HOW TO BECOME AN AUDITOR: What You Should Know

how to become an auditor

Since the Advent of accounting, auditing has long been in existence. Auditing can be traced back to the 18th century when large-scale production became a reality as a result of the Industrial Revolution. Previously, the objective of auditing was to acquire information about a company’s financial system and records. But we aren’t here to talk about auditing, we are here to show you how can become an auditor with little or no experience, degree, or no degree.

Who Is An Auditor?

Auditors are specialists who examine company and organization accounts to assure the accuracy and legality of the financial record. They typically conduct extensive research. 

An auditor is a financial professional who examines a company’s financial records to ensure that they are accurate and transparent. Auditing is the process of carrying out these responsibilities.

How to Become an Auditor with Little or No Experience

Here are some ideas on how you can become an auditor with little or no experience:

#1. Speak with your current company’s auditors.

If you are currently employed by a company that employs auditors, ask the people you know and contact on a daily basis if they can put you in touch with the auditors.

A little-known fact is that most individuals enjoy being asked for their opinion and assisting others. Tell the auditors about your goals and ask if they see any prospects for you in the near future.

In either case, inquire about what you can do to improve your prospects of becoming an auditor at your organization or another.

Companies frequently hire internal employees rather than external employees because they are less risky. When organizations hire inexperienced workers, they are even more likely to hire from the inside.

#2. Request relevant opportunities

Again, search for projects that will provide you with the necessary experience where you already work. Ask your manager and director if any planned projects include IT, audit, security, or compliance components. Make it clear that you’d like to work on projects of this nature.

#3. Look for volunteer opportunities.

If you don’t have a job or if your present position doesn’t provide enough or any opportunities, check for non-profits, churches, colleges, institutions, or small enterprises that may require IT, audit, security, or compliance assistance.

Speak with everyone you know, including the people you see at the grocery store and the dentist. For more information, contact your local colleges and institutions.

You are not seeking the ideal experience that would land you your dream audit position; rather, you are looking for any experience that may help you advance.

#4. Pass the CISA examination

Study for and pass the CISA as soon as you know you want to work in auditing. And, while you’re studying, you can look for opportunities to obtain whatever experience you can.

You won’t be able to obtain the certification until you have all of the required experience, but passing the exam shows hiring managers that you are serious and ambitious.

As you prepare for this exam, you will gain a better understanding of where your knowledge is lacking and where you need to spend the most time learning.

#5. Take advantage of free online classes and studying.

The Internet is brimming with free resources, such as this blog. Examine the websites of ISACA and IIA in particular, as both provide free material about auditing in general. 

#6. Apply for a position as an Auditor at a significant corporation.

Because a lack of good Auditors appears to be the new normal, apply regardless if you have any expertise in audit, compliance, privacy, security, technical writing, or project management.

Emphasize how the experience you DO HAVE can assist you in learning to audit swiftly. Even if you don’t meet the majority of the qualifications, apply nevertheless because you might be the most qualified applicant.

Can You Become an Auditor Without a Degree?

You can become an auditor without a degree in accounting. However, this is the preferred degree for auditors, and it will be easier to become an auditor if you have a degree in accounting. But then, you can become an auditor with any business or finance degree. Another path to becoming an auditor is to get the Institute of Internal Auditors’ Certified Internal Auditor (CIA) accreditation (IIA).

You can apply for a CIA with an associate’s degree in any discipline and a character reference from someone who holds one of the IIA’s certifications. Once accepted as a CIA candidate by the IIA, you must take the CIA tests, which are divided into three parts that include internal auditing basics and practice, as well as the business knowledge required for internal auditing. Before the IIA will grant you the CIA, you must also have at least 60 months of relevant job experience. The IIA will demand 24 months of work experience if you have a bachelor’s degree. The work requirement is decreased to 12 months with a master’s degree. If you achieve all of these qualifications, the IIA will designate you as a CIA, a credential that is recognized around the world as indicating those who are authorized to operate as auditors.

Having established these, let’s now look into the types of auditors we have, as well as the skills required to become one.

Types of Auditors 

Auditors are classified into two types: Internal auditors and external auditors. However, forensic auditing is a distinct specialty in its own right.

Internal auditors are experts who audit the accounts or financial engagements of the companies for which they operate. The Institute of Internal Auditors (IIA) guides them and expects them to be objective and fair. Internal auditors typically report to the highest level of authority in a company.

External auditors are auditors who work for auditing firms. They are relied upon on a regular basis to analyze the financial records of other organizations. They also serve to justify or condemn organizations’ financial policies. In addition, they frequently offer professional financial advice.

Forensic Auditors: These professionals specialize in investigating suspected financial activities within a company. They also conduct investigations into situations involving embezzlement, banking crimes, tax evasion, and money laundering, among other things. Forensic auditors typically work with lawyers and law enforcement.

Responsibilities of an Auditor

Auditors work in a company’s accounting department. There, they review the money that comes in and out of the organization to ensure that it is correctly recorded and handled. An Auditor’s typical responsibilities include:

  • Compiling, cross-checking, and interpreting data on a spreadsheet.
  • Examining corporate accounts as well as financial control systems.
  • Assessing risks of financial hazards within organizations. 
  • Verifying the accuracy of financial reports and records.
  • Ensuring that assets are secure at all times.
  • Recommending adjustments that the organization should make. As a result, they identify and execute adjustments where routine procedures are failing.
  • Creating reports, financial statements, and commentary for the company’s stakeholders.
  • Collaborating with upper-level executives and offering results and recommendations to them.
  • Ensuring that policies, procedures, rules, and laws are followed and adhered to.
  • Reviewing pay.

Skills Required to Become  an Auditor

#1. Communication skills

 As an Auditor, this is a critical talent to have because you cannot be effective if you do not have effective communication skills. As an Auditor, you must be forceful while also having social skills. You may be very good at compiling reports, but if you are unable to properly communicate when it is time to present your work, your efforts may be in vain.

#2. Decision-making abilities

You must be able to make autonomous and steadfast decisions as an Auditor. Your decisions must be free of personal bias and based on a thorough examination of the company’s operations.

#3. Attention to Details

 As an auditor, your responsibility is to investigate and ensure that everything is in order. This, thus, necessitates close attention to detail. You must pay attention to the smallest things so that you do not overlook critical information that could damage the firm.

Other essential skills include:

  • Confidence
  • Excellent analytic math skills
  • Excellent financial knowledge and interest
  • Capability to work under duress
  • Teamwork abilities
  • Excellent IT skills

Auditors’ Education and Training

Auditors typically have degrees in Accounting, Insurance, or Bookkeeping. However, in order to become a qualified auditor, you must pass specific professional exams. You must also be a chartered accountant. If you require extra qualifications, you can pursue a Master’s degree in a suitable field.

However, you should be aware that a few universities already offer Auditing courses. Others have Auditing as one of their expertise as well. So, if a career in auditing is right for you, you should start thinking about enrolling in the colleges listed below.

Brunel University in the United Kingdom provides a BSc in Accounting. The curriculum is designed to provide you with a thorough understanding of the conceptual, professional, and practical components of accounting at all levels, as well as to develop your ability to identify and solve difficult accounting problems in a variety of business contexts. You will also have a solid understanding of the financial drivers that underpin corporate leadership, strategy, planning, governance, and ethics. The study period is three years full-time or four years full-time with placement. International students pay £15,860 in tuition.

In Ireland, Dublin Business School provides a Bachelor of Business and Accounting degree. The degree gives a solid foundation in the mathematical, computational, and analytical skills needed in business and accounting. Many accounting and business fundamentals are covered in the degree, including financial and cost accounting, management accounting, auditing, and taxation. The program lasts three years full-time. International students pay €9,850 in tuition.

A Bachelor of Applied Management in Accounting degree is available from the University of New Brunswick. To be admitted to this program, you must have completed a two-year diploma from a recognized college with a focus on accounting and a minimum overall average of 70%. International students pay $8,442 in tuition.

Auditors’ Job Prospects and Earnings

Accountants’ and auditors’ employment is predicted to grow by 6% between 2018 and 2028, according to the U.S. Department of Labor Statistics (BLS). This is due to the fact that when businesses grow, so will the demand for more management guidance.

Auditors’ Typical Employers

Auditors hold positions of power in insurance firms, banks, government agencies, and other financial institutions. Internal auditors typically work for professional businesses that are subcontracted by client enterprises, major private groups, or charities. They could potentially join a company’s accounting team.

External Auditors, on the other hand, operate in the public sector and conduct audits of government agencies and departments.

The Difference between an Accountant and an Auditor

Accountants and auditors have comparable obligations at times. They are, however, significantly distinct in many ways. Among these are:

  • Organizations hire auditors to evaluate the performance of their accountants.
  • While accountants are generally employed by their companies, auditors work on a contract or on a periodic basis.
  • Accountants must work every day, but auditors work only at particular times of the year, depending on the rate of auditing required by the organization.
  • Auditors hold increasingly important positions.
  • Auditors use auditing standards, while International Accounting Standards govern accounting processes.
  • Every business requires an accountant, but not every business requires an auditor.
  • When accountants calculate a company’s end-of-year financial strength, an auditor must verify that the claims are real, correct, and ideal.
  • Auditors can examine many companies’ accounts at the same time.

In Conclusion,

We have established in this chapter that you can become an auditor without any degree or experience, you just have to learn the necessary skills. We hope you find this helpful.

Frequently Asked Questions

What qualifications do you need to be an auditor?

To become an Auditor, you should have a degree in accounting or a similar field with a major in accounting.

How long does it take to learn auditing?

It takes between four to five years to learn auditing.

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