An external auditor will inspect the financial records and statements of outside clients to form an expert opinion about whether or not the records are accurate and presented fairly. If you are studying accounting or you currently have a degree in the field, it is important to research various career paths that you can take so that you make the right choice. External auditors may perform some of the same tasks as internal auditors, but there are dramatic differences between the role that you will pay when you are not directly employed for the organization that you are auditing. Read on, and find out about your responsibilities and how to pursue a career in external auditing if it is the right fit.
What Are the Job Responsibilities of External Auditors?
External auditors will use the Generally Accepted Accounting Principles to determine whether or not the records of a company are presented in accordance with the principles. They may also use the International Financial Reporting Standards, if the entity follows these standards, to determine if the records and statements are free of errors and material misrepresentations that can mislead investors and creditors. The auditor will plan and then perform audits on operational documents and financial audits. They will also perform special tests of the controls and account balances to determine if statements are reasonable.
What Settings Do External Auditors Work In?
You can work in a variety of settings if you choose to work in external auditing. You may work for a government agency or for a public accounting firms. You can also work as a self-employed auditor who provides their clients with consulting and tax services. Your clients may be individuals, corporations, small businesses, non-profit organizations, and international corporations depending on your specialty and your experience.
How Do You Pursue a Career in the Field?
If you want to become an expert in external auditing and you do not yet hold a degree, you will need to enter into a bachelor’s degree program in accounting, finance or business. You may also need to earn a master’s degree if you want to meet the educational requirements to earn your Certified Fraud Examiner designation, according to the Association of Certified Fraud Examiners. If you have several years of experience in examining financial records, you may be able to sit for the CFE exam without possess a Master’s degree.
If you only have two years of experience and would like to get certified, you may have the 50 qualifying points in the points system that you need to take the exam. While you do not have to earn your CFE to enter the field, having this designation can be beneficial in this highly competitive field.
Related Resource: Internal Auditor
External auditing requires in-depth knowledge of accounting principles and standards. If you would like to investigate files for fraud and errors, this could be the right role for you. It is important to set your career goals well in advance so that you know which classes to take. Once you choose an accredited degree program, commit yourself to your school work and then prepare for your graduation. Find a junior level auditing position, gain experience, and then you can move up to working in external auditing. Decide if you would like to become an external auditor with a firm or if you want to work for yourself and start a new life.
