The CPA Exam pass rates, which average about 50%, are one of the most intriguing aspects of the CPA certification process. The AICPA releases the pass rate for each exam section once a quarter. Basically, these percentages reveal how well candidates who sat for the CPA Exam during the previous exam testing window performed. Historically, the average CPA Exam pass rate for each section ranges between 45-55%. But the pass rates shouldn’t discourage you because they don’t mean you can’t pass.
For instance, in the latest AICPA pass rate updates, candidates scored as follows:
CPA Exam Section | Q1 2023 AICPA Pass Rates |
AUD | 47.01% |
BEC | 56.98% |
FAR | 41.82% |
REG | 58.63% |
Candidates, review providers, and other individuals invested in the CPA industry try to read the pass rates like a crystal ball. That is, they look to these 4-digit percentages to divine the future of their success with the exam. However, the numbers never really say as much as we would like them to. Still, I find the pass rates fascinating, so I’ll tell you about the most recent pass rates, possible explanations for them, and the historical data. Most importantly, I’ll tell you what the CPA Exam pass rates really mean so you don’t get too obsessed with them.
And finally, in the end, you’ll find my thoughts about pass rates advertised by CPA Exam review providers. For instance, I’ll go over the Becker CPA pass rate and how they calculated the Becker CPA pass rate statistics. I’ll also cover the Wiley CPA pass rate, the Surgent CPA pass rate, and more.
As you may recall, CPA candidates can only sit for the CPA Exam during the 4 annual testing windows. Additionally, the testing windows are open during the first 2 months and the first 10 days of the third month of every quarter. Usually, the AICPA gives the CPA Exam scores for a testing window to the state boards and NASBA on several score release dates each quarter. But the AICPA only publishes the pass rates for that testing window in the following quarter. Pass rates from 2006 to the present used to accompany the latest pass rates. But now, the AICPA’s pass rates web page only features the current year’s pass rates. (We will update this chart when the rest of the 2023 CPA Pass Rates are available.)
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 47.01% | N/A | N/A | N/A | 47.01% |
BEC | 56.98% | N/A | N/A | N/A | 56.98% |
FAR | 41.82% | N/A | N/A | N/A | 41.82% |
REG | 58.63% | N/A | N/A | N/A | 58.63% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 46.35% | 49.13% | 48.67% | 47.21% | 48.16% |
BEC | 57.33% | 61.53% | 59.91% | 60.30% | 59.68% |
FAR | 44.95% | 45.66% | 44.30% | 40.67% | 44.93% |
REG | 60.03% | 61.25% | 61.78% | 56.41% | 61.10% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 48.56% | 50.49% | 47.21% | 45.04% | 49.98% |
BEC | 62.16% | 63.31% | 61.73% | 60.27% | 61.94% |
FAR | 46.64% | 42.63% | 47.83% | 40.70% | 44.54% |
REG | 59.29% | 58.81% | 63.12% | 57.78% | 59.88% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 47.97% | 65.29% | 56.89% | 47.50% | 52.84% |
BEC | 61.76% | 76.92% | 69.89% | 60.77% | 65.56% |
FAR | 46.37% | 62.86% | 55.67% | 43.53% | 49.98% |
REG | 55.42% | 74.97% | 66.12% | 58.00% | 62.29% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 48.56% | 55.11% | 51.94% | 47.88% | 51.01% |
BEC | 58.00% | 59.74% | 63.04% | 58.61% | 59.98% |
FAR | 44.43% | 49.37% | 50.29% | 40.57% | 46.31% |
REG | 50.23% | 58.66% | 58.41% | 55.89% | 56.34% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 49.27% | 54.70% | 51.07% | 48.54% | 50.97% |
BEC | 56.43% | 60.31% | 60.17% | 60.13% | 59.35% |
FAR | 41.59% | 49.17% | 48.85% | 44.57% | 46.22% |
REG | 49.99% | 55.75% | 56.55% | 50.22% | 53.16% |
Section | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Cumulative |
AUD | 43.47% | 52.00% | 52.15% | 47.69% | 48.59% |
BEC | 50.39% | 55.09% | 55.35% | 55.33% | 52.99% |
FAR | 43.14% | 43.76% | 47.58% | 42.50% | 44.42% |
REG | 46.10% | 48.32% | 49.31% | 45.89% | 47.24% |
With CPA Exam pass rates for the third quarter of 2022 in hand, we can make some comparisons to how candidates have fared in the past.
It’s always interesting to go back and reflect on the fluctuations in CPA Exam pass rates. And especially when you consider the impact of the global COVID pandemic, pass rates have gone up and down in unpredictable ways. Still, the Q3 2022 rates are mostly lower than the Q2 2022 rates (except for REG) and higher overall than the Q4 2021 and Q1 2022 pass rates. But that’s not unusual; the fourth quarter CPA Exam results are usually the lowest of the year. A
It is interesting that the BEC rates went down so much, though. These rates just go to show that you have to study to pass. Even with a section like BEC that has a reputation for being easier than the other parts, you have to prep in advance if you plan to pass the CPA Exam.
Let’s travel back in time to relive the pass rates of the past.
As we look at these lines representing more than a decade of pass rates, we see that pass rates for most exam sections have congregated together in the same areas at the same time. BEC broke away from the pack at one point and pushed the limits of what’s possible in pass rates. Yet, the pass rates for the remaining exam sections rested right around 45-49% for a while there.
That is until we entered 2018. Then we witnessed the amazing happen as 3 pass rates crested the 50% mark in 1 quarter, which was unheard of for the last 16 years. We can get a better idea of how exceptional this year’s pass rates have been by looking at the pass rates for each section separately.
AUD hasn’t had quite as impressive pass rates as BEC in the last decade. Nevertheless, AUD has made a notable effort to compete for first place. From 2006-2010, the AUD pass rate was content to settle for second, but in 2011, it almost gave up the fight. AUD had the lowest pass rate for several years. Yet, especially in the last few quarters, it’s made quite the resurgence. AUD is now neck-and-neck with REG, and they’re both creeping up on BEC.
AUD’s pass rate history is understandable. This exam section has had a stint putting up the lowest pass rates. This may be due to the fact that AUD looks relatively straightforward, but then the vagueness of the questions often catches people off-guard. There are often multiple correct answers, but you must pick the best one.
This deception has made the exam a lot more difficult. Still, candidates have apparently been able to fortify themselves against AUD’s schemes in the last several quarters. The fact that AUD is making a run for the top spot is actually surprising. AUD is the only section to test at the Evaluation level of skill, which is the most difficult in the context of the CPA Exam.
BEC’s pass rate story is the opposite of AUD’s. BEC seems to have been the hardest exam section from 2006 to 2011. Then, the exam change of 2011 positioned candidates for better BEC success. Ever since, BEC has stolen the show by sporting the top pass rate for 7 years straight. And things didn’t change in 20202 either, as BEC continued to reach new heights. However, BEC rates have been going down since 2020.
Even though the rates are going down, how has BEC managed to become the reigning king of pass rates? BEC is the least technical part of the exam. Additionally, more than half of BEC only tests for Application, the second-lowest skill level. Furthermore, BEC has only had task-based simulations (TBSs) for about a year and a half now, having received them in 2017. But with only 4 total TBSs compared to the other exam section’s 8, BEC remains half as hard in the realm of simulations.
BEC also has the fewest multiple-choice questions (MCQs) with 62. And finally, BEC has 3 written communications (WCs). The BEC WCs account for 15% of your score and are basically there to ensure that you can write an organized, well-developed document of clearly expressed correct information.
As you can see, FAR’s pass rates have been a bit of a roller coaster. They have only been the highest for 2 of the past 15 years. After that, they firmly positioned FAR as one of the hardest, if not the hardest, exam sections for the past 5 years. When the exam experienced big changes, the FAR pass rate responded with big falls. While FAR’s pass rates have had their quarterly moments in the 50s, even jumps above 49% have been uncommon.
As we’ve seen, some of the other pass rates have already skyrocketed beyond 50% this year. Yet FAR’s passing percentages are still stuck in the 40s as they have been for some time. With an overall average of just 45.30% in 2022 and the most candidate-centric exam changes of late already in place, the FAR pass rate seems destined to dwell below 50% indefinitely.
Most everyone finds FAR to be the hardest CPA exam section. This is not because its questions are the most difficult, but because its scope is the broadest. Basically, FAR covers a lot of content, and you need more time to study for FAR than other exam sections. Candidates who don’t take FAR first but try to squeeze such an extensive amount of studying into their 18-month window may just run out of time and contribute to FAR’s low pass rates.
Furthermore, FAR features some tricky concepts, like bonds, pensions, and stockholder equity or governmental accounting. Candidates who don’t commit to mastering their weak areas but instead simply hope they won’t see that material on exam day are very likely to be disappointed. And, based on the pass rates, they are almost as likely to fail.
Last but not least, we have REG. This section has also undergone some major pass rate shifts in the last 15 years. REG rose and fell rapidly from 2006 to 2011, then popped up above 45% and leveled off from 2012-2017. The REG CPA Exam section had its time at the top but comes in at second or third more often. It actually kept AUD at bay from the second-place position from 2012-2016 but had a minor mishap with third place in 2017. Now it seems that REG won’t stay down, as it came back from behind to best AUD in every quarter between 2018 and 2020. However, AUD pass rates have slightly declined since 2020.
REG has reason to be a hard exam section. It has the greatest number of MCQs (76) and ties with FAR for testing the most at Analysis, the second-highest skill level on the exam. But considering its pass rates, REG also has the potential to be less difficult for select candidates.
REG’s content mainly revolves around taxation, though it also covers business law and ethics. Candidates who love taxation have a good chance of performing well in this section and helping preserve its high pass rate. You just can’t underestimate the business law and ethics section, or they may get the better of you. Candidates who don’t really love taxation seem motivated to avoid sitting for REG ever again. So, they’ve prepared well enough to one-and-done this section, from the looks of it.
So, what causes the pass rates to rise and fall? Well, we can never know for certain which factors had the greatest effect on the pass rates from a particular quarter. But we can offer possible explanations that can probably account for most of the changes.
Right above the pass rates on their website, the AICPA reminds us that “candidates are evaluated against an established standard of competence, and the Exam is scored and scaled so that scores are comparable across test forms and over time.” To summarize this concept, the AICPA simply states, “The Exam is not harder or easier to pass at different times”. The AICPA then offers their own theory about the pass rates flux: “An increase in pass rates simply means that candidates are better prepared.” Even with this explanation, candidates still find that the CPA Exam is hard.
So, the AICPA believes candidates are better prepared for the CPA Exam each time the pass rates rise (meaning, candidates are studying more efficiently and using a high-quality CPA review course). However, I also have a few other speculations as to why we’ve seen some higher pass rates (and even record-breaking pass rates) in recent quarters. One of these simply elaborates on the AICPA’s statement. Additionally, I have some theories as to why we’ve seen some pass rates drop when we didn’t expect it.
There’s been a lot of chatter in the industry lately about how different CPA Review companies calculate and publish the pass rates of their users. After all, the AICPA doesn’t ask users what materials they used to study. Therefore, companies have to collect and analyze this data on their own. And some do a better job than others. So should you only look at pass rates to pick a review course? Let’s break it down.
CPA Review Provider | Pass Rates | Notes |
Becker CPA Review | 94% of Exam Day Ready users pass the CPA Exam | Calculations were verified by a third party and a top-10 public accounting firm |
Wiley CPAexcel | 9 out of 10 users pass the CPA Exam | Pass rate not verified by an outside firm |
Surgent CPA Review | 92% of users with a ReadySCORE of 75+ pass the CPA Exam | Surgent is transparent about how they collect and calculate pass rate info |
Most companies poll their users about whether or not they passed the CPA Exam. However, companies often keep their process in the dark. And when a process isn’t transparent, it can be hard to trust what they say. For example, let’s go over how the Becker pass rates are calculated.
Becker is always trying to make sure that their CPA study materials work. So, they hired a top-10 public accounting firm to perform an examination related to how the Becker CPA Exam pass rates are calculated. Basically, Becker claims that 94% of their “Exam Day Ready” users pass the CPA Exam. And these are users who watched 80% of the videos, correctly answered 80% of the MCQs, and scored a minimum of 50% on 3 practice exams. The firm found that the Becker CPA passing rate was accurate. You can learn more about the Becker CPA pass rates.
In contrast, not all CPA review companies are as transparent about how they calculate their users’ success compared to the Becker CPA pass rates. So do your homework before you select a course.
Although pass rates aren’t the only factor when picking the best CPA review, you should certainly consider them. Therefore, here’s a summary of the Becker pass rate, the Wiley CPAexcel pass rate, and the Surgent CPA passing rate.
As a company that puts a lot of effort into tracking its performance, the Becker passing rate, which is 94% of Exam Day Ready users, has been well-verified by an outside top-tier public accounting firm. Why is the pass rate for the CPA Exam with Becker so high? Well, with good study materials and an outstanding platform combined with personal tutoring and academic support, it’s no wonder. So can you pass the CPA by just studying Becker? That is, is Becker enough to pass the CPA Exam? Absolutely! That’s why there are so many Becker CPA Review Watt Sells winners.
Next, let’s review the Becker vs. Wiley pass rates. Does Wiley CPA have a higher pass rate than Becker? Well, with Wiley, 9 out of 10 pass the CPA Exam, according to the company. So basically, this implies that the percentage of CPAs who pass after Wiley is somewhere around 90%.
However, the company doesn’t explain how the Wiley CPA passing rate is calculated. And one of the biggest differences in the CPA Exam passing rate between Becker and Wiley. For example, is Wiley enough to pass the CPA Exam, or are Wiley users also supplementing with study materials from another company? Unfortunately, the Wiley CPAexcel pass rates aren’t as transparent as the pass rate for Becker CPA users.
Surgent CPA Review is another company that publishes its pass rates. And, like the Becker CPA pass rates, Surgent is really transparent with its calculations. First, Surgent uses a third-party platform to ask users to self-report their performance. And what were the results? Well, basically, 92% of Surgent users who had a ReadySCORE (a pre-exam day estimate based on past performance) of at least 75 passed the CPA Exam. What’s more, even 84% of Surgent who hadn’t yet reached a ReadySCORE of 75 also passed.
So then, is Surgent enough to pass the CPA Exam? Read my full Surgent review to learn more.
If you’re anything like me, you’re probably wondering, “So, what will happen next with the pass rates?” Well, based on the historical data, we can make predictions about the future of the pass rates.
As we all know, what goes up must come down. When it comes to pass rates, the going down usually starts again in Q4 and continues into the following Q1. The last quarter of the year seems to be the busiest for candidates. School is back in session, and the holidays overwhelm the calendar. While the number of candidates sitting for the exam often decreases between Q3 and Q4, the pass rates do too. It seems that candidates just can’t prepare as well when the year is coming to a close.
And when the new year arrives, the busy season begins again, a new semester starts, and everyone is trying to get into a new pattern for life. At this point as well, fewer candidates are sitting for the exam. Some have already started studying for Q2, but others are just initiating the application process. But when Q2 and Q3 come around again, the majority of candidates who will sit that year have their testing appointments scheduled. Therefore, pass rates typically go back up during this time.
Still, the future of CPA Exam pass rates is unknown. After all, major CPA Exam changes are scheduled for 2024, which always gives cause for concern as far as pass rates go.
As accountants, we may find all of these numbers interesting. But in the end, you need to know: What do the pass rates really mean for you?
Well, pass rate changes, especially those occurring from one quarter to the next, shouldn’t affect your CPA Exam preparations. Even with pass rates on the rise, the CPA Exam is still a sizable challenge requiring a lot of time and effort to overcome. The BEC pass rate has been quite high for some time, but you still have to review all of the content and study effectively, or you won’t pass it. The same goes for the other exam sections.
In truth, with pass rates ranging around 50%, you still have almost a 50% chance of failing. Clearly, now is not the time to slack off on your studies. There are no shortcuts to CPA Exam success, even if the passing percentages seem to be trending in your favor.
What’s more, as the CPA Exam is updated to reflect new tax laws, the exam will change. There are no guarantees that the pass rates will ever be so high again.
In fact, as I said, it’s extremely likely that they will go back down. Therefore, the key to passing hasn’t really changed. You still have to practice, practice, practice, and practice some more. If you don’t, you may not succeed, no matter what the pass rates are.
You may be thinking, “I know I should study hard no matter what, but should I schedule my exam during a quarter with a higher pass rate?” My answer to that question is, No, I don’t think so. While the differences between the highest and lowest quarters are statistically significant (~5%), you can’t take the exam only in the summer. The 18-month window makes this impossible. But the quarterly discrepancy between pass rates further proves that when people have more time to study, the pass rate is higher.
2020 was a great year for CPA candidates. In fact, more candidates passed every section of the CPA Exam in 2020 than in 2019. Here’s some insight into how the CPA Exam pass rates from 2020 compared to previous years.
When we compare the 2019 CPA Exam pass rates up to pass rates of the more distant past as well, we can make these observations.
When we compare the 2018 CPA Exam pass rates to those of 2017, we see that almost all the 2018 pass rates were higher than the 2017 pass rates. When we compare the 2018 CPA Exam pass rates to those of the past as well, we learn the following:
The AICPA is continuing to credit candidate preparation levels to pass rate variations. What’s the best way to prepare for the exam? Use a CPA review course. With a realistic study schedule and the right CPA review course for you, you can understand all of the exam content and be completely comfortable with the exam questions by test day.
To find the best course for you, check out my analysis of the top CPA Exam review courses on the market. Right now, our top-recommended course is Becker. Why? Well, to start, the Becker pass rates for the CPA Exam are high—about 94%. Plus, the list of Becker CPA Elijah Watts Sells Award past winners is long. In fact, there are more Becker CPA EWS winners than any other review provider.
Complete our self-evaluation and use these additional tools as well if you failed to pass the CPA Exam.
Whether the pass rates are high or low, thousands of candidates pass the CPA Exam every year, and you can be one of them. Passing the CPA Exam is absolutely doable, and I am more than happy to help you along the way.
I am the author of How to Pass The CPA Exam (published by Wiley), and I also passed all 4 sections of the CPA Exam on my first try. Additionally, I have led webinars, such as for the Institute of Management Accountants, authored featured articles on websites like Going Concern and AccountingWeb, and I'm also the CFO for the charity New Sight. Finally, I have created other accounting certification websites to help mentor non-CPA candidates. I have already mentored thousands of CPA, CMA, CIA, EA, and CFA candidates, and I can help you too!