Quick Summary
Becoming an auditor in South Africa requires a comprehensive process that includes obtaining an accredited undergraduate degree, completing a postgraduate qualification, and entering into an internship at a SAICA accredited training office. Individuals must also pass two board exams to qualify as a Chartered Accountant (SA) and register with the IRBA. After completing an additional 18-month internship known as the Audit Development Programme, individuals can register as a Registered Auditor and sign audit opinions.
Introduction
Becoming an auditor in South Africa is a rigorous process that requires dedication, education, and practical experience. Auditors play a crucial role in ensuring the accuracy and integrity of financial statements, providing assurance to stakeholders and the public. If you are interested in pursuing a career as an auditor in South Africa, it is important to understand the steps and requirements involved in this profession.
Overview of Becoming an Auditor in South Africa
Becoming an auditor in South Africa requires individuals to follow a specific set of steps and meet certain requirements. It is important to obtain the necessary qualifications and complete the required training to ensure a successful career in auditing.
Here is an overview of the steps involved in becoming an auditor in South Africa:
Step 1: Obtain an Accredited Undergraduate Degree
The first step towards becoming an auditor is to obtain an undergraduate degree accredited by the South African Institute of Chartered Accountants (SAICA). This degree typically takes three years to complete and provides a solid foundation in accounting principles and practices.
Step 2: Obtain a Postgraduate Qualification
After completing the undergraduate degree, individuals need to obtain a postgraduate qualification accredited by SAICA. The most common qualification required is the Certificate in the Theory of Accounting (CTA), which is a one-year program. This qualification further enhances the individual’s knowledge and understanding of accounting principles.
Step 3: Enter into an Internship at a SAICA Accredited Training Office
Once the postgraduate qualification is obtained, individuals must enter into an internship at a SAICA accredited training office. The duration of the internship varies depending on the individual’s qualifications:
- 3 years if the individual has an accredited undergraduate degree, CTA, or accredited bridging program.
- 4 years if the individual has a non-accredited degree or national diploma in internal auditing, cost and management accounting, or taxation.
- 5 years if the individual has a matriculation certificate or equivalent.
The duration of the 4-year and 5-year programs can be reduced by one year if the individual obtains their accredited undergraduate degree within the necessary timeframe.
Step 4: Pass the Board Exams
To qualify as a Chartered Accountant (SA), individuals must pass two board exams. The first exam is the Initial Test of Competency (ITC), which can be taken after obtaining the CTA qualification. The second exam is the Assessment of Professional Competence (APC), which can only be taken after passing the ITC exam, completing the Professional Competence Development Programme, and completing at least 20 months of the internship.
Step 5: Register as a Chartered Accountant (SA)
After successfully passing the APC exam and completing the internship, individuals can register as a Chartered Accountant (SA). This registration is an important milestone in the journey towards becoming an auditor.
It is important to note that becoming a Chartered Accountant (SA) is a prerequisite for becoming a Registered Auditor in South Africa.
Completing the above steps and obtaining the necessary qualifications and registrations is crucial for individuals aspiring to become auditors in South Africa. It ensures that they have the knowledge, skills, and professional recognition required to excel in the field of auditing.
Step 1: Obtain an Accredited Undergraduate Degree
One of the first steps to becoming an auditor in South Africa is to obtain an undergraduate degree accredited by the South African Institute of Chartered Accountants (SAICA). It is important to choose a degree program that is recognized and approved by SAICA to ensure that you meet the necessary requirements for a career in auditing.
The duration of the undergraduate degree program typically takes three years to complete. During this time, students will gain a solid foundation in accounting principles, financial management, taxation, and other relevant subjects. It is essential to perform well academically and maintain a good GPA throughout the program to enhance your chances of pursuing a successful career in auditing.
By choosing an accredited undergraduate degree, you can be confident that you are receiving a quality education that aligns with the standards set by SAICA. This accreditation ensures that the curriculum covers the necessary topics and prepares you for the next steps in your journey to becoming an auditor.
Step 2: Obtain a Postgraduate Qualification
Obtaining a postgraduate qualification accredited by the South African Institute of Chartered Accountants (SAICA) is an essential step in becoming an auditor in South Africa. The most common postgraduate qualification required is the Certificate in the Theory of Accounting (CTA).
The CTA program provides individuals with advanced knowledge and skills in accounting theory, financial reporting, auditing, taxation, and other relevant areas. It is designed to deepen their understanding of accounting principles and prepare them for the challenges of the auditing profession.
The duration of the CTA program typically takes one year to complete. During this time, students engage in rigorous coursework, practical assignments, and examinations to demonstrate their proficiency in accounting theory and practice.
It is important to note that the CTA program is offered by various universities in South Africa. Prospective auditors should ensure that the program they choose is accredited by SAICA to ensure that their qualification is recognized by the relevant professional bodies.
By obtaining a postgraduate qualification like the CTA, individuals enhance their knowledge and skills in accounting, which is crucial for success in the auditing profession. It provides a solid foundation for the subsequent steps in the journey to becoming a registered auditor in South Africa.
Step 3: Enter into an Internship at a SAICA Accredited Training Office
Once you have obtained your undergraduate degree and postgraduate qualification, the next step towards becoming an auditor in South Africa is to enter into an internship at a SAICA accredited training office. The duration of the internship will depend on your qualifications.
If you have an accredited undergraduate degree, Certificate in the Theory of Accounting (CTA), or an accredited bridging program, the internship will typically last for three years.
If you have a non-accredited degree or national diploma in internal auditing, cost and management accounting, or taxation, the internship will last for four years.
For individuals with a matriculation certificate or equivalent, the internship duration is five years.
It’s important to note that if you obtain your accredited undergraduate degree within the necessary timeframe, the duration of the four-year and five-year programs can be reduced by one year.
During the internship, you will gain practical experience in auditing and work under the guidance of experienced professionals. This hands-on experience is crucial for developing the necessary skills and knowledge required to become a successful auditor.
It is recommended to choose a SAICA accredited training office for your internship as it ensures that you receive the appropriate training and exposure to the auditing profession.
By successfully completing the internship, you will be one step closer to achieving your goal of becoming an auditor in South Africa.
Step 4: Pass the Board Exams
To qualify as a Chartered Accountant (SA) and become an auditor in South Africa, individuals must pass two board exams. These exams are designed to assess the competency and professional competence of aspiring auditors. The two exams are:
Initial Test of Competency (ITC)
The Initial Test of Competency (ITC) is the first board exam that individuals need to pass. This exam can be taken after obtaining the Certificate in the Theory of Accounting (CTA) qualification. The ITC exam evaluates the candidate’s knowledge and understanding of accounting principles, auditing standards, taxation, and other relevant topics.
Assessment of Professional Competence (APC)
Once the ITC exam is successfully passed, individuals can proceed to the Assessment of Professional Competence (APC) exam. However, there are prerequisites that need to be fulfilled before taking the APC exam. These prerequisites include:
- Passing the ITC exam
- Completing the Professional Competence Development Programme
- Completing at least 20 months of the internship
The APC exam is a comprehensive assessment of the candidate’s professional competence in various areas of auditing. It tests their ability to apply auditing standards, ethics, and professional judgment in real-world scenarios. The exam also evaluates their communication and problem-solving skills, as well as their understanding of the legal and regulatory framework governing the auditing profession.
Both the ITC and APC exams are conducted by the South African Institute of Chartered Accountants (SAICA). These exams are rigorous and require thorough preparation and study to ensure success.
Step 5: Register as a Chartered Accountant (SA)
Once you have successfully passed the Assessment of Professional Competence (APC) exam and completed your internship, you are eligible to register as a Chartered Accountant (SA). This registration is an important milestone in your journey to becoming an auditor in South Africa.
To register as a Chartered Accountant (SA), you will need to follow these steps:
- Submit your APC exam results: After passing the APC exam, you will receive your exam results. You need to submit these results to the South African Institute of Chartered Accountants (SAICA) as part of your registration process.
- Complete the necessary paperwork: SAICA will provide you with the required registration forms. You will need to complete these forms accurately and provide any additional documentation as requested.
- Pay the registration fee: There is a registration fee that needs to be paid to SAICA. The fee amount may vary, so it is advisable to check the current fee with SAICA.
- Attend the registration ceremony: SAICA organizes registration ceremonies where newly registered Chartered Accountants (SA) are officially welcomed into the profession. You will be invited to attend one of these ceremonies to receive your registration certificate.
Once you have completed these steps and received your registration certificate, you will officially be recognized as a Chartered Accountant (SA). This designation demonstrates your expertise and qualifications in the field of accounting and opens up various career opportunities, including the path to becoming an auditor.
It is important to note that maintaining your registration as a Chartered Accountant (SA) requires ongoing professional development and adherence to the ethical and professional standards set by SAICA. This includes fulfilling the Continuing Professional Development (CPD) requirements and complying with the SAICA Code of Professional Conduct.
By registering as a Chartered Accountant (SA), you are taking a significant step towards achieving your goal of becoming an auditor in South Africa. It is a testament to your hard work, dedication, and commitment to the highest standards of professionalism in the accounting profession.
Step 6: Complete the Audit Development Programme (ADP)
The Audit Development Programme (ADP) is an essential step in becoming an auditor in South Africa. This 18-month internship is completed at an auditing firm registered with the Independent Regulatory Board for Auditors (IRBA).
During the ADP, individuals have the opportunity to gain valuable experience in auditing at a more senior level. They are exposed to complex tasks and responsibilities that further enhance their skills and knowledge in the field.
One of the key requirements of the ADP is the submission of a portfolio of evidence to the IRBA for review. This portfolio demonstrates the individual’s competencies and showcases their ability to perform the necessary tasks and responsibilities of an auditor.
The portfolio of evidence should include a variety of documents and examples that highlight the individual’s proficiency in areas such as financial statement analysis, risk assessment, internal control evaluation, and audit planning and execution.
It is important for individuals to carefully compile their portfolio, ensuring that it accurately reflects their capabilities and achievements during the ADP. The portfolio should provide a comprehensive overview of the individual’s experience and demonstrate their ability to meet the standards set by the IRBA.
Once the portfolio of evidence is submitted to the IRBA, it will be reviewed to assess the individual’s competencies. The IRBA will evaluate the portfolio and determine whether the individual has met the necessary requirements to become a Registered Auditor.
It is crucial for individuals to take this step seriously and ensure that their portfolio of evidence is thorough and well-presented. This will greatly increase their chances of successfully completing the ADP and obtaining registration as a Registered Auditor.
Step 7: Register as a Registered Auditor
Once you have successfully completed the Audit Development Programme (ADP) and the Independent Regulatory Board for Auditors (IRBA) is satisfied with your competencies, you can proceed to register as a Registered Auditor.
Registering as a Registered Auditor is an important step in your journey to becoming a fully qualified and recognized auditor in South Africa. It allows you to sign audit opinions and take on more responsibilities in the field of auditing.
To register as a Registered Auditor, you will need to follow the registration process outlined by the IRBA. This process typically involves the following steps:
- Ensure that you have completed the required 18-month internship as part of the ADP at an auditing firm registered with the IRBA. During this internship, you will have gained valuable experience in auditing at a more senior level and completed tasks that are more complex.
- Compile a portfolio of evidence that demonstrates your competencies as an auditor. This portfolio should include examples of your work, such as audit reports, financial statements, and other relevant documents. The portfolio will be reviewed by the IRBA to assess your readiness to become a Registered Auditor.
- Submit your portfolio of evidence to the IRBA for review. The IRBA will carefully evaluate your portfolio to ensure that you meet the necessary competencies and standards required to become a Registered Auditor.
- Once the IRBA is satisfied with your competencies as indicated in your portfolio of evidence, they will grant you registration as a Registered Auditor. This registration is a formal recognition of your qualifications and abilities as an auditor.
After successfully registering as a Registered Auditor, you will have the authority to sign audit opinions and take on more responsibilities in the auditing profession. This achievement marks a significant milestone in your career as an auditor in South Africa.
It is important to note that maintaining your registration as a Registered Auditor requires ongoing professional development and adherence to the ethical and professional standards set by the IRBA. This includes participating in continuing professional education and staying up to date with the latest developments in the field of auditing.
By following the registration process and meeting the necessary requirements, you can become a recognized and respected Registered Auditor in South Africa.
Conclusion
By following the necessary steps and requirements, individuals can become auditors in South Africa and achieve professional qualifications and registration. Here is a recap of the process:
Step 1: Obtain an Accredited Undergraduate Degree
It is crucial to choose an undergraduate degree accredited by the South African Institute of Chartered Accountants (SAICA). This degree typically takes three years to complete.
Step 2: Obtain a Postgraduate Qualification
After completing the undergraduate degree, individuals need to obtain a postgraduate qualification accredited by SAICA, such as a Certificate in the Theory of Accounting (CTA). This qualification usually takes one year to complete.
Step 3: Enter into an Internship at a SAICA Accredited Training Office
Next, individuals must secure an internship at a SAICA accredited training office. The duration of the internship varies depending on the individual’s qualifications, ranging from three to five years.
Step 4: Pass the Board Exams
To qualify as a Chartered Accountant (SA), individuals need to pass two board exams. The Initial Test of Competency (ITC) can be taken after obtaining the CTA qualification. The Assessment of Professional Competence (APC) exam can only be taken after passing the ITC exam, completing the Professional Competence Development Programme, and completing at least 20 months of the internship.
Step 5: Register as a Chartered Accountant (SA)
After successfully passing the APC exam and completing the internship, individuals can register as a Chartered Accountant (SA).
Step 6: Complete the Audit Development Programme (ADP)
Following registration as a Chartered Accountant (SA), individuals need to complete an additional 18-month internship known as the Audit Development Programme (ADP) at an auditing firm registered with the Independent Regulatory Board for Auditors (IRBA). This internship provides experience in auditing at a more senior level and involves completing complex tasks. A portfolio of evidence indicating the necessary competencies must be submitted to the IRBA for review.
Step 7: Register as a Registered Auditor
Once the IRBA is satisfied with the individual’s competencies as indicated in their portfolio of evidence, individuals can register as a Registered Auditor. Only after completing the ADP and registering with the IRBA can individuals sign audit opinions.
It is essential to follow this process diligently to ensure professional qualifications and registration as an auditor in South Africa. By doing so, individuals can embark on a rewarding career in the auditing profession.