There is a war for top accountants, and many firms are looking for innovative ways to retain and attract them. Accounting has historically offered low starting salaries for new graduates and relied on outdated software that required manual processes that were repetitive and mundane.
Fremont, CA: As teams faced burnout and staff shortages increased in the past year, accounting firms have faced a volatile profession. Regulatory changes caught firms by surprise – increasing compliance and security concerns – and tax laws became more confusing to clients and CPAs alike.
A growing number of client demands are driving recent shifts in accounting, and firms need to find new ways to deliver exceptional service. Adapting to new challenges will require accounting firms to ensure they fulfill their core responsibilities in the future.
Accounting professionals need to prepare for five fundamental changes in the coming years in order to fulfill their full potential.
Recruiting and retaining top employees will force firms to break the status quo
As a result of a survey conducted by IRIS Software Group, 70 percent of its customers said they would be most challenged in 2023 to recruit and retain good employees. The shortage of accountants and auditors in the U.S. is not surprising since more than 300,000 have left their jobs since 2021.
There is a war for top accountants, and many firms are looking for innovative ways to retain and attract them. Accounting has historically offered low starting salaries for new graduates and relied on outdated software that required manual processes that were repetitive and mundane.
To attract young talent, firms will need to break free from these historical ideologies. It is possible to make firms more competitive by raising starting salaries and attract students to explore accounting as a potential career path. As well as streamlining tasks, workflow technology can enable firms to invest in promising employees' professional development.
Payroll expectations to change
According to accounting firms in 2022, 61 percent offer payroll services to their clients. In addition to traditional bookkeeping and accounting services, payroll services for businesses can also create recurring revenue streams and add value to their clients' businesses.
There have been rumors for several years that the federal government will regulate money transmitter license requirements for payroll providers. Some states have already enacted state-level requirements. When new regulations take effect, firms must begin evaluating their payroll providers in order to remain compliant.
Cloud-based software systems become the norm
As legacy technology is replaced with cloud-based systems to improve talent attraction, new technologies are being adopted. Millennials grew up using cloud technology every day, from completing school assignments on Google Drive to sharing photos with family and friends.
Firms will need to adopt systems that offer multiple benefits, such as seamless document sharing with colleagues and the ability to work from anywhere. This expectation of cloud-based systems is already spilling over into the workplace. The profession will be forced to eliminate manual, mundane tasks in favor of cloud-based systems.
