An external auditor performs an audit, in accordance with specific laws or rules, of the financial statements of a company, government entity, other legal entity, or organization, and is independent of the entity being audited.
What does an external auditor do?
An external auditor is a third-party consultant, whose main job is to review a company’s financial records.
Unlike internal specialists, external auditors have not formed a relationship with the company or the employees, that’s why their decision will not be affected by any personal factors.
How much do external auditors make?
On average, external auditors make around $55.000 per year in the United States.
In case you decide to follow this career path, you can expect to earn anywhere between $33.000 and $85.000 annually.
What is the demand for external auditors?
Between 2016 and 2026, the auditor job market is expected to grow by 10%.
This is one of the careers that are going to provide excellent employment opportunities in the near future.
The government regulations are becoming stricter, that’s why there will be a need for more auditors.
Education Requirements for an External Auditor in South Africa
The first step to become an external auditor is your education.
You will need to attend college and complete a four year accounting degree.
Those who complete a degree such as a bachelor of commerce or business administration that has an accounting component may also qualify.
Some accountants go on to complete postgraduate study such as a master’s of accounting, or an MBA.
This is not essential if you want to become an external auditor, but it can help you to land some of the high profile jobs later in your career.
Depending on your goals and preferences, you may decide to become a CPA.
To do this you will first need two years of experience as an accountant, as well as passing a written exam.
To become a CPA you need to undergo continued professional development, and meet with a code of ethics.
After college, apply for graduate roles within auditing firms, or accountancy firms that have a strong external auditing branch.
Here are some of the tasks of an external auditor:
Communicating with a range of clients
Requesting files and records
Ensuring records are accurate
Ensuring a company has followed accounting laws
Ensuring a company has paid tax
Reporting discrepancies to the relevant authority
How long does it take to become an external auditor?
It takes a minimum of 18 months. You must do this period at an auditing firm that is registered with the IRBA. During this period you will gain experience in auditing at a more senior level, you will also be involved in tasks that are more complex.
How do I become an auditor in South Africa?
The path career Internal Auditors follow in sequence is:
Obtaining an academic qualification.
Become a member of the Institute.
Go through the IIA SA’s Professional Training Program.
Write the CIA exam as the final test of competence.
What qualifications do I need to be an auditor?
The first step is to ensure that you are qualified to become an auditor. The basic required qualifications are a bachelor’s degree in the field of finance, accounting or business administration. Most firms will also require specific accounting certifications or qualifications like CPA, ACCA, and ACA.
How much does an external auditor earn in South Africa?
A person working as an External Auditor in South Africa typically earns around 31,000 ZAR per month. Salaries range from 16,100 ZAR (lowest) to 47,500 ZAR (highest). This is the average monthly salary including housing, transport, and other benefits.
IS auditor a good job?
It’s a job in high demand.
As long as there is business to be done, there will be a job for auditors. Experts say the number of jobs for accountants and auditors will grow 11 percent from 2014 to 2024, faster than the average for many other occupations.
How long does it take to become an auditor in South Africa?
Qualifying as a Registered Auditor requires you to first qualify as a Chartered Accountant (SA) and usually takes a minimum of 8 ½ years but can be done in 7 ½ years if you are able to qualify as a Chartered Accountant (SA) within 6 years.
Can you become an auditor without a degree?
Answer: Yes, you can become an auditor without an accounting degree, although this is the preferred degree for auditors, and it will be easier to become an auditor if you have an accounting degree. But you can become an auditor with any degree that focuses on business and finance.