Primary Michigan CPA CPE Requirements for License Renewal
CPE is a primary requirement of license recertification for members of the AICPA. Because it helps CPAs stay aware of any changes in their industry while teaching new skills and sharpening existing ones. However, not every CPA has to complete the exact same requirements. State Boards of Accountancy are responsible for setting the CPE stipulations for their individual jurisdictions. And this means the Michigan CPA CPE requirements aren’t the same as those in other states. So, each member should understand their state requirements to keep the recertification process as simple as possible.
Specifically, CPAs in Michigan are required to renew their license every two years. And they must also complete a minimum of 40 hours of CPE per year, earning 80 hours each recertification period. The table below further highlights the primary requirements for CPAs in Michigan.
|License Renewal Date||CPE Reporting Period||Total CPE Hours||Self-Study Credit Limitations|
|July 31 biennially (on odd years)||July 1 – June 30 biennially (on odd years)||80 hours||Maximum of 50% of total required hours|
Subject Area Requirements
Licensees must earn at least 4 hours of Professional Ethics credit each renewal period. And at a minimum, they must also complete two of these hours each year. Furthermore, at least 1 of the hours must be in Michigan Statutes and Administrative Rules applicable to Public Policy.
A further 8 hours must also involve Accounting and/or Auditing subject areas.
Credit Limitations and Calculation
Formal instruction or presentation is a viable method of CPE in Michigan. Though, it should be noted CPAs can only obtain up to 50% of their total required hours this way. Here, credit equals three times the length of presentation. However, no credit will be awarded for repeat instruction of the same material.
Self-study is a Board-approved method for earning CPE credits. Though it is limited to 50% of the total required hours. CPAs can complete four of the required eight Accounting and Auditing hours through this method. And furthermore, they can obtain one of the four Ethics hours this way. Credit for self-study is obtainable at a minimum of one-half credit initially. However, it may be earned in one-fifth or one-half hour increments once the first full hour has been achieved.
Active participation in college or university courses can earn up to 15 CPE hours per semester hour. And for a quarter hour course, CPAs can receive up to 10 CPE hours. Alternatively, non-credit university courses provide 1 CPE hour per classroom hour.
Blended learning credit is also an acceptable method for attaining CPE credit. But the amount of credit must fall within the current rounding rules.
Nano-Learning methods will always obtain credit in one-fifth hour increments.
Other Policies and Exemptions
40 hours maximum earned in excess of the 40 hours per year requirement may be carried forward into the following year. 8 hours maximum of Accounting and Auditing may be carried forward into the following year. 2 hours maximum of Ethics per year can be carried forward into the following year.
A non-resident licensee may meet Michigan’s CPE requirements by meeting the CPE requirements of their principal place of business. If the principal place of business does not have CPE requirements, the licensee must meet Michigan’s requirements.
CPAs who do not offer their services to any third parties and who fall into any of the following categories are automatically considered exempt and do not have to complete the CPE requirements for license recertification:
- Unemployed persons
- Persons who have willingly left the workforce
- Persons who are formally inactive with AICPA
Active CPAs can request waivers for CPE requirements on the following bases:
- Health issues
- Military service
- Natural disaster
- Other similar circumstances
Additional CPE Resources for CPAs
Article Written by Braden Norwood
Last updated December 6, 2021