By Ringside Talent
July 15, 2025
Accounting has long been associated with the letters “CPA,” but we’re now seeing a shift that would’ve been unthinkable just a couple decades ago. New data from INSIDE Public Accounting (IPA) confirms what many in the industry have been sensing: fewer and fewer professionals at public accounting firms are certified CPAs.
Between 2020 and 2024, the average percentage of CPA-credentialed staff dropped from 56.0% to 48.4%. In the largest firms, that number plunges even further, with only 41.5% of staff holding CPA licenses.
So, what’s going on? And what does it mean for firms trying to hire top talent?
The Shrinking Share of CPAs: What the Numbers Reveal
While accounting firms aren’t exactly putting up “No CPAs Needed” signs, the credential is clearly becoming less dominant.
There are a few factors at play:
- Diversification of services: Many firms have had most of their recent growth be into Client Accounting Services (CAS), advisory, and consulting – areas where a CPA license isn’t a requirement.
- Changing educational pipelines: The 150-hour requirement to sit for the CPA exam continues to be a deterrent. Pair that with rising student debt and a tough exam, and fewer grads are willing to go the extra mile.
- Non-accounting grads on the rise: According to Journal of Accountancy, in 2019, 31% of new hires at public accounting firms didn’t have accounting degrees. That jumped to 42.7% by 2021 — and likely higher in the years since, especially as firms hire tech-savvy professionals with data, systems, and AI skills.
We’re now in a world where it’s entirely possible, and increasingly common, for a firm branded around CPAs to have fewer than half of its staff actually holding the designation.
The Private Equity Wildcard
The tension surrounding CPA credentials reached a new level when private equity-backed firms began asking staff to remove “CPA” from their email signatures and LinkedIn profiles. While the stated reasoning varies, the message is clear: being a CPA is no longer the defining identity of the profession, at least in some corners of it.
And when PE firms start reshaping professional branding, it’s a sign that more change is coming.
What This Means for Hiring in the Accounting Industry
1. The Talent Pool Is Broader and More Complex
Firms are hiring data analysts, consultants, and technologists alongside, or instead of, traditional CPAs. This opens up new talent pipelines, but it also means hiring teams must be crystal clear on what roles actually require licensure and which don’t.
Hiring Tip: Revisit your job descriptions. Are you asking for a CPA when the role doesn’t truly require it? You may be limiting your talent pool unnecessarily.
2. Credentials No Longer Guarantee Quality
In the past, a CPA was shorthand for “trustworthy,” “competent,” and “technical.” Today, soft skills, adaptability, and client-centric thinking matter just as much, especially in advisory-focused roles.
One hiring manager put it bluntly: “The interview went flat because the candidate’s entire personality and experience was built around being a CPA. That’s not enough anymore.”
3. The Employer Brand Must Evolve
As younger talent eschews the traditional CPA path, firms need to rethink their appeal. Emphasizing flexibility, professional development, and career growth outside the CPA track will be key to attracting the next generation.
Is This the End of the CPA?
Not at all. The CPA is still a gold standard, especially in audit and assurance. But it’s no longer the only ticket to a successful career in accounting. Firms that adapt by widening their hiring lens, aligning compensation with value delivered (not just credentials), and investing in interdisciplinary teams will come out ahead.
The profession is evolving. So should your hiring strategy.
Ringside Talent specializes in finding the right professionals for your evolving business, whether that means a licensed CPA, a cloud-accounting expert, or a client services guru. Schedule a call today and let’s find your next great hire.