What it means
Latin honours are awarded mainly by universities in the United States and in a few other countries. The three levels, in rising order, are cum laude, magna cum laude ("with great praise") and summa cum laude ("with highest praise").
They appear on the diploma and often on the graduation programme and transcript. There is no single national definition.
One university might award honours to graduates in the top 20% of the class by grade average, while another sets fixed grade thresholds, and a third requires a thesis as well. Because of this, the same label can mean different things at different institutions.
In the finance world, the phrase is shorthand for strong academic performance. Recruiters for graduate programmes in accounting, banking and consulting sometimes look at honours as one of several signals, along with internships, work experience and professional exams.
Over time, a candidate's track record and qualifications count for far more than the honours level on a first degree, and most employers stop asking about it after the first few years of a career. In some countries, such as the United Kingdom, degrees are classified differently into first class, upper second, lower second and third class.
Employers who recruit internationally need to understand how these systems compare, and should avoid assuming that Latin honours and classifications match one for one. Candidates should state honours accurately on their CV.
A common convention is to write the degree and then the honour, for example "Bachelor of Commerce, cum laude", along with the institution and year. Claiming an honour that was not awarded is a serious integrity problem, and employers can check it through background screening.
The term is not a financial concept, but it comes up in hiring, scholarships and professional credential checks. Finance staff reviewing applications, sponsorship decisions or payroll records for education allowances may therefore meet it in their work.
In practice
Real-world examples.
Example
A graduate applying to a corporate finance programme lists "Bachelor of Business Administration, magna cum laude" on her CV. The recruiter notes it alongside her internship, but gives equal weight to her interview performance. In the end, the offer goes to the candidate who handled the case study best.
Example
A university scholarship fund requires applicants for its master's accounting award to have graduated at least cum laude. The finance office checks the transcripts of the shortlisted candidates before releasing the $10,000 award. Payment is made only after the registrar confirms the honour in writing.
Example
A company running background checks on a new financial controller finds that the degree and cum laude honour claimed on the CV match the university's records. The check is completed in two days and the offer proceeds. Had the claim been false, the offer would have been withdrawn, because the role carries a high level of trust.
Case study
Seen in the real world.
Calderwood Advisory is an illustrative, fictional accounting firm that received 400 applications for 12 graduate trainee places. The hiring partner at first used a simple filter, shortlisting only candidates with Latin honours.
The finance team pointed out that applicants from different countries and universities had different systems, and that some strong candidates had left university with no honours because their schools did not award them. The firm changed its filter to a broader score that combined academic results, work experience, and a short numerical test.
The resulting intake included several candidates who would have been screened out. In this illustrative case, honours were treated as one useful signal and not as a gate, which led to a broader and stronger group, and the firm saw fewer early resignations in the first year.
Watch out
Common mistakes.
- Treating cum laude as a universal standard, when the thresholds are set by each institution and vary widely.
- Using honours as the only filter in hiring, which excludes strong candidates from institutions that do not use Latin honours and rewards narrow grade performance over skills that matter on the job.
- Overstating or inventing an honour on a CV, which can lead to dismissal if discovered, even years after the person was hired.
Questions
People also ask.
What does cum laude mean?
It is Latin for "with praise" and shows that a student graduated with honours, usually at the lowest of the three Latin honours levels. The next two levels up are magna cum laude and summa cum laude.
Is cum laude the same as a first-class degree?
No, they belong to different systems, and any comparison between them is approximate. Always read the institution's own definition before comparing two candidates.
How should I write it on my CV?
State the degree, then the honour, institution and year, and make sure it matches your official records. If your institution does not award Latin honours, simply state the degree and any equivalent distinction it does offer.
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