Continuing Professional Education (CPE)

Hi folks,

I’d like to talk about continuing professional education for CPAs.

Continuing professional education(CPE) is required for CPAs to maintain our professional competence and provide quality professional services. All credentialed individuals must complete CPE as a requirement for renewal.

Continuing Professional Education (CPE) content must be accredited by organizations such as the American Institute of Certified Public Accountants (AICPA) or the National Association of State Boards of Accountancy (NASBA), which oversee the administration of the CPA exams.

The required number of CPE credits varies by state, but in many states, the reporting period for CPE is the calendar year and 120 CPE credits are required over a three-year period.

By earning at least 120 CPE credits over three years, we can renew our license.

In the state where I am registered, in addition to the above requirements, there is an obligation to earn 20 CPE credits annually.

Furthermore, there are technical and non-technical learning activities in CPE.

Technical learning activities mean the fields of study that directly relate to the profession of accounting and to the CPA’s field of business. These fields of study include, Accounting(including Governmental) , Auditing, Regulatory Ethics, Business Law and so forth.

On the other hand, non-technical learning activities are not directly related to the CPA’s business field. These areas of study entail Behavioral Ethics, Business Management & Organization, Personal Development, Communications, Marketing, and others.

In the state where I am registered, non-technical CPE credit is limited to 60 CPE hours per 3-year period.

The majority of the credits I have earned up to today are in technical learning activities such as revenue recognition in financial accounting, managerial accounting, mergers and acquisitions (M&A), and corporate finance fields. Therefore, I am not subject to the limitation on non-technical activities.

I have earned 105 CPE credits over the past two years. If I earn at least 20 more credits next year, I will meet the 120-credit requirement and be able to renew my license.