Cost Accounting Degree Concentration

In general, accountants enjoy strong job prospects with high earning potential. According to the Bureau of Labor Statistics (BLS), accountants make a median annual wage of $71,550, with the top 10% of earners making more than $124,000 per year.

Prospective accountants can pursue a variety of concentrations, depending on their interests and career goals. This guide contains information about the cost accounting concentration to help students determine whether it's the right fit for them. Sometimes called management accounting, this specialization focuses on managing the cost of doing business for an organization.

What Is a Cost Accounting Concentration?

Cost accountants oversee the internal operations of an organization, including budgeting, marketing, and financial planning. Students in this field learn how to help organizations set goals, make informed decisions, and operate efficiently. Enrollees learn to identify inefficiencies, evaluate performances, and analyze operational metrics.

Cost accounting differs from general accounting in that it focuses more on internal management successes, rather than financial accuracy and compliance. Cost accountants typically use their skills to improve all areas of an operational chain, including purchasing, logistics, and employee efficacy. Learners in this concentration usually begin with the same foundational training as general accounting students before specializing their studies.

Graduates with cost accounting concentrations may qualify for many of the same positions as general accounting graduates. However, their specialized training can lead to additional opportunities. Since this specialization delves into organizational processes and operations, graduates may explore broader business- and management-related career fields.

Students can access cost accounting specializations at most degree levels. They can also develop their own emphases or complement their official concentrations through electives, research, and internships. The following sections outline what these programs look like at various levels and the degree programs in which students can find them.

Why Get a Cost Accounting Concentration?

The cost accounting field offers many personal and professional rewards. The following list explores some of the many reasons people choose this career pathway.

• Career Variance: In addition to traditional accounting positions, cost accounting graduates can work as cost estimators, financial managers, or budget analysts.
• Strong Salaries: Accountants earn a median annual salary of $70,000, but some cost accounting positions pay much more. For example, financial managers earn a median annual wage approaching $130,000.
• Professional Growth: After graduating with a cost accounting concentration, professionals can continue their educational and professional development through additional experience, degrees, and certifications, which may lead to higher-paying roles with more responsibilities.
• Demand: According to the BLS employment data, the projected demand for accounting professionals is on par with the national average. However, professionals with analytical abilities, like cost accountants, enjoy stronger demand.
• Leadership Positions: Their training in analysis and organizational processes qualifies cost accounting graduates for a variety of management positions across organizations and industries.

When Is a Cost Accounting Concentration Better Than a General Accounting Degree?

Cost accounting offers students a unique blend of business management and accounting skills. Compared to general accounting degrees, the cost accounting discipline tends to expand career opportunities to include management, analytical, and consulting positions.

Graduates may also gain access to unique certifications, such as certified cost accountant.

When Might a General Accounting Degree Be Better Than a Cost Accounting Concentration?

The cost accounting concentration offers an attractive path for many students, but it may not suit everyone. Students who have not yet decided on their career paths, for example, might find that general degrees help them experience the field more fully. General accounting degrees also make a good choice for learners who want to use electives to build their own concentrations.

What About Other Concentrations?

Cost accounting represents just one of the many concentrations available to accounting majors. Learners can find concentrations to satisfy most interests and career goals. The links below highlight degree options available to accounting students, along with information on their potential career outcomes.

Courses to Expect with a Cost Accounting Concentration

Courses vary by program and degree level, but accounting students at the bachelor's level typically take the same core courses, regardless of their concentration. During their senior year, students may focus on their chosen specialization. Master's programs, however, emphasize concentrations from beginning to end. Some courses, like taxation, auditing, and accounting information systems, may appear in all accounting concentrations, but the following courses are most common in cost accounting concentrations. 

Careers for Cost Accounting Degree Graduates

Cost accounting concentrations create new career pathways, which branch off from traditional accounting paths. Concentrated training in business processes and financial management can open up doors to a range of management positions.

Cost accounting training may lead to careers as financial managers, management analysts, or financial analysts. According to BLS occupational data, the median salary for financial managers exceeds $129,000 per year, while management analysts and consultants and financial analysts earn more than $85,000 annually.

The following sections outline common careers for graduates with a cost accounting degree.

• LEARN MORE ABOUT COST ACCOUNTING CAREERS
• EXPLORE MORE ACCOUNTING CAREERS

Selecting an Accounting Program with a Cost Accounting Concentration

Students should consider several factors when researching prospective programs, including accreditation status. Accreditation indicates that a school meets high academic standards, and expands employment, financial aid, and education opportunities. To verify a school and/or program's accreditation status, students can search the Database for Accredited Postsecondary Institutions and Programs.

Learners should also consider their ideal delivery formats. Online programs allow students to attend top programs across the country without relocating. They also typically offer more flexibility and affordability than on-campus programs.

Students should also consider curricula, confirming that their programs of interest offer classes aligned with their interests and career goals. Other key considerations include program length, tuition costs, and admission requirements.

Common Questions About Cost Accounting

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