In a latest assembly of public accounting tax leaders and advisors, I occurred to ask how they introduce themselves at enterprise occasions or events. Their solutions highlighted the complexity of defining the general public accounting occupation at present.
Some mentioned that they keep away from the time period “accountant,” however typically name themselves “enterprise advisors.” They could additionally concentrate on their area of interest by saying that they’re “tax advisors” or they “work with nonprofits on their monetary well being.” Some may also emphasize that they’re CPAs to differentiate their work and credentials from accountants.
With no clear elevator pitch, the general public accounting occupation has an identification disaster when attempting to draw expertise. The status and intrinsic worth of accounting (and pursuit of CPA licensure) has been diminished by pupil issues over school debt and intensive CPE, lengthy work hours and sluggish profession development.
In its most up-to-date annual report, the Nationwide Affiliation of State Boards of Accountancy confirmed a 6% enhance in CPA examination sections taken between fiscal yr 2020 and 2021. That is nonetheless far beneath the amount of 248,000 sections in 2019. It’s attainable that extra CPA candidates are ready till the brand new examination construction launches in 2024. Solely time will inform if we see extra CPAs within the coming years. We have to change that dynamic now.
Is there a CPA barrier?
Particular person corporations are making strides to advertise the advantages of public accounting careers to varsity and highschool college students. Recruiters are emphasizing extra versatile schedules, nice tradition and various profession choices. The truth is, extra corporations are actively hiring non-CPAs as a viable profession monitor in IT, shopper accounting and advisory providers, enterprise advisory providers and different specialties.
Jeremy Vokt, CPA, is the managing associate at Bland & Associates in Omaha, Nebraska. His agency has employed non-CPAs similar to medical coders, insurance coverage professionals and consultants for its authorities consulting apply specializing within the Facilities for Medicare and Medicaid. The agency has additionally employed former non-public accountants and bookkeepers, in addition to folks with enterprise backgrounds who need to transition to public accounting. He mentioned that his agency already has non-CPA leaders in every day operations.
A yr in the past, the agency revamped its profession path for all staff by integrating its core values and creating particular person growth plans for CPAs and non-CPAs. The agency offers quarterly suggestions to staff, however leaders additionally meet month-to-month with their direct studies to concentrate on every private growth plan {and professional} development alternatives. A few of that dialogue contains the trail to CPA credentials for non-CPAs.
“Everyone seems to be now utilizing the identical format, language and plan define on how they develop and develop right here at Bland,” Vokt mentioned. “We aren’t essentially altering how we incentivize the CPA licensure, however are ensuring we offer a horny profession path and a tradition all folks need to be part of.”
Companies know that attracting and retaining professionals is job one. Many corporations guarantee non-CPA staff that licensure can at all times be mentioned later; nevertheless, being a CPA continues to be the first path to management (and possession) at most corporations. Worker profit packages embody paid research time and fee for the CPA examination and licensure. A licensed CPA supervisor or associate primarily supervises non-CPA professionals.
On common, a CPA earns about 34% greater than an accountant, in keeping with job web site Certainly, relying on ranges of schooling, job location and business. With partnership and possession stakes, compensation goes up exponentially.
Nevertheless, a number of profession path discussions ought to occur throughout recruitment in addition to throughout onboarding and common check-ins. This will help dispel myths that public accounting solely affords restricted profession prospects and difficult working situations.
“We actually would love and want extra licensed CPAs,” Vokt acknowledged. “And we work with people in our direct report conferences to assist them get that license when it is a match. And completely there may be nonetheless room for non-CPA management on this business.”
Develop non-CPA profession tracks
Clearly, state licensure {and professional} requirements to apply as a CPA agency require CPAs. We should always encourage and proceed to assist staff to pursue the CPA examination and licensure. Because the occupation evolves its advisory capability, know-how and specializations, the management desk can solely profit from extremely expert CPAs and non-CPAs working collectively to advise shoppers.
To satisfy your demand for expertise, nevertheless, embody non-CPA recruitment and profession growth in your strategic initiatives for the approaching years. And naturally, proceed to encourage CPA licensure for staff. It is a win-win alternative.
As we develop these non-CPA profession tracks, it is going to sign to college students and present staff that public accounting is an increasing profession alternative that safeguards the monetary well being of our economies and other people. And hey, that is a reasonably good elevator pitch.
