can offer—and targeted social media advertising is underway to broaden our reach. We’re also proud to collaborate with organizations like the AICPA’s Center for Audit Quality (CAQ) and its Accounting+ initiative to promote the profession among underrepresented groups. (Learn more at joinaccountingplus.com.) In addition, the Nebraska Society of CPAs and the Nebraska Board of Public Accountancy have formed a joint CPA Licensure Task Force focused on addressing the time and cost of CPA education— more details on that in the following. CHARTING A NEW COURSE FOR CPA LICENSURE Traditionally, the path to becoming a CPA has included earning 150 semester hours with an accounting focus, passing the Uniform CPA Exam, and gaining relevant experience under a licensed CPA. While this framework remains the cornerstone of licensure, recent changes and proposals are introducing greater flexibility to help adapt the pathway to today’s evolving landscape. Changes to the national Uniform CPA Exam occurred in 2024, which now includes completing four sections within a 30-month window. The three core sections are Auditing and Attestation (AUD), Financial Accounting and Reporting (FAR), and Taxation and Regulation (REG), which all candidates must complete. The discipline sections provide an opportunity for candidates to demonstrate a deeper level of knowledge in one pillar of the profession but will not prevent candidates from practicing outside that discipline once licensed. Candidates choose one of the following: Business Analysis and Reporting (BAR), Information Systems and Controls (ISC), or Tax Compliance and Planning (TCP). At the state level, a significant step forward occurred in March 2024 when Governor Jim Pillen signed LB 854 into law, amending the Nebraska Public Accountancy Act. The bill passed with strong support in the Nebraska Legislature on a 44-0-5 vote. Beginning Jan. 1, 2025, Nebraska CPA candidates may now sit for the Uniform CPA Exam after completing 120 semester hours (or 180 quarter hours) of qualifying college credit and earning a bachelor’s degree. In the months leading up to this legislative change, the Society surveyed its members. Not only did members overwhelmingly support allowing candidates to sit for the exam with 120 semester hours and a bachelor’s degree, but many also encouraged the Society to revisit the state’s 150-hour licensing requirement. You asked—and your Society listened! Historically, Nebraska has placed a strong emphasis on educational standards, as outlined in Chapter 9 of the Nebraska Board of Public Accountancy’s regulations. These rules specify the accounting and business coursework required before a candidate may receive a permit to practice. Recent proposed updates—currently under review by the Governor’s Policy Research Office—recommend removing several general education electives, reducing the required accounting and business semester hours for CPA exam eligibility from 30 to 24, and allowing greater flexibility in subject area selection. However, candidates currently need to complete 30 semester hours in accounting, including the required subject areas, to obtain a permit to practice. The State Board’s Education Advisory Committee (EAC)—established under the Nebraska Public Accountancy Act to ensure input from educators and CPAs—has reviewed and recommended approval of these proposed changes. In addition to educational standards, Nebraska has maintained a strong focus on experience requirements. When the Uniform Accountancy Act (UAA) raised the education threshold from 120 to 150 credit hours in the 1990s and adopted a one-year experience model, most states followed suit. Nebraska, however, retained a two-year experience requirement, emphasizing the value of practical experience. Although the State Board has periodically revisited the possibility of aligning with the UAA’s one-year standard, no changes have been adopted to date. In 2010, a task force recommended preserving the two-year requirement for public accounting while extending the private-sector experience requirement to three years. As it stands today, CPA candidates in Nebraska must complete 150 semester hours of education and either two years (4,000 hours) of public accounting experience or three years (6,000 hours) of private-sector or academia experience to be licensed. These requirements are currently under review as part of the work of the Nebraska CPA Licensure Task Force. FUTURE-READY CPA PATHWAYS In response to growing concerns over the time and cost associated with the traditional 150-hour education requirement, the AICPA and NASBA released an exposure draft to the Uniform Accountancy Act (UAA) earlier this year proposing three alternative pathways to CPA licensure: A master’s degree with an accounting concentration, one year of experience, and passage of the CPA Exam; A bachelor’s degree with an accounting concentration plus an additional 30 semester credit hours, one year of experience, and passage of the CPA Exam; or A bachelor’s degree with an accounting concentration, two years of experience, and passage of the CPA Exam. Importantly, the traditional 150-hour pathway would remain available. All proposed alternative pathways still require the core accounting and business concentrations needed in the 150-hour pathway. The AICPA and NASBA believe these proposed revisions will help strengthen the profession by preserving high standards while expanding access to a broader, more diverse pool of future CPAs. The changes also include a shift from a state-based mobility model to an individual-based practice mobility model, enabling CPAs to operate across state lines with a single license. Additionally, “safe harbor” provisions would protect practice rights for CPAs licensed under different requirements prior to Dec. 31, 2024. CONTINUED FROM PAGE 7 8 Nebraska CPA
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