New Practical Training Scheme 2020

Items Practical Training Scheme
Duration of Training Period 15 months
[for every student having registered for the intermediate course on or after 11th February, 2020]
Objectives of the Practical Training
  • Developing necessary skill-sets among the students enabling them to apply theoretical knowledge of cost and management accounting to practical situations in various professional fields
  • Providing practical exposure to the eco-system under which different organizations operate
  • Providing on-job experience of practical and contemporary aspects of cost and management accounting arena
  • Developing disciplined attitude required to grow as a professional
  • Creating awareness and consciousness on ethical values in professional journey
Organizations Recognized for Practical Training [Appendix – A] A Cost & Management Trainee shall undergo practical training under:
  1. Practicing Cost Accountant or
  2. a firm of Cost Accountants or
  3. in any of the following organizations:
    1. Central/State Government / Semi-Government / Public Utilities.
    2. Banks/Insurance/ other Financial Institution
    3. Public Sector Undertakings
    4. Universities, Management Institutes and any other recognized educational institute
    5. Co-operative societies and NGOs
    6. 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.
      [CA/CS articleship will not be set off / entertained / not recognized for CMA Practical Training]
    7. 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.
    8. Any other organization(s) with a turnover of Rs.25 Lakhs in case service sector or Rs.50 Lakhs Lakhs in case of other than service sector.
    9. Any other organization(s) as approved by the Council.
Recognized areas for Training [Appendix – B]
  1. Management Accounting
  2. Cost Accounting
  3. Financial Accounting
  4. Financial Management
  5. Auditing
  6. Regulatory compliances
  7. Direct Taxation
  8. Indirect taxation
  9. Corporate Laws, Industrial Laws, Commercial Laws
  10. Systems Analysis, Information Technology (including ERP system)
  11. Project Management
  12. Banking Operation
  13. Insurance
  14. Insolvency & Valuation
  15. Financial Services
  16. Teaching in Finance, Accounts, Costing, Taxation and Management.
  17. Management Consultancy Services as defined in appendix 6 under Regulation 111 of CWA Regulation, 1959.
  18. Engineering Services involved in production of power or any manufacturing activities, Project Planning & Management, Quality Assessment, and Supply Chain Management.
  19. Any other areas approved by the Council.
Who are to undergo Practical Training Every student having registered for the intermediate course on or after 11th February, 2020 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 to the satisfaction of Council in any one or more of the organization(s) specified in ‘Appendix A’, , and in areas as specified in ‘Appendix B’ for the recognition for training [UDIN is mandatory wherever applicable].
However, a student to become eligible to appear in the final examination must satisfy the criteria on such cut-off date as may be specified from time to time. The cut-off date for certification of Form T-5 shall be 31st August for appearing in December examination which shall specify completion of at least 10 months of training as on that date. The cut-off date for certification of Form T-5 shall be 28th/29th February for appearing in June examination which shall specify completion of at least 10 months of training as on that date.
Exemption from Practical Training A student of the Institute who is working or has already worked in any of the recognized Organizations as given in ‘Appendix A’ and in any of the recognized areas as given in ‘Appendix B’, can claim exemption from Practical Training by following the procedures given below:
  • Submission of Online Form T-3 to Directorate of Training and Placement of the Institute along with a Payment for Rs.2000/-.
  • 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.
  • 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.
Documents to be submitted along with Form T-3
  • Scan copy of Experience certificate (stating designation, area of work & duration), duly signed by the Competent Authority of the organization in which employed/were employed.
  • Scan Copy of Audited balance sheet of employers or any other proof of turnover, wherever required (A letter mentioning the turnover of the company on the letterhead of the company, signed with seal)
  • Scan Copy of current salary slip duly attested by employer.
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 above.
Procedure for Intimation of Practical Training A student desirous of undergoing Practical Training can approach any Organizations as defined in ‘Appendix A’ or Practicing Cost Accountants.
A student after joining an Organization/ Practicing Cost Accountants has to intimate the Institute within 30 days from the date of joining about the fact of his/her Training by following the below mentioned procedures:
  1. Online Submission of Form No. T-1 (with UDIN) in case of PCMA/firm of Cost Accountants.
  2. Online Submission of T-4 in case of training with recognized Organizations as specified in ‘Appendix A’.
  3. Online Submission of Form T-5 before applying for both or remaining group in Final Examination.
  4. All the forms T-1, T-4, T-5 relating to Practical Training can be downloaded from the link
  5. In order to help the students. Institute will also maintain database of organizations and firms interested to impart practical training to the students, in its website
Change of Employer A student shall inform any change in the Principal or 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. 1000/-.
In case of change of Principal/Employer, i.e. students serving under different Principal/Employer, the accumulated period of training shall include training periods undergone with different Principal/Employers, including the days of leave availed as per rules but excluding excess leave availed, if any. Not more than three (3) changes shall be allowed within a period of fifteen months of training.
Minimum Stipend to Cost and Management Trainees Every Trainee shall receive the following minimum stipend from the employer:
Employer 1st year 2nd year 3rd year
Practising Cost Accountant / Firm of Cost Accountants Rs. 2,000 Rs. 3,000 Rs. 4,000
Corporate/Organization Rs. 8,000*/Rs. 10,000** Rs. 10,000*/ Rs.12,500** Rs. 12,000*/Rs. 15,000**
** Metropolitan and ‘A’ Grade Cities

* Other Places

This is effective from 1st October, 2018 onwards.

The stipend indicated above is minimum prescribed by the Institute. However, Practicing Cost Accountant/ a firm of Cost Accountants/ Organizations may fix higher stipend. The stipend under this regulation shall be paid by the principal/employer to the trainee either by (a) a crossed a/c payee cheque every month or (b) by depositing the amount every month in an account opened by the trainee in his own name with a branch of the bank to be specified by the principal.
Leave to Cost and Management Trainees
  1. A Cost & Management trainee shall be entitled to one day’s leave with pay per month excluding the normal holidays.
  2. 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 trainees availing leave in excess of the period of leave to which he/she is entitled to shall be required to undergo training for a further period equivalent to the excess leave taken by him.
Working Hours of Cost & Management Trainee
  • The working hours of a Cost & Management Trainee shall be 35 hours per week.
  • Hours spent on any conference, course, seminar organized by the Institute/Region/Chapter shall be treated as period covered under training.
Restriction on Number of Trainees The Firms and the organizations intending to engage Trainees shall have the following restriction on the number of trainees.
Practicing Cost Accountant No. of Trainees
a) Practicing Cost Accountant (Associate Member) 10
b) Practicing Cost Accountant (Fellow Member) 15
Note: Training & Educational Facilities Committee of the Institute may review/frame/modify the Practical Training Scheme as may be necessary from time to time.


APPENDIX A Organizations recognized for Practical Training     Read More


APPENDIX B Recognized areas for Training     Read More