31%
Increase in master's degrees in accounting awarded for the 2013-14 academic year.
A master's degree may be a hot ticket in the accounting profession.
The number of such degrees granted for the 2013-14 academic year shot up 31%, even as the total number of accounting degrees leveled off after years of torrid growth, according to the American Institute of CPAs.
Master's degrees in accounting earned in 2013-14 totaled 27,359, up from 20,843 a year earlier. By contrast, the number of bachelor's degrees in accounting fell 11% to 54,423.
One factor in the rising number of master's degrees may be a 2014 requirement that certified public accountants complete 150 hours of academic work for certification. "More students are recognizing that, in most cases, the additional academic work needed to acquire the technical competence and develop the skills required by today's CPA is best obtained at the graduate level," said Joanne Fiore,AICPA's vice president for professional media, pathways and inclusion.
The group has "seen continuous growth" in master's degrees awarded and in accounting degrees awarded overall since the late 1990s, she said.
The supply of accountants is likely to grow. Enrollment in accounting programs topped 250,000 in 2013-14, including those leading to bachelor's, Ph.D and various master's degrees.
The AICPA also reported a 23% increase in public-university enrollments in master's programs in accounting and a 50% increase at private schools.
By contrast, enrollments in bachelor of accounting programs increased 12% at private universities and decreased 22% at public ones.
Meanwhile, demand for accountants is on the rise. "There is more appreciation for the value of an accounting background and expertise," said Robert Swieringa,professor emeritus of accounting at Cornell University's Johnson Graduate School of Management. "Accounting is complicated because business is complicated, especially financial instruments and arrangements."
Demographics will probably favor increased demand in the profession too. "A large number of so-called baby boomers will retire because many firms have early retirement ages-e.g., 60," Mr. Swieringa added.
