Accounting hasn’t seen too many changes in the last century, but the number of changes we’ve seen just recently is incredible. There are now more tools available to the public and businesses to manage their books. Whole new classes of assets are popping up. And who would’ve thought that digital currencies would actually become a thing? Technology continues to change accounting, and it could change what it means to be an accountant in the future. Let’s take a look at a few ways in which technology is transforming accounting.
Accessibility
Probably the biggest impact of technology on accounting is accessibility. You can now reach CPA services from wherever you are and work with an accountant without ever seeing them. CPA firms are also now becoming actual resources to the public. CPA services from companies like Brown Smith Wallace are a prime example. These allow people to learn about tax-related subjects and hold virtual webinars free of charge.
As a result, people are savvier about taxes and money in general today. There are also various tools that allow them to do a large part of the work themselves.
Robotics and Artificial Intelligence
One of the areas that have changed dramatically for accountants over the last few years is automation, and they can thank robotics and artificial intelligence for this. These two technologies have greatly reduced the number of repetitive tasks accountants have to perform. They’re also much less prone to error. This allows firms to maximize their efficiency while reducing operating costs.
Cloud Computing
This is another technology that had a major impact on the world of accounting. It allows accountants to access important reports from anywhere they are on the globe. Companies can share their financial information on the fly and accountants can make adjustments or recommendations in real-time. This completely changes the relationship between clients and accountants and also allows them to focus more on working on the business’s processes.
Tax Software
We also can’t deny how disruptive tax software has been. These have greatly democratized taxes and accounting, and give people more options than ever. New tax software significantly reduces the margin of error, which is something that is on the top of the list for businesses who want to remain compliant.
Tax software can also be extremely helpful when it comes to audits. They can help streamline the whole process and prevent them from dragging out.
Mobile Accounting
Mobile technology has also had a profound impact on the profession. You have tools like Xero that allow firms to manage their operation on the move. They can set up appointments, send invoices, create expense claims, and add receipts through any mobile device. This also contributes to lower overhead, more efficiency, and gives them more time to focus on important business functions.
As you can see, technology changed the industry in more ways than one. We still don’t know what the future holds, but we can expect the profession to become more technology-oriented by the day.
