[FAQs] Certified Management Accountant (CMA) – Practical Training Related Questions

A candidate who has taken admission in Intermediate course on or after 11th February, 2020 will be required to undergo practical training for a period of 15 months in any one or more of the organization(s) and in areas as specified by the Institute, before the date of declaration of examination result of both or remaining group of final examination.

However, a student has to undergo 3 years Practical Training in order to obtain the membership of the Institute to satisfy the requirement of minimum 3 years work experience.

A candidate can start the Practical Training immediately on registration of the course at the Intermediate Level.

Yes, a student shall be required to undergo practical training for a period of 15 months before the date of declaration of examination result of both or remaining group of final examination.
 Accordingly, a candidate, in order to become eligible for final examination, must have completed a minimum of 10 months of training on such cut-off date as may be specified from time to time. The cut-off date for students appearing in December is 31st August and for those who are appearing in June is 28th/29th February.

For example, if a candidate wishes to apply for December examination, then he/she must have completed at least 10 months of training before 31st August; and if he/she wishes to apply for June examination, then he/she must have completed at least 10 months of training before 28/29th February.

The areas in which a candidate can pursue practical training as recognised under the CMA New Practical Training Scheme-2020 include the following:

• • Management Accounting
  • Cost Accounting
  • Financial Accounting
  • Financial Management
  • Auditing
  • Regulatory Compliances
  • Direct Taxation
  • Indirect Taxation
  • Corporate Laws, Industrial Laws, Commercial Laws
  • Systems Analysis, Information Technology (including ERP system)
  • Project Management
  • Banking Operation
  • Insurance
  • Insolvency & Valuation
  • Financial Services
  • Teaching in Finance, Accounts, Costing, Taxation and Management
  • Management Consultancy Services as defined in Appendix 6 under Regulation 111 of CWA Regulation, 1959
  • Engineering Services involved in production of power or any manufacturing activities, Project Planning & Management, Quality Assessment, and Supply Chain Management
  • Any other areas approved by the Council.

A Cost and Management Trainee shall undergo practical training under the following organizations as recognized for the CMA New Practical Training Scheme-2020:

(1) Practicing Cost Accountant or
(2) A firm of Cost Accountants or
(3) In any of the following organizations:

i) Central/State Government / Semi-Government / Public Utilities.
ii) Banks/Insurance/ other Financial Institution
iii) Public Sector Undertakings
iv) Universities, Management Institutes and any other recognized educational institute
v) Co-operative societies and NGOs
vi) If the firm of Chartered Accountants/ Company Secretaries has separate Management Consultancy Division and if the applicant has exclusively worked in that division, credence to such service is given on percentage basis depending on the nature of job related with cost/ management accounting/ financial accounting/ taxation/ MIS or of similar nature, size of the firm, nature of duties handled by the applicant, size of the client companies etc.

Note: CA/CS articleship will not be set off/ entertained/ not be recognized for CMA Practical Training.

vii) Management Consultant in individual capacity depending on the size of the firm, nature of duties handled by the applicant related with cost and management accounting/ financial accounting/ taxation/ MIS or of similar nature, size of the client companies etc.
viii) Any other organization(s) with a turnover of Rs. 25 Lakhs in case service sector or Rs. 50 Lakhs in case of other than service sector.
ix) Any other organization(s) as approved by the Council.

Practicing Chartered Accountants/ Company Secretaries are exempted from the Practical Training Scheme and they will have to seek exemption after duly following the procedures on payment of exemption fee as prescribed.

A candidate of the Institute who is working or has already worked in any of the recognised organisations and in any of the recognised areas, can claim exemption from Practical Training by following the procedure given below:

• • Submission of Online Form T-3 to Directorate of Training and Placement of the Institute along with a Payment for Rs. 2,000.

The students whose applications are received and found eligible on or before 31st May will be eligible to appear for June Examination and 30th November will be eligible to appear for December Examination respectively.

Thus, a student can seek exemption from Practical Training immediately after joining the Intermediate course, or at any time during the course of studies subject to dates given above if the student is otherwise eligible.

The different forms (https://eicmai.in/Training-forms-new/login.aspx) required to be submitted for CMA Practical Training include:

• • First a candidate needs to download T-1 form from CMA website (https://eicmai.in/Training-forms-new/login.aspx).
  • After filling up the form, it should be signed by the candidate and the authorized signatory of the organization under which candidate has started practical training.
  • Now the form needs to be uploaded online on CMA website (https://eicmai.in/Training-forms-new/login.aspx).
  • Enter the registration number, captcha and click on submit.
  • In the next page, fill up all the details, upload the form and click on submit. After submitting the form, an acknowledgment mail will be received.
  • The documents will be reviewed by ICMAI and if the details and documents are found appropriate, an approval mail will be received.

Note: The size of the document should not exceed 1MB.; and no hardcopies of Practical Training forms are acceptable.

CA/CS articleship will not be set off/ entertained/ not be recognised for CMA Practical Training.

However, if the firm of Chartered Accountants/ Company Secretaries has separate Management Consultancy Division and if the applicant has exclusively worked in that division, credence to such service is given on percentage basis depending on the nature of job related with cost/ management accounting/ financial accounting/ taxation/ MIS or of similar nature, size of the firm, nature of duties handled by the applicant, size of the client companies, etc.

A candidate can make a maximum of three changes of organisation during the term of fifteen months Practical Training.

A candidate needs to inform any change in the employer to the Institute within 30 days of such changes with all the relevant documents i.e. New online Form T-1 (with UDIN)/ T-4, experience certificate from principal or employer along with a fee of Rs. 1,000. Both forms can be downloaded from ICMAI website (https://eicmai.in/Training-forms-new/login.aspx).

After completion of minimum fifteen months of training, a candidate needs to fill and upload the Form T-5. Online submission of Form T-5 before applying for both or remining group in final examination is required.

Every trainee shall receive the following minimum stipend from the employer as prescribed by the Institute (effective from 1st October, 2018):

** Metropolitan and ‘A’ Grade Cities
* Other Places

A candidate’s working hours will be 35 hours a week. Any hours spent in any conference, course, seminar organized by the Institute/ Region/ Chapter shall be treated as period covered under training.

A Cost and Management trainee shall be entitled to one day’s leave with pay per month excluding the normal holidays.

The trainee shall be eligible for 60 days leave without pay for appearing in the examination of the Institute in the total span of training period.

The trainee availing leave in excess of the period of leave to which he/she is entitled shall be required to undergo training for a further period equivalent to the excess leave taken by him.

• • Practicing Cost and Management Accountant (Associate Member) – 10 Trainees
  • Practicing Cost and Management Accountant (Fellow Member) – 15 Trainees