All You Need to Know About CMA US 2019
What is CMA US?
The Certified Management Accountant (CMA) certification which is administered by the Institute of Management Accountants is the globally recognized benchmark for management accountants and financial professionals. Passing the CMA is a testament to a financial professional’s skill sets in quantitative analysis, logical reasoning and decision-making abilities, all of which are highly valued in the financial world. Earning the CMA can give you the career boost that you have been looking for!
► How can you advance your career with CMA US?
· CV Booster – In order to climb the corporate ladder and earn that CFO title, you need the CMA to showcase your skill set to employers. The CMA is highly sought after by Big 4 auditing firms who use the CMA certification as a benchmark to select the best candidates for their recruitment process. The CMA helps your CV stand out from the rest and gives you that edge over other candidates
· Earn a better title and salary package – Boosting your CV with a CMA which is a testament to your knowledge and skills in management accounting can help you earn a better title for yourself and negotiate for a better salary package.
Did you know?
CMA’s earn 55% more in median total compensation than non-CMA’s. A Young professional between the ages of 20-29 can earn 70% more in salary than non-CMAs.
· Passport to success – The CMA is globally recognized by over 100 countries around the world. So your CMA can help you wherever you decide to advance your career in multi-national corporations around the world.
· Build your professional network – The CMA brings together industry professionals across the financial world, helping you to network with industry leaders from multi-national corporations. Almost 60% of jobs are gained with the help of a strong professional network; this is something that the CMA provides you with.
· Evolve your skill set and become resilient to economic fluctuations – When the economy is bad, jobs are scarce and companies start downsizing, it is during these times that your CMA will help you the most. The skills that the CMA provides you with are indispensable and this will enable you to remain immune to market fluctuations.
· Technology proof –With the rapid advancement of technology, many jobs are being replaced with AI (Artificial Intelligence), this means that as a financial professional you not only have to compete with other professionals but technological advancement as well. The CMA allows you to develop a unique skill set which is irreplaceable by even the best technology out there.
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► What are your career options after CMA?
· Finance Manager
· Finance Analyst
· Financial Risk Manager
· Financial Controller
· Cost Accountant
· Chief Financial Officer
· Cost Manager
· Relationship Manager
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► About CMA US Exam
The CMA exam is conducted in two parts. The duration of the exam is about 4 hours and there are 100 questions and two essay questions in each part. The essay question includes 8-10 written responses or calculations for tackling business situations described in the problem.
Part 1 covers financial reporting, planning, performance, and control.
· Length: The exam is broken up into two, you will have 3 hours to finish the multiple choice questions and one hour to finish the essay section.
· Format: Each exam consists of 100 multiple choice questions and two 30 minute essay questions.
· Strategy: Once you finish the MCQ’s you cannot go back. To move onto the essay section, you will need to have got at least 50% of the MCQ’s right.
· Passing Score – The exam is scored on a 0-500 scoring system. To have successfully passed the exam, you need at least a 360 score on the exam.
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Topic Wise Weightage – Here is the topic wise weightage for the exam syllabus:
· External financial reporting decisions: 15%
· Planning, budgeting, and forecasting: 30%
· Performance management: 20%
· Cost management: 20%
· Internal controls: 15%
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Pass rate and required study hours – The pass rate is around 50%. The recommended study hours for Part 1 (which is considered to be more difficult than part 2) is 150-170 hours.
Part 2 covers financial decision making.
· Length: The exam is broken up into two, you will have 3 hours to finish the multiple choice questions and one hour to finish the essay section.
· Format: Each exam consists of 100 multiple choice questions and two 30 minute essay questions.
· Strategy: Once you finish the MCQ’s you cannot go back. To move onto the essay section, you will need to have got at least 50% of the MCQ’s right.
· Passing Score: The exam is scored on a 0-500 scoring system. To have successfully passed the exam, you need at least a 360 score on the exam.
·
Pass rate and required study hours – The pass rate is around 50%. The recommended study hours for Part 2 is 150-170 hours.
Topic Wise Weightage – Here is the topic wise weightage for the exam syllabus
· Financial statement analysis: 25%
· Corporate finance: 20%
· Decision analysis: 20%
· Risk management: 10%
· Investment decisions: 15%
· Professional ethics: 10%
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► When does the exam happen?
The candidate can appear for the examination in any of the following months
· January and February
· May and June
· September and October
In India, the test is administered by Prometric testing centers. You’ll have to schedule your exams at least 72 hours prior to book a slot to appear for the examination.
► Eligibility for CMA USA
To be eligible for the CMA certification, candidates must hold a bachelor’s degree and have two years of full-time continuous work experience in management accounting or financial management and must have passed the CMA US exam.
If you do not have the work experience yet, you can appear for the CMA exam and after having cleared the exam you can get the required experience for the certification.
► Examination Fees
Your CMA exam fee has 3 components. The CMA exam fee is different depending on whether you are a professional, student or an academic. This is the overall fee payment for each category. The information in brackets represents the break-up of the fee.
Student
Academic
Professional
$849 ($39+ $188 + $311)
$945 ($135+$188 + $311)
$1325 ($245 + $250 + $415)
The fee for each category includes the IMA membership fee, the CMA entrance fee, CMA Examination fee. The Fee Break up is as shown below;
· IMA Membership Fee – This is an annual fee which you have to pay while you are pursuing your CMA. Once you clear the CMA exam, you have to pay IMA fees annually to keep your certification active. Again, the IMA fees varies with your professional status. If you are on the path to becoming an accountant or financial manager, you would qualify for professional membership. A full-time faculty member holding teaching positions in Finance at accredited institutions would qualify for an Academic Membership. Students having 6 or more credit hours of classes at university/college would qualify for student membership.
Professional
$245
Academic
$135
Student
$39
Two-year Student
$78
CMA Entrance Fee – The CMA entrance fee allows you to pursue the CMA program. The exam fee is a one-time fee which you have to pay to start the CMA program. The candidate must finish the CMA program within 3 years of enrollment.
Professional
$250
Academic
$188
Student
$188
Two-year Student
$188
· CMA Examination Fee – the CMA registration fee depends on which IMA membership you belong to. This fee covers both the parts of the examination.
Professional
$415
Academic
$311
Student
$311
Two-year Student
$311
Although it may seem a bit pricey to you, the CMA US is an investment on your career and it pays for itself when you get that fat salary package on successfully completing the CMA US. Cost recovery is guaranteed and it is much cheaper than an MBA.
► How hard is the CMA Exam?
Despite having a lot of experience, some people are unable to clear the US CMA exam. Ever thought why? From our experience the three most common reasons are;
► Less time – As most people giving this exam are working professionals, they are not able to devote the required time to study.
► Pennywise, pound foolish- A lot of professionals don’t invest in study materials, lectures, videos, books, a question bank, mock test etc. They don’t realize that one extra exam attempt will cost them approx 25,000 – 30,000 as exam fee. Hence it is wise to invest in study material which will ensure you pass the exam.
► Weak Fundamentals- A lot of people do not have a strong financial acumen which is a must for this course. They may be good at one aspect of accounts – but this course requires you to have a management perspective to accounting. Hence due to a weak foundation, they are unable to grasp advanced concepts despite having required experience.
Ideally, one should study a topic & take the mock test. If he secures above 80%. One is ready to take the exam.
Ensure that you don’t make these common mistakes.
Why
Hi-Educare Best Institute for CMA US
?
(1.) All our experts are CMA certified and know the exam pattern in and out. The CMA tests your ability to give the CMA. Knowing the examination pattern is 80% of the game.
(2.) We periodically review your understanding of key concepts with tests. We have a question bank of over 4000 MCQ’s to help you strengthen your learning in topics that you may not be so confident in.
(3.) Our course material is exhaustive and covers all the core concepts in great depth with easy to understand examples which are great for people who have a weak foundation.
(4.) Our experts provide you with personal assistance on topics that you need to work on to give you the extra push to pass the examination
(5.) We will help you devise shortcut methods to tackle MCQ’s to help save you precious time on the exam.
FAQ’s
Q. Is the age factor a consideration?
Ans: Generally speaking most people take the CMA after college. It helps if you are fresh of college as your ability to memorize is sharp at that stage, but this is not a hard and fast rule. The CMA has a young professional award and the cut off age for that is 33 years (almost 10 years after most people complete their undergraduate degree)
Q. Can you take the CMA if you do not have a background in accounting?
One of the best ways to switch careers is to get a professional certification in that course. The CMA tests the ability of candidates who have existing knowledge of accounting, however, you should know that accounting is not rocket science and it can be learned. Once you get a hold of the basic concepts and fundamentals you are ready to dive into CMA course material.
Q. Can you take the exam before graduation?
Taking the exam early can actually benefit you in your CMA exam preparation. This is because when you are a student your ability to memorize and retain information is the strongest. Over time, this ability depreciates unless you are in the habit of keeping your brain active with problem-solving. Another added advantage of taking the CMA as a student is that you have to pay lower exam fees and you can take advantage of CMA scholarships which allow a student to take the exam for free.
Q. What kind of work experience do you need?
The CMA certification requires two years of continuous full-time work experience. That being said, you can fulfill this requirement before taking the CMA, while taking the CMA or after taking the CMA. Work experience in Management Accounting in a professional setting is needed. Full-time teaching experience in the field of management accounting is also considered as work experience, provided that 60% of your teaching courses covered the topic of advanced accounting.
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