Nature of the Work
"Accountants and auditors help to ensure that the Nation’s firms are run
efficiently, its public records kept accurately, and its taxes paid properly
and on time. They analyze and communicate financial information for various
entities such as companies, individual clients, and government. Beyond
carrying out the fundamental tasks of the occupation—preparing, analyzing, and
verifying financial documents in order to provide information to clients—many
accountants also offer budget analysis, financial and investment planning,
information technology consulting, and limited legal services.
Public accountants perform a broad range of accounting, auditing, tax, and
consulting activities for their clients, which may be corporations,
governments, nonprofit organizations, or individuals. For example, some public
accountants concentrate on tax matters, such as advising companies about the
tax advantages and disadvantages of certain business decisions and preparing
individual income tax returns. Others offer advice in areas such as
compensation or employee health care benefits, the design of accounting and
data-processing systems, and the selection of controls to safeguard assets.
Still others audit clients’ financial statements and inform investors and
authorities that the statements have been correctly prepared and reported.
These accountants are also referred to as external auditors. Public
accountants, many of whom are Certified Public Accountants (CPAs), generally
have their own businesses or work for public accounting firms.
Some public accountants specialize in forensic accounting—investigating and
interpreting white-collar crimes such as securities fraud and embezzlement,
bankruptcies and contract disputes, and other complex and possibly criminal
financial transactions, including money laundering by organized criminals.
Forensic accountants combine their knowledge of accounting and finance with
law and investigative techniques to determine whether an activity is illegal.
Many forensic accountants work closely with law enforcement personnel and
lawyers during investigations and often appear as expert witnesses during
trials.
In response to recent accounting scandals, new Federal legislation
restricts the nonauditing services that public accountants can provide to
clients. If an accounting firm audits a client’s financial statements, that
same firm cannot provide advice on human resources, technology, investment
banking, or legal matters, although accountants may still advise on tax
issues. Accountants may also advise other clients in these areas and may
provide advice within their own firm.
Work environment
Most accountants and auditors work in a typical office setting. Some may be
able to do part of their work at home. Accountants and auditors employed by
public accounting firms, government agencies, and organizations with multiple
locations may travel frequently to perform audits at branches, clients’ places
of business, or government facilities.
Most accountants and auditors usually work a standard 40-hour week, but
many work longer hours, particularly if they are self-employed and have
numerous clients. Tax specialists often work long hours during the tax season.
Training, Other Qualifications, and
Advancement
Education and training
Most accountant and auditor positions require at least a bachelor’s degree
in accounting or a related field. Beginning accounting and auditing positions
in the Federal Government, for example, usually require 4 years of college
(including 24 semester hours in accounting or auditing) or an equivalent
combination of education and experience. Some employers prefer applicants with
a master’s degree in accounting, or with a master’s degree in business
administration with a concentration in accounting. Some universities and
colleges are now offering programs to prepare students to work in growing
specialty professions such as internal auditing. Many professional
associations offer continuing professional education courses, conferences, and
seminars.
Some graduates of junior colleges or business or correspondence schools, as
well as bookkeepers and accounting clerks who meet the education and
experience requirements set by their employers, can obtain junior accounting
positions and advance to accountant positions by demonstrating their
accounting skills on the job.
Most beginning accountants and auditors may work under supervision or
closely with an experienced accountant or auditor before gaining more
independence and responsibility.
Other qualifications
Previous experience in accounting or auditing can help an applicant get a
job. Many colleges offer students the opportunity to gain experience through
summer or part-time internship programs conducted by public accounting or
business firms. In addition, as many business processes are now automated,
practical knowledge of computers and their applications is a great asset for
jobseekers in the accounting and auditing fields.
People planning a career in accounting and auditing should have an aptitude
for mathematics and be able to analyze, compare, and interpret facts and
figures quickly. They must be able to clearly communicate the results of their
work to clients and managers both verbally and in writing. Accountants and
auditors must be good at working with people, business systems, and computers.
At a minimum, accountants and auditors should be familiar with basic
accounting and computer software packages. Because financial decisions are
made on the basis of their statements and services, accountants and auditors
should have high standards of integrity.
Job Outlook
Employment change. Employment of accountants and auditors is expected to
grow by 18 percent between 2006 and 2016, which is faster than the average for
all occupations. This occupation will have a very large number of new jobs
arise, almost 226,000 over the projections decade. An increase in the number
of businesses, changing financial laws, and corporate governance regulations,
and increased accountability for protecting an organization’s stakeholders
will drive growth.
As the economy grows, the number of business establishments will increase,
requiring more accountants and auditors to set up books, prepare taxes, and
provide management advice. As these businesses grow, the volume and complexity
of information reviewed by accountants and auditors regarding costs,
expenditures, taxes, and internal controls will expand as well. The
globalization of business also has led to more demand for accounting expertise
and services related to international trade and accounting rules and
international mergers and acquisitions.
An increased need for accountants and auditors also will arise from changes
in legislation related to taxes, financial reporting standards, business
investments, mergers, and other financial events. As a result of accounting
scandals at several large corporations, Congress passed the Sarbanes-Oxley Act
of 2002 in an effort to curb corporate accounting fraud. This legislation
requires public companies to maintain well-functioning internal controls to
ensure the accuracy and reliability of their financial reporting. It also
holds the company’s chief executive personally responsible for falsely
reporting financial information.
Earnings
Accounting, tax preparation, bookkeeping, and payroll services $57,020
Management of companies and enterprises $55,560
Local government $50,120
Depository credit intermediation $49,380
State government $47,200"
Source
Bureau of Labor Statistics, U.S. Department of Labor, Occupational
Outlook Handbook, 2008-09 Edition, Accountants and Auditors, on the
Internet at http://www.bls.gov/oco/ocos001.htm (visited March 31, 2008)
