, or by the profession if there is no CPA in the organization must occur. 5. Oversight by the profession is essential. This could occur either through the profession s approval of a specific path within an organization, or through the active review of individual student competency development on a sufficiently frequent basis. These principles will be applied differently in different work environments and training structures, depending upon the needs of employers, candidates and the CPA profession. The Canadian CPA Certification Program Updated June 2013 9
28. Is one practical experience model easier than the other? No. The two practical experience models will be equally demanding, ensuring candidates develop the appropriate CPA competencies through relevant experience, progression, and CPA mentoring. 29. How will practical experience be verified as sufficient for certification? The two models have the same requirement: to verify appropriate experience has been obtained. Mechanisms will be in place to ensure both models can be adequately and appropriately verified by the provincial CPA bodies. CPA Practical Experience Requirements, including transitional requirements, are under development. They will come into effect in 2014. Until that time, qualifying practical experience of legacy designations remain in effect and will count towards the practical experience requirements for CPA. New CPA Certification Program: Public Accounting 30. Will accountants who do not currently have the right to practise public accounting receive that right through grand-parenting provisions? No. Today, the requirements for practising in audit and assurance are regulated by each accounting body and in many cases by provincial governments. There will be no changes to any individual member s right to practise in these restricted areas simply by virtue of the merger. Any member who cannot perform public accounting pre-merger will not be able to do so post-merger. And, like today, those who wish to begin to practise in a restricted field will be required to complete specific education, examination and practical experience requirements. 31. Will all CPAs be eligible to practise public accounting when they earn the CPA designation? No. Only candidates who chose the path for public accounting will be eligible to practise public accounting on earning their CPA designation. While all candidates will undertake some training in assurance, those pursuing public accounting will be required to complete specific elective modules in assurance and taxation in the CPA Professional Education Program, as well as specific practical experience criteria. CPAs who have not chosen this path can apply to practise public accounting after qualification by meeting the public accounting requirements in their jurisdiction. The Canadian CPA Certification Program Updated June 2013 10
32. Will there be a public accounting route within the CPA certification program? What will it look like? There will be a particular path for CPA candidates interested in practising public accounting. This path is under development; details will be released as they become available. 33. What will the practical experience requirements be to practice in audit and assurance based services? In some provinces, practical experience requirements for public accounting are set by a regulator and include specific month and engagement hour requirements. These requirements will not change as a result of the CPA program. Transitioning to the New CPA Certification Program 34. What will happen to those registered in one of the current professional education programs? What will be the impact on their program? Transition to the new CPA certification program will be guided by these basic principles: There will be no legacy evaluations offered after the first CPA Common Final Evaluation is launched in September 2015. All CA, CMA and CGA candidates who have not successfully completed their programs by September 2015 will be bridged to the new CPA certification program. The CPA profession will provide transitioning programs. Failed attempts at CA, CMA and CGA evaluations, including CMA Board Report attempts, will not count against the permitted number of attempts on the CPA Common Final Evaluation. All education and experience that meet the criteria of a legacy program will count towards the CPA designation. No candidate transitioning from a legacy program will be required to redo education or experience that was successfully completed for their legacy program. Candidates transitioning from a legacy program to the new CPA Prerequisite Education Program or the CPA Professional Education Program will be provided with the support they need to prepare them to be successful. Candidates who begin in a legacy program and finish in the CPA certification program will require additional education, which will be provided by the profession in specifically developed transitional programs. The CPA profession will provide the support needed to prepare them to be successful. The Canadian CPA Certification Program Updated June 2013 11
35. Should I speed up or slow down my studies to avoid the transition? Timing of your studies should be based on your personal circumstances. You can be assured, however, that it will be a priority of each merging provincial organization to assist candidates in the transition to the new CPA certification process. Other Questions Related to the Unification Framework 36. What is the separate program referred to in the program description? What kind of education will students receive? What credentials will graduates earn? The proposed CPA certification program has been developed to produce Canada s preeminent professional accountant. Not all those interested in accounting careers will have the interest, resources and/or need to achieve the full CPA designation. The CPA profession is developing, recognizing and regulating a separate program for individuals who aspire to careers in accountancy, but not as qualified CPAs. The separate program will: have an appropriate entrance requirement, offer a separate, shorter professional education program, award a certificate of achievement to successful students, and provide a path for holders of the separate program certificate to earn a full CPA. Subject to provincial rules and regulations, holders of the separate program certificate will be subject to regulation by the CPA profession, thereby protecting the public interest. The Certification Steering Committee is now working on a provisional basis to develop additional detail for the new separate program. More detail will be shared on the CPA Canada website (www.cpacanada.ca) as it becomes available. 37. What will happen to current reciprocity agreements? Will those who became members through reciprocity agreements still be members? Will existing agreements cover members who do not currently have reciprocity? Members granted a designation under current reciprocity agreements will become CPAs, subject to the tagging rules of the agreement. If a member is covered by a Mutual Recognition Agreement (MRA) with a foreign accounting body before unification, he or she will be covered by that MRA after unification; if not, they will not be covered. As new MRAs are negotiated post-unification, the new body will negotiate on behalf of all members. The Canadian CPA Certification Program Updated June 2013 12
38. What impact will unification have on university programs and funding? The CPA profession remains committed to supporting accounting education in Canada. We will rely on colleges and universities to provide post-secondary education and prerequisite training for our CPA candidates and therefore will continue to build and sustain relationships with these academic institutions. We will also continue to support accounting research, knowledge development and the professional development of the accounting department faculty who provide education to our students. 39. What will happen to the current program specializations? Will these carry over to the CPA designation or will there be a new set of specializations? Opportunities to specialize will continue under the CPA program. Subject to provincial regulation, post-certification specialties will be developed in areas such as audit, tax, forensic accounting, IT, management accounting and public sector accounting. As in other professions such as medicine, law or engineering, specialties will provide a way for members to enhance skills and identify areas of expertise. The Canadian CPA Certification Program Updated June 2013 13
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