The business sector has evolved largely over the years. In today’s world, strategic planning and value creation are highly sought-after skills. There is a need for such exceptionally skilled professionals on an individual and organisational level to enable, preserve, track and multiply value. That’s where Certified Management Accountants come into the picture. Certified Management Accountant combines management and strategic planning with traditional financial accounting. With the development of the field of accountancy, there is a growing need for CMA in the US and worldwide alike.
To become a Certified Management Accountant, you need to pass the exam conducted by the Institute of Management Accountants (IMA). As a Certified Management Accountant, you will analyse metrics, develop project proposals, and advise individuals and corporations to increase the potential profit benefit. Being a CMA in US is a choice you should seriously consider, as companies like Amazon, Larsen & Toubro, Accenture, and Wipro are always on the hunt for CMAs.CMA is a multifaceted role that sometimes combines consultation and other forms of senior management accounting. As a CMA in US, you will perform the typical duties of a Cost Accountant and make strategic decisions based on revenue. You can work in public or private organisations, but the salary for a CMA in US varies with state, job role and years of experience.In this blog, we will further discuss Certified Management Accountants and their salaries.
Requisites to become CMA in US
CMA is a combination of distinctive skills such as management and accounting. Generally, gaining the title of a CMA is challenging as it requires professional certification and the development of advanced analytical skills. But with a good amount of preparation and hard work, nothing is impossible! Typically, you would require the following:
- Bachelor’s Degree
- Work Experience 2 years in a relevant field such as finance or accounting
- CMA Certification
- Interest in financial accounting
- Good understanding of Business Strategy
A crucial factor for your salary is your skillset. You get paid for what you bring to the table. There is a set of skills employers look for in a CMA in US. Below is a list.
- Open Communication Skills and Teamwork
- Organising skills with knowledge of digital filing systems
- Knowledge of Accounting Software
- External Financial Reporting
- Cost Management
- Internal Controls
- Risk Management
- Profitability Analysis
- Planning and Budgeting
- Written and verbal communication skills
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CMA in the US: Salaries
Certified Management Accountant is a role that is continually growing and in high demand and is expected to see an 11% rise by 2027. The average salary in the US is about $113,799 (USD) per year. On an hourly basis, a Certified Management Accountant in the USA can earn approximately $54.71.The average salaries of certified management accountants in the US vary as they depend on many factors, such as years of work experience, location, education, qualifications, and skills of an individual. The average compensation for CMA in the US includes the cost of housing and transport and comes with benefits. A complete breakdown is given below.
CMA in the US: Salary by Experience
|Average Salary in USD
|Entry-level CMA (1-3 years)
|Senior Level CMA (8+ years)
CMA in the US: Salary by Cities
|Average Salary in USD
|New York, NY
|San Francisco, California
How to become a CMA
CMA’s are in high demand at the moment. Though some may call the journey difficult, with the right preparation, it is attainable. Here’s how you can become a CMA!
- Get a bachelor’s degree: Complete your undergraduate degree, preferably in accounts, economics or finance. Though, note that this step is optional. Many candidates have chosen to earn their CMA certification and then opt for a degree.
- Get IMA membership: Institute of Management Accountants (IMA) membership is mandatory for CMA certification. You can choose between professional membership, student membership and academic membership. Student membership is the best for those just starting.
- Enrol for a CMA review course: Though IMA provides a course included in your fee, many students prefer opting for additional courses for better preparation. Find a CMA review course that works best for you.
- Register for the CMA exam: Pay and register for the CMA exam. The CMA exam is conducted only thrice a year; January/February, May/June, and September/October are the three windows. For registration, you can visit the official website of IMA.
- Take your CMA exam: There are two parts to the CMA exam. Each part is 4 hours long. You may either take it in the same window or attempt it after another.
- Prove your professional experience: As a requirement, you need to prove two years of experience to avail of the certificate. Candidates have 7 years from the exam date to complete this requirement.
- Apply to your designated CMA designation: Once you have met all requirements, you can apply for your CMA certificate. To do so, visit the official website of IMA and log in to your account. You will find all the necessary information.
And with that, you will have completed your CMA certification process!
Job responsibilities of a CMA in the US
A certified management accountant primarily keeps track of the business’s costs and profits, but the responsibilities expand as they gain experience. The following are the main duties of a CMA in the US.
- Budget Management: Managing and controlling the costs and budget of businesses and estimating expenses in advance to reduce the chance of companies exceeding the budget.
- Financial Analysis: Analysing the financial performance market, measuring targets, and reviewing the performance of a company’s assets.
- Risk Management: Identifying and addressing internal and external potential risks to protect the business’s stability.
- Profit Analysis: Dividing profit into assets, revenue, equity, and expenses after a thorough profit and financial analysis.
- Decision Making: They take important financial decisions regarding investment opportunities to ensure the profits are returned for a long time.
- Financial Reports: Drafting financial statements, balance sheets, income statements, cash flow statements, and yearly reports, as well as presenting them as financial reports to the stakeholders.
- Leadership: Supervising entry and mid-level staff, identifying their strengths and weaknesses and guiding them towards company objectives.
Career paths for a CMA in the US
With the skillset of a CMA, one can pursue a career in many directions. A Certified Management Accountant in the US enjoys various benefits and higher salaries than a traditional accountant. A CMA also greatly benefits advancement opportunities in senior financial management roles and offers more attractive packages than a non-CMA. Generally, a CMA opts for the following roles in the US.
- Accounting Manager
- Corporate Controller
- VP of Finance
- Cost Accountant
- Financial Analyst
- Chief Executive Officer
- Chief Financial Officer (CFO)
- Chief Operating Officer (COO)
Top companies for a CMA in the US
Every company needs individuals that can oversee financial responsibilities, monitor taxation, produce financial reports and conduct a risk analysis to keep the company afloat. Hence, all sorts of companies in the US are on the lookout for CMA’s. Here are some companies you can apply to when you’re ready:
- Cummins, Inc
- Idex Corporation
- Amazon.com, Inc.
- Eaton Corporation
- San Diego Gas and Electric Company
- FTI Consulting
- Wells Fargo & Co
- EY (Ernst & Young)
- Taylor Valve Technology
- Johnson & Johnson
- Shell Oil Company
- J.P. Morgan Chase & Co. (JPMCC)
Overall, CMA is a great career choice. With an average pay of $113,799 (USD)/year and a predicted increase in the years to come, being a CMA in the US offers a stable financial future and the chance to advance in your career. To begin your journey as a CMA, prepare for the Certified Management Accountant Exam. You can do this while pursuing further studies in accounting and finance to develop deep knowledge about the subject and gain practical skills. You can opt for a Master’s degree in finance to get a boost in terms of other benefits and salary packages. LeapScholar can help you identify the best university of your choice to gain a degree in accounting or finance in the USA and will help you throughout the admission process. Book a free call with our counsellor today to know more!
Frequently Asked Questions
How long does it take to become a CMA?
It may take 6-8 years to earn a CMA certification, including your bachelor’s degree, master’s degree (optional), and work experience.
How does the salary of a CMA in various countries compare?
The average salary per annum for CMA in different countries is shown below:
India: ₹14,80,304 (INR)
UK: £44,028 (EUR)
Australia: $148,445 (AUD)
Canada: $121,260 (CAD)
Who makes more money, and what are the differences between a CMA and a CPA?
While CPAs are in charge of taxes, payroll, and accounts, CMAs plan and secure the financial assets and future of the organisation. Even though both incomes are competitive, CMAs often make more money.