Choosing between a career in finance or accounting can feel confusing, especially when both fields seem to overlap in the business world. Suppose you’re considering a graduate degree in either discipline: understanding the fundamental differences between these two fields is crucial for making an informed decision that aligns with your career goals and interests.
Recent insights from William & Mary’s Raymond A. Mason School of Business faculty shed light on these distinctions in ways that go beyond textbook definitions, offering practical guidance for prospective students weighing their options.
The Core Philosophy: Generators vs. Users of Information
The most illuminating way to understand the difference between accounting and finance lies in their relationship to financial information. As Professor Jamie Diaz, Ph.D., faculty director of the Online Master of Accounting program, explained, accounting professionals are experts in “collecting information, processing information and generating information”—essentially creating and analyzing the financial data that businesses need to make sound decisions.
Finance professionals, on the other hand, are typically the users of that information. Professor Wei Yang, Ph.D., who teaches in the Online Master of Science in Finance program, described finance as being “all about getting and moving money,” where professionals use accounting information to make strategic decisions about funding, investments and financial management.
Think of it this way: accountants build and analyze the foundation of financial information, while finance professionals use that foundation to construct strategic decisions about where money should go and how it should be used.
Two Distinct Career Trajectories
The Accounting Path: More Diverse Than You Think
One of the biggest misconceptions about accounting is that it’s a narrow field requiring CPA certification for success. In reality, Professor Diaz notes that “there is actually only one job in accounting that you need to hold a CPA license to do, and there are probably thousands of other jobs in accounting that you can do without pursuing a CPA.”
Accounting careers span multiple areas:
- Public accounting (including but not limited to the Big 4 firms)
- Corporate accounting within organizations
- Tax planning and preparation
- Financial reporting and analysis
- Consulting services
- Nonprofit financial management
The beauty of an accounting background, as Professor Diaz put it, is that “it doesn’t close any doors. There are so many opportunities that it provides, but it really doesn’t close any doors to you.”
William & Mary’s Finance Path
The finance curriculum supports careers that generally follow two main trajectories, which Professor Yang clearly outlined:
Corporate Finance Track: This involves working either within companies to manage their money and funding needs or on the banking side to provide funding solutions. You might work for a major corporation like IBM or NVIDIA, helping them raise capital for new projects, or you could work with banks and financial institutions that provide that capital.
Investment Management Track: This focuses on helping individuals and institutions invest their savings and assets. You’re essentially helping people with money connect with opportunities that generate the best returns, whether that’s for individual retirement planning, wealth management or institutional portfolio management.
Professional Certifications: CPA vs. CFA
The certification paths often help clarify which field appeals to you:
- CPA (Certified Public Accountant): Traditionally associated with accounting, though not required for all accounting positions
- CFA (Chartered Financial Analyst): The gold standard for finance professionals, particularly those in investment management
Professor Yang suggests asking yourself: “When you read about the CPA versus CFA, which one appeals more to your mind?” Your instinctive preference often points toward your ideal career path.
How Graduate Programs Prepare You for Certification Success
Both certifications require substantial preparation, and choosing the right graduate program can significantly impact your success.
CPA Preparation Through the Master of Accounting
For CPA candidates, Professor Diaz emphasized that the Master of Accounting program goes beyond simple exam preparation: “Our Master of Accounting program is not a CPA prep course. This is a rigorous academic program. If you succeed in our program, you’re capable of passing the CPA exam. But then, once you start your job, you are going to have a leg up, because you’re going to have a deeper understanding of the issues that you are going to face.”
CFA Preparation Through MS in Finance
Professor Yang explained that William & Mary’s Online MS in Finance program covers all three levels of the CFA curriculum. “We cover all three levels. We focus more on the economic principles, because I always view those as the most difficult—they are not so easily comprehended or mastered.”
The program focuses on building a strong foundation in economic principles rather than just exam preparation, ensuring students understand the underlying concepts that make the CFA material accessible.
The Blurred Lines: Where Fields Intersect
It’s important to note that the boundaries between accounting and finance aren’t always clear-cut. As Professor Yang acknowledged, “the border or the difference between a financial manager and an accountant... is quite blurred. When you work within the firm, you use a lot of accounting information.”
Many finance professionals need strong accounting skills, and many accountants work in roles that have significant financial decision-making components. The key question becomes: Do you want to focus primarily on generating and organizing financial information, or do you want to focus on using that information?
Making Your Decision: Key Questions to Consider
Before choosing between accounting and finance, ask yourself:
- Do you prefer creating systems and ensuring accuracy, or analyzing data to make strategic decisions?
- Are you more interested in the “how much” and “where did it go” questions (accounting) or the “where should it go” and “what will generate the best return” questions (finance)?
- Do you see yourself working primarily within one organization or across multiple clients and situations?
- Are you drawn to regulatory compliance and standards, or market analysis and investment strategy?
Drilling down further between the two options, consider the following questions:
For Accounting Consideration:
- Do you enjoy working with financial statements and ensuring accuracy?
- Are you interested in tax planning and compliance?
- Do you want the flexibility to work across various industries?
- Are you detail-oriented and comfortable with regulatory requirements?
For Finance Consideration:
- Are you passionate about investment markets and portfolio management?
- Do you enjoy analyzing companies and making investment recommendations?
- Are you interested in working directly with investors and managing their wealth?
- Do you thrive on market research and financial analysis?
The Bottom Line: Both Paths Offer Rich Opportunities
Whether you choose accounting or finance, both fields offer robust career prospects and the flexibility to work across industries. Accounting provides a strong foundation in the “language of business” that opens doors across sectors, while finance offers the excitement of strategic decision-making and market dynamics.
The most successful professionals in either field often develop skills in both areas. An accounting background can lead to finance roles, and finance professionals benefit greatly from understanding accounting principles. The key is choosing the program that aligns with your primary interests and career goals.
As you consider your options, remember that your graduate program choice doesn’t lock you into a single career path forever. Both accounting and finance offer the flexibility to evolve your career as your interests and the business landscape change. The most important step is choosing the path that energizes you and aligns with how you want to contribute to the business world.
Secure Your Future Online With William & Mary
Considering a graduate degree in accounting or finance? William & Mary offers online business graduate programs in both areas designed for working professionals, with built-in flexibility and strong industry connections. The key is understanding which path aligns with your career goals and interests.
When you choose William & Mary online, you’re choosing to build the dynamic mindset and skills necessary to stay ahead in today’s complex and rapidly changing business environment. With a close-knit graduate community, you’ll develop personal relationships with your classmates, faculty and program staff while gaining essential business knowledge that creates immediate impact.
Schedule a call with a helpful admissions outreach advisor today to discuss your degree options.