AAT 2014 Student Guide

Focus on the future with the
AAT Accounting Qualification

4
Five steps to AAT
1. Read this guide
Get to know the qualification outline and take a look at some of our success stories. You’ll find more details about
the AAT Accounting Qualification on page 16.
2. Select your training provider
Pick and enrol with a training provider whose learning options suit you. Providers are always happy to advise
you without obligation, so feel free to ask about the qualification before you register.
3. Register as an AAT student member
To start your training, you’ll need to register with us as an AAT student member. Join a network of 130,000
members – go online at aat.org.uk/start
4. Qualify
Develop your skills and underpin them with knowledge. Two to three years of practical training and diligent study,
and you’ll have achieved a recognised, professional qualification for your CV. And with full support from AAT,
you’ll keep your career on the right path.
5. MAAT status
Once you’ve qualified, and built up your work experience, you’ll be entitled to apply for AAT professional
membership: a respected sign of accounting excellence. And, with the letters MAAT after your name,
it’s a great way to stand out from the crowd.

5
Contents
How AAT can help you 7
Where employers look for accounting talent 8
AAT: a sound choice in every financial sense 10
AAT training providers: working with us for you 11
Learning options to suit your lifestyle 13
What will the qualification cost? 14
Support at every stage of your journey 15
The route to qualification: introductory level 16
The route to qualification: intermediate level 18
The route to qualification: advanced level 20
What happens after qualifying 24

6
Seeking a professional
qualification to support
20 years in NHS finance,
Jason Tonge started with
AAT Access and now
has advanced level in
his sights.
“I work in management
accounts for a £300m
hospital trust. We regularly
report to Government on
financial performance,
so we need to produce
accurate figures
and forecasting.
Although I’ve lots of
experience, I had nothing
on paper to show that
I could do the job. But
Lancashire Teaching
Hospitals encouraged me
to study and bring the
benefits to the workplace.
Having not studied for a
long time, I worried that
I might feel out of place.
But the study environment
has made me feel so
comfortable. And when
you get your first few
assessments under your
belt, your confidence
grows, doesn’t it?”

7
How AAT can help you
Working in accounting, you’ll know as well as anyone that it’s a
demanding profession. But if you want to progress beyond the basics,
there’s always plenty to learn.
The key to a truly rewarding career in accounting lies in thoroughly
understanding the broad sweep that accountancy has on modern life.
Fund management, tax supervision, head of finance or the company
itself, maybe senior financial journalism or a management consultant –
you’ll know more than anyone that a career in accountancy is more than
just being good with numbers.
Ability to manage a budget at multinational level, intimate knowledge of
tax laws and banking systems, a solid grasp of how different organisations
and markets react to global economic conditions – if you’re looking to
progress and have a successful career in accounting, these are the
bare necessities.
The perfect mix of head and hands-on
The wisdom of the workplace, while useful in itself, is never enough
in isolation. To attain the exclusive rewards of top accounting
technicians, the hands-on activity must be underpinned with a
range of value-adding skills.
A qualification with true international status and membership of a
renowned body that’s rewritten the rulebook on accountancy training.
To be the best, you needn’t look further.
As a finance professional,
how have you studied?
If you’ve taken an
accountancy course
before, did it give you a
professional qualification
with such international
authority it could be your
passport to a better life?

8
Where employers look
for accounting talent
This assures any future employer of your talent and effectiveness;
that you can be trusted to steer the business in the right direction.
And the AAT Accounting Qualification has global reach; with employers
throughout the world confident in your ability to deliver, geography
needn’t stop you achieving your goals.
Who could you be working for?
AAT qualifiers are already in well-rewarded senior roles with thousands
of major employers, from blue-chip corporates to the giants of the
public sector. The NHS, Vodafone, Morrisons, the Metropolitan Police,
KPMG and many others routinely seek and hire AAT graduates for their
knowledge, skills, diligence and enthusiasm.
The AAT Accounting
Qualification signifies
you have both
accountancy expertise
and the skills to convert
theory into practice.

9
Joanne Evans, Finance
Manager at PG’s Global
Financial Service Centre
works closely with AAT to
deliver finance training
that’s key to developing
her team’s talent.
“We see huge benefits from
our staff as they are able
to apply their training to
their job from day one
and continue to as their
careers progress. They
are becoming professional
accountants and that’s
great for us to see.
We’re able to flow them
between departments
to leverage what they’ve
learnt through their
training, which is great
for our business.”

10
AAT: a sound choice in
every financial sense
Since our foundation in 1980 we’ve become a leading worldwide
membership organisation for accounting students, people already
working in accountancy and self-employed business owners.
AAT links specialist training for financial newcomers, to practical career
paths in professional accountancy. We offer a vocational progression
to chartered and certified accountancy qualifications (including those
of ACCA, CIMA, CIPFA, ICAS and ICAEW), giving you a comprehensive
choice of exemptions and options to continue training.
There’s no question of the AAT Accounting Qualification’s value when
set against training elsewhere. Our advanced level is equivalent to the
first year of an academic degree. But consider the huge costs of modern
university education: the AAT Accounting Qualification isn’t just a great
career move; it’s your soundest choice in every financial sense.
You can also take advantage of computer based assessments: flexible,
practical ways in which you can demonstrate the skills you’re developing
during your studies.
Agreed with your training provider, you’ll be able to sit assessments as
and when you’re ready. Many units are assessed via formal computer
based tests, marked automatically and with provisional results available
straight away.
AAT is much more
than an examining body.
A visible presence in more
than 90 countries, we’ve
some 130,000 members
represented at every
level of the finance
and accounting world.

11
AAT training providers:
working with us for you
We work only with colleges who are best equipped to guide you, as an
AAT student, through your training and on to a successful career
in finance and accountancy.
We will work with your training provider to support you at every level
of your qualification. Your training provider then delivers your tuition,
while we continue to interact with you through e-learning, study support
and your AAT student membership.
We also actively encourage training providers to forge links with local and
national businesses, which can often lead to direct pathways for you to
the employment market.
How do I find a training provider?
To choose an AAT training provider with the location and learning style
to suit you, please go to aat.org.uk/trainingproviders
The AAT Accounting
Qualification is delivered
by over 500 approved
training providers across
the UK and internationally.

12
Ceris Williams used
introductory level training
to enhance her skills and
return to accounting as
an accounts and payroll
officer in the not for
profit sector.
“I’d always thought that
qualifications in accounting
were only for people who
want to be a chartered
accountants, but I quickly
came to realise that AAT
members work in a broad
range of industries and in
a variety of roles.
I studied by distance
learning so that I could
learn at my own pace.
I self-funded my training
because I wanted to invest
in a new career and new
future and ultimately it has
paid off because I got the
job that I wanted.
Now I do sales, purchase
ledger, payroll and pretty
much the full spectrum.
I was able to cope with the
demands of the varied jobs
because I’ve had a good
grounding in all areas.”

13
Learning options to
suit your lifestyle
If you’re not working constantly, full-time study with one of our training
providers might suit you best, and could mean faster qualification.
If you’ve a full-time job, part-time training might make more sense.
As you’re already working in accountancy, you’ll be able to use the skills
you’re developing with AAT training, learning as you progress and reaping
the benefits straight away.
Another option is distance learning from home. This is appealingly
flexible: choose where and when to study, and perfect your new skills
in your own time.
How long’s the studying?
One of the great things about the AAT Accountancy Qualification is
that you can study at the pace, as well as the place, that suits you.
• Each level is a qualification in its own right and takes on average
one year to complete. Although, your experience in accounting could
mean that you’re training provider determines that you’re exempt from
the introductory and/or intermediate level.
• This would mean roughly three years to qualify.
• You should spend three hours a week outside of class for each
unit you’re studying, then increase it in the run-up to assessments
when you’re revising.
How will I be assessed?
To see how you’re getting on with your studies, you’ll be assessed via our
flexible, practical computer based assessments (CBAs).
Agreed with your training provider, you’ll sit the assessments whenever
you’re ready. It’s where your understanding of many outcomes is
measured using formal tests, which are automatically marked for
immediate provisional results.
Some outcomes use other computer based methods, including projects,
reports and workplace evidence. These are manually marked and you’ll
normally have the results within six weeks.
AAT offers you a range
of study options: full-time,
part-time or distance
learning. Your training
can be delivered in the
classroom, online or
through home study.

14
What will the
qualification cost?
It will finally depend
on how and where
you study. However,
the costs of training for
the AAT Accounting
Qualification will fall into
one of two categories.
1. Training provider fees
Paid to your training provider these cover your tuition and sometimes
your course materials. Since the cost of AAT training depends on the size,
type and location of each training provider, you’ll find big differences in
fees between providers – so it really does pay to shop around.
2. AAT fees
Paid to AAT, these cover your student registration and the support you’ll
have throughout your training as a student member. There are also fees
for taking AAT assessments.
Can I involve my employer?
As you’re already working in accounting, it’s well worth telling your boss
that you’re training with AAT; their support could be a real boost. Because
the qualification is practical in nature, your employer might be willing to
help with the costs. Some firms will pay training providers’ fees, AAT fees
or for necessary books – and sometimes all three. Your employer might
also give you time off for classes or revision, and may be able to involve
you in workplace projects which will help your studies.
Where can I get help with paying for my course?
You might be able to get financial support for your AAT training from
the government or other agencies. It all depends on your circumstances.
If you’re aged 16-24, for example, some courses are free. For more
about possible sources of funding, visit aat.org.uk/funding or ask your
training provider.

15
Support at every
stage of your journey
As an AAT student
member, you can take
advantage of a host of
resources to help you
as you study.
Online study support through your MyAAT account
• E-learning: easy, interactive audio-visual tutorials on a variety
of accounting and finance-related topics.
• Access to sample assessments so you can test your knowledge and
get familiar with the computer based assessments format.
• Personalised study zone: reading lists, practice papers, assessors’
guidance, e-seminars and e-learning modules.
• Comprehensive archive: articles relevant to your studies.
Career services
• CV builder: the ideal way to brush up on your CV or create a new one.
• Interview simulator: your interactive, step-by-step guide to surviving the
all-important interview, ensuring the first impression is the right one.
• Career planner: following the progress of your career goals, with alerts
to ensure you’re on the right track.
Accounting Technician magazine
You’ll receive your free bimonthly copy of Accounting Technician
magazine. It’s full of articles to support your training, plus expert opinions,
accountancy news and job vacancies.
StudentPlus e-newsletter
Each month you’ll receive StudentPlus, our email newsletter, with its links
to study support articles, key dates and membership benefits.
Branch networking opportunities
At our regional branches throughout the UK, you can often enjoy free
events. Specially for student members, they’re a great way to complement
your training and network with AAT members.

16
The route to qualification
introductory Level
A range of basic accounting principles and techniques, from costing and double-entry
bookkeeping to computerised accounting.
Ideal if you’re new to finance or you want to brush up on your foundation knowledge and skills. Once you’ve
completed the introductory level, you’ll be awarded the AAT Level 2* Certificate in Accounting.
Basic costing
• Understanding an organisation’s cost recording system and using it to record or extract data
• Use of spreadsheets to convey information on actual and budgeted income and expenditure
Computerised accounting
• Entering data at the start of an accounting period to set up customer and supplier accounts
• Recording and processing customer and supplier transactions
• Recording and reconciling bank and cash transactions
• Processing and using journals to enter accounting transactions
• Production of reports (day books, account activity, aged analysis, statements or remittance advice)
Working effectively in accounting and finance
• Understanding an organisation’s accounting or payroll function
• Using numeracy and literacy communication skills
• Working independently or in a team to prioritise tasks and manage colleagues’ responsibilities
• Understanding ethical values, principles and importance of confidentiality
• Understanding and explaining benefits to organisations of sustainable values
Processing bookkeeping transactions
• Understanding double-entry bookkeeping, integrating books of prime entry and describing coding system functions
• Understanding discounts and settlement, trade and bulk discount differences
• Preparing and processing customer and supplier invoices and credit notes
• Totalling and balancing a 3-column analysed cash book
• Totalling, balancing and reconciling petty cash records within an analysed petty cash book
• Processing ledger transactions and extracting a trial balance

17
Control accounts, journals and the banking system
• Understanding the purpose and use of control accounts and journals
• Maintaining and using control accounts and the journal
• Reconciling a bank statement with the cash book
• Understanding the banking process and main services of banks and building societies
• Understanding requirements of retention and storage relating to banking documents
What sort of job could I expect after completing the introductory level?
• Accounts Administrator
• Accounts Assistant
• Accounts Payable Clerk
• Bookkeeper
• Payroll Administrator
• Payroll Clerk
• Payroll Officer
• Purchase/Sales Ledger Clerk
• Tax Assistant/Trainee
• Trainee Accounts Technician
• Trainee Auditor
What’s my potential salary range after completing the introductory level?
£8,320 - £24,000
Salary ranges are from AAT’s 2013 Salary Survey for people working full-time.
Ranges represent the middle 75% at each level of the qualification.
*In Scotland, Level 2 is equivalent to Level 5.

18
intermediate Level
This intermediate level introduces more complex accounting tasks, such as maintaining
cost accounting records and the preparation of reports and returns.
Ideal if you’ve completed the introductory level or you’re already at a more intermediate level and you want to
develop your accounting skills. Once you’ve completed the intermediate level, you’ll be awarded the AAT Level 3*
Diploma in Accounting.
Accounts preparation
• Understanding accepted principles of accounting and double-entry bookkeeping
• Understanding accounting methods of recording non-current assets
• Accounting for purchase of non-current assets
• Accounting for depreciation and adjustments
• Accounting for disposal of non-current assets
• Preparing and extending the trial balance
Prepare final accounts for sole traders and partnerships
• Understanding the process involved in preparing final accounts
• Preparing accounting records from incomplete information
• Producing final accounts for sole traders
• Understanding partnerships’ legislative and accounting requirements
• Preparing a statement of profit or loss appropriation account
• Preparing a financial position statement relating to a partnership
Costs and revenues
• Understanding an organisation’s costing systems
• Recording and analysing cost information
• Apportioning costs to organisational requirements
• Analysing budget deviations and reporting these to management
• Using information gathered from costing systems to assist decision making

19
Professional ethics
• Understanding principles of ethical working
• Understanding ethical behaviour when working with internal and external customers
• Understanding when and how to take appropriate action following suspected ethical codes breaches
• Understanding the ethical responsibility of finance professionals in promoting sustainability
Indirect tax
• Understanding VAT regulations
• Completing VAT returns accurately and on time
• Understanding VAT penalties and adjusting for previous errors
• Communicating VAT information
Spreadsheet software
• Using a spreadsheet to enter, edit and organise numerical and other data
• Selecting and using appropriate formulae and data analysis tools and techniques
• Presenting, formatting and publishing spreadsheet information
What sort of job could I expect after completing the intermediate level?
• Assistant Accountant
• Accounts Payable Clerk
• Audit Trainee
• Bookkeeper
• Corporate Recovery Analyst
• Credit Controller
• Finance Assistant
• Insolvency Executive
• Payroll Supervisor
• Tax Accountant
What’s my potential salary range after completing the intermediate level?
£11,000 - £24,000

20
Advanced level
The advanced level covers higher accounting tasks, including drafting financial
statements, managing budgets and evaluating financial performance. You’ll also be able
to specialise in areas such as tax, auditing and credit control.
Ideal if you’ve progressed through introductory and intermediate, or you’re at a more advanced stage in your
career and you want a qualification to give you the confidence and proof that you have the skills to do the job.
Once you’ve completed the advanced level, you’ll be awarded the Level 4* Diploma in Accounting and be a fully
qualified accounting technician.
Financial statements
• Understanding the regulatory framework underpinning financial reporting
• Understanding key features of published financial statements
• Drafting a limited company’s statutory financial statements
• Drafting consolidated financial statements
• Interpreting financial statements using ratio analysis
Budgeting
• Preparing budgets and income and expenditure forecasts
• Assessing budgetary impact of internal and external factors
• Using budgetary control to improve organisational performance
Financial performance
• Collating and analysing cost information from various sources
• Measuring performance and managing costs appropriately
• Making suggestions for improving financial performance by monitoring and analysing information
• Preparing performance reports for management
Internal control and accounting systems
• Understanding importance and use of internal control systems
• Evaluating the accounting system and identifying areas for improvement
• Conducting ethical and sustainability evaluations of accounting systems
• Making recommendations to improve the accounting system

21
Specialist units for advanced level – two options from the following five:
Business tax
• Completing corporation tax returns and supporting computations for incorporated businesses
• Understanding impact of legislation and legislative changes
• Understanding tax law and its implications for incorporated/unincorporated business
• Understanding capital assets
Personal tax
• Calculating income from all sources and identifying taxable and non-taxable items
• Applying current legislation to calculate tax payable on income
• Accounting for capital gains tax according to current legislation
• Preparing accurate computations and complete relevant parts of self-assessment tax returns
External auditing
• Planning an audit identifying areas for verification and associated risks
• Conducting a supervised audit
• Preparing draft reports for approval
• Understanding auditing principles and legal and professional standards required for an external auditor
Cash management
• Using statistical techniques and financial information to prepare income and expenditure forecasts
• Preparing cash to monitor an organisation’s cash flow
• Managing cash balances effectively
• Investing surplus funds, observing organisational policies
Credit control
• Understanding relevant legislation and impact on credit management
• Using information from various sources to grant customers’ credit within organisational guidelines
• Using a range of techniques for debt collection
• Monitoring and controlling credit supply

22
Advanced level
What sort of job could I expect after completing the advanced level?
• Accounts Payable and Expenses Supervisor
• Assistant Financial Accountant
• Commercial Analyst
• Cost Accountant
• Finance Manager, Payroll and Pensions
• Fixed Asset Accountant
• Indirect Tax Manager
• Payments and Billings Manager
• Payroll Manager
• Senior Bookkeeper
• Senior Finance Officer
• Senior Fund Accountant
• Senior Insolvency Administrator
• Tax Supervisor
• VAT Accountant
What’s my potential salary range after completing the advanced level?
£12,600 - £26,000

23
Sanaz Amidi is the
Director of Rosetta Art
Centre. She uses her
AAT qualification to
identify the synergies
between arts, accountancy
and business.
“I studied AAT to gain an
understanding of how
business works and feel
more confident in my role
as project manager in a
creative industry.
I developed transferable
skills with my AAT
qualification and it’s
meant that I’ve been able
to continue training for a
global executive MBA with
a solid understanding of
accounting and finance.
I’ve also become an AAT
full member which has
given me credibility and
pride, and with that a
sense of responsibility to
the profession.”

24
Even though you might
have finished your AAT
Accounting Qualification,
your journey with us
doesn’t have to end there.
And there are plenty
of good reasons for a
long-term relationship.
what happens
after qualifying
As long as you’re a student member you’ll enjoy all the AAT support you
need. But long after you qualify we’ll be around to help you develop
your career as an accounting professional, ensuring the outcomes for
which you’ve worked so diligently are yours for the taking.
On completing your final qualifying level you’ll enjoy generously reduced
fees for further training with a host of excellent UK accountancy bodies.
At over 30 UK universities, AAT qualification automatically provides
exemptions on accounting and finance-related degrees.
How does chartered status sound?
If you achieve all three levels of the AAT Accounting Qualification,
every UK chartered accountancy body will grant you an exemption
from the first level of its professional qualification. For details visit
aat.org.uk/afterqualifying
Even more benefits with AAT full membership
Once you’ve finished your qualification you’re entitled to an easy move
upwards to full AAT membership. This allows you even more advantages,
including the use of the letters MAAT after your name – internationally
recognised as an mark of accounting excellence.
Like almost 3,500 other members, you can also determine your own
future as an AAT licensed member in practice (MIP). This lets you
choose how you work:
• decide your own services, clients and hours
• act as a sole trader, partner, director or shareholder
• work from home, close to your family or at an existing job
• be a self-employed part-timer while you work for another employer.
What’s my potential salary range after becoming an AAT full
member (MAAT)?
£17,000 - £35,000

25
Since qualifying with AAT
and moving on to ACA,
Dipesh Joshi has stayed in
touch with AAT as a full
member – and started to
enjoy the career rewards
he always wanted.
“Anybody can legally call
themselves an accountant.
But when you’ve got a
qualification like AAT it
shows you’ve the skills to
back up your claims.
In the last year as I was
doing my finals, I started
senioring many auditing
jobs at the office, and
since I’ve qualified I’m
now an audit senior.
The key benefits of full
AAT membership are about
professional reputation
and credibility. With
membership I was given
many exemptions for
my chartered studies
and it also meant that
I was given additional
responsibilities at work as
my employer recognised
my achievement.”

37010914-PDF
Association of Accounting Technicians
140 Aldersgate Street
London
EC1A 4HY
Registered charity no. 1050724
What’s next?
For more detailed information on fees, training providers,
the qualification and student membership visit aat.org.uk/start
If you’d prefer to speak to someone directly, call us on (0)20 3735 2400
Lines are open 09.00 to 17.00, Monday to Friday.
Follow our AAT advisors on Twitter @StudyAAT

AAT 2014 Student Guide

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