International accounting is a specialty within the entire discipline that is focused on using specific accounting standards that are as relevant in the US as they are when you are balancing the books of a company overseas. If you are interested in working as an accounting professional and you are trying to choose a specialty or subset, it is important to learn how one differs from the other. In today’s modern business world, any financial accountant who works in the global business environment of the 21st century will fit into the broad definition of international accountant. Read on, and find out more about what global accounting is and why it is a popular choice.
International Accountants Use International Standards
Domestic accountants in the United States still use what some believe are outdated techniques and standards referred to as Generally Accepted Accounting Principles. The U.S. GAAP standards are used by the Securities Exchange Commission, but eventually there will be a shift to the International Financial Reporting Standards so that all companies can follow the same code of rules and reporting standards when making financial information public, according to Investopedia.
A New Shift is Taking Place in the Discipline
Since the shift has not yet taken place, accountants who are well-versed in the International Financial Reporting Standards rather than the GAAP standards are international specialists. Since the business environment is becoming more and more globalized, the need to address the issues that are presented by the world’s capital markets is greater than ever. International specialists know the systems and the universal accounting language that was established by the IFRS in 2001.
Since so many companies are doing business internationally and have multi-national offices, there is a need for international specialists who can translate statements and make general purpose financial statements that are transparent for stakeholders and for creditors as well. The best specialists will be experienced in both managerial accounting and financial accounting but will also know taxation and financial accounting.
How to Get a Job in Accounting as an International Specialist
Now that you can see that all financial accountants and managerial accountants who are working in a global type of setting are going to fit into the international classification, it is time to learn how you can land yourself a specialist role. The first step will be to earn yourself a bachelor’s degree majoring in accounting or another related area like finance. It can be especially beneficial to minor in a foreign language so that you are a greater asset.
After you earn your degree, you will need to put it to use for at least a few years. It can also be extremely beneficial to attend a graduate program so that you can sit for the Uniform CPA exam. Having the CPA license is what will distinguish you as a professional by demonstrating that you meet the highest standard of competence in accounting, according to the National Association of State Boards of Accountancy.
Related Resource: Financial Planner
The demand for international accountants just continues to get larger and larger. If you want to play a major role in the financial success of corporations that do business overseas, this could be the best path for you to take. Attend school and take globalized coursework so that you can learn international accounting systems and you will be equipped with the knowledge that you need to compete for some high-paying accounting roles.