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120-Credit CPA Pathway: Which States Allow It in 2026?

48 jurisdictions have enacted or proposed an alternative to the 150-credit-hour CPA requirement, and 35 of those pathways are already in effect. Here is the complete landscape as of August 31, 2026.

Brennan KolarBy Brennan KolarFounder, Atlas CPA Index
Published March 8, 20266 min readVerified as of August 31, 2026

The Shift Away From 150 Credits

For decades, most states required 150 college credit hours to become a licensed CPA — effectively a five-year degree. That is changing. Driven by a nationwide accounting talent shortage, states are creating alternative pathways that allow candidates to sit for the CPA exam and obtain licensure with a standard bachelor's degree (120 credits) plus additional work experience. In May 2025, NASBA and the AICPA endorsed the 120-hour pathway model in the Uniform Accountancy Act, accelerating state adoption.

States With Active 120-Credit Pathways (Available Now)

These 35 jurisdictions have 120-credit pathway legislation that is currently in effect. Candidates with a bachelor's degree and the required experience can apply under these pathways today. Most follow the common model of bachelor's degree with accounting coursework plus two years of relevant experience.
  • Alaska — HB 121, effective January 1, 2026. Sole 120-credit pathway with no additional experience required.
  • Arkansas — Board rules approved by the Legislative Council February 20, 2026, in effect March 5, 2026. Bachelor's + 2 years CPA-verified experience.
  • Connecticut — HB 7020, effective October 1, 2025. Bachelor's + 2 years experience.
  • Delaware — HB 143, effective July 30, 2025. Bachelor's + 2 years experience.
  • Georgia — HB 148, effective January 1, 2026. Bachelor's in accounting + 2 years experience.
  • Hawaii — SB 1291, effective April 10, 2025. Bachelor's + 2 years or master's + 1 year.
  • Minnesota — SF 3045, effective January 2, 2026. Bachelor's + 2 years experience.
  • Montana — SB 166, effective January 1, 2026. Bachelor's + 2 years experience.
  • Nevada — AB 510, effective January 1, 2026. Bachelor's + 2 years experience.
  • New Hampshire — HB 1259 (Chapter 34), signed April 22, 2026, effective immediately. Bachelor's + 2 years experience plus interstate mobility provisions.
  • New Jersey — A5598, effective February 11, 2026. Bachelor's + 2 years experience.
  • New Mexico — HB 296, effective January 1, 2026. Bachelor's + 2 years or master's + 1 year.
  • North Carolina — SB 321, effective January 1, 2026. Bachelor's + 2 years experience.
  • Ohio — HB 238, effective January 1, 2026. Bachelor's with accounting coursework + 2 years experience.
  • Oregon — SB 797, effective January 1, 2026. Bachelor's + 2 years experience or master's + 1 year.
  • Pennsylvania — SB 719, effective June 30, 2025. Bachelor's + 2 years experience.
  • South Carolina — SB 176, effective June 30, 2025. Bachelor's + 2 years experience.
  • Tennessee — SB 1316, effective January 1, 2026. Bachelor's + 2 years experience.
  • Virginia — HB 2042 / SB 1042, effective January 1, 2026. Bachelor's with accounting concentration + 2 years experience.
  • Washington — Adopted via Board rule-making (WAC 4-30-060 / WSR 25-21-108), effective November 20, 2025. Bachelor's + 2 years experience (24 months, 4,000 hours). Traditional 150-credit pathway sunsets December 31, 2035.
  • West Virginia — HB 4088, signed March 3, 2026, effective May 24, 2026 (now in effect). Three pathways: bachelor's + 30 credits + 1 year, graduate degree + 1 year, or bachelor's + 2 years experience.
  • Wisconsin — 2025 Wisconsin Act 166, signed and effective April 3, 2026. Bachelor's with accounting concentration + 2 years experience.
  • Idaho — HB 563, effective July 1, 2026 (now in effect). Bachelor's (120 credits) + 2 years experience.
  • Iowa — HF 778, signed May 1, 2025, effective July 1, 2026 (now in effect). Bachelor's + 2 years experience plus interstate mobility provisions.
  • Kansas — HB 2573, signed by Gov. Laura Kelly April 9, 2026, effective July 1, 2026 (now in effect). Bachelor's + 2 years experience.
  • Mississippi — HB 1137, signed March 17, 2026, effective July 1, 2026 (now in effect). Bachelor's + 2 years experience.
  • South Dakota — HB 1035, signed by Gov. Larry Rhoden March 2, 2026, effective July 1, 2026 (now in effect). Bachelor's in accounting + 2 years experience plus interstate practice provisions.
  • Utah — SB 15, effective July 1, 2026 (now in effect). Bachelor's with concentration + 2 years experience.
  • Vermont — H.588, signed by Gov. Phil Scott June 8, 2026, effective immediately. Bachelor's (120 credits) + 2 years experience.
  • Rhode Island — Board pathway effective June 23, 2026. Bachelor's with an accounting focus + 2 years (3,640 hours) of CPA-verified experience. AICPA ethics exam score of at least 90 required on every pathway.
  • Kentucky — HB 45, signed by Gov. Andy Beshear April 3, 2026, effective July 16, 2026 (now in effect). Bachelor's + 2 years CPA-verified experience.
  • Nebraska — LB 718, signed by Gov. Jim Pillen February 25, 2026, effective July 17, 2026 (now in effect). Three pathways: master's + 1 year, bachelor's + 30 credits + 1 year, or bachelor's + 2 years experience.
  • Louisiana — HB 548 (Act No. 653), signed by Gov. Jeff Landry June 2, 2026, effective August 1, 2026 (now in effect). Three pathways: bachelor's with accounting concentration + 2 years, bachelor's + 30 credits + 1 year, or graduate/post-baccalaureate degree + 1 year. Removes the sole 150-hour requirement.
  • Texas — SB 262, effective August 1, 2026 (now in effect). Bachelor's + 120 hours + 2 years experience.
  • Missouri — SB 1233, signed by Gov. Mike Kehoe July 13, 2026, effective August 28, 2026 (now in effect). Bachelor's + 2 years experience, or bachelor's + 30 credits / post-baccalaureate degree + 1 year.

States With Enacted Pathways Taking Effect Later

These nine states have signed 120-credit pathway legislation into law, but the effective date has not yet arrived. Candidates can plan around these dates but cannot apply under the new pathway until the effective date passes.
  • Alabama — HB 59, effective October 1, 2026. Bachelor's + 2 years experience.
  • Maryland — HB 643, signed by Gov. Wes Moore April 28, 2026, effective October 1, 2026. Bachelor's with accounting concentration + 2 years experience.
  • Oklahoma — HB 4317, signed by Gov. Kevin Stitt May 5, 2026, effective November 1, 2026. Three pathways: master's + 1 year, bachelor's + 30 credits + 1 year, or bachelor's + 2 years experience, plus individual-based mobility.
  • New York — A7613B, effective November 21, 2026. 120 hours + 2 years experience.
  • Arizona — SB 1181, signed by Gov. Katie Hobbs early April 2026, effective January 1, 2027. Bachelor's + 2 years experience plus individual mobility provisions.
  • California — AB 1175, signed by Gov. Gavin Newsom October 3, 2025, effective January 1, 2027. Bachelor's + 2 years experience (master's degree can substitute for 1 year, approved certificate program for 6 months).
  • Colorado — SB 26-076, signed by Gov. Jared Polis May 4, 2026, effective January 1, 2027. Three pathways: bachelor's + 2 years, bachelor's + 30 additional credits + 1 year, or post-baccalaureate + 1 year.
  • Illinois — HB 2459, effective January 1, 2027. Bachelor's with 120 credits + accounting concentration + 2 years experience.
  • Indiana — HB 1143, effective January 1, 2027. Bachelor's + 2 years experience.

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States With Pending or Proposed Legislation

These four jurisdictions have 120-credit pathway bills still pending, recently stalled, or awaiting a signature. The pace of adoption is accelerating: as of August 31, 2026, 35 jurisdictions have a 120-credit pathway already in effect and 44 have enacted one.
  • District of Columbia — B26-0494 passed the Council unanimously July 14, 2026 and was signed by Mayor Bowser August 10, 2026 as D.C. Act 26-412; awaiting a 30-day congressional review before becoming law. Bachelor's with accounting concentration + 2 years experience, plus individual-based mobility.
  • Florida — SB 364 (Sen. Gruters) passed the Senate twice, but HB 333 was never heard in the House; the bill died when the 2026 session adjourned. FICPA plans to refile in 2027. Proposes multiple pathways including master's + 1 year experience.
  • Massachusetts — S.2946, passed Senate 37-0 February 12, 2026, currently in House Ways and Means Committee. Three pathways: bachelor's + 2 years, bachelor's + 30 credits + 1 year, or master's + 1 year.
  • Michigan — HB 4893, pending in legislature.

What This Means for CPA Candidates

If your state has an active 120-credit pathway, you may be able to sit for the exam and earn your license without completing a fifth year of college or a master's degree. The trade-off is typically an additional year of supervised work experience (two years instead of one). This can save candidates tens of thousands of dollars in tuition and get them into the workforce sooner. Check your specific state board for eligibility requirements, as each state's pathway has different effective dates and qualifications. Explore the data on our interactive pathway map.

How Atlas CPA Index Tracks This

We maintain state-by-state CPA requirement pages covering all 55 NASBA jurisdictions (50 states + DC, Guam, USVI, Puerto Rico, CNMI). Each page includes credit requirements, experience requirements, and pathway details where alternative pathways exist. We update these pages as new legislation takes effect.

Sources

  1. 1.DC Council LIMS — B26-0494, Business Licensing Reform and Accountancy Practice Amendment Act of 2026(accessed Jul 20, 2026)
  2. 2.CFO Dive — Washington D.C.'s CPA Bill Advances to Mayor's Desk(accessed Jul 20, 2026)
  3. 3.Accounting Today — States Move Beyond the 150-Hour Rule(accessed Apr 17, 2026)
  4. 4.CFO Dive — Tracking CPA Licensure Paths(accessed Apr 17, 2026)
  5. 5.CFO Dive — Will 2026 Be a Decisive Year for CPA Pathways?(accessed Apr 17, 2026)
  6. 6.Controllers Council — How States Are Rethinking CPA Licensure(accessed Apr 17, 2026)
  7. 7.CFO.com — CPA Requirements by State(accessed Apr 17, 2026)
  8. 8.Accounting Today — Wisconsin Licensure Law Goes Into Effect(accessed Apr 17, 2026)
  9. 9.Accounting Today — Maryland approves CPA licensure pathways bill(accessed Apr 17, 2026)
  10. 10.CFO Dive — 3 More States Pass CPA Pathways Legislation (Louisiana, Missouri, Vermont)(accessed Jun 7, 2026)
  11. 11.MNCPA — Broadening Pathways to CPA Licensure (national tracker)(accessed Jun 7, 2026)
  12. 12.Louisiana Legislature — HB 548 (2026 Regular Session)(accessed Jun 7, 2026)

Related on Atlas CPA Index

State CPA Requirements →DC Council Passes Pathway Bill (B26-0494) →Four More States Add Pathways (March-May 2026) →West Virginia 120-Credit Pathway (HB 4088) →Four States Add Pathways (April 2026) →Maryland 120-Credit Pathway (HB 643) →Colorado SB 26-076 (Standalone) →Idaho 120-Credit Pathway (HB 563) →Illinois 120-Credit Pathway (HB 2459) →Indiana 120-Credit Pathway (HEA 1143) →Best CPA Review Courses (2026) →
Brennan Kolar

Brennan Kolar

Founder, Atlas CPA Index

Brennan Kolar is the founder of Atlas CPA Index, an independent CPA review comparison platform covering all 55 U.S. jurisdictions. With over 10 years of experience with CPA review, he built Atlas to help candidates find the right review course based on how they actually learn, not which provider has the biggest ad budget.

Learn more about the author

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