outlook & analysis

firms culling clients as staffing woes persist

by

man in suit exiting office building

others tap outsourcing, training clerical staff as solutions.

by 卡塔尔世界杯常规比赛时间 research

early results from the 卡塔尔世界杯常规比赛时间 2024 busy season barometer: emerging issues, opportunities, and trends are showing a painfully persistent problem with staff shortages, though it seems the hardship may have improved a bit since last year.

more: revenue up at 59% of accounting firms … and more good news | compensation’s up, but up enough to retain staff? | are accountants charging too little? | chatgpt for the reluctant accountant | cpas needed to help small biz adopt ai | revenue growth is top priority for small firms | is the cpa business model the clog in the pipeline?
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

this year, like last year, survey respondents are reporting staffing as the second most common concern. last year, it was reported by 47 percent, almost tied with the main concern: late or unprepared clients.

this year, uncooperative clients still rank first, at 50 percent, but staffing concerns have dropped to 37 percent.
read more →

tax pros gain ground, and diyers maintain lead

by

data table

refunds are up over 4 percent.

by beth bellor
卡塔尔世界杯常规比赛时间 research

with about a month left in the 2024 tax season, the individual income tax returns keep pouring in, and the internal revenue service keeps grinding them out.

the irs had received 62.8 million returns, down 1.1 percent from the previous year, as of march 8, the latest data available. it had processed 61.9 million returns, down 2.1 percent.

more: tax pros handle 46.4% of e-filing | tax refunds, tax pro market share trending up | refunds up as tax pros tackle 41.5% of e-filings | tax pros handle 37.7% of e-filings | tax pros file 33% of early returns
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

e-filings

electronic filings totaled 61.2 million, down 0.9 percent.
read more →

revenue up at 59% of accounting firms … and more good news

by

financial graph on blackboard

technology is key for competitive advantage.

by 卡塔尔世界杯常规比赛时间 research

the 2024 accounting industry report from wolters kluwer cuts through a lot of the underbrush of sentiments and anecdotal evidence about the state of the accounting business today. backed by statistical data, the report presents a some significant truths about the state of the industry.

more: compensation’s up, but up enough to retain staff? | are accountants charging too little? | revenue growth is top priority for small firms | is the cpa business model the clog in the pipeline? | accountants cozy up to clients with cas | survey: cpas culling clients for better work-life balance | women-owned businesses upbeat but need help | accountants to the rescue as startups struggle | looking for recent grads? good luck | what the corporate transparency act means for accountants | understanding the full cost of a data breach | why the u.s. must act now to protect our online privacy
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

and the general state is good. most firms are growing, profitability is up, new services are surging, and serious practices are making efforts to improve the quality of client experience.

here are some of the most notable facts.
read more →

compensation’s up, but up enough to retain staff?

by

young woman seated at laptop counting money

people are leaving the profession. more money is one solution.

by 卡塔尔世界杯常规比赛时间 research

the aicpa’s 2023 national management of an accounting practice (map) survey came up with an odd statistic. kind of hard to believe until you get the context.

the finding: the median employee turnover rate across all cpa firms is … 0 percent.

yes, that’s a zero.

more: are accountants charging too little? | chatgpt for the reluctant accountant | survey shows challenges, priorities shifting | can big data spot financial fraud? | accountants torn over 2024 economy, offer advice | survey: are you offering the right services? | survey: 42% of accountants turn away work over staff shortages | talent gap widening: be very scared | cpa biz is booming, but for how long? | the 7 categories of cybersecurity solutions firms need
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

but wait. a median, as they say, is only half the story.

the bigger story – the broader context – is that more than half the responding practices had zero turnover, so the median fell at zero percent. but that goose egg doesn’t reflect the reality of firms at the other side of the spectrum.
read more →

tax practitioners say happy days are here … again

by

bar chart
seventy percent report as good or better year than last year.

 

for most, anyway.

by 卡塔尔世界杯常规比赛时间 research

the first results of the 2024 busy season barometer: emerging issues, opportunities, and trends are in, and so far, halfway into the tax season, accountants and tax practitioners are reporting another pretty good year.

that’s two in a row!

more: the irs is coming! get your clients into compliance | end tax season meetings with clients … seriously | brandon hall: firms try to make too much on tax prep | eight steps to getting started with ai: a guide for tax professionals | the nightmare of non-credentialed tax preparers | tax pros are expanding and earning more
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

last year, 58 percent of survey respondents said their year was much better or somewhat better than 2022, which, as you may recall, had been a rather rotten year.

so when only 32 percent of this year’s contributors say this season is better than 2023, it doesn’t mean fewer are having a good year. it means almost a third are reporting a year better than a good year.
read more →

tax & accounting profession keeps growing

by

line chart
overall profession employment

 

more workers, with some making quite a bit more money.

by beth bellor
卡塔尔世界杯常规比赛时间 research

winter doldrums didn’t seem to affect the tax and accounting profession, which saw several sectors hit new hiring highs in february.

elsewhere in the nation, total nonfarm payroll employment increased by 275,000 in february, nudging the unemployment rate up to 3.9 percent. professional and business services saw little change for the month.

more: accounting hiring hits another high | staff wages hit record high | despite staffing crunch, firms freeze pay raises | tax & accounting firms grow for 9th straight month | tax & accounting profession grows, but wages don’t | tax and accounting pay advancing at 5.9% pace | accounting jobs up 4% for year
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

overall accounting profession employment at a record 1,163,600 was up 1,000 or 0.1 percent for the month and 29,600 or 2.6 percent for the year. employees averaged 35.9 hours per week, down 6 minutes or 0.3 percent for the month but up 6 minutes or 0.3 percent for the year. their earnings hit a new high of $41.41, up 21 cents or 0.5 percent for the month and 34 cents or 0.8 percent for the year.
read more →

tax pros handle 46.4% of e-filing

by

data table

 

the happy news for taxpayers: refunds are up.

by beth bellor
卡塔尔世界杯常规比赛时间 research

the tax deadline, as most americans define it, is drawing closer, and the country’s tax pros are gaining about 2 percentage points a week in market share of tax filings. go, accountants!

more: tax refunds, tax pro market share trending up | refunds up as tax pros tackle 41.5% of e-filings | tax pros handle 37.7% of e-filings | tax pros file 33% of early returns
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

the internal revenue service had received 54 million individual income tax returns, down 1.7 percent, as of march 1, the latest data available. it had processed 53.2 million returns, down 2 percent from one year ago. the 2024 season has been seven days shorter than the 2023 season because of a later start date.
read more →

cpas needed to help small biz adopt ai

by

bar chart
which areas of your business would you expect to be the most and the least affected by artificial intelligence?

 

privacy, intellectual property concern many survey respondents.

by 卡塔尔世界杯常规比赛时间 research

small businesses are getting more comfortable with artificial intelligence, according to a survey-based report from freshbooks.

“small business owners are less convinced that ai is coming for their jobs and/or the jobs of their employees,” the report says, “with two-thirds disagreeing that ai will replace them.”

more: revenue growth is top priority for small firms | survey shows challenges, priorities shifting | survey shows that tech remains the great divide | is the cpa business model the clog in the pipeline? | can big data spot financial fraud? | will unclogging the accounting pro pipeline kill mobility? | accountants bullish on income | 42% of accountants turn away work over staff shortages | accountants hopeful, concerned and confused about ai
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

still, in a bit of a contradiction, 44 percent of owners say they expect to hire fewer people in the future thanks to expected ai capabilities. and the larger the business, the more likely they will use ai to reduce payroll.
read more →

revenue growth is top priority for small firms

by

bar charts

cost reduction? that’s on the list, too.

by 卡塔尔世界杯常规比赛时间 research

as in years past, cpa firms of all sizes are putting revenue growth at the top of their priority lists.

the rest of their priority lists tells how they plan to get there.

more: survey shows challenges, priorities shifting | survey shows that tech remains the great divide | will unclogging the accounting pro pipeline kill mobility? | accountants bullish on income | survey: which niche’s the best niche? | ethics on sustainability puzzle some accountants | accountants hopeful, concerned and confused about ai
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

according to the wolters kluwer 2024 accounting industry report, 61 percent of responding firms – 90 percent of which are small firms – are primarily aiming at higher revenues and profits. that’s 11 percentage points above secondary goals.
read more →

survey shows challenges, priorities shifting

by

two worried businesspeople having coffee and looking at computer

top concerns vary widely by firm size.

by 卡塔尔世界杯常规比赛时间 research

cpa firms small, midsized and large are facing new challenges and reorganizing their priorities as they shake off the aftereffects of the covid-19 pandemic.

according to the wolters kluwer 2024 accounting industry report, based on a survey of 1,509 accounting firms, pricing and competitive fee pressures are the overall biggest challenges firms are dealing with. the pressure is most prominent at small firms, which comprised 90 percent of the survey respondents. forty percent of those smaller firms said it was their top concern.

more: survey shows that tech remains the great divide | is the cpa business model the clog in the pipeline? | accountants cozy up to clients with cas |  cpas culling clients for better work-life balance | women-owned businesses upbeat but need help | accountants to the rescue as startups struggle | looking for recent grads? good luck
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

this is the first time pricing has ranked among the top five challenges since 2015.

pricing ranked third among large firms, 39 percent of which said it was a problem.
read more →

amber setter: coaching helps resolve the tension between safety and purpose

by

safety’s knowing you can pay the bills. purpose is knowing there’s something more.

subscribe to 卡塔尔世界杯常规比赛时间 podcasts anywhere: apple, google, spotify, iheart, deezer, amazon music and audible, player fm, audacy, gaana (india), and boomplay (africa).

the disruptors
with liz farr

amber setter, the chief enlightenment officer for conscious public accountants, started out as a type a overachiever cpa, but after a few busy seasons, she realized that she “didn’t want to be an accountant anymore.”

 

more podcasts and videos: blumer cpas: move leaders out of client service | james graham: drop the billable hour and you’ll bill more | karen reyburn: fix your marketing and fix your business | giles pearson: fix the staffing crisis by swapping experience for education | jina etienne: practice fearless inclusion | bill penczak: stop forcing smart people to do stupid work | sandra wiley: staffing problem? check your culture | scott scarano: first, grow people. then firm growth can follow | jody padar: build a practice that works for you, not vice-versa | ira rosenbloom: with m&a, nobody wants a fixer-upper | peter margaritis: the power skills every accountant needs | joe montgomery: find the sweet spot of the right clients, right services and right prices | marie green: your bad apples are ruining you | megan genest tarnow: hire for curiosity rather than compliance |

goprocpa.com exclusively for pro members. log in here or 2022世界杯足球排名 today.

today she’s an executive leadership coach for accountants, helping them transform their lives and careers.

read more →

survey shows that tech remains the great divide

by

casually dressed man working at laptop, money stacks covering surrounding desk space

why are the non-adopters not adopting?

by 卡塔尔世界杯常规比赛时间 research

wolters kluwer tax and accounting has issued its annual tax and accounting survey. the results show an industry re-evaluating its criteria for success as firmwide changes occur.

technology is the driver of those changes, and its rapid evolution is enabling, and even necessitating, innovation.

more: is the cpa business model the clog in the pipeline? | can big data spot financial fraud? | accountants torn over 2024 economy, offer advice | survey: are you offering the right services? | 42% of accountants turn away work over staff shortages | talent gap widening: be very scared | cpa biz is booming, but for how long? | survey: accountants economic outlook brightens
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

in her introductory letter, cathy rowe, wolters kluwer senior vice president, professional market, says, “those who embrace innovation will be able to redefine their firms, leave no spreadsheet untouched by the winds of change, and truly be future-ready accountants.”

the numbers back up the increasing use of and dependence on technology, but they also reveal a significant part of the industry declining to board the tech train.
read more →

accounting hiring hits another high

by

line chart
overall employment in the accounting profession

 

tax prep is less than half the increase.

by beth bellor
卡塔尔世界杯常规比赛时间 research

is the accounting profession closing its staffing gap?

it sure seems that way, as employment hit an all-time high in january. women fared well, too, reaching record levels in the field overall and in payroll services.

more: staff wages hit record high | despite staffing crunch, firms freeze pay raises | tax & accounting firms grow for 9th straight month | tax & accounting profession grows, but wages don’t | tax and accounting pay advancing at 5.9% pace | accounting jobs up 4% for year
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

nationally, unemployment held at 3.7 percent as total nonfarm payroll employment increased 353,000, according to the latest data available to 卡塔尔世界杯常规比赛时间 research. of those new hires, 74,000 came in professional and business services, well above 2023’s monthly average of 14,000.
read more →