How to Become a Certified Bookkeeper

A certified bookkeeper is someone who has demonstrated they have the knowledge, skills and work experience to perform the duties required of a bookkeeper. The best way to become a certified bookkeeper is via one of the two top professional bookkeeper organizations: AIPB and NACPB. You can also become certified through local or online college courses.

Both the AIPB and the NACPB are nationally recognized programs that give you credentials to display on your resume. Passing the AIPB program will make you a certified bookkeeper (CB), while passing the NACPB program gives you the recognition of being a certified professional bookkeeper (CPB). Both give you a leg up on others when applying for a job or trying to get freelance clients, which is why we recommend them over other courses and certifications.

Top Four Bookkeeper Certification Programs in 2018

The four ways you can become a certified bookkeeper are:

1. American Institute of Professional Bookkeepers (AIPB)

The AIPB’s primary goal has been to recognize bookkeeping as a profession and bookkeepers as professionals. There are no educational requirements to become certified by the AIPB. The total cost of certification is $479 for AIPB members and $574 for nonmembers, which includes the application fee, all the workbooks, and the exam fees.

AIFB certification consists of five simple steps:

1. Submit an application
2. Meet the work experience requirement
3. Pass the 4-part certification exam
4. Adhere to the code of ethics
5. Complete an average of 20 hours of CPE each year

The certification exam consists of four parts. Parts 1 and 2 must be taken at a testing center and parts 3 and 4 are “take home” exams that you can complete at your own pace and mail to the AIPB for grading. You must earn a grade of 75% for parts 1 and 2 and a 70% on parts 3 and 4 in order to achieve certification.

Once you have successfully met all certification requirements, you will receive a certificate of completion and you also can put the letters “CB” after your name, which stand for Certified Bookkeeper. You can then use this in your email signature, on your business cards, social media sites, and other marketing materials. This will let potential clients know that you are qualified, which will generate new leads and allow you to negotiate higher billing rates.

As discussed, this certification is ideal if you don’t have any formal education in bookkeeping, but have perhaps been working in the field and you want to deepen your knowledge so that you can move up the career ladder. This is also a great path to take if you aspire to start a bookkeeping business and you want to attract more clients. We spoke with Jody Linick of FitBooks Pro, who decided to get certified so that she could attract more clients to her bookkeeping practice:

“I got certified back in 2003. I did not have any formal bookkeeping or accounting education. However, I was working as a bookkeeper. I got laid off and decided to start my own practice. First, I became a certified QuickBooks ProAdvisor and then later on decided to do the AIPB certification. Studying for the exam gave me a better understanding of how debits and credits work. You gain a better understanding of what accounting software like QuickBooks is doing behind the scenes. This is very important when you need to help clients troubleshoot issues that may arise when using accounting software. Getting AIPB certified was definitely worth it!”

– Jody Linick, CB, Founder – FitBooks Pro

Requirements to Become AIPB Certified

There are a total of five steps that you must successfully complete in order to become AIPB certified. You must complete an application, meet the work experience requirements, pass the 4-part certification exam, agree to and sign the code of ethics, and maintain the required continuing education units.

Submit Application

The first step to become AIPB-certified is to complete the two-page application. You will provide basic information such as your name, address, date of birth and information about your current employer. If you are a freelancer, then you will indicate that on the application. You must also indicate whether or not you meet the work experience requirements (which we will discuss next).

Keep in mind that you do not have to complete the work experience requirements prior to submitting the application. Additionally, a registration fee of $25 (AIPB members) or $60 (nonmembers of AIPB) must be included when you mail the application.

Submit Statement of Work Experience

The second step in the AIPB certification process is to submit a statement of your experience working as a bookkeeper. A minimum of two years’ work experience is required for those who are full-time bookkeepers. However, if you are a freelancer or you work part-time, you must complete a minimum of 3,000 hours of bookkeeping work.

As we mentioned, the work experience requirement does not have to be met when you submit the application. As a matter of fact, you have three years from the date that you pass the last part of the exam to complete the work experience requirement. If you have met some but not all of the work experience required, you should submit the hours that you have achieved thus far along with your application. Later on, when you complete the remaining hours, you can submit those hours at that time.

For employed bookkeepers, you will need to obtain the signature of the employer(s) those hours were completed under. For freelancers, you must obtain the signature of each client for which you are submitting hours.

Pass Certification Exam

The third step is the big one: you must successfully pass the certification exam. The certified bookkeeper exam is a four-part exam. Two parts of the exam must be taken at a Prometric Test Center and the other two parts of the exam are included in the back of the workbooks that you will need to purchase to prepare for the exams. Each workbook can be purchased separately or you can purchase the bundle for $254 for AIPB members and $314 for nonmembers. All four parts of the exam are multiple choice.

Below is a breakdown of the topic, length of time, cost and location for the AIPB bookkeeper certification exam:

AIPB Certification Exam Details

Please note that you must contact Prometric to schedule parts 1 and 2. Do not try and schedule a test until you have been notified by AIPB that your application has been processed and you have received your testing identification number. There are over 300 Prometric test centers nationwide, find one in your local area.

Upon completion of parts 1 and 2 at the Prometric Test Center, you will immediately receive your test scores. For parts 3 and 4, you can fax or mail your exam to AIPB for grading. If you do not pass any part of the exam, you can take retake parts 1 and 2 for $60 each and you can retake parts 3 and 4 for $25 each.

Sign Code of Ethics

The fourth step in the AIPB certification process is to agree to adhere to the code of ethics. This is a two-page document that outlines the obligations internal bookkeepers have to their employers, clients, and society. It also includes the obligations a bookkeeper has to the bookkeeping and accounting professions.

Maintain Certification

The fifth and final step is key to maintaining your certification. Similar to most certification programs, certified bookkeepers must acquire 60 continuing professional education credits over a three-year period from the anniversary of the last certification test passed (or from the date you satisfy the experience requirement if this requirement is met after you pass the exam) and every three years thereafter.

You can earn CPE credits in a number of ways. There are both online and on-the-ground classes that qualify for CPE credit. One of the benefits of being an AIPB member is they provide a number of CPE training courses to their members. If you fail to meet the continuing professional education requirements, it will result in loss of the bookkeeper certification.

AIPB Certification Exam Prep Options

Whether you are fairly new to bookkeeping or you’re a seasoned bookkeeper, to set yourself up for success we recommend that you take the time to study and prepare for the exam. Depending on your learning style, there are a number of options available to you.

Below, we have provided you with three options that we thought were pretty good:

Self-paced

The AIPB has created six workbooks, one for each topic covered on the exam. Each workbook includes two quizzes at the end of each section to ensure you master the concepts introduced. A final exam is also included at the end of each workbook, which you should treat as a “practice” exam.

The total cost including the test fee for parts 1 and 2 comes to $479 for AIPB members vs. $579 for nonmembers. This is the most economical option to study for the exam. Below is a summary of the topic and cost of the workbooks, which can be purchased directly from the AIPB:

Pricing Table of AIPB Workbooks

Self-paced & Instructor Led

Ed2go has a hybrid program that includes self-paced work with access to an instructor. This program includes the six workbooks that we discussed in the previous section as well as the cost of sitting for parts 1 and 2 of the exam. The fee for this prep course is $1,995.

The format of the program allows students to complete the work at their own pace. All assignments must be completed within six months. The benefit of this course is if you have questions or need help, you have access to an instructor. We spoke with one of the instructors who teaches this course, Wade Lindenberger, and this is what he shared with us:

“In addition to the AIPB workbooks, this course includes additional quizzes and exams to help students grasp the concepts taught. In addition, students can contact the instructor via email to ask questions and to get clarification on difficult topics. If necessary, we will call students to help them work through any issues. Students can expect to invest about 120-140 hours of study time. In general, most students complete the course within four to five months. I also recommend that students take the exams as they complete each section of the course, while the information is fresh.”

– Wade Lindenberger, Instructor, ed2go

Live in a Classroom

UCSD Extension offers a prep course that is taught by a live instructor. This course prepares you to take the AIPB certification exam. It uses the six workbooks that we have discussed and it may meet once or twice per week, depending on the course offering. It is taught in San Diego at the UCSD campus and, similar to Ed2go, the cost is $1,995 and includes all six workbooks and the test fees for parts 1 and 2 of the exam.

2. National Association of Certified Public Bookkeepers (NACPB)

The NACPB has been around for several years. Its primary goal is to help ensure that only qualified bookkeepers provide bookkeeping services. They accomplish this mission by certifying, training, and licensing bookkeeping students, employees and professionals in bookkeeping, accounting, payroll, QuickBooks, tax and Excel.

The NACPB offers both a bookkeeper certification and a bookkeeper license program. During our research, we found that the bookkeeper license program is more comparable to the bookkeeper certification program offered by the AIPB. For this reason, we decided to provide you with the requirements for the bookkeeper license program that is offered by the NACPB.

The NACPB offers two paths to obtain a bookkeeper license. The Education path requires you to have a bookkeeper certificate, an associate’s or bachelor’s degree in accounting. By contrast, the Work Experience path does not require you to have a formal education, but it does require at least two years (or 4,000 hours) of work experience as a bookkeeper or accountant.

The four-part certification exam is 100% computerized and can be taken at home. You must score a 75% or higher on each part to obtain your license. The total cost of all four parts of the exam is $400 for NACPB members and $600 for nonmembers. There are several free study tools available to you if you decide to become a member. In addition, they offer an exam prep course for $1,596 for NACPB members and $1,996 for nonmembers.

After successfully passing the exam and meeting all of the requirements, you will receive a certificate of completion. In addition, you will also be able to put the letters “CPB” behind your name, which stand for Certified Public Bookkeeper. You can include this in your email signatures, on business cards, social media sites and all of your marketing materials to promote your achievement.

The NACPB is perfect for someone who has some kind of formal education such as an associate’s or bachelor’s degree in accounting. It also works best for someone who has a minimum of two years (4,000 hours) experience working as a bookkeeper.

Requirements to Become NACPB-Certified

To obtain certification through NACPB, you can choose one of two paths: license by education or license by work experience. The details for each path are listed below:

License by Education

If you already have a bookkeeper’s certificate or an associate’s or bachelor’s degree in accounting, then you qualify to apply for your license through the education path; this simply means that the knowledge and skill that you have already achieved is enough for you to apply for a license without any prior experience working as a bookkeeper.

Here are the steps you need to take to complete the license by education path:

• Pass the exam
• Agree to abide by the Code of Professional Conduct
• Obtain 24 hours of Continuing Professional Education (CPE) each year
• Submit the CPB application for licensure

License by Work Experience

If you have more work experience than you do education as a bookkeeper or accountant, then you should apply for your license through the work experience path. This means that you must have at least two years (4,000 hours) of experience working as a bookkeeper or accountant.

Complete the following steps to complete the license by work experience path:

• Pass the exam
• Agree to abide by the Code of Professional Conduct
• Obtain 24 hours of Continuing Professional Education (CPE) each year
• Submit the CPB application for licensure

You can take online and in-person courses to achieve the required CPE credits each year. The NACPB offers these classes to their members. Once you choose a path, the steps to apply for and obtain licensure are exactly the same as the AIPB. Below are the five steps you must complete to obtain the Certified Public Bookkeeper license:

Submit Application

The application requires you to provide your contact information, such as mailing address, email address and phone number. It also requires that you provide a list of clients and/or employers that you have worked for either as an employee or a contractor. You will provide the client/employer’s name, address and the total hours worked.

Unlike the AIPB certification, you cannot submit your application for CPB licensure until you have completed all other requirements (i.e., passed the exam, completed the education or experience requirements and agreed to the CPB code of professional conduct).

Provide Statement of Work Experience

Two years (4,000 hours) of bookkeeping or accounting experience is required by certification candidates applying for the work experience path.

As proof of your work experience, each client/employer that you included in your application will need to complete a one-page form. On this form, there are a couple of questions that can be answered with a “yes” or “no”; then it requires the name of the employer/client, address, phone number, dates you were employed from, your position, total number of hours worked and the client/employer’s signature. There is also space for additional comments, if needed.

Provide Statement of Education

Copies of certificates from other organizations must be submitted. In addition, you must submit an official transcript(s) verifying completion of the educational requirements.

Pass Certification Exam

Similar to the AIPB exam, there are four parts of the bookkeeper certification exam that the NACPB gives. Below is a breakdown of the topic, length of time, cost and location for each section of the certification exam:

NACPB Bookkeepers License Exam Details

All four parts of the exam are open book. However, you must schedule a day and time to take the exam by going to ATU. Once you have done so, you will receive the exam via email 24 hours before your scheduled exam time. You will have two hours to complete the exam.

If you don’t pass one or more parts of the exam, you can retake any part for $50 (members) or $75 (nonmembers) for each part.

Adhere to Code of Ethics

You must sign and agree to the code of professional conduct of the National Association of Certified Accounting Paraprofessionals. It includes the bookkeeper’s responsibility to clients, employers, the public and fellow bookkeepers and accounting professionals.

Meet Continuing Education Requirements

To maintain certification, you must complete 24 hours of continuing professional education each year. If this requirement is not met, you will lose your certification. As a member of the NACPB, you get access to free educational courses that you can apply towards this requirement. You also get discounts on courses that are offered throughout the year.

NACPB Certification Exam Prep Options

NACPB offers a variety of ways to help you prepare for the certification exam. Below are four options that you can choose from:

Practice Exam

If you want to see whether or not you can pass the exam based on your work experience and knowledge, take the free practice test. If you pass, then you are ready to take the certification exam! If not, at least you will have an idea of the specific areas that you need to focus on for your studies.

On Demand Videos

If you are a member of NACPB, your membership includes access to on demand videos for each of the four parts of the exam: Accounting Principles, Accounting Fundamentals, Payroll Fundamentals and QuickBooks Fundamentals. If you’ve taken the practice exam and narrowed down the areas that you need to focus on, I recommend you pay the membership fee of $100 so that you can access these free videos right way.

Certification Exam Prep Program

There is one prep course for each of the four parts of the certification exam. Each course includes a pre-assessment test, on demand video instruction, a textbook, workbook, and a variety of other study tools. In addition, you have access to an instructor who can answer all of your questions.

The total cost of the course is $1,596 for members and $1,996 for nonmembers. Below is a summary of the pricing for each part of the exam.

NACPB Exam Prep Course Pricing

3. Online & Traditional College Courses

During our research, we found a number of additional bookkeeper courses and certification programs that exist. We selected two of the programs that we thought were among the best: UCLA Extension’s Bookkeeping Specialization program and U.S. Career Institutes’ Bookkeeping Specialist program.

Unlike the AIPB and NACPB certifications, you do not earn any kind of letters to put behind your name (CB or CPB) when you complete these courses. However, you will receive a certificate from an accredited institution that shows you have the knowledge and skills to perform the duties required of a bookkeeper.

Bookkeeping Specialization, UCLA Extension

The Bookkeeping Specialization program is offered by UCLA Extension. It is designed for experienced bookkeepers as well as office managers or those who are looking to make the transition to a career in bookkeeping or accounting. While this course is offered by UCLA, which is located in Westwood, CA, classes are offered online and on-the-ground.

I’m an Adjunct Instructor at UCLA and I teach a couple of the classes offered in this program. The total cost of the program is $3,635. As long as you maintain a GPA of 2.5 or higher in each course, you will receive a certificate upon completion of all courses in the program.

Below is a list of the courses that are included in this bookkeeper specialization program offered at UCLA Extension:

• Bookkeeping and Accounting Essentials I
• Bookkeeping and Accounting Essentials II
• Payroll Tax and Accounting
• Accounting using QuickBooks or Cloud-based QuickBooks

Bookkeeping Specialist, U.S. Career Institute

The U.S. Career Institute is an online educational institute that provides affordable, real-world training designed specifically for the distance learner. They offer a Bookkeeping Specialist certificate that includes, but is not limited to, the following:

• Accounts Receivable
• Accounts Payable
• Computerized Bookkeeping
• Financial Statements
• Closing the Books

The total cost of the program is $589 and you can complete it at your own pace. If you’ve got questions, you can email or call your instructor, who can help you.

4. Accounting Software Certification Programs

After you have successfully completed a bookkeeper certification program, the next step is to get certified in an accounting software. If you are a CPA, there really is no need to complete a bookkeeper certification. However, it is a must that you get certified in accounting software so that you are able to serve your small business clients. By getting certified, you will have a better understanding of how to use the software so that you can support your small business clients.

Below we’ve included a few details on the certification programs available for four of the top accounting software programs used by millions of small businesses all over the world.

QuickBooks ProAdvisor

QuickBooks is the #1 accounting software used by small businesses. I’ve been a Certified QuickBooks ProAdvisor for 10 years and if you don’t get any other software certification, you must do this one. To achieve certification, you must successfully pass a 55-question exam. The exam is broken up into seven sections, and you must achieve a score of 80% or higher to advance to the next section.

There are a lot of benefits that come with this program; such as a ProAdvisor certification badge that you can include on all marketing materials (e.g., your business cards and website). In addition, you will be listed on the Find-a-ProAdvisor website so that small businesses that need to hire a QuickBooks Pro can find you. To learn more, check out the program details.

Be sure to check out Fit Small Business’ free QuickBooks Course to get up to speed quickly on how to use QuickBooks.

Xero Advisor

Xero is a great alternative to QuickBooks. It is a cloud-based accounting software that has been giving QuickBooks Online a run for its money for the last few years. To achieve certification, you must complete a four-hour certification course.

As a certified Xero Advisor, you will have an account manager assigned to you to answer questions, you will receive free software; and you will be listed in the Xero advisor directory so that potential new clients can find you.

Check out Fit Small Business’s free Xero Course to get up to speed quickly on how to use Xero.

Zoho Books Advisor

Zoho Books is one of a suite of terrific apps offered by Zoho. To become a certified Zoho Pro, you just have to complete a one-hour webinar. As a Zoho Books Advisor, you will receive free software, tech support when you need it, and a listing in their Zoho Advisor directory so that small businesses that need help can find you!

New to Zoho Books? Check out this video tutorial on How to Do Bank Reconciliations to see how easy it is to reconcile a bank account in Zoho Books!

When to Consider the Certified Public Accountant (CPA) License

If you have a bachelor’s degree in accounting, I strongly recommend that you take the CPA exam. While you need to check with your state for the minimum education requirements, you will more than likely have the majority (if not all) of the education you need to sit for the CPA exam.

As a CPA, I must admit that the CPA is a very difficult exam—some even describe it as more difficult than the bar! However, the ability to be able to put those three letters behind my name has allowed me to increase my earning potential well beyond what I would be earning with just the bachelor’s under my belt—not to mention the career opportunities I’ve had!

If you are considering taking the CPA exam, check out this great video that Sharon Onuma, a recent graduate, shared on How to Pass the CPA Exam. Many of the tips that she shares in this video are what I did to successfully pass the exam—as she describes it—back in the “pen and paper days.” Like most exams, the CPA is now 100% computerized.

Bottom Line

We’ve done the legwork to share some great bookkeeper certification programs with you and now it’s time for you to pick one. If you have either an associate’s or bachelor’s degree in accounting OR you have a minimum of two years (4,000 hours) experience working as a bookkeeper, then go with the NACPB certification.

However, if you don’t have any kind of education or work experience in bookkeeping, then you should opt for the AIPB certification. Since there is no minimum education required and you have up to three years (after you have passed the exam) to meet the work experience requirement, you can get the work experience you need while concurrently studying for the exam.