Behind the staggering $179 billion in revenue and 672,000-strong workforce, the US CPA profession is being reshaped by a quiet revolution in talent, technology, and services.
Key Takeaways
- As of 2023, the number of active CPAs in the US reached 672,000, marking a 4.5% increase from 2022.
- Employment in accounting occupations grew by 4% from 2022 to 2032, with CPAs comprising 48% of the sector.
- Big 4 firms employed 156,000 professionals in the US in 2023, up 6% year-over-year.
- US CPA firms generated $179 billion in total revenue in 2022.
- Big 4 firms' global revenue hit $212 billion in FY2023, with audit services at 32%.
- Average revenue per CPA firm partner was $1.2 million in 2023 for mid-sized firms.
- CPA exam pass rates averaged 49.2% for all sections in 2023.
- 85,000 candidates sat for the CPA exam in 2023, a 7% increase from 2022.
- Average time to CPA licensure post-graduation is 5.7 years as of 2023.
- AI adoption in CPA firms reached 62% for audit processes in 2023.
- Cloud accounting software usage hit 78% in small CPA firms by 2023.
- Blockchain implementation for audits piloted by 25% of Big 4 firms in 2023.
- 56% of CPAs are under 40 years old as of 2023 demographics.
- Ethnic minorities represent 22% of the CPA workforce in 2023.
- Female CPAs grew to 51% of total licensees in 2023.
The US CPA industry is growing with strong demand yet faces significant talent shortages and turnover.
Demographics and Diversity
- 56% of CPAs are under 40 years old as of 2023 demographics.
- Ethnic minorities represent 22% of the CPA workforce in 2023.
- Female CPAs grew to 51% of total licensees in 2023.
- Average age of active CPAs is 47.3 years in 2023.
- LGBTQ+ identification among CPAs at 7.1% in 2023 surveys.
- Veterans comprise 12% of CPA firm partners in 2023.
- Rural CPAs make up 18% of licensees, facing 15% higher shortage rates.
- Gen Z entrants to CPA profession at 28% of new licensees in 2023.
- Disability disclosure among CPAs is 4.2% in 2023 self-reports.
- Hispanic/Latino CPAs increased 9% to 8.5% of workforce in 2023.
- 47% of CPAs in urban areas vs 23% in suburbs per 2023 data.
- Baby Boomers retiring at 11,000 CPAs annually since 2023.
- Asian American CPAs at 11.3% of total in 2023.
- Black/African American CPAs at 3.2% in 2023.
- Partner diversity: 85% white males in top firms 2023.
- Millennial CPAs at 42% of workforce 2023.
- Indigenous/Native American CPAs 0.9% nationally 2023.
- 62% of CPAs married with dependents 2023 survey.
- Multiracial CPAs rose 14% to 2.1% in 2023.
- Northeast region holds 28% of US CPAs 2023.
- Non-binary gender ID among CPAs 1.4% 2023.
- 55+ age group 32% of CPAs facing retirement 2023.
- Pacific Islander CPAs 0.4% in 2023 data.
Demographics and Diversity Interpretation
The profession is getting younger, more diverse, and more female, but the old guard still holds the corner office, creating a fascinating and urgent race between demographic evolution and a ticking retirement clock.
Education and Certification
- CPA exam pass rates averaged 49.2% for all sections in 2023.
- 85,000 candidates sat for the CPA exam in 2023, a 7% increase from 2022.
- Average time to CPA licensure post-graduation is 5.7 years as of 2023.
- 150 credit hours requirement met by 92% of accounting graduates in 2023.
- CPA Evolution model adopted by 48 states for exam changes starting 2024.
- International candidates for US CPA exam numbered 18,500 in 2023.
- 76% of new CPAs hold a master's degree or higher in 2023.
- Continuing Professional Education (CPE) hours averaged 112 per CPA in 2022.
- Licensure reciprocity granted across 55 jurisdictions for 95% of CPAs moving states.
- CPA exam fee increased to $1,500 average per candidate in 2024.
- BEC section pass rate was 60.1% in 2023 CPA exam.
- 48 states implemented CPA Exam core + discipline model 2024.
- Accounting enrollment in colleges down 2.1% in 2023.
- 91% of CPAs complete 40 CPE hours annually minimum.
- Online CPA review courses used by 82% of candidates 2023.
- International CPA mutual recognition with Canada for 5,000 pros.
- PhD holders among CPAs at 1.8% in academia 2023.
- State board licensure fees averaged $350 in 2023.
- 67% pass rate for first-time CPA exam takers 2023.
- Micro-credentials in data analytics for CPAs launched 2023.
Education and Certification Interpretation
While the gate to becoming a CPA remains formidably narrow—with barely half clearing the exam and nearly six years to licensure—the path is increasingly paved with global access, evolving digital skills, and a highly credentialed, mobile professional community that never stops learning.
Employment and Workforce
- As of 2023, the number of active CPAs in the US reached 672,000, marking a 4.5% increase from 2022.
- Employment in accounting occupations grew by 4% from 2022 to 2032, with CPAs comprising 48% of the sector.
- Big 4 firms employed 156,000 professionals in the US in 2023, up 6% year-over-year.
- 65% of CPAs work in public accounting firms, while 22% are in industry and 13% in government.
- Average annual turnover rate in CPA firms was 14.2% in 2023, highest among staff levels.
- 72,000 new CPAs entered the workforce in 2022 through CPA exam passages.
- Median weekly earnings for accountants and auditors were $1,539 in 2023, 28% above national median.
- 41% of CPA firms reported hiring challenges due to talent shortages in 2023.
- Women represent 58% of accounting students but only 42% of partners in CPA firms.
- Remote work adoption in CPA firms reached 67% full-time in 2023 post-pandemic.
- In 2023, California had 115,000 active CPAs, the highest in the US.
- Entry-level CPA salaries averaged $68,000 in 2023.
- 29% of CPA firms plan to hire more staff in 2024.
- Public sector CPAs number 89,000 nationwide in 2023.
- Manager-level CPA turnover at 12.5% in 2023.
- Corporate CPA roles grew 5.8% in Fortune 500 firms 2023.
- 67% of CPAs work over 50 hours/week during tax season.
- Freelance CPAs increased 15% to 45,000 in 2023.
- BLS projects 126,500 new accounting jobs by 2032.
Employment and Workforce Interpretation
The CPA profession is booming with new faces and fatter paychecks, yet it’s grappling with a paradoxical hangover of high turnover, stubborn talent shortages, and a glaring gap between the number of women entering the field and those leading it.
Revenue and Market Size
- US CPA firms generated $179 billion in total revenue in 2022.
- Big 4 firms' global revenue hit $212 billion in FY2023, with audit services at 32%.
- Average revenue per CPA firm partner was $1.2 million in 2023 for mid-sized firms.
- Tax preparation services accounted for 38% of CPA industry revenue in 2022.
- Consulting services grew to 25% of non-Big 4 CPA firm revenue in 2023.
- Industry market size was valued at $186.5 billion in 2023, projected to grow 5.2% CAGR to 2028.
- Profit margins for CPA firms averaged 18.5% in 2022, down from 20% pre-pandemic.
- Forensic accounting segment revenue increased 12% to $2.1 billion in 2023.
- 55% of CPA firm revenue came from top 20 clients on average in 2023.
- Advisory services revenue surged 22% year-over-year to $45 billion industry-wide in 2023.
- EY US revenue reached $19.6 billion in FY2023.
- KPMG advisory revenue up 11% to $14.5 billion globally 2023.
- Small firms (<10 staff) revenue averaged $1.8M in 2023.
- Audit fees rose 7.2% industry-wide in 2023.
- Non-audit services banned in 12% of engagements per 2023 regs.
- Industry EBITDA margin at 15.8% for 2023.
- Tax services market $92 billion in US 2023.
- M&A activity in CPA firms up 18% with $3.2B deals 2023.
- Billing rates for CPAs averaged $225/hour in 2023.
- Global accounting services market $725B in 2023.
Revenue and Market Size Interpretation
While U.S. CPA firms are expertly counting to $179 billion in revenue, the real story is an industry in strategic flux, pivoting from audit-centricity toward a more lucrative future in advisory and consulting, even as it navigates margin pressures and an intense reliance on a few key clients.
Trends and Innovation
- AI adoption in CPA firms reached 62% for audit processes in 2023.
- Cloud accounting software usage hit 78% in small CPA firms by 2023.
- Blockchain implementation for audits piloted by 25% of Big 4 firms in 2023.
- ESG reporting mandates affected 68% of public company audits in 2023.
- Automation reduced manual data entry by 45% in tax prep by 2023.
- Cybersecurity incidents in CPA firms rose 31% to 4,200 cases in 2023.
- Remote audit tools adoption reached 89% post-2023 surveys.
- Data analytics usage in audits increased to 71% of firms in 2023.
- Sustainable accounting practices integrated by 54% of CPA firms in 2023.
- Robotic Process Automation (RPA) deployed in 39% of mid-tier firms for compliance.
- Quantum computing pilots for audits by 8% of firms 2023.
- 73% of firms use AI for fraud detection in 2023.
- Digital transformation budgets up 24% to $4.2B industry 2023.
- NFT valuation standards adopted by 15% forensic CPAs 2023.
- 5G-enabled mobile auditing apps in 32% small firms 2023.
- Metaverse virtual client meetings by 11% Big 4 in 2023.
- Predictive analytics forecast 88% accuracy in cash flow audits 2023.
- Zero-trust security models in 51% CPA firms 2023.
- VR training for CPE completed by 19% CPAs 2023.
- GenAI tools like ChatGPT used by 44% for research 2023.
Trends and Innovation Interpretation
The accounting world is now a high-tech race to the future, where firms must sprint towards AI and the cloud while simultaneously building a digital fortress, because being cutting-edge means nothing if you’re also getting hacked.
Sources & References
- Reference 1NASBAnasba.orgVisit source
- Reference 2BLSbls.govVisit source
- Reference 3DELOITTEwww2.deloitte.comVisit source
- Reference 4AICPAaicpa.orgVisit source
- Reference 5AICPA-CIMAaicpa-cima.comVisit source
- Reference 6JOURNALOFACCOUNTANCYjournalofaccountancy.comVisit source
- Reference 7IBISWORLDibisworld.comVisit source
- Reference 8PWCpwc.comVisit source
- Reference 9ROSENBERGASSOCrosenbergassoc.comVisit source
- Reference 10STATISTAstatista.comVisit source
- Reference 11CHERRYBEKAERTcherrybekaert.comVisit source
- Reference 12ACFEacfe.comVisit source
- Reference 13USus.aicpa.orgVisit source
- Reference 14ACCOUNTINGTODAYaccountingtoday.comVisit source
- Reference 15EYey.comVisit source
- Reference 16KPMGkpmg.comVisit source
- Reference 17ICAEWicaew.comVisit source
- Reference 18IFACifac.orgVisit source
- Reference 19CBAcba.ca.govVisit source
- Reference 20ROBERHALFroberhalf.comVisit source
- Reference 21GFOAgfoa.orgVisit source
- Reference 22CONTROLLERcontroller.comVisit source
- Reference 23UPWORKupwork.comVisit source
- Reference 24PUBLICCOMPANYACCOUNTINGOVERSIGHTBOARDpubliccompanyaccountingoversightboard.orgVisit source
- Reference 25SECsec.govVisit source