What is harder, CPA or actuary exam?

Yes, actuarial exams are widely considered much harder and more time-consuming than the CPA (Certified Public Accountant) exams.

Number of Exams and Time

• Actuarial Exams: Require passing 7 to 10 rigorous exams. The entire process takes about 5 to 10 years to complete while working full-time.
• CPA Exam: Requires passing 4 sections. Most candidates finish the entire process within 12 to 18 months.

Content and Difficulty

• Actuarial Exams: Focus heavily on advanced mathematics, probability, statistics, calculus, and financial economics. They require hundreds of study hours per exam, and pass rates for individual tests often hover around 40% to 50%.
• CPA Exam: Focuses on accounting rules, auditing, taxation, and business concepts. While difficult and detail-oriented, the material relies more on applied standards and regulations than complex mathematical proof or modeling.

Structure and Flexibility

• Actuarial Exams: Usually offered only a few times a year. Failing an exam means waiting months to try again, extending the timeline.
• CPA Exam: Offers continuous testing windows in many jurisdictions, and individual failed sections can be retaken quickly within your testing window.

Learn more about career paths and requirements through resources like the Actuary vs Accountant Guide.

Most actuaries do not make $500,000, but a small percentage of top earners in senior executive or specialized consulting roles can reach or exceed that amount.

Typical Actuary Salaries

• National Median: The median annual wage for actuaries in the U.S. is around $120,000 to $126,000.
• Entry-Level: New graduates with zero to one year of experience generally start earning between $67,000 and $80,000.
• Mid-Level: Actuaries with 5 to 10 years of experience and professional credentials usually make $150,000 to $200,000.
• Top 10%: The highest-earning 10% of actuaries make upwards of $206,000 in standard career tracks.

How to Reach $500,000

Reaching a $500,000 salary (including total compensation like bonuses, equity, or profit-sharing) is uncommon and requires decades of experience, leadership, or specialized paths:

• Executive Leadership: Roles like Chief Financial Officer (CFO), Chief Executive Officer (CEO), or Chief Risk Officer (CRO) at major insurance or financial firms.
• Consulting & Reinsurance: Senior partners or high-level consulting actuaries who manage large client portfolios or business ownership.
• Exams and Credentials: Passing a rigorous series of professional exams through organizations like the Society of Actuaries or the Casualty Actuarial Society is required to climb the pay scale.

On average, actuaries get paid more than Certified Public Accountants (CPAs).

Salary Comparison

• Actuary: The national median annual wage is about $125,770. Mid-career and fully credentialed actuaries often earn between $120,000 and $160,000+, with top earners making over $206,000.
• CPA: The general median salary for accountants and auditors is around $81,680, while certified CPAs typically earn higher, with mid-career medians ranging from $94,000 to $130,000 depending on experience and location.

Key Differences

• Exams: Actuarial credentials require passing 7 to 10 grueling exams over 5 to 10 years. The CPA exam consists of 4 parts usually finished in 1 to 2 years.
• Earning Ceiling: While the average actuary outearns the average CPA, CPAs who reach executive levels—such as corporate CFOs or Big 4 accounting firm partners—have a higher top-tier earning ceiling.

Around 20% of candidates pass all four sections of the CPA exam on their first attempt, according to estimates by major exam review providers like UWorld and Surgent.

Key Details on CPA Pass Rates

• Official Data: The AICPA and NASBA do not publish an official, combined statistic for candidates who pass all four parts consecutively on the first try.
• Individual Sections: About 1 in 2 test-takers (45% to 55%) pass any given individual section on a single attempt. First-time test-takers generally score higher on individual sections than repeat test-takers.
• What "First Try" Means: The 20% estimate applies to candidates who pass each individual section on their initial try for that specific section, rather than sitting for all four sections at the exact same time.

Yes, a Certified Public Accountant (CPA) credential remains well worth it in 2026 for traditional career paths in public accounting, audit, tax, and corporate financial leadership.

Career Value and Financial Returns

• Earning Potential: CPAs generally earn a 10% to 20% salary premium over non-certified accountants, with average US salaries scaling between $80,000 and $100,000+ depending on region and experience.
• Job Security: The unemployment rate for accountants stays low at roughly 1%, and the Bureau of Labor Statistics projects a solid 5% job growth through 2034.
• AI and Automation Protection: While AI handles repetitive compliance tasks, it cannot replicate human judgment, strategic advisory, or the legally mandated signing authority required for audits and official tax filings.

Costs and Commitment

• Financial Investment: Total all-in costs for review courses, exams, and application fees typically range from $2,000 to $5,500.
• Time Commitment: Most candidates spend 375 to 500 hours studying across the updated Core + Discipline exam format (FAR, AUD, REG, plus a chosen discipline like BAR, ISC, or TCP), usually finishing within 12 to 18 months.

Is it right for you?

• Worth it if: You want to advance to manager or partner in public accounting, or aim for corporate roles like Controller or Chief Financial Officer (CFO).
• Less necessary if: Your goals focus on startups, general bookkeeping, data analytics, or fintech, where hands-on software skills and experience outweigh licensure. Detailed ROI breakdowns are available via 300hours and Miami Herald.