New Jersey Expands CPA Licensure Options with Alternative Pathway
January 16, 2026
Key Takeaways
- New pathway effective February 11, 2026: CPA candidates can now qualify with a bachelor’s degree + two years of work experience + passing the CPA Exam — no 150 credits required
- Trade-off is clear: Skip the extra 30 credit hours of coursework in exchange for an additional year of supervised experience
- Mobility provision included: Out-of-state CPAs can now practice in New Jersey without obtaining a separate NJ license, provided they meet baseline requirements
- Bottom Line: Firms that offer structured career development programs gain a recruiting edge as candidates weigh the cost of additional education against earlier workforce entry
Governor Phil Murphy signed legislation on January 12 establishing an alternative pathway to CPA licensure in New Jersey. Assembly Bill A5598 passed unanimously in both chambers, with the NJCPA working alongside bill sponsors Assemblyman Sterley S. Stanley (D-18) and Senator Anthony Bucco (R-25) to advance the measure.
The law takes effect February 11, 2026, and positions New Jersey alongside more than 20 other states that have created similar alternative pathways to address the profession’s pipeline challenges.
What the New Law Changes
New Jersey CPA candidates now have two routes to licensure:
Traditional pathway (unchanged):
- Earn 150 credit hours of education
- Complete one year of qualifying work experience
- Pass the CPA Exam
New alternative pathway:
- Earn a bachelor’s degree (typically 120 credits)
- Complete two years of qualifying work experience
- Pass the CPA Exam
The math is straightforward. Candidates choosing the alternative pathway trade 30 credit hours of additional coursework for one extra year of supervised work experience. For many candidates, this means entering the workforce earlier, earning a salary sooner, and avoiding $20,000 to $50,000 in additional education costs.
CPA Mobility Provisions
The legislation also addresses interstate practice. Under the new mobility rules, CPAs licensed in other states can practice in New Jersey without obtaining a separate NJ license, provided they have:
- A bachelor’s degree or higher
- Passed the CPA Exam
- At least one year of experience as a licensed CPA
The same requirements apply for CPAs seeking reciprocal licensure in New Jersey. This simplifies multi-state practice and reduces administrative burden for firms with clients across state lines.
Safe Harbor for Existing CPAs
CPAs licensed in New Jersey prior to the February 11, 2026, effective date automatically retain their license under a safe harbor provision. No action required — your credential remains valid.
Why This Matters for Employers
Recruiting advantage: Candidates evaluating career paths will weigh firms that can provide qualifying experience toward licensure against those that cannot. Structured mentorship programs, rotational assignments, and clear pathways to CPA eligibility become differentiators.
Earlier talent access: The alternative pathway means qualified candidates with bachelor’s degrees can begin contributing immediately while working toward licensure — no waiting for them to complete a fifth year of coursework.
Retention tool: For corporate finance teams, the two-year experience pathway creates an incentive for staff to stay through their qualifying period. Pair this with CPA exam support, and you’ve built a compelling development program.
Pipeline development: With accounting enrollments showing signs of recovery at various institutions, as noted by NJCPA CEO Aiysha Johnson, firms positioned to capture this talent through experience-based pathways will benefit.
Wiss Perspective
Wiss has long invested in bridging academic preparation and professional practice. Our cooperative program with FDU Silberman College of Business provides students with hands-on experience alongside coursework — exactly the kind of integrated approach this legislation validates.
For firms and finance leaders considering how to leverage the new pathway, the time to develop structured experience programs is now. Candidates making decisions about their path to licensure will be evaluating options well before the February effective date.
Questions about building a CPA talent pipeline or developing staff through licensure? Reach out to a Wiss team member for more information.
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