What is AAT Accounting Level 3?
AAT Level 3 is also known as AAT Level 3 Diploma in Accounting qualification which is an intermediate level qualification offered by Association of Accounting Technicians aka AAT.
It is suitable for those who have completed the AAT Accounting Level 2 qualification or they have relevant experience in the field of accounting and finance.
What is it? What is it equivalent to?
What is AAT Accounting Level 3? What is it equivalent to? These are the most common questions asked by the students.
AAT Accounting Level 3 is an intermediate level qualification offered by AAT which covers more complex and complicated accounting topics such as financial statements, managing budgets, spreadsheets, work ethics and much more. This qualification improves practical skills such as preparing financial reports, analyzing data. All the skills gained through this qualification are necessary in practical life. These skills are highly valued by companies and employers.
This qualification is equivalent to 2 A-levels. Complete AAT Accounting Level 3 is equal to 160 UCAS points.
Entry Requirements
The entry requirement for AAT Accounting Level 3 typically includes the completion of AAT Accounting Level 2 qualification or equivalent relevant work experience in the accounting and finance field.
Applicants should have a good understanding of basic accounting principles. Since this qualification involves studying difficult accounting concepts so all the applicants should have good understanding of English language.
Who is this suitable for?
AAT Accounting level 3 is suitable for those who are looking to enhance their career in accounting and finance field. Aspiring accountants who are looking to pursue a career in accounting can benefit from studying AAT Accounting Level 3.
Current accounting professionals who want to enhance their accounting skills and their knowledge in complex accounting can benefit from studying this course.
Any individual who are thinking/considering to change their career to accounting and finance can study AAT Accounting Level 3 to get the necessary skills and knowledge to transit into a new career.
Anyone with small business who wants to learn the basic accounting skills that will be helpful with business management understanding can benefit themselves from studying AAT Accounting Level 3.
About AAT Accounting Level 3
| Qualification name | Diploma in Accounting |
| Qualification number | 603/6337/X |
| Level | 3 |
| Guided learning hours (GLH) | 400 |
Course Structure
This qualification consists of 4 mandatory units which are:
- Business Awareness
- Management Accounting Techniques
- Financial Accounting: Preparing Financial Statements
- Tax Process for Business
The students need to pass all four units to get the diploma. All four units together covers a wide range of different accounting topics such as work ethics, different accounting software used in everyday accounting, how to prepare financial statements, business environment, management in accounting and much more.
Exam Structure
In AAT Accounting Level 3, for the three units also known as Management Accounting Techniques, Financial Accounting: Preparing Financial Statements and Business Awareness, the assessment is 150 mins. For the fourth unit aka Tax Process for business, the assessment is 90 mins.
How the overall grade is determined
The students will be awarded an overall qualification grade (Distinction, Merit, and Pass). Students who will not pass the qualification will not receive the diploma and will be shown as unclassified. Below is the illustration of the grading system for example.
The raw marks of each assessment will be converted into a percentage mark and rounded up or down to the nearest whole number. For example, 75.5% would be rounded up to 76%, whereas 82.1% would be rounded down to 82%. This percentage mark is then weighted according to the weighting of the unit assessment within the qualification. The resulting weighted assessment percentages are combined to arrive at a percentage mark for the whole qualification.
| Grade definition | Percentage threshold |
| Distinction | 90–100% |
| Merit | 80–89% |
| Pass | 70–79% |
| Unclassified | 0–69% Or failure to pass one or more assessment/s |
Examples of Pass
| Assessment | Contribution of assessment to qualification grade | Percentage achieved | Weighted percentage contribution to grade |
| Management Accounting Techniques | 30% | 71% | 21.3% |
| Financial Accounting: Preparing Financial Statements | 40% | 75% | 30.0% |
| Business Awareness | 15% | 70% | 10.5% |
| Tax Process for Businesses | 15% | 78% | 11.7% |
| Total | 74% | ||
This has been rounded to nearest whole number
Example of Merit
| Assessment | Contribution of assessment to qualification grade | Percentage achieved | Weighted percentage contribution to grade |
| Management Accounting Techniques | 30% | 78% | 23.4% |
| Financial Accounting: Preparing Financial Statements | 40% | 82% | 32.8% |
| Business Awareness | 15% | 9% | 13.5% |
| Tax Process for Businesses | 15% | 85% | 12.8% |
| Total | 83%* | ||
This has been rounded to nearest whole number
Example of Distinction
| Assessment | Contribution of assessment to qualification grade | Percentage achieved | Weighted percentage contribution to grade |
| Management Accounting Techniques | 30% | 87% | 26.1% |
| Financial Accounting: Preparing Financial Statements | 40% | 93% | 37.2% |
| Business Awareness | 15% | 95% | 14.3% |
| Tax Process for Businesses | 15% | 82% | 12.3% |
| Total | 90%* | ||
This has been rounded to nearest whole number
AAT qualification support
Once the students enrol for this qualification, AAT will provide them with a wide a range of free materials and resources to support the students in delivery and assessment.
Materials produced for this qualification will include:
- practice assessments for each unit
- one Sample Assessment and Mark Scheme (Introduction to Bookkeeping)
- Qualification Technical Information (QTI)
- annual Chief Examiner reports.
Additional materials may also include:
- e-learning
- Green Light tests
- webinars
- tutor-to-tutor sessions at network meetings.
All AAT study support resources can be accessed via the AAT Lifelong Learning Portal.
Benefits
There are so many benefits of completing AAT Accounting Level 3. Completing AAT Level 3 qualification can open up a wide range of career opportunities in the field of accounting and finance. This achievement demonstrates the persons commitment and competence to the profession. This can enhance the persons credibility and reputation in the accounting and finance industry. This qualification also provides practical skills and knowledge such as budgeting, tax, financial statements and many more. This provides a solid foundation for any individual to start further studies in accounting and finance. Many individuals go on to pursue higher studies in the field such as AAT Accounting Level 4, ACCA or CIMA.
One of the major benefits of completing the qualification is increase in earning potential. Students may be able to command higher salary or secure better job after the completion of AAT Accounting Level 3.
Conclusion
In conclusion, AAT Accounting Level 3 is a valuable qualification that can lead to a successful career in accounting and finance field. It gives students skills, knowledge and expertise needed to work in accounting and finance. If you are considering to start a career in accounting, AAT Accounting Level 3 could be a great step for you.
