What if the concept of employee turnover was foreign to your firm? What if the Monday morning faces of each of your staff shone like those of children lined up for entrance to Disneyland? What if your firm had so many clients eager for your help that your biggest problem was managing new business?
The best firms have already figured out that motivated and passionate employees equals success. The real challenge lies in retaining those employees and keeping them engaged and inspired so they aren’t tempted to look for work elsewhere. Here are three initiatives to help your firm enhance employee engagement and inspire long-lasting dedication.
An engaged employee is one who has a strong connection with their firm. That connection can be developed when the firm’s vision, mission, and core values are created and lived out through the involvement of all employees – not just trickled down from higher-ups. To help increase employee involvement, establish an engagement system that will benefit everyone in the firm, such as:
The AICPA continually advocates on tax matters to improve tax policy and administration for tax practitioners and taxpayers alike. Though the issues and challenges we grapple with could be difficult, our goals are simple: transparency, simplicity and certainty. Taxpayers and practitioners have scored a major victory for certainty and simplicity as AICPA-supported provisions in legislation will soon become law. Taxpayers will have to deal with fewer late and amended Forms 1099 that have $100 of income or less impact, fewer identity theft situations due to Forms W-2 will soon have truncated Social Security numbers, and clients will be able to rely on several permanent rather than temporary tax credits.
We also achieved more simplicity when the small business tax community received two big wins to make the “repair regs” more taxpayer friendly.
Rebecca McNeil, CPA, CGMA is the chief financial officer of The Arts Finance Cohort, a collaboration between five Pittsburgh-based arts organizations including a theater company, a performing arts venue, a community arts space and ceramic studio, a glass studio and a crafts center. As a shared CFO, she provides strategic and operational financial expertise the groups could not afford individually. Her task is to move the organizations beyond year-to-year, break-even operations to long-term sustainability, as she helps each create a capitalization plan. McNeil is also a classically trained clarinet player. In this AICPA Insights Member Spotlight, we find out how Rebecca is using her management accounting skills to help an industry that she is passionate about: the arts.
1. Tell me about your day-to-day responsibilities.
There’s a wide variety of work. I might review one group’s [IRS] 990 and make corrections to the form, perform current-year projections for another group and work on policies and procedures for another. For some organizations, I'm providing higher-level oversight and strategic planning advice and for others I'm offering more upper-level staff support by updating their record-keeping. I have to evaluate with each organization based on the staff they have in place.
2. What are your direct areas of responsibility?
My job is to not just show the numbers, but to tell the story of the organization through the numbers. I’ve redrafted nearly every organization’s financial statements at this point. I’m trying to get more clarity on the numbers and present them in a way that makes sense.
There’s also been some education for the organizations on their financial statements so they can understand where their focus should be. I’m trying to help them manage their cash flow while understanding how much fundraising they need to do. We’re trying to get realistic, achievable budgets, and in some cases that requires resetting the budget process.
It’s flu season -- conveniently coinciding with busy season. It’s time to stock up on cough syrup and analgesics to ward off the aches and discomfort of the flu. A visit to your family doctor might also be in order, if you can get an appointment. But what do you do if that ringing in your stuffy ear is a sign of hearing loss and not some flu-induced infection? What if those sniffles just won’t clear up on account of that broken nose you suffered last spring? Well, that’s when you visit the ENT-- the Ear, Nose and Throat specialist. She sees patients who need more focused care. She’s managing a niche practice.
For many CPAs, setting themselves apart in a competitive market is a critical goal. The popularity of practice areas such as personal financial planning, IT specialization, fraud and forensic accounting, business valuation, tax and assurance services demonstrates the value that finding the right niche can offer. Here are a few of the many benefits that help explain why more CPAs are choosing to specialize.
The world watched and listened in horror recently as reports of terrorism in Paris and San Bernardino, Calif., dominated the airwaves. In what is becoming a regrettably familiar scene, countries around the world joined the victims in mourning. But as the days wore on, attention increasingly turned to the covert, encrypted digital communications of the perpetrators. The government has begun questioning the wisdom of unbreakable encryption as a result. It might all seem a million miles from the concerns of tax practitioners. But is it?
In the wake of potential terrorist attacks, government officials are again addressing the complexities of obtaining intelligence data in an encrypted world. John Brennan, Director of the CIA, recently outlined these complexities in a talk at the Center for Strategic and International Studies in Washington:
AICPA President and CEO Barry Melancon, CPA, CGMA, reflects on the accounting profession’s successes in 2015 and highlights how the profession will continue to adapt to today’s changing environment. Citing initiatives to drive quality; support CPAs’ services in accounting, auditing and tax; and boost the CPA pipeline, Melancon sees a strong profession shaping its opportunities for future success.
1) What were the profession’s most significant accomplishments this year?
The profession enjoyed another tremendous year of achievements on many important fronts. I think the growth and retention of our membership is the best evidence of that, and now we are the professional home for more than 412,000 members. Our membership is broad in scope, with members working in many different types of environments. Whether in public accounting, management accounting, government, education or another area, they all see the value in our efforts to support the CPA reputation and market position, help firms and organizations drive success and advance the profession for the future.
The Q1/Q2 2016 score release timetable is now available. Score release timelines are updated biannually on AICPA Insights and on the CPA Exam website. For more information about score release and the scoring process, please visit the Psychometrics and Scoring page.
The National Association of State Boards of Accountancy releases the scores to candidates and state boards of accountancy based upon the target score release dates listed in the tables below.
By now, most CPAs have heard of FATCA (Foreign Account Tax Compliance Act), which requires foreign financial entities to report information on their U.S. account holders to the IRS. In return, the U.S. (in some cases) is sharing information on accounts held in this country by foreign nationals with the individual’s home country. The goal of this information sharing is to ensure that individuals are reporting all their income properly and paying the appropriate amount of tax.
Now the focus is shifting to tax avoidance by multi-national businesses. In early October, the Organization for Economic Co-operation and Development (OECD) released the final reports from their two-year project targeting Base Erosion and Profit Shifting (BEPS) activities. BEPS occurs when businesses take advantage of differences in countries’ tax laws, tax treaty provisions and (occasionally) special arrangements with a local tax authority to minimize their total worldwide tax liability. Some of the ways businesses do this include:
The AICPA’s joint venture with the Chartered Institute of Management Accountants (CIMA), the world’s largest and leading professional body of management accountants, has been very successful with more than 150,000 finance professionals obtaining the Chartered Global Management Accountant® (CGMA®) designation, including more than 50,000 U.S. CPAs.
I recently had the pleasure of speaking with two of the profession’s leaders to discuss their thoughts on the profession and the evolution of the joint venture between the AICPA and CIMA. Paul Stahlin, CPA, CGMA, is the former chairman of the AICPA’s Board of Directors and Myriam Madden, FCMA, CGMA, is the president of CIMA.
As 2015 draws to a close, I’ve been reflecting on the 12-month journey that our society and the accounting profession have made in the area of diversity and inclusion. This has been a banner year for diversity and inclusion in the profession, especially in relation to gender issues. Additionally, there are a number of new opportunities for accountants to capitalize upon as a result of a key diversity and inclusion-related ruling raised by the U.S. Supreme Court.
In July of 2015, KPMG announced Lynne Doughtie as their U.S. Chairman and CEO. In addition, growth in leadership among women within the accounting profession continued. Tommie Barry recently concluded her year as AICPA Chairperson of the Board of Directors. At the same time, the AICPA’s governing Council voted Kimberly Ellison Taylor into the Vice-Chair position of the AICPA Board of Directors at its fall meeting. Of even greater note, Kimberly is the first African American voted into such a position within the AICPA.
To give or not to give: that is the annual question. Gift giving at the office can be fraught with confusion—do I give gifts to my colleagues? What about my boss? What’s an acceptable amount of money to spend? Can’t I just buy everyone a bottle of wine?
Here are a few tips to help you navigate this tricky time of year and emerge smiling and ready to wish everyone a Happy (insert holiday here).
As we near the end of 2015, the AICPA’s Examinations team is wrapping up the development of the next version of the CPA Exam, and is confident in the depth and relevance of the final proposal we put forth in September. In the Exposure Draft, Maintaining the Relevance of the Uniform CPA Examination, we captured feedback from a multi-year research initiative that ensures the Exam remains truly aligned with what the profession needs from its next generation of CPAs. Responses were sought to the Exposure Draft during the AICPA’s public comment period that closed on November 30, with critical feedback received from key stakeholders, including firms, state CPA societies, academics and state boards.
It seems like writing about expiring provisions is a regular rite of passage and frankly, it doesn't feel like the religious experience alluded to in Ecclesiastes. The last time I spoke with you about tax extenders (Nov. 28, 2014), I asked: What’s the million dollar topic on members’ minds these days? The choices were the following:
We are in the midst of giving season— a time when many of us pause to be grateful for what we have and to help those who are less fortunate. This is the time of year when many CPAs and finance leaders are asked to serve on not-for-profit boards, an experience which can be an incredibly rewarding way to give back. However, volunteering on a nonprofit board requires a significant time investment and comes with serious legal, fiduciary and stewardship responsibilities.
Before saying “yes” to board service, ask yourself the following questions to help you determine if the board you are considering is the right choice for you.
We live in an age of short attention spans and demands for more productivity. In my role as an accounting professor, if I don’t grab my accounting students’ attention and immediately explain the relevancy of a topic, they tune out.
Today’s young people have a greater aptitude for learning new skills, especially when it comes to new technological applications. They enjoy experimenting, and they don’t mind failing – as long as failure is just a hurdle on the way to the reward at the finish line.
Short attention spans and the need to multi-task are not limited to college students. The nature of today’s business environment requires CPAs to be multitaskers. Thirty years ago when I was a CPA in public practice, we used to take CPE courses once or twice a year to catch up on new standards and guidance. Today, changes are taking place so quickly that we need to be learning new material daily. Our instructional methods and learning habits need to adapt accordingly.
Nano Learning: Breaking Instruction Into Small Pieces