1. Transitioning to the new Practical Experience Requirements
Transition rules are set out in CA Practical Experience Requirements (PER), Section 1.4.1.
Purpose
The purpose of the transition rules is to provide Approved Training Offices (ATOs) as defined in section 1.4.1.1 of the PER with a reasonable period in which to adjust their existing systems for training students and reporting to the profession, and to provide clarity around which rules apply to CA Students registered before September 1, 2009.
Requirements
- The CA Practical Experience Requirements apply to all CA Training Offices for all CA Students in Canada and Bermuda who register with a Provincial Institute/Ordre/Region on or after September 1, 2009.
- All CA firms (including Offices of the federal and provincial Auditors General and the Auditor General of Bermuda) that were already recognized as Approved Training Offices and employing CA Students prior to September 1, 2009 were “grandparented” — i.e., automatically approved — as CA Training Offices (CATOs) under the new requirements for CA Student positions in public practice. For approval for new positions outside the traditional public practice path, such as taxation or business advisory services, speak with your regional CATO Liaison.
- All CA Students registered before that date can elect, with the support of their employer, to qualify under the new requirements or under the requirements in effect at their date of registration.
- All CA Training Offices are required to have a CA Training Program (see Section 3: Approved CA Training Programs) approved by their Provincial Institute/Ordre. In the transition period, the traditional public practice path of CA Students is approved as a grandparented CA Training Program.
- Grandparented CA Training Offices will continue to be subject to periodic review by their Provincial Institute(s)/Ordre.
Q. Are there any significant differences between the practical experience requirements that are effective as at September 1, 2010 compared with the practical experience requirements that came into effect on September 1, 2009?
A. There are two primary differences:
- Modifications to depth and breadth requirements which will allow greater flexibility for both employers and students while maintaining the standards and rigor currently required from all CA Training Offices. These changes need not affect your existing programs or CA students.
- Clarified descriptions of the specific competencies to reflect more accurately the competencies expected of an entry-level CA. These changes required updates to the Record of CA Qualifying Experience (RQE). We suggest you encourage all CA students currently completing the RQE to transition to the new version, though there is no requirement to do so.
It should be noted that any approved CATO positions and career paths that were approved under the 2009 PER meet the requirements of the 2010 PER.
Q. For ATOs that were grandparented, what’s the primary impact of the PER changes that came into effect on September 1, 2009?
A. Grandparented CA Training Offices continuing to train students for public practice will find minimal change to their existing processes for training CA Students, the work they assign to them, and their processes for reporting to the profession as the new requirements are based on the best practices of these firms. The most significant changes are:
- Approved CA Training Program: All CA Training Offices are required to have a CA Training Program approved by their Provincial Institute/Ordre. The training processes provided by grandparented CA Training Offices meet all new practical experience requirements. There are, however, new supervisory and reporting requirements which grandparented CA Training Offices will be required to meet for all CA Students registering with a Provincial Institute/Ordre after September 1, 2009.
- Formalized supervision structure: The new requirements identify three distinct supervisory roles required to develop a CA Student: a Training Principal, Counselling Member and Line Manager. (See Section 8: Supervising CA Students.) This model is based on current practice and the same CA can fill more than one role. In some CA Training Offices the same CA may fill all three roles.
- Record of CA Qualifying Experience (RQE): All CA Students will be required to maintain a Record of CA Qualifying Experience documenting their development of CA competencies. CA Students are expected to maintain their RQE throughout their period of practical experience and to have it available for review by the Provincial Institute/Ordre/Region for a minimum of one year post-certification. (See Section 11: The Record of CA Qualifying Experience.)
- Regular meetings between the Counselling Member and CA Student: Counselling Members are required to meet with their CA Student(s) to discuss their development of CA competencies on a semi-annual basis throughout the employment period. (See Section 9: Semi-annual meetings between Counselling Members and CA Students.) Documentation indicating these meetings have taken place should be maintained by the CA Training Office for review by the profession.
- Specific hour and related reporting requirements to practise public accounting have not changed. (See Section 6: Practical experience requirements for the practice of public accounting.)
Q. What requirements apply to CA Students employed before September 1, 2009?
A. CA Students registered with a Provincial Institute/Ordre/Region and who began employment in a CA Training Office before September 1, 2009 can, in consultation with their employer, continue to acquire their practical experience under requirements in effect at the time of their registration OR transition to the new requirements. The previous requirements were based solely on prescribed chargeable-hour requirements in assurance services (including audit) and taxation services within the required 30-month work term (24 month-term in Quebec.) CA Student registration dates are usually the same as the first day of work with the CA Training Office. Contact the applicable Provincial Institute/Ordre/Region for further information on these requirements.
Q. What requirements apply to summer students and co-op students who began accumulating their practical experience before September 1, 2009?
A. If a summer student or a co-op student registered with their Provincial Institute/Ordre/Region and accumulated some practical experience before September 1, 2009, they will likely continue to acquire their practical experience under the requirements in effect at the time of their registration. However, if a summer student or a co-op student registered with their Provincial Institute/Ordre/Region prior to September 1, 2009 but commenced employment after that date, then the new Practical Experience Requirements would apply. Note: The process and timing of registration is different across Canada. Contact your Provincial Institute/Ordre/Region for more information.
Q. Can a CA Training Office choose to transfer all its students to the new requirements effective September 1, 2009?
A. This is only possible if all CA Students agree, since CA Students have the right to finish their experience under the requirements in effect at their date of registration.
Q. What are the rules for transitioning the experience of a CA Student who started under the prior requirements to the new requirements?
A. There is no requirement to transition students to the new requirements, and both the CA Training Office and all affected CA Students would have to agree to such a transition. The profession is willing to work with any CA Training Office considering such a transition.
Q. All CA Training Offices are now required to have an approved CA Training Program. What CA Training Program is approved for grandparented CA Training Offices?
A. Having an approved CA Training Program is not a NEW requirement. Grandparented CA Training Offices would have had, as an ATO, an approved CA Training Program for CA Students seeking traditional public practice experience. For grandparented CA Training Offices an approved CA Training Program comprises all aspects of that traditional public practice experience, including the prescribed minimum chargeable hours of their Provincial Institute/Ordre. Minimum chargeable-hour requirements include:
- At least 2,500 Chargeable Hours of practical experience, of which at least 1,250 Chargeable Hours are on Assurance Services assignments, of which 625 Chargeable Hours must specifically be on Audit Engagements; and
- An additional minimum of 100 Chargeable Hours in Taxation Services.
Contact the applicable Provincial Institute(s)/Ordre/Region for further information.
Q. Are grandparented CA Training Offices required to document current grandparented programs to demonstrate that they meet new competency-based requirements?
A. No, grandparented CA Training Offices are not expected to document their grandparented CA Training Programs because their training processes meet all required elements of the new practical experience requirements. They must, however, meet the new supervisory requirements, which include meeting with each CA Student at least twice per year to discuss performance and competency development.
Q. What will the assessment of potential new CA Training Offices involve?
A. Assessment will be based on the responsibilities and commitments of a CA Training Office (CA Practical Experience Requirements, Section 2.4.1), including:
- Senior management support of the CA Training Program;
- Characteristics of your firm to support CA training (such as learning policies, code of conduct, etc.)
- Ability of the program to provide CA Students with sufficient opportunity to develop the required CA competencies;
- Supervisory structure; and
- Tracking and reporting CA Student development to the profession.
To find out more about training CA Students outside of the traditional public practice career path, please contact your regional CATO Liaison.
Q. How does a grandparented CA Training Office apply to hire a CA Student directly into taxation or business advisory services?
A. CA Training Offices wishing to provide CA Students practical experience in new positions other than the traditional public practice path should contact their regional CATO Liaison. Your regional CATO Liaison will assist you with the application process.
Q. Many CA Firms hire students into their tax practices, and provide them with an audit rotation to ensure they get the required audit hours to practise Public Accounting. Does this now require separate approval?
A. No. Such rotations are simply a variation on the path for CA Students seeking to practice Public Accounting, and approval of these programs is grandparented. Only career paths that are not intended to lead to the practice of Public Accounting during the period of practical experience would require approval under the new expanded experience requirements.
Q. Will the experience of a CA Student gained in a CA Training Office awaiting approval for a position not leading to public practice be recognized?
A. Yes. CA Student experience accumulated during the approval period will receive pre-registration credit as long as it meets the criteria required for recognition of that experience. Speak with your regional CATO Liaison to understand the process and required documentation.
Q. When a CA Training Office approved to train CA Students in public practice receives additional approval to train in other areas (such as tax), can registered CA Students working in that other area prior to the approval be transferred into the newly approved area? Will the CA Student’s prior experience be counted towards the new area?
A. Generally yes, as long as the CA Student has been developing the required depth and breadth of CA competencies in the other area. Contact your Provincial Institute/Ordre for approval to switch these CA Students from public practice into the new area, and for approval of their applicable work experience.
2. Overview of responsibilities for CA Qualifying Experience
CA Training Office Responsibilities are defined in CA Practical Experience Requirements (PER), Section 2.4.
Supervision requirements are defined in Section 4.
Reporting requirements are defined in Section 5.
Purpose
The primary purpose of the CA practical experience requirements is to ensure that all CA Students are employed in an appropriate working environment that offers sufficient quality and quantity of experience opportunities, with the required supervision to develop the competencies expected of the newly qualified CA, and that CA Students have developed these competencies before admission to membership as Chartered Accountants.
Requirements
The practical experience component of CA qualification is a partnership between approved CA Training Offices and the profession. CA Students also have specific responsibilities to be admitted to membership in a Provincial Institute/Ordre. The following diagram provides an overview of these responsibilities.
Overview of the New CA Practical Experience Model
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Q. How are CA Training Offices approved?
A. Applications are approved based on the commitment and ability of the applicant to provide CA Students with a sufficient quality and quantity of experience opportunities to meet the profession’s practical experience requirements. CA firms and organizations in the corporate and government sectors interested in becoming CA Training Offices should contact their regional CATO Liaison. Regional CATO Liaisons will work with interested organizations to develop an application.
Q. Are organizations approved on a national basis, or must each office be separately approved?
A. The CA profession is regulated provincially, which means that approval is required in each province in which the CA Training Office wishes to train CA Students. To facilitate the process for organizations wanting to train CA Students in more than one province, the profession reviews their submissions on a Canada-wide basis, generally ensuring approval decisions in all applicable provinces at the same time. Your regional CATO Liaison can facilitate this multi-jurisdiction approval process on your behalf.
Q. What are the main responsibilities and commitments of a CA Training Office?
A. In general CA Training Offices are responsible for:
- Providing an appropriate working environment that prepares CA Students to become CAs;
- Providing a CA Training Program that offers a diverse range of progressive practical experience opportunities for CA Students to learn, demonstrate and develop their competencies;
- Meeting the specific hour requirements for CA Students seeking to practise public accounting (where applicable);
- Ensuring CA Students document their competency development using the profession-supplied Record of CA Qualifying Experience;
- Providing appropriate supervision;
- Providing training or ensuring provision of training;
- Ensuring each CA Student meets with his/her Counselling Member at least semi-annually; and
- Maintaining approval as a CA Training Office with its Provincial Institute/Ordre.
For more information, refer to the information booklets for Training Principals and Counselling Members.
Q. What are the specific responsibilities of CA Training Offices for providing practical experience for CA Students seeking to practise Public Accounting?
A. Qualifying experience for public accounting can be offered only by CA firms (including offices of the federal and provincial Auditors General and the Auditor General in Bermuda.) CA Students seeking to practice public accounting must meet the profession’s competency requirements in a carefully prescribed manner (see Section 6: Practical experience requirements for the practice of public accounting), while meeting the specific chargeable-hour requirements for public practice. The chargeable-hour requirements for qualifying experience to practise public accounting remain unchanged: the ability to provide CA Students with at least 2,500 Chargeable Hours, with specific minimum chargeable hours in Assurance Services, Audit Engagements and Taxation Services. For specific details on Chargeable-Hour requirements, contact or visit the website of your Provincial Institute/Ordre.
Q. What are the reporting requirements for a CA Training Office?
A. CA Training Offices must provide their Provincial Institute/Ordre/Region with all required information on their CA Training Program and on their CA Students. Further, all CA Training Offices must ensure that their Provincial Institute/Ordre has access to any records/information deemed necessary to ensure its continued recognition as a CA Training Office (See Section 10: Reporting to the profession).
Required information will generally cover:
- HR and Training Policies supporting CA training (such as learning policies, code of conduct, etc.);
- Evidence that CA Students are provided with sufficient opportunity to develop the required CA competencies (variety of clients and assignments, and increasing responsibility and progression);
- Evidence that all CA Students are appropriately supervised and counselled; and
- Evidence of semi-annual meetings between CA Students and Counselling Members.
For each CA Student employed by a CATO, the Training Principal will also be required to sign a report for the profession attesting to the CA Student’s period of employment in the CA Training Office’s CA Training Program.
Q. What are the responsibilities of the CA Student to his/her Provincial Institute/Ordre/Region?
A. The CA Student’s responsibility to the profession with regard to practical experience is the maintenance of his/her Record of CA Qualifying Experience. This is a tool provided to every CA Student in which he/she is required to track and self assess his/her CA competency development. On completion of his/her term of qualifying experience (or when changing employers prior to completing the experience requirements), the CA Student is required to sign-off on the completion (or their progress towards completion) of the profession’s practical experience requirements (See Section 11: The Record of CA Qualifying Experience). The CA Student is required to maintain an up-to-date copy of his/her RQE throughout their period of employment, and a copy of the completed RQE for a minimum of one year after certification.
3. Approved CA Training Programs
“CA Training Program” is defined in the glossary of the CA Practical Experience Requirements (PER). The requirements for CA Training Programs are set out in Section 2.3.
Purpose
The purpose of defining and approving a CA Training Program is to ensure that every CA Training Office offers a sufficient quality and quantity of experience opportunities, through a variety of assignments and progression to increasing levels of responsibility, for CA Students to develop the competencies required of an entry-level CA.
Requirements
All CA Training Offices are required to provide CA Students with a CA Training Program, developed specifically for CA Students, approved by the applicable Provincial Institute/Ordre, and featuring:
- Structured training positions with a sufficient range of progressively complex assignments, increasing responsibility and high quality practical experience in the required CA competencies;
- The systems, programs and people needed to supervise, monitor and counsel the CA Students in the development of the CA competencies; and
- Compliance with the reporting and ongoing monitoring requirements of their Provincial Institute/Ordre/Region.
Q. Are there special provisions for grandparented CA Training Offices?
A. Yes. All CA Training Offices are required to have a CA Training Program approved by their Provincial Institute/Ordre. The training processes provided by grandparented CA Training Offices meet all new practical experience requirements. There are, however, new supervisory and reporting requirements which grandparented CA Training Offices are required to meet for all CA Students registering with a Provincial Institute/Ordre after September 1, 2009 (See the Grandparented CA Firm Information Sheet).
Q. How is the proposed CA Training Program assessed?
A. The proposed CA Training Program is assessed according to its ability to provide sufficient quality and quantity of experience opportunities for the CA Student to develop the required CA competencies with sufficient depth and breadth to meet the competency expectations of a newly qualified CA. The Provincial Institute/Ordre/Region will work closely with potential employers to ensure these expectations are understood and to develop an appropriate program. Any deficiencies in an application will be discussed with the prospective CA Training Office in a timely fashion. Guidance on the development of a CA Training Program can be provided through your regional CATO Liaison.
Q. How is the CA Training Office expected to document their program?
A. Your regional CATO Liaison will help you document all of the required information that must be submitted for approval.
Q. Who determines that a CA Student has completed the CA Training Office’s CA Training Program?
A. The CA Training Office is responsible for ensuring the CA Student completes the CA Training Program in accordance with the CA Training Office’s expectations. The Training Principal is required to confirm completion in the Certification Signoff to the profession. The Counselling Member is responsible for informing the Training Principal if a CA Student is NOT progressing according to CA Training Office expectations. A Sample Certification Signoff is available in the PER.
Q. What if there is a dispute between the CA Student and the CA Training Office?
A. The profession relies entirely on the CA Training Office Certification Signoff, which should be signed only if the CA Training Office is confident that all aspects of the CA Training Office’s approved CA Training Program have been met. The profession encourages CA Training Offices to develop dispute mechanisms within their policies and procedures to ensure fairness to all parties. Given the ongoing mentoring by the Counselling Member during semi-annual meetings, such disputes should be rare.
Q. The new requirements indicate “three years” of practical experience. Is this new?
A. No. Three years of practical experience is not a new requirement; though provinces have traditionally measured the period differently. The three-year period will continue to be measured as 30 months of “field” experience (24 months in Quebec), allowing time for study periods, vacations, personal days, etc. within the three years in addition to the completion of the post-graduate professional education programs. Co-op placements also count towards qualifying practical experience. Extended leaves of absence may extend this three-year requirement beyond the expected completion date. Any questions or concerns should be discussed directly with your Provincial Institute/Ordre/Region (See Section 4: Ensuring sufficient quality and quantity of practical experience opportunities to develop the competencies expected of a newly qualified CA).
Q. As the profession moves to a competency-based model, will CA Training Offices be required to track and report on study leave, vacation, sick leave, etc., during the student’s practical experience term?
A. Yes, this requirement continues.
4. Ensuring sufficient quality and quantity of practical experience opportunities to develop the competencies expected of a newly qualified CA
Requirements for the minimum term of practical experience (duration) are set out in Section 3.2 of CA Practical Experience Requirements (PER).
Requirements for depth and breadth of direct experience in CA competencies are set out in Section 3.3.
The CA competencies are set out in Appendix 1.
Purpose
The purpose of the duration, depth and breadth requirements is to ensure that the CA Student has sufficient opportunity to build on his or her foundation of academic knowledge by developing their competencies in the workplace.
Requirements
The CA profession’s approach to CA Qualification is competency-based, focusing not just on what the CA Student knows, but also on what he or she can do with that knowledge. Thus the expectations of CA Students are expressed as “CA competencies” — the knowledge, skills and attitudes expected of a CA Student. All CA Students are exposed to CA competencies through their academic training and are subject to examination on the full range of competencies in the Uniform Evaluation (UFE).
A unique feature of the CA Qualification process is the requirement that all CA Students develop a significant number of these CA competencies in the workplace, and CA Training Offices are approved on the basis of their ability to provide CA Students with sufficient opportunities to do so.
There are two kinds of CA competencies:
- Pervasive Qualities and Skills, comprising Ethical Behaviour and Professionalism, Personal Attributes and Professional Skills; and
- Specific, or Technical competencies, of which there are six broad areas: Performance Measurement and Reporting; Assurance; Taxation; Governance, Strategy and Risk Management; Management Decision-Making; and Finance.
During their terms of practical experience, CA Students are expected to acquire significant experience in both.
Minimum term of practical experience:
- The minimum term or practical experience is three years, including graduate-level professional education.
Depth and breadth requirements:
- CA Students are expected to develop and demonstrate all of the pervasive qualities and skills of the newly qualified CA;
- To meet the profession’s depth requirements for practical experience, the CA Student is expected to gain sufficient direct working experience in ALL of the specific competencies of ANY ONE of the six specific areas of competence. For the majority of the competencies, the CA Student is expected to demonstrate Level 2 proficiency (Section 3.4). In addition, all CA Students are expected to demonstrate an awareness of emerging topics in their area of depth, either independently or as part of a team, with little direction or supervision (Section 3.4);
- To meet the profession’s breadth requirements for practical experience, the CA Student is expected to gain sufficient direct working experience in at least half of the competencies in TWO additional areas of Specific Competency and demonstrate the ability to work at Level 2 proficiency in at least half of those (Section 3.4). If the CA Student’s area of depth is not Performance Measurement and Reporting or Assurance, then one of the two areas of breadth must be Performance Measurement and Reporting and must provide the opportunity to gain sufficient direct working experience in the three competencies highlighted in Appendix 1 of the PER and demonstrate the ability to work at Level 2 proficiency in all three. These three competencies, demonstrated at Level 2 proficiency, are sufficient to satisfy an area of breadth requirement in Performance Measurement and Reporting when the CA Student’s area of depth is not Performance Measurement and Reporting or Assurance.
Minimum Requirements on Final RQE for Your Chosen Depth Area:
| Specific Competency Areas |
Min # of |
Min # of |
Total |
|
|
|
|
Assurance |
3 |
4 |
7 |
Performance |
3 |
4 |
7 |
Taxation |
2 |
4 |
6 |
Governance, Strategy and Risk Management |
2 |
4 |
6 |
Management Decision-making |
3 |
4 |
7 |
Finance |
3 |
4 |
7 |
Minimum Requirements on Final RQE for your chosen Breadth areas:
| Specific Competencies | Minimum number of Competencies |
Minimum number of Competencies |
Total |
Assurance |
2 |
2 |
7 |
Performance |
2 |
2 |
7 |
Taxation |
1 |
2 |
6 |
Governance, Strategy and Risk Management |
1 |
2 |
6 |
Management Decision-Making |
2 |
2 |
7 |
Finance |
2 |
2 |
7 |
“Sufficient direct working experience” is the amount of quality experience required for the CA Student to develop the expected level of proficiency in each competency (See Section 5: Proficiency expected of CA Students, for a discussion of expected proficiency levels).
Q. What does the CA Training Office need to understand about CA Competencies, and where can they get this information?
A. CA Training Offices, through their Training Principals and Counselling Members, are required to gain a general understanding of the CA Competencies as set out in Appendix 1 in the document CA Practical Experience Requirements. More detailed information on the CA Competencies is available in The UFE Candidates Competency Map; however, Training Principals and Counselling Members are not required to become experts of this detailed document. Further information is also provided through the profession’s information booklets for Training Principals and Counselling Members.
Q. What do CA Students need to understand about CA Competencies and where can they get that information?
A. CA Students are required to gain a thorough understanding of all CA Competencies through their academic studies as well as through their practical experience. This knowledge will also be very important for CA Students as they approach the Uniform Evaluation (UFE), as these competencies mirror the competencies that are assessed in the UFE.
Students typically gain an understanding of the CA Competencies through training programs, many of which are delivered by the applicable Provincial Institute/Ordre/Region and by preparing for the UFE. Students should thoroughly read and understand the CA competencies as set out in Appendix 1 in the document CA Practical Experience Requirements.
Q. Is the CA Training Office expected to provide CA Students with experience in all the CA competencies listed in Appendix 1 to CA Practical Experience Requirements?
A. No. CA Training Offices are approved based on their ability and commitment to provide CA Students with a significant range of experience in the CA Student’s areas of Depth and Breadth. Specifically, the CA Training Office is expected to provide the CA Student with exposure to:
- All the competencies in his/her area of depth; and
- At least half of the competencies in at least two other areas of Specific (or Technical) Competencies to achieve the required breadth. For positions offering depth in Taxation, Governance, Strategy and Risk Management, Management Decision-Making or Finance, one of the breadth requirements must be provided in Performance Measurement and Reporting, with breadth defined as a Level 2 proficiency in three specific competencies (see the PER or the RQE for details on these three specific competencies). Achieving these three competencies at Level 2 proficiency satisfies the requirement for one breadth area.
For more information on experience in CA Competencies, refer to Section 3.3 of CA Practical Experience Requirements, and to the Training Principal and Counselling Member booklets.
Q. We have an internal performance evaluation system that currently documents and evaluates performance development of our staff. Is it acceptable for us to use that system to measure CA competencies?
A. Yes. It is the CA Training Office’s responsibility to provide evidence of:
- A semi-annual discussion between the CA Student and the Counselling Member; and
- Results of that discussion, e.g., that the CA Student was progressing as expected in the firm’s program and, if not, counselling/direction provided.
An internal performance evaluation system documenting these items is acceptable.
While it is highly recommended that CA Students use the RQE provided by the profession, some CATOs have developed software that will track the same information. The RQE is the CA Student’s responsibility and as such they are required to ensure that all sections of the RQE are adequately covered off if they are using a CATO’s software instead of the profession’s RQE. They must also retain a copy of their RQE for at least one year following certification.
5. Proficiency expected of CA Students
CA competencies are set out in Appendix 1 of the CA Practical Experience Requirements (PER).
Depth and Breadth requirements are set out in Section 3.3.
Purpose
The purpose of proficiency expectations is to ensure that CA Training Offices understand the profession’s expectations of an entry-level CA related to the development and demonstration of CA Competencies and that all CA Students use the same levels of proficiency in their self-assessment for admission to the profession. The proficiency expectations define the level of competency expected of the newly qualified CA in his or her chosen areas of depth and breadth on admission to membership in a Provincial Institute/Ordre.
Requirements
CA Students are expected to develop two kinds of competencies during their period of practical experience: Pervasive Qualities and Skills and Specific (or Technical) competencies (See Section 4: Ensuring sufficient quality and quantity of practical experience opportunities to develop the competencies expected of a newly qualified CA).
To qualify as a CA, the CA Student must demonstrate the proficiency expectations of the entry level CA in all the Pervasive Qualities. CA Students are also exposed to technical competencies through their professional education programs. As noted in Section 4 above, they are expected to acquire direct experience in ALL the Specific Competencies in their area of depth and at least half of the competencies in two other Specific Competency areas. For positions offering depth in Taxation, Governance, Strategy and Risk Management, Management Decision-Making or Finance, one of the breadth requirements must be provided in Performance Measurement and Reporting, with breadth defined as a Level 2 proficiency in three specific competencies (see the PER or the RQE for details on these three specific competencies). Achieving these three competencies at Level 2 proficiency satisfies the requirement for one breadth area.
For the level of proficiency they are expected to demonstrate in these areas of depth and breadth during their period of practical experience, the profession defines two levels of proficiency:
- Level 1, at which the CA Student has the basic knowledge and skill required to complete the assigned task with supervision and direction; and
- Level 2, at which the CA Student can apply the underlying knowledge and skill working independently or as part of a team.
Q. The wording of some specific competencies appear to be beyond what would reasonably be expected of an entry-level CA, especially if working for or with a larger and/or more complex organization. Can you provide clarity on what’s reasonably expected to demonstrate a Level 2 proficiency?
A. There are a wide variety of training environments available to CA students, with the number of options likely to increase over time. As a result, the competency statements are developed to ensure all CA students are developing the experience required of an entry-level CA. The key barometer for competence is in assessing where an entry-level CA would reasonably be expected to perform within a particular CA Training Office (organization or CA firm). In doing so, one must consider the level of complexity of the underlying task. Counselling Members, who are CAs within the CA Training Office, should be able to assist with this assessment. All CA Training Programs offering expanded experience opportunities have a customized competency map, which correlates tasks to competencies, and a sample template for CA firms training in the traditional audit-based career path is provided in the Resources section (Sample Audit Competency Mapping Tool).
To provide some clarity on proficiency levels, consider these three illustrative examples:
1. The traditional audit-based career path of a national CA firm vs. a small local CA firm. The last competency in Assurance includes participates in a presentation to stakeholders. An entry-level CA working at a national CA firm may be exposed to auditing multinational organizations. Presentation to stakeholders is likely limited to meetings with the client to discuss the audit and related findings (likely complex with material impacts). The audit engagements of an entry-level CA working for a small local CA firm may include privately held organizations, where the audit findings may be less complex, but presentations by entry-level CAs would include participation with the audit committee and/or Board of Directors. For CA students, both of these situations could theoretically contribute to developing the last competency in Assurance at a Level 2 proficiency.
2. External Financial Reporting for a large publicly-traded national corporation vs. a privately-controlled regional organization. Working in a corporate CA Training Office often includes practical experience with financial reporting. However, the specific tasks relating to the sixth competency in Performance Measurement and Reporting (prepares and/or reviews financial statements and accompanying notes) could be quite different, pending the level of complexity of the organization and related financial statements. For example, an entry-level CA working on the financial statements for a large publicly-traded national corporation may be assigned specific accountabilities for the overall financial statements (i.e., liabilities and related note disclosures). The level of complexity may substantiate a CA student developing a Level 2 proficiency, since an entry-level CA would not reasonably be expected to have overall accountability for the entity’s financial statements and a CA student could apply the competencies they developed to other areas of the financial statements. Meanwhile, an entry-level CA working for a privately-controlled regional organization may be expected to draft the complete set of financial statements, which would also support a Level 2 proficiency for a CA student.
3. Spending one year of practical experience in the external audit practice of a CA firm that is approved to train CA students vs. the internal audit department of a corporate CA Training Office. The internal audit department of a corporate CA Training Office may be limited to one industry, depending on the structure of the organization, and possibly with a small number of employees. The resulting industry specialization and exposure may provide CA students with an active involvement to most aspects of a large number of financial and operational audits within one year. This could substantiate CA students developing the required number of competencies at a Level 2 proficiency for Assurance to be considered an area of depth. However, within the first year of experience in the external audit practice of a CA firm, CA students may not get sufficient exposure to the risk assessment and planning stages in order for Assurance to be considered depth. In these latter cases, sufficient exposure to the competence expected of an entry-level CA, for the purposes of Assurance being an area of depth, may not happen until years 2 or 3.
Q. Who is responsible for assessing student’s proficiency levels?
A. CA Students are expected to self-evaluate their proficiency using the profession supplied Record of CA Qualifying Experience (see Section 11: The Record of CA Qualifying Experience), and to discuss this assessment with their Counselling Members at least semi-annually (See Section 9: Semi-annual meetings between Counselling Members and CA Students). The Counselling Member (who is not expected to become a competency map expert) will review this self-evaluation with the student at semi-annual meetings held throughout the period of practical experience, and will record that the review has taken place, for example, by signing the Record of CA Qualifying Experience, or by making a notation in the CA Student’s personnel files. Should there be a significant difference of opinion in respect of the self assessment, it should also be sufficiently documented by the Counselling Member. At the end of the practical experience term, the Training Principal will sign-off the Certification Sign-off indicating that the CA Student has met all the requirements of the CA Training Program which has been approved by the applicable Provincial Institute/Ordre. A Sample Certification Signoff is available in the PER.
Q. What happens if the CA Student’s assessment of his/her proficiency level is not consistent with the CA Training Offices assessment?
A. While the profession expects the Counselling Member to guide and mentor the CA Student in the self assessment documented in his/her RQE, the RQE and the related signoff are the responsibility of the CA Student. The Counselling Member is expected to document any differences of opinion in respect of the CA Student’s self assessment and to inform the Training Principal if the CA Student has not met the minimum expected level of progression in the CA Training Office. The Training Principal should sign the CA Training Office Certification Signoff only if he/she is confident that all aspects of the CA Training Program have been met.
Q. If A CA Training Office has a performance measurement tool, such as an internal rating scale, to measure the performance of all staff, does the profession expect that tool to be used to measure “the progression expectations” per the certification sign-off?
A. Yes. It is the responsibility of the CA Training Office to assess the CA Student’s completion of its approved CA Training Program, including the CA Student’s progression relative to expectations, using the tools it would normally use for all employees. Every CA Student is, however, still required to maintain the Record of CA Qualifying Experience.
6. Practical experience requirements for the practice of public accounting
Practical experience requirements for the practice of public accounting are set out in CA Practical Experience Requirements (PER), Section 3.7.
Purpose
The practice of public accounting is defined and controlled by statute in most jurisdictions in Canada. In all cases, the requirements for the practice of public accounting are expressed in terms of Chargeable Hours. The CA profession’s practical experience requirements are designed to fulfill all provincial requirements, ensure reciprocity of the CA designation and practice rights across the country, meet international requirements, and meet the requirements for reciprocity with all those international accounting bodies with which the Chartered Accountants of Canada have Mutual Recognition Agreements.
Requirements
The specific practical experience requirements of CA Students seeking to practise Public Accounting with full reciprocity across Canada and in Bermuda are strictly prescribed. These students must develop their CA competencies by:
- Choosing Assurance as their area of depth;
- Developing their CA Specific Competencies on specific types of assignments - i.e., Assurance Services, Audit Engagements and Taxation Services; and
- Meeting the specific Chargeable Hour requirements of their Provincial Institute/Ordre, which generally include:
- At least 2,500 Chargeable Hours of practical experience, of which at least 1,250 Chargeable Hours must be in Assurance Services assignments, of which at least 625 Chargeable Hours must be specifically on Audit Engagements; and
- An additional minimum of 100 Chargeable Hours in Taxation Services.
Qualifying experience for the practice of public accounting can be acquired only in a CA firm (including Offices of the federal and provincial Auditors General and the Auditor General of Bermuda) specifically approved by a Provincial Institute/Ordre to train students for the practice of public accounting.
Note that these are general requirements. The specific regulations and bylaws of the Provincial Institutes/Ordre for CA Qualification and the specific licensing regime or authority within each province to control Public Accounting take precedence.
Q. What changes have been made to the requirements to practise public accounting?
A. The requirements to practise public accounting are largely unchanged and generally include:
- At least 2,500 Chargeable Hours of practical experience, of which at least 1,250 Chargeable Hours must be in Assurance Services assignments, of which at least 625 Chargeable Hours must be specifically on Audit Engagements; and
- An additional minimum of 100 Chargeable Hours in Taxation Services.
Note that these are general requirements. The specific regulations and bylaws of the Provincial Institutes/Ordre for CA Qualification and the specific licensing regime or authority within each province to control Public Accounting take precedence.
Q. What is the path for CA Students seeking to meet the requirements to practise public accounting during their period of CA Qualification?
A. All CA Students must meet the profession’s competency and proficiency requirements set out in Sections 3.2, 3.3 and 3.4 of CA Practical Experience Requirements to qualify as a Chartered Accountant. CA Students seeking to also meet the requirements to practise public accounting during their CA Qualification period must meet these competency requirements by:
- Choosing Assurance as their area of depth;
- Choosing at least two other areas as their areas of breadth;
- Developing their CA Specific Competencies on specific types of assignments - i.e., Assurance Services, Audit Engagements and Taxation Services; and
- Meeting the specific hour requirements noted above.
Q. Can a CA who qualified without meeting the specific practical experience requirements to practise public accounting meet those requirements post-qualification?
A. Yes. CAs who did not complete the specific hour requirements during their period of CA Qualification, or qualified outside of the traditional public practice path, can gain the necessary practical experience and chargeable hours to practise public accounting after qualification by acquiring the necessary experience in a CA Training Office approved to provide such experience (See Section 7: Rules for qualifying to practise public accounting after certification as a Chartered Accountant).
Q. Are CA Training Offices required to track all hours that qualify for the right to practise public accounting for all CA Students, including those not pursuing the practice of public accounting?
A. Yes. All CA Firm Training Offices are required to track these hours, which may count towards the right to practise public accounting should the CA Student decide to pursue public accounting experience post-certification.
Q. Must the CA Training Office provide all CA Students with the mandatory tax experience within their period of qualifying practical experience?
A. Yes. CA Training Offices approved for public accounting (including all grandparented CA Training Offices) are approved based on their ability to offer all the mandatory chargeable hours required for the practice of public accounting, including tax hours. Positions not offering the mandatory chargeable tax hours would not be defined as public accounting positions and therefore would have to be approved separately by the Provincial Institute/Ordre as non-traditional paths.
7. Rules for qualifying to practise public accounting after certification as a Chartered Accountant
Rules for becoming eligible to practise Public Accounting post-certification are set out in CA Practical Experience Requirements (PER), Section 3.7.
Purpose
Requirements for post-certification licensure ensure all CAs qualified to practise public accounting have the requisite experience in CA Firms approved to offer such experience.
Requirements
CAs who qualified outside of the traditional public practice path can gain the necessary experience to practice public accounting after qualification by acquiring:
- At least two years of practical experience, including 2,500 Chargeable Hours, in Public Accounting in a CA firm, including Offices of the federal and provincial Auditors General and the Auditor General of Bermuda, approved by a Provincial Institute/Ordre/for Public Accounting experience; and
- The prescribed minimum Chargeable Hours in Assurance Services (1,250), including Audit Engagements (625 hours) and Taxation Services (100 hours).
This experience must be acquired within a rolling five-year period.
The CA will NOT be required to rewrite the UFE.
Contact the applicable Provincial Institute/Ordre for further information on these requirements.
Examples
The following chart summarizes the additional requirements needed for licensure for CAs from different practical experience backgrounds.
Example |
Requirements Satisfied: |
Additional Requirements |
|
Hours |
Time |
||
CA completed all experience in industry. |
No |
No |
Two years in public practice and the required prescribed hours within a rolling five-year period. |
CA began experience in a CA firm and transferred to a CA Training Office in industry before qualification. During the time at a CA firm, all the prescribed hours were completed. |
Yes |
No |
An additional two years in public practice. Once the two years are complete, the CA must evaluate if he/she has satisfied the prescribed hour requirement within a rolling five-year period. |
CA completed all experience in a CA firm in an area other than assurance (e.g., Tax or Advisory Services). Within a five-year rolling time period, the CA has acquired all the prescribed hours. |
Yes |
Yes |
None |
CA completed all experience in a CA firm in an area other than assurance (e.g., Tax or Advisory Services). CA has not acquired the prescribed hours in the last five years. |
No |
Yes |
Obtain the prescribed hours specified for licensure within a rolling five-year period. |
CA started career in industry. After one year, the CA accepted a position at a CA firm and qualified as CA while at the firm. At the point of qualification, the CA had satisfied the chargeable hour requirement. |
Yes |
No |
Additional year in public practice. The one year in industry would count towards the CA designation, but not towards the right to practice public accounting. Three years of public accounting experience prequalification are required for licensure. |
Q. Can CAs who qualify without meeting the requirements to practise public accounting do so after certification as a Chartered Accountant?
A. Yes. They can do so by meeting the mandatory experience requirements laid out above.
Q. Will they be required to rewrite the UFE?
A. No, the CA will not be required to rewrite the UFE.
Q. If a CA qualified with practical experience primarily in areas other than the traditional public accounting path, such as taxation or business advisory services, in a CA Training Office approved to provide public accounting experience and gains some, but not all, of the chargeable hours required to practise public accounting, would these hours count towards qualifying public accounting experience post-certification?
A. Yes, assuming the total experience requirements for public accounting are met within a rolling five-year period. This is why it is important for CA Training Offices to track all audit, assurance and tax hours for all CA Students, even those not immediately pursuing public accounting (See Section 6: Practical experience requirements for the practice of public accounting).
Q. If a CA qualified with practical experience primarily in areas other than the traditional public accounting path, such as taxation or business advisory services in a CA firm only approved to train students that are not seeking to practice public accounting, and gains some, but not all, of the chargeable hours required to practise public accounting, would these hours count towards qualifying public accounting experience post-certification?
A. Yes, subject to review by your PICA/Ordre, and assuming the total experience requirements for public accounting are met within a rolling five-year period. The exception is audit hours. Audit hours within a CA firm only approved to train students in a non-traditional path must be pre-approved by your PICA/Ordre in order for them to count towards qualifying public accounting experience. This is why it is important for CA Training Offices to track all audit, assurance and tax hours for all CA Students, even those not immediately pursuing public accounting. If you have any questions or concerns, please speak with your CATO Liaison (See Section 6).
Q. Will these CAs have full reciprocity to practise public accounting across Canada and in Bermuda?
A. Yes.
Q. What does it mean to acquire the necessary experience “within a rolling five-year period”?
A. To ensure appropriate currency of competencies, the chargeable-hour requirements for public accounting must be met within a five-year period. Experience that is more than five years old “expires” and must be re-demonstrated.
Q. Will this experience meet all international standards?
A. Yes. As prescribed, it meets international standards and the requirements of our Mutual Recognition Agreements with international accounting bodies.
8. Supervising the CA Students
Requirements for the supervision of CA Students are set out in CA Practical Experience Requirements (PER), Section 4.
Purpose
The primary purpose of the supervision requirements is to ensure that all CA Students are properly supervised and that their period of practical experience is under the overall direction of a Chartered Accountant.
Requirements
Supervision as used in this document deals specifically with the processes in place to monitor and review a CA Student’s progress towards becoming a Chartered Accountant.
The new requirements identify three distinct supervisory roles:
- The Training Principal, who must be a member in good standing with a Provincial Institute/Ordre (and in Quebec must be a member of the Quebec Ordre);
- The Counselling Member, who must also be a member of a Provincial Institute/Ordre or a member of an accounting body with whom the Canadian profession has a Mutual Recognition Agreement; and
- The Line Manager, who is approved by the Training Principal as an appropriate supervisor for the specific task or assignment.
One CA may perform one or more of these supervisory roles.
The key requirement that all CA Students must be under the overall supervision of a member in good standing in a Provincial Institute/Ordre is unchanged.
- Counselling Members, who are first and foremost CA mentors, are required to meet with CA Students at least semi-annually to discuss their CA Student’s progress in the CA Training Program. However, these meetings can be integrated into the CA Training Office’s performance review process.
- Reporting requirements have been modified. In addition to signing off on the chargeable-hour requirements, the CA Training Office’s Training Principal is required to sign off that:
- the Counselling Member has met with the CA Student at least semi-annually,
- the CA Student has met the CA Training Office’s progression expectations in the CA Training Program; and
- the CA Student is of good moral character (a long-standing requirement in most provinces).
A CA Training Office may employ up to three CA Students for every CA in the office, which is generally sufficient for most employers. Should you wish to hire more students than otherwise allowed by this provision, please contact your CATO Liaison. Counselling Members should restrict the number of students for whom they are responsible to ensure that they can provide reasonable support.
Guidance on the responsibilities of Training Principals and Counselling Members is provided to all CA Training Offices.
Q. Is the CA Training Office expected to submit the names of Training Principals to the Provincial Institute/Ordre/Region?
A. Yes. All CA Training Offices are required to submit the name(s) of Training Principal(s) to their Provincial Institute(s)/Ordre/Region to ensure that there is a pathway for communications between the CA Training Office and the Provincial Institutes/Ordre/Region.
Q. Is the Counselling Member expected to be a member of the Provincial Institute/Ordre in which the CA Student is seeking membership and is the CA Training Office expected to submit the names of Counselling Members to the Provincial Institutes/Ordre/Region?
A. The preference is for a Counselling Member to be a member in good standing with the Provincial Institute/Ordre in which the CATO is located. If this is not possible, the Counselling Member must be a member in good standing of a Provincial Institute/Ordre.
A CATO may request that a member in good standing with a foreign professional accounting body with which the Canadian CA profession has a Mutual Recognition Agreement, and who is eligible to become a member of a Provincial Institute/Ordre under that Agreement, be approved as a Counselling Member. While there is no general requirement for the names of Counselling Members to be submitted to the Provincial Institutes/Ordre/Region, in these limited circumstances the name will need to be submitted to the Provincial Institute/Ordre/Region to confirm standing and eligibility under the appropriate Mutual Recognition Agreement.
CA Training Offices should refer to the regulations of the appropriate Provincial Institutes/Ordre for specific details in their jurisdiction of the requirements of a Counselling Member.
Q. Must the student be under the overall supervision of a CA in all practical experience paths?
A. Yes, the CA Student must be under the overall supervision of a CA in all practical experience paths. The purpose of this requirement is to provide the CA Student with the necessary access to a CA, a requirement which the profession feels is critical to the development of well-rounded, high quality CAs. A CA Student may, however, be under the direct task or assignment supervision of a Line Manager who is not a CA, as long as that Line Manger is senior to the CA Student, is competent in supervision, and technically competent to undertake and supervise the specific task or assignment. In these situations, the Counselling Member should take on a more active mentoring role.
9. Semi-annual meetings between Counselling Members and CA Students
Requirements for regular meetings between Counselling Members and CA Students are set out in CA Practical Experience Requirements (PER), Section 4.3.7.
Requirements to document that these meetings have taken place and the Record of CA Qualifying Experience are set out in Section 5.2.1.1.
Purpose
The purpose of the semi-annual meetings is to formalize the mentoring relationship between the Counselling Member and the CA Student and to ensure that the student has appropriate access to a Counselling Member.
Requirements
The Counselling Member is responsible for mentoring the CA Student in his/her progress towards becoming a Chartered Accountant, for modelling the values of the CA Profession, and for ensuring that the CA Student participates fully in the opportunities available through the CA Training Office’s CA Training Program. Counselling Members are required to inform the Training Principal if a CA Student for whom they are responsible is not progressing according to the expectations of their CA Training Program.
Q. What should Counselling Members discuss with CA Students at their semiannual meeting with regard to CA competencies?
A. As a mentor, the Counselling Member will use his/her judgement with regard to both the CA Student’s needs and the expectations of the CA Training Office in planning meetings with individual CA Students. The main focus of these reviews should be on the quality of the CA Student’s participation in the CA Training Program and their progression in that program according to employer expectations. In assessing this, the Counselling Member would also:
- Review with each CA Student his/her assignments, tasks and key learning experiences as they relate to the development of entry-level CA competencies in the CA Training Program; and
- Review and discuss the CA Student’s Record of CA Qualifying Experience, including his/her reflective thought piece on key learning experiences since the last meeting, and progress in the development of CA competencies.
Q. How should the Counselling Member lead the discussion on CA Competency Development?
A. It is expected that many organizations will ensure that the CA Competency development is part of the normal performance review cycle for all employees in the organization. The CA Student would provide the Counselling Member with the completed Record of CA Qualifying Experience (including the self assessment of specific competencies) before each meeting. The RQE would be used as the basis for the competency discussion. The Counselling Member may also wish to obtain input on the CA Student’s progress from his/her Line Manager(s).
Q. How flexible are the date requirements (must the meetings be every six months)?
A. While CA Students must meet with their Counselling Member at least semi-annually, the timing of the meetings is flexible. At a minimum, the CA Student is expected to meet with his/her Counselling Member at least six times during their period of practical experience (four times in Quebec.) Where the CA Student is completing a number of rotations in different areas, these meetings should be planned so that at least one meeting takes place during each rotation.
Q. How will the RQE accommodate co-op work terms or placements of four or eight months?
A. There are no special provisions for co-op work terms, or for placements of four or eight months. It is recommended that these meetings take place at the end of work terms/placements of less than six months duration and that at least two meetings take place if the term is greater than six months.
10. Reporting to the profession
Reporting requirements are set out in CA Practical Experience Requirements (PER), Section 5.
Purpose
The CA Training Office’s report to the profession on the CA Student’s qualifying practical experience is required for admission to membership as a CA.
Requirements
Provincial Institutes/Ordre require a two-part sign-off on practical experience to admit a CA Student to membership:
- A Report of the Training Principal, which attests to the CA Student’s period of employment in the CA Training Office’s CA Training Program; and
- A statement from the CA Student that he/she has met the practical experience requirements.
The Training Principal signs off that:
- The CA Student has completed the required term of employment;
- The organization is an approved CA Training Office with an approved CA Training Program;
- The CA Student has completed the CA Training Program and progressed according to expectations;
- The CA Student has met with his/her Counselling Member at least semiannually;
- The CA Student is of good moral character; and
- (If applicable) The CA Student has met the Chargeable Hours requirement for public practice, and provides the actual number of Chargeable Hours worked.
The CA Student signs off that he/she has met the profession’s depth and breadth requirements as documented in his/her Record of CA Qualifying Experience. Should a student change employers, it is the responsibility of the Training Principal to provide the Provincial Institute/Ordre/Region with a Certification Signoff on the CA Student’s progress on the above matters to the time of departure.
A Sample Certification Signoff is available in the PER.
Q. Who will mediate any disagreement between the CA Training Office and the CA Student with regard to fulfillment of the profession’s requirements?
A. With respect to the practical experience portion of this requirement, the CA Training Office has the final say in determining whether these requirements have been met. As the CA Training Office is the organization that signs off on the completion of the CA Training Program, it makes the final decision on whether the CA Student has completed the CA Training Program. The certification should not be signed until the CA Training Office is confident that all aspects of the CA Training Program have been met. While such disputes should be infrequent, the profession encourages CA Training Offices to develop dispute mechanisms within their policies and procedures to deal with these types of situations and to ensure fairness to all of the parties involved.
Q. What does “good moral character” mean?
A. This signoff is already required in some jurisdictions, and the definition has not changed. This reference to character in the signoff for practical experience is included to ensure that CA Students are aware that all CAs are expected to perform in an ethical manner and with professionalism as detailed in the Pervasive Qualities and Skills. Good moral character is about character and suitability for membership. It requires judgement and it is not a new request from the profession for someone seeking admission to the profession. Criteria to consider include integrity, objectivity, due care, confidentiality, professional behaviour and adherence to professional standards. At a minimum, CA Students are expected to be in compliance with all of the Rules of Professional Conduct as set out by their applicable Provincial Institute/Ordre.
Q. What must CA Training Offices and CA Students report to the Provincial Institute/Ordre/Region when a CA Student has been employed for only part of the term of practical experience?
A.
Situation |
CA Training Office Responsibilities |
CA Student Responsibilities |
The student leaves the CA Training Office before completing requirements |
Training Principal completes certification signoff and submits Student Chargeable Hour Summary (if any) to Provincial Institute/Region/Ordre |
Completes Record of CA |
The student completes a summer or work-term placement |
Training Principal completes certification signoff and submits Student Chargeable Hour Summary (if any) to Provincial Institute/Region/Ordre |
Completes Record of CA |
The student has completed some practical experience elsewhere |
Continues with semi-annual meetings; assesses if the student has met the expected level of progression in their CA Training Program |
Provides new employer with RQE completed based on experience obtained with |
The student moves to another office/location of the same CA Training Office |
(If the new office or location is in another jurisdiction) Registers the CA Student with the applicable Provincial Institute/Region/Ordre |
Provides new office with |
The student moves within a CA Training Office to another functional area (for example, from audit to tax.) |
Continues with semi-annual meetings; assesses if the student has met the expected level of progression in their CA Training Program |
Brings Record of CA Qualifying |
Q. Can the CA Training Office affect when the CA Student receives his/her designation?
A. Yes. While the final decision on admitting a CA Student to membership as a Chartered Accountant belongs to the Provincial Institute/Ordre, generally this decision is based on his/her academic record, successful completion of a Regional professional education program, UFE results and completion of practical experience requirements. Practical experience requirements have been met when the CA Training Office signs off that the CA Student has completed the approved CA Training Program, met with his/her Counselling Member at least semi-annually, progressed according to CATO expectations, and the CA Student signsoff on the attainment of depth and breadth.
Q. How will the profession monitor compliance with the profession’s Practical Experience Requirements?
A. The profession will review the experience provided by all CA Training Offices to ensure that they are providing all their CA Students with the consistent, high quality experience necessary to develop high quality CAs.
Q. What does the profession review?
A. The profession will review documentation recorded in the system to provide evidence that the Counselling Member has met at least semi-annually with assigned CA Students, that the RQE was discussed and, where there has been a significant difference of opinion between the Counselling Member and the CA Student as to any of the student’s self assessments, the reasons thereof. CA Student RQEs must also be available either directly from CA Students or from the CA Training Office if it retains a copy after each meeting with Counselling Members. This documentation should be maintained for at least one year after the CA Student has qualified as a CA for review by the Provincial Institute/Ordre.
11. The Record of CA Qualifying Experience (RQE)
The Record of CA Qualifying Experience (RQE) is a simple form provided to all CA Students by the profession. The requirements for the RQE are set out in Section 5.2.1.2 of CA Practical Experience Requirements (PER).
The related sign-off requirements are set out in Section 5.2.1.2
Purpose
The Record of CA Qualifying Experience is a tool to help the CA Student record and consider his/her competency development, particularly in his/her areas of depth and breadth.
Requirements
All CA Students are required to complete and discuss their RQE at least semi-annually with their Counselling Member, and to retain a copy of their RQE for at least one year following certification.
Counselling Members are required to provide evidence, for example, by a signoff, that these semi-annual reviews, including discussions of CA competencies, have taken place.
CA Training Offices are required to maintain appropriate documentation for review by the Provincial Institute/Ordre on request to demonstrate that:
- Counselling Members met with their CA Students at least semi-annually;
- The RQE was discussed during those meetings; and
- In those rare circumstances where there are significant differences of opinion between the Counselling Member and the CA Student as to the specific competencies developed and/or the proficiency achieved, and the CA Student refuses to revise his/her RQE as appropriate, the reasons thereof.
Q. Are there any significant differences between RQE that is effective as at September 1, 2010 compared with the RQE that came into effect on September 1, 2009?
A. No. The only differences relate to the clarification of the descriptions of the specific competencies to reflect more accurately the competencies expected of an entry-level CA. These changes required updates to the Record of CA Qualifying Experience (RQE). While it is recommended that you encourage all CA students currently completing the RQE to transition to the new 2010 version, there is no requirement to do so and the 2009 version of the RQE will still be available for completion.
Q. What time period does the RQE cover? Is it cumulative or does each RQE cover only the period since the last RQE was completed?
A. The RQE is a cumulative assessment of the CA Students competency development to date. Therefore, it is expected that the RQE will reflect the specific competencies and the pervasive qualities and skills of the CA Student over the total period of their practical experience to the end date of their RQE. The Reflective Thought area of the RQE is expected to capture key learning experiences during the period covered by the RQE and therefore this section (Section IV) of the RQE may not be cumulative.
Q. Must all CA Students complete the profession-supplied Record of CA Qualifying Experience, or can the CA Training Office incorporate the profession’s RQE into its own management systems?
A. While it is highly recommended that CA Students use the RQE provided by the profession, some CATOs have developed software that will track the same information. The RQE is the CA Student’s responsibility and as such they are required to ensure that all sections of the RQE are adequately covered off if they are using a CATO’s software instead of the profession’s RQE. They must also retain a copy of their RQE for at least one year following certification.
Q. What does the profession review?
A. CA Training Office documentation that Counselling Members have met with their assigned CA Students to discuss their Records of CA Qualifying Experience at least semi-annually and, where there has been a significant difference of opinion between the Counselling Member and the CA Student as to any of the student’s self assessments, the reasons thereof. In addition, each CA Student’s RQE (or equivalent) must be available for review by the applicable Provincial Institute/Ordre/Region, either directly from the CA Student or from the CA Training Office if it retains copies for its records. They may be requested during the Provincial Institute/Ordre’s periodic reviews of the CA Training Office (See Section 10: Reporting to the profession).
Q. Who is responsible for attesting that the CA Student has met the profession’s competency requirements, including depth and breadth?
A. The CA Student is responsible for signing off on the attainment of the profession’s depth and breath requirements. The CA Training Office is required to confirm that the CA Student has completed its CA Training Program and met the expected level of progression within the CA Training Program.
Q. CA Practical Experience Requirements indicate that CA Training Offices may use their internal performance management systems to capture students self-reflective thought. Will the profession require access to the firm’s performance measurement system?
A. Yes, it may be necessary on occasion to ensure the integrity of the system. This access will likely be limited to a review of the documentation recorded in the system to provide evidence that the Counselling Member has met at least semi-annually with assigned CA Students and that the RQE was discussed.
Q. Why must the CA Student retain a copy of his/her RQE for at least one year following certification?
A. The profession monitors CA Training Offices to ensure CA Students receive the quality experience they require to develop the CA competencies. As part of the monitoring process, the profession may review a sample of the Record of CA Qualifying Experience to confirm the process of Counselling Member meetings and competency discussion. The at least one year following certification requirement provides the Provincial Institute/Ordre with time to conduct their review (See Section 10: Reporting to the Profession).
12. The Specific Competencies
The Specific Competencies (which are sometimes also called “Technical Competencies”) refer to the individual competencies that CA Students may demonstrate over their term of practical experience which are grouped into six categories:
- Performance Measurement and Reporting;
- Assurance;
- Taxation;
- Governance, Strategy and Risk Management;
- Management Decision-Making; and
- Finance.
Each category has several underlying competencies. A complete list of competencies can be found in Appendix 1 of the PER.
Purpose
CA Students develop and demonstrate the Specific Competencies in order to meet the depth and breadth requirements of the PER in order to become a CA.
Requirements
All CA Students are required to gain the depth and breadth of competency development of a newly qualified CA as set out in Section 3.3 of the PER.
Q. Some of the Specific Competencies refer to "within an entity". Does this mean it can only be developed if working within and not for an entity?
A. No. All of the specific competencies can be achieved from either an internal or external perspective.
Q. The last competency in Assurance includes participating in a presentation to stakeholders. Is this limited to participating in a presentation to the Audit Committee or Board of Directors?
A. No. Stakeholders includes, but is not limited to, the Audit Committee and Board of Directors. It would also include participating in or holding a meeting with a client (internal or external).
Q. Is it possible to develop the last competency in Governance, Strategy and Risk Management without exposure to information systems risk?
A. Yes. Information systems risk is only one specific example within the broader context of this competency.