ACA, ACCA or CIMA? 

If you’re a graduate aspiring to build a career in accounting, you’ll come across these acronyms and might wonder which path to choose. They each cater to different skill sets and career trajectories.

In this blog, we’ll break down what ACA, ACCA, and CIMA stand for, explore the key differences and explain how each qualification shapes your prospects. We’ll also delve into how these qualifications are perceived by top employers, and compare their difficulty, reputation and salary outcomes. 

So whether you’re aiming for a role in audit, finance, tax, management accounting or anything in between, this guide will help you make an informed decision.

In this article:

Accounting Qualifications: ACA, ACCA and CIMA Compared

What’s the difference between ACA, ACCA and CIMA?

ACA, ACCA and CIMA are all leading accounting qualifications, tailored to different career paths. ACA focuses on audit, tax and financial management, granting chartered accountant status. ACCA offers global recognition and flexibility, also leading to chartered accountant status. CIMA emphasises management accounting and business strategy, resulting in the Chartered Global Management Accountant (CGMA) designation.

Let’s dive into the details of ACA, ACCA and CIMA to help you make the right choice for your accounting career.

ACA (Associate Chartered Accountant)

Delivered by the ICAEW (Institute of Chartered Accountants in England and Wales), the ACA qualification is widely recognised in the UK and internationally. 

The ACA qualification involves on-the-job learning combined with 15 exams. Yes, that’s right. 15. For this reason, it’s considered the most challenging of the three qualifications. 

Alongside the exams and 450 days of work experience (earned over a three-year qualification), trainees are expected to complete professional development and ethics training.

Does ACA make you a chartered accountant?

Yes. The ACA makes you a chartered accountant, providing in-depth knowledge and skills in audit, tax, financial management and ethics.

ACCA (Association of Chartered Certified Accountants)

The ACCA qualification is offered by the ACCA body and is known for its flexibility and global recognition. 

It involves practical work experience and passing 13 exams, as well as ethics modules. Compared to the ACA qualification, trainee accountants have greater flexibility in terms of duration. ACCA facilitates full-time, part-time, distance learning and online courses with greater availability of exam dates.

Does ACCA make you a chartered accountant?

Yes. Completing the ACCA qualification also makes you a chartered accountant, equipping you with a range of accounting, finance and management skills.

CIMA (Chartered Institute of Management Accountants)

The CIMA qualification focuses on management accounting, which combines accounting, finance and business management skills. 

The CIMA qualification differs from ACA and ACCA in its focus on management accounting. There’s more of an emphasis on financial accounting and reporting with a business management perspective. 

It’s relatively flexible and can take three years or longer depending on how much time you dedicate to study. The CIMA framework consists of several levels: Certificate, Operational, Management and Strategic. 

For more details on the CIMA qualification structure, read our guide to What is CIMA? Pros, Cons and Career Prospects Explained.

Does CIMA make you a chartered accountant?

No. CIMA doesn’t make you a chartered accountant. But it does grant the designation of Chartered Global Management Accountant (CGMA), which is a respected title in the industry.

Which accounting qualification is best in the UK?

Choosing the best accounting qualification depends on your career goals and the skills you wish to develop. Each qualification has distinct advantages tailored to different career paths:

• ACA: Widely regarded as the most prestigious, the ACA is ideal for those aiming to work in audit, tax and traditional accounting practices. It provides in-depth technical knowledge and a rigorous training program, making it a top choice for those looking to join top-tier accounting firms and the “Big Four”.
• ACCA: Known for its flexibility and global recognition, ACCA is perfect for those seeking a broader skill set applicable to various sectors. It covers a wide range of accounting, finance and management topics, making it suitable for roles in both public practice and industry.
• CIMA: Best suited for those interested in management accounting and business strategy, the CIMA qualification emphasises financial analysis, strategic planning and decision-making skills. It’s ideal for roles that involve business management and strategy (but not chartered accountant status), often within corporate environments.

Is ACA the most prestigious?

The ACA is often seen as the most prestigious accounting qualification in the UK, especially in traditional fields like audit and tax. 

So, what makes it stand out?

Firstly, the ACA involves a demanding training program with 15 exams, three years of practical experience and extensive professional development. This rigorous approach ensures that ACA holders are highly skilled and knowledgeable, setting them apart in the competitive world of accounting.

The ACA is tailored for those working in audit, tax and public practice; specialised fields demanding a high level of precision and expertise. It’s also administered by the Institute of Chartered Accountants in England and Wales (ICAEW), which has a long history of excellence in accounting.

Does CIMA increase salary?

Yes, the CIMA qualification can increase your salary potential. This is because it focuses on management accounting and strategic business roles (suitable for roles like Chief Finance Officers) which often come with some of the highest salaries in the industry. 

This is down to several factors:

• Focus on management accounting: CIMA’s emphasis on management accounting, financial analysis and strategic planning prepares students for high-level decision-making roles.
• Flexibility and independence: CIMA can be pursued independently, so you can complete the qualification without formal employment. This flexibility can accelerate career advancement and salary growth.
• Strategic career path: The CIMA qualification positions accountants closer to business strategy and decision-making processes. This strategic focus often leads to roles such as financial managers, business analysts and CFOs, which typically offer higher salaries.
• Industry demand: There is a strong demand for CIMA-qualified professionals in various industries, which drives up salary potential.

For a deeper dive into how much accountants make (and how the ACA, ACCA and CIMA qualifications compare for earnings), read our in-depth salary analysis.

Accounting Qualifications: Your Employment Prospects

Do the “Big 4” prefer ACA or ACCA?

The “Big 4” accounting firms (Deloitte, KPMG, E&Y and PwC) tend to prefer the ACA qualification for UK-based roles, particularly in audit and assurance. The ACA is renowned for its rigorous training and specialisation in these areas, making it highly sought after by these top firms. 

However, the ACCA is also highly valued for its global recognition and comprehensive coverage of accounting, finance and management skills. While ACA is often the preferred choice for audit roles, ACCA is appreciated for its flexibility and broad applicability, making it suitable for various roles within these firms.

Do the “Big 4” hire CIMA?

Yes, the “Big 4” hire CIMA-qualified professionals, especially for roles in management accounting, financial planning and analysis. Within the Big Four, CIMA professionals are often found in advisory roles, corporate finance and consultancy, where their expertise in driving business performance and strategy is highly valued.

Is ACA or ACCA more recognised?

Both ACA and ACCA are respected qualifications. But ACA is more widely recognised in the UK, while ACCA is better known internationally.

In the UK, the ACA is often more recognised and preferred for traditional accounting roles, especially in audit and public practice. The ACA’s association with the ICAEW, as well as the focus on rigorous training and professional standards, make it a highly prestigious qualification. 

Internationally, the ACCA holds more recognition due to its global presence and flexibility. Indeed, since its founding in 1904, the ACCA has evolved into a global organisation that prides itself on being the “world’s most forward-thinking professional accountancy body. Today, there are over 241,000 fully qualified members in over 170 countries.

The ACCA qualification is specifically designed to be applicable in various countries, making it a popular choice for anyone looking to work internationally or in multinational corporations.

Accounting Qualifications: Difficulty and Reputation

Is ACA more difficult than CIMA?

Many consider the ACA qualification more challenging than CIMA due to its rigorous exam structure and the depth of knowledge required. 

The ACA involves 15 exams, extensive practical work experience and a strong emphasis on professional development and ethics. This comprehensive approach ensures a high level of expertise but also increases the difficulty. 

In contrast, while CIMA also requires dedication and hard work, its focus on management accounting and business strategy can be less intensive in terms of technical accounting knowledge compared to the ACA. It “only” involves nine exams if you’re following a self-led learning route. Assessments are continually embedded in your learning if you’re on a guided structure.

Is ACA harder than a degree?

The ACA qualification is often considered harder than a degree (such as a BA Hons or a BSc Hons) due to its demanding combination of exams, work experience and professional development requirements. 

Unlike a degree, where students can focus solely on academics, ACA trainees must balance studying for exams with gaining practical work experience and completing professional development activities. 

This multifaceted approach to training makes the ACA a challenging qualification, often requiring a higher level of commitment and discipline than a typical university degree.

How many people drop out of ACA?

The ICAEW doesn’t publish drop-out rates for ACA students. But they do publish the pass rates for their exams. These range between 76% and 87%, which means approximately 24% to 13% of students fail.

Anecdotally though, the dropout rate for ACA can be relatively high. Many trainees find the balance of work, study and exams challenging. 

But don’t let this scare you! The rewards for completing the ACA are well worth it, with high employability and plenty of career advancement opportunities in the accounting profession.

Are you thinking about a career in accounting?

Whether you choose ACA, ACCA or CIMA, each path offers unique opportunities and benefits that can lead to a rewarding career in accounting and finance. 

If you need help achieving your career goals, we’re here for you. At Academic Coaching, we specialise in graduate and early career coaching, advising on training programs, interview techniques, goal setting and more. Let’s work together and get your career off to the best possible start.