Future of Practice: What 2018 will bring for Accountants
The world has not stopped growing ever since the industrial revolution. Today’s tech era has all but increased the pace of productive development towards a more “relaxed” error free practice, especially in business. The world we knew yesterday or even this morning is not the one that we are living in this afternoon. There are countless of innovations and advancements occurring every minute.
What does this mean for businesses and people associated with business processes? Is it essential for all firms to keep growing at this rate? Should businesspeople adapt their daily practices to the ever-growing demands to innovate at a scale that meets public demand?
The simple answer to all of these questions was answered a while back through the famous book entitled “Innovate or Die” which is more relevant in today’s market than it ever was. Apart from technology there are other major changes happening all around us. With a new government in place, there are many legislative changes that are hitting (not necessarily in a bad way) businesses as well. This article is discussing the changes accountants are facing as the new tax laws are directly affecting them, as well as a greater chunk of technological advancements that are making a bigger difference for the industry.
Definite Move towards Technology
Is innovation a good thing? Sure, but not for all. According to the Bureau of Labor Statistics, accounting related jobs are expected to remain at a high until 2026, but what happens after? The short answer to that is that the world is quickly moving towards innovation, which is more cost effective, and a lot more accurate. Businesses such as Monily have already started scaling up the competition within this already highly saturated industry. Where a tap on the phone can get you all the bookkeeping you need and even get your taxes paid for your business. This does not mean that CPA’s should get affected by the intervention of highly dependable technology. It is rather an asset for businesses and an opportunity for accountants to start adapting to the inevitable changes.
The Tax Reform
A major game changer brought in by President Trump, is the tax reform that we discussed earlier indicating that businesses need an accounting firm on their corner helping them transit and understand the new changes that are to come this new payday. As the article discusses the drastic changes affecting Americans across the board, startup businesses ideally need cost effective accounting, which is only doable through virtual CPA’s.
The future for accountants does look very green; however, it does depend a lot on their ability to adapt to the rapid changes occurring in all aspects of business. Inevitably, human accountants will be taken over by AIs; the best way to tackle such hindrances would be to be ahead of the game. Having said that, businesses also need to understand the dynamics of the twenty-first and adjust their needs accordingly. The Golden Rule still applies; the more money you save, the more money you make.