Kentucky CPA CPE Requirements

How to reach the regulator directly.

Kentucky State Board of Accountancy
332 West Broadway, Suite 310
Louisville, KY 40202-2115

Tel: (502) 595-3037
Fax: (502) 595-4500

Email: CPA@ky.gov

The regulator's own published rules and related resources.

Kentucky State Board of Accountancy

The total continuing education hours required.

Updated January 6, 2017: A licensee who worked 3,000 hours or more in a public accounting firm licensed with the board during the two (2) calendar years prior to the renewal date of his or her license shall complete eighty (80) CPE hours. The eighty (80) hours shall be completed during the preceding two (2) calendar years. All other licensees shall complete sixty (60) CPE hours.

"Worked" means hours devoted by a licensee that are documented as billasble and non-billable hours to a public accounting firm or client.

The detailed rules behind that total -- category minimums, ethics, and other conditions.

Technical Standards Course Requirements:

Effective March 3, 2020: Beginning January 1, 2021, fifty (50) percent of the eighty (80) hours and sixty (60) hours shall include technical standards courses.

• Definition: 'Technical standards courses' means continuing education courses if the subject matter area of the courses are accounting, auditing, business law, economics, finance, information technology, management services, professional ethics, statistics, securities, tax, and specialized areas of industry, all of which shall contribute directly to the professional competence of a licensee.
• July 15, 2020: Note from CeriFi: The KY Board has confirmed that the biennial CPE period, January 1, 2021 - December 31, 2022, will be the first CPE period where the 'Technical Standards' course requirement is due.

Attest Services or Compilations or Preparation of Financial Statement Engagement Requirement:

Effective March 3, 2020 / Updated August 31, 2021: Beginning January 1, 2021, licensees who worked in a public accounting firm licensed with the board during the two (2) calendar years prior to the renewal date of his or her license and who perform attest services (as defined in KRS 325.220), or compilation or preparation of financial statement engagements subject to the American Institute of Certified Public Accountants (AICPA) Statements on Standards for Accounting and Review Services (SSARS) shall complete eight (8) hours of CPE in the subject matter area of auditing or accounting each calendar year for a total of sixteen (16) hours per reporting period.

• July 15, 2020: Note from CeriFi: The KY Board has confirmed that the biennial CPE period, January 1, 2021 - December 31, 2022, will be the first CPE period where this requirement is due.

Personal Development Limitation:

Effective March 3, 2020: Beginning January 1, 2021, licensees required to obtain eighty (80) hours of CPE may include eight (8) hours of personal development courses toward the required hours, and licensees required to obtain sixty (60) hours of CPE may include up to twelve (12) hours of personal development courses in the required hours.

• Definition: An acceptable personal development course shall be limited to a course intended to improve the time management, leadership, team building, goal setting, and similar soft skills related to working in an office or professional setting.
• July 15, 2020: Note from CeriFi: The KY Board decided to allow CPAs to utilize the new amount of personal development courses if they renew in 2022 (i.e., January 1, 2020 - December 31, 2021 CPE period) but only if they complete the personal development courses in 2021. Personal Development courses completed before January 1, 2021 are not accepted for CPE credit in KY.

Ethics:

Updated January 6, 2017: [Effective with license renewal for July 1, 2010 and subsequent years,] A licensee shall complete two (2) CPE hours in professional ethics. These two (2) hours shall be included as part of the eighty (80) or sixty (60) CPE hours a licensee is required to complete to renew his or her license.

• NOTE: July 5, 2013: CeriFi has confirmed with the KY Board that NASBA-approved "behavioral ethics" courses can be counted toward the ethics CPE requirement.

How the reporting cycle is structured.

Biennial.

CPAs with even-numbered certificates: January 1, even-numbered years - December 31, odd-numbered years.

CPAs with odd-numbered certificates: January 1, odd-numbered years - December 31, even-numbered years.

When a reporting cycle begins.

January 1, every two years.

How completed credits are reported to the regulator.

Online procedure offered by the Board.

If a certified public accountant is unable to utilize the online procedure, he or she shall:

1. Submit a written request to obtain a paper application to the Kentucky State Board of Accountancy;
2. Complete and submit the application to the Board; and
3. Submit the applicable fee.

Reporting and Controls:

A licensee shall obtain the appropriate documentation to establish that he or she completed the continuing professional education requirements.

The documentation shall be retained by the licensee for a period of five (5) years.

Course completion evidence shall consist of a document prepared by the course sponsor indicating the licensee completed a formal program of learning. A document shall include the:

1. Name of the program sponsor;
2. Title and description of course content;
3. Dates attended;
4. Number of CPE hours awarded.

Effective September 4, 2009: A licensee who completed continuing professional education courses that complied with the requirements of this administrative regulation and were presented by or on behalf of his or her employer may submit to the board a list of the courses completed if the list contains the:

1. Information described in subsection (3) of this section; and
2. Signature of the person at the licensee's place of employment who verifies the accuracy of such information for a third party.

The renewal or reporting deadline.

• CPAs with even-numbered certificates: report in even-numbered years.
• CPAs with odd-numbered certificates: report in odd-numbered years.

Continuing professional education ("CPE") hours are required to be completed in the two calendar years prior to the year during which a license must be renewed. The two calendar years are referred to as the "reporting period."

Effective January 2011: Beginning this year (2011) a license assigned an odd number will expire August 1st, 2011 instead of July 1st, 2011.

• From August 2nd until September 1st a CPA will be allowed to renew an expired license online but will be charged an additional fee.
• On September 2nd and thereafter a CPA will be required to fulfill the reinstatement requirements to retain his or her license.

Effective 2011: End of Grace Period (Taken from the KY Board Website): For a number of years CPAs have received additional time following the conclusion of the reporting period to complete their CPE; however this "grace period" has never been part of the law that governs CPE. As a result, following a review of CPE requirements and procedures the members of the Board of Accountancy determined that since the "grace period" is not authorized by law, CPAs cannot be given this additional time to complete their CPE.

Therefore every CPA due to renew a license in July of 2012 must have completed all of their required CPE between January 1, 2010 and December 31, 2011. This requirement also applies to those CPAs scheduled to renew their license in 2013. Those CPAs must complete their CPE between January 1, 2011 and December 31, 2012. The 2 hour ethics course is still required as part of your CPE requirement.

Any CPA who fails to complete the CPE by the December 31 deadline will not be eligible to renew his or her license. Instead the CPA will be required to use the reinstatement procedure to retain the license.

→ Get monthly reminders before this deadline

What happens if the requirement is not met.

The board shall conduct annually a random audit to verify a certain percentage of licensees completed the amount of continuing professional education hours required to renew his or her license.

Effective January 6, 2017: A licensee who misrepresented that he or she completed the sixty (60) or eighty (80) CPE hours at the time the licensee renewed his or her license shall not be eligible for a retirement, medical, or extreme personal hardship waiver after being selected to participate in an audit.

Reduced or prorated requirements for a first renewal.

A licensee who held a license for less than a full two (2) calendar year period shall obtain two (2) CPE hours for each full month a license was held not to exceed the total number of required hours for the reporting period.

Effective September 24, 2009: The two (2) hours in professional ethics shall not be required to be part of the hours completed in this time period.

Rules for professionals licensed elsewhere.

Updated January 6, 2017: A certified public accountant who, for the two (2) calendar years prior to renewal of his or her license, did not operate or work in an office in this state shall satisfy the requirements of this section by complying with the continuing professional education requirements for renewal of his or her license:

1. In the state in which the licensee's principal office is located; or
2. In the state in which the office is located where the licensee worked a majority of the time.

If the state designated by paragraph (a) of this subsection does not have continuing professional education requirements for renewal of a license, the licensee shall comply with all continuing professional education requirements for renewal of a license in this state.

Who may be excused from all or part of this requirement.

Waivers from Continuing Professional Education (Updated January 6, 2017):

A reduction or waiver may be granted by the board if the licensee:

1. Establishes that he or she is temporarily physically or psychologically unable to complete the continuing professional education requirements. The licensee shall submit an Initial Request for Waiver of CPE Requirements form with each request and a written statement:
   1. From a licensed physician or other appropriate licensed health care provider that substantiates the physical or psychological claim of the licensee; and
   2. That describes the licensee’s working status during the time the licensee was unable to complete the continuing education, the licensee's current working status, and if the licensee plans to return to work;
2. Has encountered a temporary extreme hardship, which was so severe that it was extremely difficult or impossible to meet the continuing professional education requirements. The licensee shall submit an Initial Request for Waiver of CPE Requirements form with each request and a written statement that:
   1. Describes in detail the facts associated with the extreme hardship; and
   2. Provides documentation to substantiate the extreme hardship; or
3. Is completely retired from practice and is fifty-five (55) years of age or older. To be considered completely retired, the licensee shall not perform accounting services in the practice of public accounting (which includes the preparation of tax returns), education, government or industry except for management of personal assets or investments.

The board shall advise a licensee in writing whether the request is approved or denied.

A licensee granted a waiver shall reaffirm the basis of the waiver when the license is next renewed by completing the:

1. License Renewal - CPE Waiver Due to Medical or Extreme Personal Hardship form; or
2. License Renewal - CPE Retirement Waiver form.

A licensee completing the "License Renewal - CPE Waiver Due to Medical or Extreme Personal Hardship" form shall submit with the form updated medical documentation to support that the basis of the waiver continues to limit the licensee's ability to meet the CPE requirements.

If the circumstances which form the basis of the waiver change, the licensee shall notify the board within thirty (30) days from the date of the change and resume compliance with the continuing professional education requirements from the date of the change.

If the waiver request is granted, the licensee shall pay the license renewal fee listed in 201 KAR 1:065 on or before August 1.

Reinstatement:

A license expired for a period of more than one (1) month or voluntarily surrendered for any reason except when a complaint is pending before the board may be considered by the board for reinstatement if the applicant:

• Submits a completed "License Reinstatement Application";
• Documents compliance with the continuing professional education requirements established in subsection (2) of this section; and
• Submits a money order or check in the amount of $200 made payable to the Kentucky State Board of Accountancy.

An applicant shall document successful completion of either sixty (60) or eighty (80) hours of continuing professional education, based on the amount of hours the applicant was to have completed when the applicant’s license expired or was voluntarily surrendered. The hours shall:

• Include accounting or auditing courses that comprise at least one-half of the total amount of hours of continuing professional education required for the applicant;
• Include two (2) hours of coursework in professional ethics;
• Have been completed within two (2) years of the reinstatement request; and
• Not have been previously used to satisfy Kentucky license renewal requirements.

An individual who at the time of submitting an application is actively licensed in another state that maintains a continuing education requirement shall satisfy all of the requirements of this section except for the continuing education hours noted above.

65/25 Exemption Rule:

Effective September 4, 2009: The 65/25 exemption rule shall end after the period ending December 31, 2009.

Prior to September 4, 2009: 65/25 Rule: For periods ending on or before December 31, 2009, a licensee who at the time of renewal is sixty-five (65) years of age or older and has been licensed continuously for twenty-five (25) years or more shall be exempt from the continuing education requirements.

Whether unused credits can apply to the next period.

Not permitted.

→ CE Tracking calculates carryover for you

Rule changes the regulator has finalized, with effective dates.

Refer to the specific sections above for more details on any of the items noted below.

Breakdown of Specific Requirements:

Effective August 31, 2021: The KY Board made a minor change to the accounting and auditing requirement that began on January 1, 2021:

• New Language: Beginning January 1, 2021, licensees who worked in a public accounting firm licensed with the board during the two (2) calendar years prior to the renewal date of his or her license and who perform attest services (as defined in KRS 325.220), or compilation or preparation of financial statement engagements subject to the American Institute of Certified Public Accountants (AICPA) Statements on Standards for Accounting and Review Services (SSARS) shall complete eight (8) hours of CPE in the subject matter area of auditing or accounting each calendar year for a total of sixteen (16) hours per reporting period.
• Prior Language: Beginning January 1, 2021, licensees who prepare audits, reviews, compilations, or the preparation of financial statements shall complete eight (8) hours of CPE in the subject matter area of auditing or accounting each calendar year for a total of sixteen (16) hours per reporting period.

Effective March 3, 2020: The KY Board revised CPE rules. Changes included:

1. Technical Standards Courses Requirements: Beginning January 1, 2021, fifty (50) percent of the eighty (80) hours and sixty (60) hours shall include technical standards courses.
2. Audits, Reviews, Compilations, Preparation of Financial Statements Requirement: Beginning January 1, 2021, licensees who prepare audits, reviews, compilations, or the preparation of financial statements shall complete eight (8) hours of CPE in the subject matter area of auditing or accounting each calendar year for a total of sixteen (16) hours per reporting period.
3. Personal Development Limitation: Beginning January 1, 2021, licensees required to obtain eighty (80) hours of CPE may include eight (8) hours of personal development courses toward the required hours, and licensees required to obtain sixty (60) hours of CPE may include up to twelve (12) hours of personal development courses in the required hours.
4. Refer to paragraphs above preceded by "March 3, 2020" for other minor updates.

Effective January 6, 2017: The KY Board revised CPE rules. Changes included:

• Revised language regarding Waivers
• Revisions to recognized KY fields of study
• CPE credit for nationally recognized Certifications and Licenses
• Rule language is revised to allow increments of CPE credit of less than one hour provided that there is a minimum of 50 minutes earned first.
• Courses which don't qualify.
• Additional minor wording/language modifications.

Refer to the sections above which are prefaced with "Effective/Updated January 6, 2017."

Reporting Date:
Effective January 2011: Beginning this year (2011) a license assigned an odd number will expire August 1st, 2011 instead of July 1st, 2011. Licenses will be renewed online and the fee remains at $100.

• From August 2nd until September 1st a CPA will be allowed to renew an expired license online but will be charged an additional $100 fee.
• On September 2nd and thereafter a CPA will be required to fulfill the reinstatement requirements to retain his or her license.
• Every CPA with an odd numbered license will be receiving more information about this change through a 2011 mailing, an article in the State Board Ledger, and information posted on this website.

NOTE: April 12, 2011: has confirmed with the KY Board, that license registration remains on a biennial basis, and only the renewal date is changing. The months and days noted above for odd numbered licensees renewing in 2011 will similarly apply in 2012 when even numbered licensees renew.

Breakdown of Specific Requirements:
Effective September 4, 2009: Effective with license renewal for July 1, 2010 and subsequent years, each licensee shall report to the board successful completion of two (2) hours of continuing professional education in professional ethics. These two (2) hours shall be included as part of the eighty (80) or sixty (60) hours a licensee is required to complete to renew his or her license.

• These 2 hours are part of not in addition to the 80 or 60 CPE hours that CPAs are required to obtain to renew their license. The course material does not have to relate solely to the Kentucky laws and regulations. If a CPA has already completed an ethics course based upon the laws and regulations of another state board of accountancy that course can be used to satisfy the KY requirement.

Reporting Method:
Effective September 4, 2009: A licensee who completed continuing professional education courses that complied with the requirements of this administrative regulation and were presented by or on behalf of his or her employer may submit to the board a list of the courses completed if the list contains the:

1. Information described in subsection (3) of this section; and
2. Signature of the person at the licensee's place of employment who verifies the accuracy of such information for a third party.

Requirements for New Licensees:
Effective September 24, 2009: The two (2) hours in professional ethics shall not be required to be part of the hours completed in this time period.

Exemptions:
Effective September 4, 2009: The exemption from continuing education requirements for a licensee who at the time of renewal is sixty-five (65) years of age or older and has been licensed continuously for twenty-five (25) years or more shall end after the renewal of licenses in 2009.