Is a CPA also a fiduciary?
A CPA is not automatically a fiduciary. The CPA license is granted by a state board of accountancy. It covers accounting, audit, and tax work, plus a state code of conduct. That code asks for honesty, due care, and independence in audit work. It does not, on its own, make a CPA a fiduciary for personal financial advice. CPAs become fiduciaries when they take on a separate role. That can be a registered IAR at an RIA, a trustee, an executor, or any role spelled out in a written engagement letter. The American Institute of CPAs also has a credential called the Personal Financial Specialist, or PFS. The PFS is for CPAs who do financial planning. PFS holders must act as fiduciaries when they give financial advice. So a CPA may be a fiduciary, depending on the role. The CPA alone is not the answer. Read the engagement letter and the firm's Form ADV.
Where a CPA usually is a fiduciary
- CPA/PFS at a fee-only RIA. Both the CPA's professional rules and the firm's RIA registration apply.
- CPA acting as a trustee. The trust law itself imposes a fiduciary duty.
- CPA serving as an executor. Same — the duty is built into the role.
- CPA in audit work for a public company. Independence and due care obligations are in play, though "fiduciary" is a different word.
Where a CPA usually is not a fiduciary
- CPA doing only tax prep. No fiduciary duty for personal financial advice.
- CPA at a tax firm without an RIA arm. Same — the CPA is competent but not bound to fiduciary advice.
- CPA selling insurance on the side. That insurance role pays commissions and is not fiduciary advice.
How to confirm
Ask in writing: "In this engagement, are you acting as a fiduciary for me regarding financial advice?" If the CPA is also a PFS or works at an RIA, the answer is yes. If the CPA is doing tax prep only, the answer is no — and that is fine, as long as you understand the boundary.
Why the distinction matters
A CPA who is also a PFS at a fee-only RIA is the deepest mix you can find. They have the tax depth to spot real planning issues and the legal duty to actually act on them in your interest. A CPA who only files your return is doing useful work, but the work ends when the return is filed. Knowing which kind you have keeps you from leaning on tax-prep advice for planning questions it was never built to answer.