An Overview

On CPA Evolution

An Overview On CPA Evolution Technology is quickly altering the accounting profession, how accountants carry out their duties, and the competencies required for success. Because accountants deal with more than just numbers, the CPA Evolution has been designed to reevaluate the skills and competencies required for success in this profession. In this blog, we'll talk about CPA Evolution and how it will change the CPA Exam.

What is the CPA Evolution?

Since accounting has evolved with time, many diverse skills are now needed. The American Institute of Certified Public Accountants and the National Association of the State Board of Accountancy have joined forces to create The CPA Evolution, a novel initiative that seeks to rethink the CPA license model. The different skill sets and competencies required by newly licensed CPAs (nlCPAs) will be taken into account in this redefinition.

CPA Evolution seeks to safeguard the public interest while maintaining the profession's importance and value.

Why Is CPA Licensure Model Changing?

The 2019 research report from the AICPA found that accounting companies were recruiting fewer professional accountants but more individuals with non-accounting expertise who had specialized technological capabilities. A very small number of accounting departments, according to the report, teach increasingly crucial competencies including cybersecurity, IT governance, and Systems and Organization Control engagement. The majority of accounting departments teach IT audit and data analytics. As a result, individuals with accounting degrees are no longer as valuable to CPA companies as they once were. These organizations are now looking for individuals who can fill this skills gap. However, it goes without saying that the ideal situation calls for accountants who are skilled in future competencies. CPA Evolution fills that need.

The CPA profession is constantly evolving, embracing new technology, abilities, and best practices. Most CPAs' employment needs now are very different from what they were ten years ago. The skills and specialties put to the test on the CPA Exam must change as the profession does.

Newly certified CPAs need to conform to these developments in order to satisfy the demands of the accounting profession. More complicated activities and contributions to more complex projects are now expected of CPAs way earlier in their accounting careers.

2024 CPA Exam Evolution

It is anticipated that the exam will continue to be administered in a four-section, 16-hour format. The new CPA licensure model stipulates that candidates for the CPA designation must be proficient in accounting, auditing, and tax; these topics will continue to be core requirements. The three main sections will all contain questions on technology.

Candidates will also need to have more in-depth knowledge in one of the following three main disciplines.

  • Business Analysis and Reporting (BAR)

  • Information Systems and Controls (ISC)

  • Tax Compliance and Planning (TCP).

On the CPA Exam, candidates will need to pass one discipline in addition to the three basic sections. Candidates are not authorized to enroll in more than one discipline at the same time. It is significant to remember that the type of license issued will not alter based on the discipline passed. Regardless of the field chosen, the new licensure system results in a single CPA license.

How to Prepare for The New CPA Exam?

Although the new CPA Exam won't be available until 2024, it's never too early to start preparing.

Looking at it briefly, students graduating in 2024 or later should start thinking about the discipline track they want to pursue, and be aware of the growing significance of technology and analytics in CPA firms' recruiting decisions. Before these changes are implemented, graduates who have already received their degrees or who will do so before 2024 should select a provider of review exam, begin their studies, and take the exam.

In order to represent the new competencies in their courses, educators must understand the current model curriculum. A working team of educators, regulators, and practitioners created the model curriculum to provide a roadmap for changing accounting education to incorporate the knowledge and abilities required of CPAs.

Recommended CPA Exam Order After Changes in 2024

It's crucial to build a plan as you organize your exam calendar, regardless of the pathway you opt for. Even though each applicant is unique, our experts at Illumeo have come up with a general proposed order for taking the test after the 2024 provisions take effect. You should start with the section you consider the most challenging. Additionally, while the content does build upon the associated core section, we strongly advise taking your chosen discipline following it.


The CPA Evolution will significantly determine the material educators teach, how new content is integrated with legacy content and the prevalence of digital literacy and technological topics across the curriculum. Educators and instructors can start making curriculum adjustments now to prepare for the new test in 2024. Until the final blueprint is revealed, brief introductions and self-paced assignments will be the most effective.