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From intern to partner: Accounting career & salary progression explained

Frances Chan

Careers Commentator
What does a career path in public accounting look like? And how much would you earn each step of the way? Let's dive in!

As an accounting student, you have a few main choices: a job at an accounting firm, a job in industry (think: all sorts of companies), or a job in government.

Since accounting firms are the most popular choice for students – and also the biggest employers of interns & fresh grads – we’ll focus on what a typical career looks like there. 

[PYRAMID]

  • Partner (10-20 years of experience)

  • Senior Manager (8-12 years of experience)

  • Manager (5-7 years of experience)

  • Senior Associate (2-3 years of experience)

  • Associate

  • Intern

As you can see, you’ll start off as an intern during your studies, join the firm full-time as an “Associate” (also known as "staff") and then move up to a “Senior Associate” role. If you stay at the same firm, you’ll have the chance to take on some managerial roles (“Manager” and “Senior Manager”) and eventually reach “Partner”!  

  • How quickly you move through the ranks depends on the firm and a handful of other factors.
  • You'll notice there's a huge range for the number of years you need to make partner – that's because, unlike the other roles, it's not a guaranteed step in your career – according to the AICPA, only about one in every 50 make partner! General consensus is that it takes 10-15 years, but anecdotal evidence suggests a longer timeframe. For example, one firm announced internally that 16 years was their average, meaning that half of their partners took 17+ years!

Here’s an idea of how much you’ll earn at each stage, depending on whether you provide tax or audit services.

[TAX SALARY CHART]

  • Intern: $52K - $73K

  • Associate: $49k - $70k

  • Senior Associate $67k - $93k

  • Manager $93k - $131k

  • Senior Manager $125k - $192k 

  • Partner $152k-$247k

[AUDIT SALARY CHART]

  • Intern: $53k - $78k

  • Associate: $49k - $70k

  • Senior Associate: $58k - $83k

  • Manager $90k-$125k

  • Senior Manager $122k - $174k
  • Partner $172k - 288k

Sources: Glassdoor for Intern & Partner salaries, Robert Half for Associate-Senior Manager salaries.

  • You might be surprised to see that interns are paid more than associates. This is often the truth due to the overtime pay factor. Because they're usually paid on an hourly basis, interns can clock for overtime hours whereas full-time staff – including associates – cannot. (Of course, this varies from firm to firm by region as well – at some places, interns also do not get overtime pay!)
  • Also keep in mind that partner salaries vary wildly depending on the size of the firm (are you partner at a local firm of 10 CPAs or a big, national one bringing in millions in revenue?) as well as your level of seniority (Are you junior partner, senior partner, managing partner, or a partner at the national and global level?)

Now let’s go into each of these stages in detail.

Intern

An internship is your first step into the accounting profession. During your internship, which generally lasts a couple months in the summer, you’ll get to apply your studies to the real world, and get paid for it too.

As an intern, you’ll mainly do similar tasks as Associates and get to attend the same training workshops too. At this point, your main goal should be to figure out whether you like the firm and/or accounting profession in general.

And here’s some good news: Since accounting firms hire the majority of their associates from their intern pool, you’re almost guaranteed a full-time position as an Associate after graduation – especially with the shortage of accounting talent.

Associate (or Staff)

Associates are the entry-level roles of the accounting world. On each project, you'll mainly take care of the pieces of work that are easier and lower risk. According to the AICPA, here's what you'll do:

Staff Auditor (1-3 years) performs the detail work of a financial audit under the supervision of a Senior. Staff Auditors will often start to direct small audits at the two-year level.

Tax Staff (1-3 years) prepares tax returns, researches tax questions, and counsels clients on tax problems under the supervision of a Tax Senior and/or Tax Manager.

Curious what Big 4 associates do? We've been surveying them since 2018 – check out what they have to say in these articles:

Keep in mind the nature of the work you do also depends on factors like the size of your firm and the team you're on. For example:

  • At bigger farms, you generally won't be interacting with clients much besides requesting documents whereas at a mid-tier or smaller firm, you may get to manage client relationships from the start.
  • At bigger firms, you may also need to manage offshore teams. These days, many tasks are delegated to teams in other countries, so associates are also responsible for managing them.

Above all, your main job as an Associate anywhere will be to learn all there is to learn – Excel, any accounting software your firm uses, procedures and standards, etc.

Senior Associate

The next rung in the ladder is the Senior Associate position. At this stage:

  • You take on more complicated pieces of work that entry-level associates can't handle yet.
  • You'll delegate tasks to entry-level associates, coach them, and check their work.

Here are more specifics, courtesy of the AICPA:

Senior Auditor (3-6 years) works under the general direction of an Audit Manager. Responsibilities include the direction of audit field work, assignment of detail work to Staff, and review of their working papers. Also prepares financial statements, develops corporate tax returns, and suggests improvements to internal controls.

Tax Senior (3-6 years) works under the general direction of a Tax Manager and/or Tax Partner. Prepares or reviews tax returns for individuals and organizations, researches tax questions, offers suggestions for tax planning, and studies law for potential tax savings.

On the side, you'll also work towards getting a CPA, which is generally a requirement for being promoted to the next level: Manager.

Manager

While Associates and Senior Associates focus on specific tasks and spend most of their day on their computer, Managers take care of higher-level work and spend most of their day in meetings.

What sort of higher-level work is this? According to the AICPA:

Audit Manager (6+ years) supervises Seniors and Staff. Responsible for audit program approval, personnel scheduling, audit working papers review, financial statement disclosure footnote approval, day-to-day client relationships, determination of billings for engagements, and training and evaluation of Staff and Seniors.

Tax Manager (6+ years) directs and reviews Staff and Senior Tax Staff, approves corporate tax returns prepared by Audit Staff, and is available to Audit Staff for consultation. Also performs tax planning and preparation for individuals, estates, trusts, and small businesses and researches unusual tax matters.

Both audit and tax managers will:

  • Manage projects, ensuring they're completed on time and within budget.

  • Review and approve the work of less experienced staff, including associates and interns.

  • Build and maintain relationships with clients by understanding their needs, updating them on their projects, addressing any concerns or issues, and obtaining feedback.

Senior Manager

Senior Managers (or “Directors” depending on the firm) are like Managers with the main difference being business development responsibilities. This means you need to find new clients and sell your services to them.

On top of that, you'll also have more leadership responsibilities. For example:

  • You'll serve as a liaison between the department and other parts of the firm, as well as external stakeholders such as regulators and industry groups.

  • You'll develop and manage the department's budget and financial performance.

  • You'll manage relationships with key clients and provide high-level strategic advice and guidance.

Partner

The next role above Senior Manager – also the final and highest position in an accounting firm – is Partner. Here's the main difference between partner and all the other roles:

  • Up to now, you were an employee of the firm, making a fixed salary.
  • Now, you own a part of the firm and make a share of its profits. This means how much you make depends on the firm's financial performance – and how much you contributed to it (i.e. how much business you brought in).

Besides bringing in business, you also set the overall strategy and direction of the firm as one of the firm's top executives.

Chris Wittich, CPA ... chose to become a partner at Boyum Barenscheer, near Minneapolis, in January 2020 because he wanted to have more of a say in the direction his firm was taking.

"I crave control and a voice in what's going on," Wittich said. "I have a lot of ideas about better ways to serve our clients or more efficient ways to operate the firm or better ways to manage a process." For him, becoming partner would give him a greater opportunity to put those ideas into practice. – Journal of Accountancy

Recently, there have been some shifts in the accounting world that have affected the amount of control that partners have over their firms. For example:

A piece of advice

Keep in mind that staying at one firm forever is just one career path out of many. You can start off at a firm and then move into industry or government after a few years. Or you can work in industry and never enter an accounting firm at all.  

You can even start your own business, join a non-profit, or become a professor – the choice is yours! And that’s the true beauty of a career in accounting. Your ability to speak the “language of business” will keep your doors wide open to all sorts of exciting and well-paid opportunities.

If you're still on the hunt for promising opportunities, check out all the internships we have in this field!