CA vs CMA – Which option is Better?

Hey, Are you confused between two fascinating courses that have their place in the corporate world? Well, both courses are considered as toughest courses and require you to have a brilliant IQ. One who is choosing between these two, i.e. CA vs CMA course must be interested in playing with the numbers.

Every student has a different ability and different interests so we can simply guide you about both the courses, their role, their incentives, their duration, industry demand, and other relevant factors after studying you have to decide which is the best career option from your perspective. Hence, after a lot of research and deep study, we have reached some conclusions that will be useful for you in choosing between CA and CMA as a career.

Let’s have a look at the basic introduction of both courses first-

CA (Chartered Accountancy) –

You must have already heard that Chartered Accountancy is the most reputed course in the commerce stream. The course has been organised by the ICAI (Institute of Chartered Accountants of India) and only the ICAI has the authority to give the CA degree.

CA is also considered the toughest course in the world and the Indian Chartered Accounting body i.e. ICAI is considered the second largest accounting body throughout the world.

CA is well known for earning high incentives in the corporate world and is also held responsible for handling the financial and legal matters of the company. The profession is challenging because a CA is always required to update himself with the amended laws and case studies.

Due to the expert knowledge of CA in various domains say accounting, auditing, taxation, finance, and corporate laws, he is eligible to get appointed on various job profiles such as Internal Auditor, Portfolio Management, Finance Advisor etc.

Besides the above, in India, only Chartered Accountants are authorised to audit the Financial Statements of an organization.

Also, Read – How to Become CA

Course Structure –

CA course is divided into three levels – CA Foundation, CA Intermediate and CA Final along with three years of practical training. This practical training is also a mandatory part of the CA curriculum which turns a CA student into a true professional. CA studies are far beyond bookish knowledge. Here the students have been trained to face real-life challenges.

Duration –

The total duration in the CA Course is a minimum of 4.5 years including 3 years of articleship training. One can enrol for its entrance examination CA Foundation after qualifying 12th standard.

Demand –

Chartered Accountants are highly knowledgeable in various domains and they also enjoy the monopoly of F.S. auditing, hence their demand is rapidly increasing in the corporate world. Companies are looking for a candidate who can handle multiple tasks and CA’s are deemed to be perfect for this job profile.

Job Profile –

A CA can work on multiple Job Profiles such as –

1. Statutory Audit.
2. Internal Audit
3. Advisor in Direct or Indirect Taxation
4. Handling Transfer Pricing
5. Financial and Accounting Management
6. Investment Decisions
7. System Audit (after clearing DISA/CISA)
8. Handling the company’s Legal Matters etc…

Average Salary –

The average salary of a CA at a fresher level is Rs. 6-7 lakhs in India which increases with experience and ability. However, the candidates who pass out on the first attempt are usually offered 10-12 lakhs and Rank Holders get offered up to 25 lakhs.

Those who want to pursue Chartered Accountancy can take the guidance of many institutions available in our country.

Download the CA Intermediate Paper & CA Final Paper with suggested Answers.

CMA (Cost and Management Accountant) –

The CMA course is completely based on Cost Accounting. CMA studies primarily focus on Financial and Accounting Management. Their job profile is to maintain and handle the cost records, pricing of the goods/services, verification of cost records etc. But every company is not required to get the cost audit done, very few companies that are dealing at a very large scale are required to get the cost auditing done.

Although CMA has started emerging in India, still their scope is very limited. But we can say it is a course for the future. CMA is the only authorized person to do the cost audit of the company. 

Course Structure –

Similar to CA, the CMA course is also divided into three levels – CMA Foundation, CMA Intermediate and CMA Final. The students after qualifying 10+2 examination are eligible to enroll themselves into the CMA Foundation course. Also, join the best CMA coaching in India if you want to prepare better for the exams. These institutes provide better CMA results and relevant knowledge.

Duration –

The duration of the CMA course is a minimum of 3-4 years. Training in CMA is also a mandatory part of this course.

Demand –

As we have already discussed every company is not required to get the cost audit done. Companies working on a very large scale are required to appoint cost auditors. Hence, the demand for CMA is very limited but it is expected that the demand will rise with time.

Job Profile –

A CMA can be appointed on the below-given job profiles –

1. Cost Accounting
2. Cost Auditing
3. Financial Planning
4. Determine the Prices of Goods and Services.

These are some basic job profiles where the CMA can be appointed.

Average Salary –

The average CMA Salary lies between 3-4 lakhs in India which increases with the passage of time and also depending upon one’s ability.

With the above discussion, you must get clarity on both the courses. As far as we advise if you are looking for a course today then you must go with Chartered Accountancy, which is rapidly growing and if you are planning for the future say after 10-15 years then you can opt for CMA which is expected to grow with time.

However, in today’s monetary terms, Job Availability, Scope, and Knowledge as well as Opportunities, CA is considered a better option than CMA.

Difference Between CA and CMA

Frequently asked questions

Which is more difficult CA or CMA?

The difficulty level of both is almost the same but you had a deal with a more detailed and vast syllabus in CA whereas the CMA syllabus is focused on only cost accounting-related subjects.

In the future which one will be better?

CA is a more demanding profession when assessing the current global conditions, but if you are planning after 10 to 15 years, then CMA is going to be a growth sector.