Average Chartered Accountant (CA) Salary in India: Eligibility, Job Roles, Salary & more

What’s it Like Being a Chartered Accountant in India: Eligibility, Job Roles, Salary and More.

Considering the attractive salaries and reputation offered under its umbrella, the role of a Chartered Accountant is highly coveted by young aspirants. If you are someone enthusiastic about numbers and have excellent analytical abilities, this can be just the right career for you!

With over 1 lakh aspirants joining ICAI every year in hopes of achieving their dream career, CA’s prominence among Indians is hard to beat. The first step in starting a career in this field is learning more about this profession. 

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Continue reading to learn more about the role of a Chartered Accountant and the average Chartered Accountant salary in India. 

Exploring the Role of Chartered Accountant and Responsibilities

A Chartered Accountant is a professional authorised to provide a wide range of financial services to individuals and businesses. These services include accounting, auditing, taxation, financial planning, and business consulting.

A Chartered Accountant is present in all business areas, finance, and the stock market. Their work mostly focuses on working on a company’s finances, evaluating the financial statistics, handling the paperwork, and developing the business in terms of its economic security.

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They are involved in processing the company’s returns and handling taxation in addition to being in charge of the business’s overall management to ensure it is running effectively. The role of certified accountants also entails dealing with money, including budgeting and the paperwork that goes along with it. Here are a few responsibilities a CA is responsible for-

• Conduct thorough internal and external audits on financial accounts to ensure accuracy.
• Determine the potential financial risks and offer suggestions for reducing them.
• Find any gaps in the financial records, search for indications of fraud and make the necessary corrections.
• Assist the employer with tax planning, tax amount calculations, tax return preparation and tax filing.
• Keep accurate and thorough records of all accounts, transactions and investments the employer owns.
• Make yearly reports, budgets and regular updates on financial activity.
• Analyse the costs and the company’s financial accounts.
• Direct financial choices include long-term company and financial management strategies, including mergers and acquisitions.
• Make sure that the nation’s and the state’s laws are being followed by financial management techniques.

Why is CA salary high in India?

CA or Chartered Accountancy is a prestigious and highly demanding profession in India. It is a highly specialised area that requires a hard course of education, training, and testing. The high pay results from the great demand for qualified CAs in India and the complexity of their work.

Some of the reasons why Chartered Accountant salary is high in India are:

1. Firstly, the complexity of tax laws and financial regulations in India has led to a strong demand for certified public accountants (CPAs). Businesses constantly need competent experts to guide them through this complexity and guarantee compliance.
2. Secondly, years of training and experience are needed to develop the high level of competence and expertise required for the CA course. Due to their high value in the employment market and the in-demand nature of their talents, CAs receive high pay.
3. Thirdly, they handle various tasks, such as auditing, accounting, tax preparation, and financial reporting. High levels of precision, meticulousness and the capacity to decipher complicated financial data are requirements of their profession.
4. Lastly, not everyone can pass the tests because of how challenging the CA course is. Due to the shortage of qualified CAs in the labour market, their salary has increased.

CA Job Roles and Salaries

The job roles of the Chartered Accountant and the organisation that hires them will determine their salary in India. Although Chartered Accountants earn comfortably working for the government, they can usually make more money working for an MNC. 

A Chartered Accountant (CA) is qualified to do a variety of jobs, including those in accounting, taxes, auditing, cost accounting and other areas. Here is an explanation of some of a CA’s functions and duties:

• To control the accounting team’s tasks
• Impose and oversee accounting procedures and systems
• Monthly financial reports should be created
• Create financial reports.
• Identify and eliminate fraud
• Control the entire financial process
• Provide financial guidance
• Provide customers with tax planning advice

An Average Chartered Accountant Salary in India:

The average annual income for Chartered Accountants in India is INR 6.2 lakhs, with salaries in the range of INR 2.0 Lakhs to 14.5 Lakhs. 

Chartered Accountants having experience between 1 to 9 years can earn salaries in India ranging from INR 2 lakhs to 14.5 lakhs, with an average yearly pay of INR 6.2 lakhs. As the experience increases, one can look out for higher packages. 

Factors Affecting CA Salary in India

1. Job roles

Chartered Accountant is increasingly needed for diverse roles across the country, more than just accounting and tax expertise. Many people in the nation with strong educational backgrounds apply for higher positions of the job. The CFO, Account Executive, Finance Controller, and Finance Manager roles all receive competitive pay packages annually. 

Listed below are the salary per year for some job roles are: 

• Banking – INR 7.7 Lakhs 
• Accounting & Auditing – INR 7.3 Lakhs 
• Education & Training – INR 7.0 Lakhs 
• IT Services & Consulting – INR 5.8 Lakhs 
• Financial Services – INR 5.1 Lakhs 

2. Experience

The employing firms place a great deal of weight on a CA’s years of experience. The payment is usually determined by the number of years, the type of job performed during those years, and the companies for which they have worked. In India, the starting salary for a Chartered Accountant is between INR 1.0 lakh and INR 12.0 lakhs, with an average annual compensation of  INR 5.4 lakhs. 

The average of an Entry Level CA Fresher salary is INR 5.7 lakhs per year with fewer than three years of experience. The average income for a Chartered Accountant with 4 to 9 years of experience is INR 5.9 lakhs. In contrast, the average compensation for an experienced Chartered Accountant with 10 to 20 years of experience is INR 7 lakhs.

3. Location

It is a common belief that your pay depends on your work location. Every firm pays its workers a salary based on the pay range in a specific location. Considering these criteria, it is apparent that India’s large, developed cities offer good benefits due to the higher living standards in these areas. India’s top cities for paying Chartered Accountants are Bangalore, Gurgaon, Bombay and Kolkata.

For instance, Mumbai pays INR 6.3 Lakhs per year, Kolkata pays INR 5.3 Lakhs annually, and New Delhi pays INR 4.9 Lakhs per year. 

4. Skills

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If a Chartered Accountant is skilled in specific areas such as auditing, budget management, strategic management, financial analysis, and controlling, they can surely earn a higher Chartered Accountant salary per month.

CA Salary in Other Countries

The salary of a Chartered Accountant can vary widely depending on the country in which they are employed. Here are some approximate salary ranges for CAs in a few different countries:

• United States: As of 2023, the average pay is USD 106,710. However, it generally ranges from USD 94,578 to USD 120,813. 
• Canada: A Chartered Accountant in Canada makes an average annual pay of CAD 76818.
• United Kingdom: The average salary for a CA in the UK is GBP 35821 per year. With the lowest pay of GBP 24000 / year and the highest pay of GBP 52000 / year. 
• Australia: The average salary for a CA in Australia is around AUD 73373. And the pay is usually AUD 52000/ year- AUD 112000 / year. 

It’s critical to remember that these are rough salary estimates and that the real pay for a CA in any country can vary depending on a wide range of factors.

Future Scope of CA in India

As India’s finance market is estimating an annual growth rate of 5.96% for CAGR 2022-2027,  the future of chartered accountancy shows massive potential. The industry is continually changing and adjusting to satisfy the demands of clients and organisations while keeping pace with the new taxation and budgeting laws. The best way to stay on track for organisations is to deploy a skilled Chartered Accountant. 

There are high chances that future Chartered Accountants will resemble business consultants more. They will offer suggestions on tactical financial planning and business expansion. They will also be involved in financial management, taxation and auditing. The Chartered Accountant’s responsibility will be to provide guidance and assistance to businesses of all sizes as the business environment becomes more complicated. 

Over the span of 6 years, India has observed a whopping 15,400% growth in its entrepreneurial endeavours, which has further cemented the demand for professional financial entities like CA to obtain even better opportunities. 

As companies move towards becoming more complex, this growth is bound to fuel in the upcoming year!

How to Prepare for CA Interviews to Land the Best Jobs?

The best job opportunities in the field may be yours if you prepare for a CA interview. All you need to do is, before going to the interview, extensively research the business. Find out about the company’s past, present and core beliefs. You can better prepare if you are aware of the company’s expectations.

Further enhance your preparation for typical interview questions by practising them, such as “Tell me about yourself”, “Why do you want to work for us?” and “What are your limitations and strengths?” To gain confidence, practise your responses with close friends or family.

Also, working on your technical skills, such as auditing, accounting, and financial analysis, is important. Try to understand these abilities and be prepared to describe how you have used them in prior employment situations.

Lastly, be abreast of the most recent trends and advancements in the finance sector. This can assist you in responding to inquiries about modifications to tax laws, regulations and financial reporting standards. 

For your best interview impression, be confident in your abilities and express a willingness to learn and grow within the organisation.

Conclusion 

Chartered Accountants handle all of a company’s financial reports. They analyse these data and total up the business earnings so that everyone involved is updated on precisely how much money is being spent and where. 

Based on Chartered Accountants’ findings, management may decide how to adjust spending to increase productivity and revenue. Due to its high demand, complexity, required skill sets, and reputation, a CA salary is quite high in India. 

If you’re interested in developing your skills before applying for the CA examinations, upGrad’s MBA with Specialisation by Liverpool Business School can be a great option to fuel your skills! By taking this course, you can easily build your finance skills in just 18 months. 

Apply now and secure a high Chartered Accountant salary per month! 

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