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What is the Difference between an Accountant and a Chartered Accountant?

by G. Wood Accountants Stockport

If you are involved in running a business, looking after the financial side of things can be one of the most testing and confusing aspects of your day to day business activities. However, keeping accurate records and adhering to legal requirements of account keeping is essential to the success of your business. Working with an accountant is, therefore, a wise decision to make to ensure the financial side of your business is well looked after. There are many accountants in Stockport area who have experience in all the nuances of the laws that relate to financial and can, therefore, help answer some of the more difficult questions you may have and so can offer more clarity for your financial transactions. When it comes to accountants, though, it is important to remember that there are two different types, and these are accountants and chartered accountants.

Accountant

An accountant's main responsibility is to provide an accurate record of all the financial workings of an individual or organisation. Therefore, they need to be aware of all the compliance guidelines that need to be followed when these transactions take place. Accountants can choose where and how they work - they may work on an ad hoc basis for individuals or in-house for a company full time. Most people recognise accountants as people that help them compile and complete their personal tax returns every year, but accountants can also specialise in more unusual fields such as estate planning, investment options or retirement packages.

Chartered Accountant

Chartered accountants differ from regular accountants in that they focus on providing accurate records of all financial transactions of an individual or business, rather than just focussing on the tax implications. Chartered accountants generally have to go through more training than an accountant, usually a postgraduate programme followed by a period of being mentored for no less than three years. Therefore, Chartered Accountants are usually found working in corporate environments for larger companies in the industrial or commercial areas.

In the UK, those accountants who describe themselves as Chartered Accountants must be a member of one of the following associations:

·         ICAEW (Institute of Chartered Accountants in England and Wales)

·         ICAS (Institute of Chartered Accountants in Scotland)

·         ACCA (Association of Chartered Certified Accountants)

These three institutions only admit members who have passed the required exams and followed the mentoring programme as outlined previously. Once they are admitted to one of these associations, members are expected to adhere to their ethical guidelines and continue to focus on their professional development.

Another difference between accountants and chartered accountants is that accountants tend to have their own practice, chartered accountants Stockport area tend to work on a for-hire basis and can provide fee-based services to organisations in the public sector.  Due to the fact that their expertise is mainly in the business arena, their services tend to be in demand, and they can, therefore, demand higher salaries.


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About G. Wood Junior   Accountants Stockport

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Joined APSense since, November 5th, 2015, From Stockport, United Kingdom.

Created on Dec 31st 1969 18:00. Viewed 0 times.

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