Top 11 External Auditor Certifications

Certifications are extremely important for external auditors in the job market. They demonstrate that the auditor has met certain standards and has the necessary skills, knowledge, and expertise to do their job effectively. Certifications provide a level of assurance to employers that the external auditor is capable of performing their duties competently and ethically, which can be especially important when working with sensitive financial information. Additionally, certifications may give external auditors an advantage over non-certified applicants when competing for positions, as they show commitment to professional development and mastery of the principles of auditing.

This article reviews some of the top certifications for External Auditors, and explains how they can help to further an external auditor's career.

What are External Auditor Certifications?

External auditor certification is a process that involves an independent, external auditor conducting an in-depth review of an organization’s accounting and financial processes. This review includes assessing the accuracy of financial records, examining internal controls, and evaluating the overall financial health of the organization. The goal of this certification is to provide assurance to stakeholders that the organization’s financial information is accurate and reliable.

This certification can help organizations establish credibility with potential investors, lenders, and other stakeholders by providing assurance that their financial statements are reliable. Additionally, since the external audit is conducted by a third-party professional, it can also provide assurance that there is no bias or conflict of interest in the reporting process. Furthermore, having an external audit may help identify any weaknesses or gaps in the internal control environment which can then be addressed before they become larger issues. Finally, this certification may also provide additional protection from fraudulent activities since it requires a thorough review of internal processes and procedures.

Pro Tip: When selecting an external auditor for certification, ensure that the auditor is qualified and has experience in the specific industry or area of expertise related to the certification. Additionally, research their reputation and past performance to ensure you are confident in their ability to provide an accurate and unbiased audit.

Related: What does an External Auditor do?

Top 11 External Auditor Certifications

Here’s our list of the best certifications available to External Auditors today.

1. Certified Public Accountant (CPA)

A Certified Public Accountant (CPA) is a professional designation given to individuals who have passed the Uniform CPA Examination and met additional state requirements for education, experience, and ethical standards. CPAs are licensed by their respective state boards of accountancy to provide a wide range of financial services including auditing, taxation, consulting, and financial planning.

It typically takes two to four years to become a certified public accountant. The process begins with earning an undergraduate degree in accounting or a related field from an accredited college or university. After completing the educational requirements, aspiring CPAs must then pass the Uniform CPA Exam administered by the American Institute of Certified Public Accountants (AICPA). Depending on the state, candidates may also need to meet additional requirements such as passing an ethics exam or completing a specific number of hours of supervised work experience in order to become certified.

The cost of becoming a CPA varies depending on the jurisdiction and can include application fees, exam fees, continuing education costs, and other miscellaneous expenses. Generally speaking, it can cost anywhere from $500-$2,000 in total fees to obtain a CPA license.

2. Certified Internal Auditor (CIA)

Certified Internal Auditor (CIA) is a professional certification offered by the Institute of Internal Auditors (IIA). It is one of the most widely recognized and respected certifications in the internal auditing profession. The CIA designation demonstrates an individual's commitment to the internal audit profession, their knowledge and experience in the field, and their ability to effectively assess and report on risk management, control, and governance processes.

To become a Certified Internal Auditor (CIA), you must meet certain eligibility requirements set by the IIA. These include having at least a bachelor’s degree in any discipline from an accredited college or university; having two years of professional experience in internal auditing, control, finance, accounting, business analysis or related fields; passing four exams administered by the IIA; and completing an Ethics Self-Assessment.

The CIA exam consists of four parts: Part 1 – Internal Audit Basics; Part 2 – Practice of Internal Auditing; Part 3 – Business Analysis & Information Technology; and Part 4 – Financial Management & Reporting. Each part consists of multiple choice questions as well as essay questions that require written responses.

The cost for becoming a Certified Internal Auditor (CIA) varies depending on which country you are located in. Generally speaking, it will cost between $1,000 to $2,000 USD for all four parts of the exam plus applicable taxes. Depending on your study habits and preparation time available, it can take anywhere from six months to two years to complete all four parts of the exam.

3. Chartered Global Management Accountant (CGMA)

Chartered Global Management Accountant (CGMA) is a professional designation for management accountants that is awarded by the Association of International Certified Professional Accountants (AICPA). The CGMA designation is widely recognized and respected in the accounting industry, and it demonstrates a mastery of financial management, business strategy, and risk management.

It typically takes between one to two years to complete the requirements for the CGMA designation. Requirements include passing an exam administered by the AICPA, completing a minimum of three years of relevant work experience, and participating in ongoing professional development activities.

To get started on earning your CGMA designation, you must first become an AICPA member. Membership fees vary depending on your country of residence and type of membership desired. After becoming an AICPA member, you can register for the CGMA exam which currently costs $400 USD.

Once you have passed the exam and completed the required work experience, you will need to submit your application for review by the AICPA. If your application is approved, you will receive your official CGMA certificate along with access to exclusive resources and discounts available only to CGMAs.

4. Certified Fraud Examiner (CFE)

Certified Fraud Examiner (CFE) is a professional certification awarded by the Association of Certified Fraud Examiners (ACFE). It is designed to recognize individuals who have achieved a high level of expertise in the field of fraud examination. The CFE credential is recognized worldwide and demonstrates a commitment to integrity, objectivity, and proficiency in fraud prevention, detection, and deterrence.

To become a CFE, candidates must meet certain requirements and pass an examination. The requirements include having at least two years of full-time professional experience in the field of fraud examination or related areas such as accounting, auditing, law enforcement, or financial services. Candidates must also complete at least 75 hours of continuing education in the field of fraud examination within the past two years prior to taking the exam.

The CFE exam consists of 200 multiple-choice questions that cover topics such as financial transactions and fraud schemes; investigation; legal elements of fraud; interviewing techniques; evidence collection and analysis; and reporting on fraud examinations. The exam takes approximately four hours to complete and can be taken online or at one of ACFE’s testing centers around the world.

The cost for taking the CFE exam varies depending on your country or region but typically ranges from $400-$500 USD. Once you have passed the exam, there is an annual fee to maintain your CFE status which is currently $150 USD per year.

5. Certified Information Systems Auditor (CISA)

Certified Information Systems Auditor (CISA) is an internationally recognized certification for information security professionals. It is administered by the Information Systems Audit and Control Association (ISACA). The CISA certification is designed to assess the ability of a professional to audit, control, monitor and assess an organization’s information systems.

It typically takes around 6 months to prepare for the CISA exam. This includes studying the ISACA CISA Review Manual, attending review courses, taking practice exams and gaining practical experience in information systems auditing.

To become certified as a CISA, you must meet eligibility requirements and pass a four-hour exam which consists of 150 multiple choice questions. The exam covers topics such as IT governance, risk management, application development and maintenance, information systems acquisition and implementation, protection of information assets and more.

The cost for the CISA certification varies depending on your country of residence but typically ranges from $200-$400 USD for members of ISACA or other related organizations.

6. Certified Government Auditing Professional (CGAP)

Certified Government Auditing Professional (CGAP) is a professional certification program designed to recognize the knowledge and skills of government auditors. This certification is offered by The Institute of Internal Auditors (IIA).

The CGAP is designed for government auditors who have at least three years of experience in the field and are knowledgeable about government audit standards and practices. It is also suitable for those who want to demonstrate their commitment to professional development and excellence in government audit work.

It takes approximately six months to complete the CGAP exam preparation process, which includes studying for and taking the exam. The exam consists of multiple-choice questions that cover topics such as internal control, risk assessment, fraud detection, financial statement analysis, performance measurement, and more.

To be eligible to take the CGAP exam, you must have at least three years of full-time experience in government auditing or related fields. You must also meet specific educational requirements such as a bachelor's degree from an accredited college or university with a major in accounting or business administration. Additionally, you must complete an approved training program before taking the exam.

The cost of taking the CGAP exam varies depending on where you take it. Generally speaking, it costs between $400-$600 USD per attempt.

7. Certified Financial Services Auditor (CFSA)

A Certified Financial Services Auditor (CFSA) is a professional designation for auditors who specialize in the financial services industry. This certification is issued by the Institute of Internal Auditors (IIA), an international professional association for internal auditors.

The CFSA certification program is designed to recognize auditors with expertise in the financial services industry, and to provide assurance that they have the knowledge and skills necessary to perform effective audits. The program requires applicants to have at least three years of experience in financial services audit or related areas, as well as a bachelor’s degree or higher from an accredited college or university. In addition, applicants must pass a comprehensive exam that covers topics such as risk management, accounting principles, and regulatory requirements.

It typically takes about six months to complete the CFSA certification process. During this time, applicants must complete all required coursework and study materials, sit for the exam, and submit their application materials.

The cost of obtaining the CFSA certification varies depending on several factors such as membership status with IIA and country of residence. Generally speaking, it can cost anywhere from $1,000 USD to more than $2,000 USD depending on these factors.

8. Certified in Control Self-Assessment (CCSA)

Certified in Control Self-Assessment (CCSA) is a professional certification offered by the Institute of Internal Auditors (IIA). It is designed to help individuals gain the knowledge and skills required to evaluate internal control systems, identify potential control weaknesses, and develop corrective action plans. The CCSA certification focuses on the ability to assess an organization’s internal controls, rather than on auditing or accounting principles.

The CCSA certification process typically takes between six months and one year to complete. To get certified, individuals must first pass an exam administered by the IIA. The exam consists of 150 multiple-choice questions and covers topics such as risk management, internal controls, audit processes, and other related topics. After passing the exam, candidates must then complete a minimum of 40 hours of self-study or classroom training in order to receive their certification.

The cost of obtaining a CCSA certification varies depending on whether you are taking the exam through a testing center or online. If you take the exam at a testing center, it costs around $500 USD plus any applicable taxes. If you take the exam online, it costs around $400 USD plus any applicable taxes. Additionally, there may be additional fees for self-study materials or classroom training courses if they are required for your particular program.

9. Accredited Quality Assurance Professional (AQAP)

Accredited Quality Assurance Professional (AQAP) is a professional certification that recognizes individuals who have demonstrated a high level of knowledge and experience in quality assurance. AQAP certification is awarded by the American Society for Quality (ASQ), a global leader in quality management, and requires candidates to pass an exam that covers topics such as quality management principles, tools, and techniques.

The AQAP exam consists of 150 multiple-choice questions and takes approximately four hours to complete. To be eligible to take the exam, candidates must have at least three years of full-time experience in quality assurance or related fields. Candidates must also have either a bachelor's degree or an associate degree with at least one year of additional work experience in quality assurance or related fields.

To get the AQAP certification, applicants must register for the exam through ASQ’s website and pay the associated fees. The cost for the AQAP exam is $399 USD for members of ASQ and $499 USD for non-members. Once registered, applicants can schedule their exams at any Prometric Testing Center located throughout the United States. After passing the exam, applicants will receive their official AQAP certificate from ASQ within six weeks.

10. Institute of Internal Auditors Certification in Risk Management Assurance (CRMA)

The Institute of Internal Auditors (IIA) Certification in Risk Management Assurance (CRMA) is a professional certification program designed to help internal auditors demonstrate their knowledge and expertise in risk management assurance. The CRMA is an internationally recognized qualification that provides a comprehensive understanding of the principles, practices and processes of risk management assurance.

The CRMA certification requires successful completion of the IIA’s three-part examination, which covers topics such as: enterprise risk management, internal control systems, governance and compliance, financial reporting, information security and IT audit. The exam consists of 150 multiple-choice questions and must be completed within four hours.

In order to qualify for the CRMA exam, applicants must have at least two years of experience in internal auditing or related fields. They must also be a member of the IIA or hold an equivalent professional designation from another professional organization.

The cost of taking the CRMA exam varies depending on whether you are a member or non-member of the IIA. For members, it costs $395 USD; for non-members, it costs $495 USD.

Once you have successfully completed all three parts of the exam, you will receive your official certificate from the IIA within six weeks.

11. International Professional Practices Framework Certification (IPPF).

The International Professional Practices Framework (IPPF) is a set of standards and guidelines developed by the Institute of Internal Auditors (IIA) to help internal auditors ensure that their work meets the highest professional and ethical standards. It provides guidance on how to conduct effective internal audits, as well as how to evaluate risk management systems and corporate governance processes. The IPPF also outlines the responsibilities of internal auditors, including their role in providing assurance on the accuracy and reliability of financial information.

The certification process for the IPPF includes passing an exam administered by the IIA. The exam covers topics such as internal audit fundamentals, risk management, control systems, ethics, and other related topics. To be eligible to take the exam, applicants must have at least two years of experience in a related field or have completed an approved course in internal auditing.

The exam typically takes four hours to complete and costs around $200 USD. Upon successful completion of the exam, applicants will receive a certificate from the IIA recognizing them as an IPPF Certified Internal Auditor (CIA). This certification is valid for five years and can be renewed through continuing education credits or re-examination.

Overall, obtaining IPPF certification requires dedication and hard work but it can provide valuable credentials for those looking to advance their career in internal auditing.

Do You Really Need a External Auditor Certificate?

An external auditor certificate is an important part of any business. It is a document that verifies the accuracy of financial statements, such as balance sheets and income statements. It also provides assurance that the financial information provided by the company is reliable and up to date.

In some cases, it may be necessary for a business to obtain an external auditor certificate in order to meet certain legal requirements or to access certain types of financing. For example, many banks require businesses to have an external audit performed before they will approve a loan application. Similarly, some governments may require companies to obtain an external auditor certificate in order to qualify for certain tax breaks or other incentives.

In other cases, obtaining an external auditor certificate may not be required but can still be beneficial for a business. An independent audit can provide valuable insight into the financial health of a company and help identify potential issues that need to be addressed. This can help ensure that the company’s finances are being managed properly and that any risks associated with its operations are being minimized. Additionally, having an independent review of financial statements can provide investors and customers with greater confidence in the accuracy of those statements.

Overall, whether or not you need an external auditor certificate depends on your individual circumstances and goals for your business. If you are unsure if you should obtain one, it is best to consult with a qualified accountant or lawyer who can provide advice on what would be most beneficial for your particular situation.

Related: External Auditor Resume Examples

FAQs About External Auditor Certifications

Q1: What is an external auditor certification?

A1: An external auditor certification is a formal recognition of an individual's ability to perform independent, objective assurance and consulting services. It is obtained by passing a set of examinations administered by the Institute of Internal Auditors (IIA). The certification provides assurance to organizations that the individual has the knowledge, skills, and abilities required to perform their duties as an external auditor.

Q2: How do I become certified as an external auditor?

A2: To become certified as an external auditor, you must first meet the eligibility requirements set by IIA. These include having at least three years of experience in internal or external auditing and passing the Certified Internal Auditor (CIA) exam. After successfully completing the exam, you will be eligible for the Certified External Auditor (CEA) designation.

Q3: Does my certification expire?

A3: Yes, your CEA certification is valid for three years from the date of issuance. You will need to renew your certification every three years in order to maintain it.

Q4: What are the benefits of being certified as an external auditor?

A4: Being certified as an external auditor provides numerous benefits including professional recognition and credibility, improved career opportunities, increased earning potential, greater job security and more attractive job offers from employers.

Q5: How much does it cost to become certified as an external auditor?

A5: The cost of obtaining a CEA certification depends on several factors such as your country/region, type of program chosen and other associated fees. Generally speaking, it can range from $500-$2500 USD depending on these factors.