A New CPA Path Emerges

As we think about the fall season, we have a lot to reflect on. The 150-hour requirement for CPA licensure is always top of mind. After much discussion over a long period of time, the American Institute of CPAs (AICPA) and the National Association of State Boards of Accountancy (NASBA) recently unveiled an alternative pathway to the standard 150-hour requirement. The proposed CPA Competency-Based Experience Pathway is intended to help the accounting profession fix our well-publicized CPA well-publicized CPA shortage.

The additional option would not replace existing pathways to licensure but aim to provide an alternative pathway for candidates without lowering the bar to enter the profession. The proposed pathway would allow CPA candidates to obtain an additional year of competency-based work experience instead of the additional 30 hours to demonstrate their professional and technical skills. (See the chart below.) Candidates would still be required to earn a bachelor’s degree, complete one year of general experience and pass the CPA Exam.

Under the proposal, candidates could become a CPA by demonstrating skills in areas such as ethical behavior, critical thinking, audit services, tax engagements and financial reporting based on a year of competency-based work experience. Candidates would be required to exhibit all seven professional competencies and at least one of the three technical competencies, which would be verified by at least one “CPA Evaluator” in their organization. In addition, a CPA Candidate must obtain one year of general work experience.

In line with that proposal, the AICPA and NASBA are also recommending changes to the Uniform Accountancy Act (UAA). The UAA model legislation gives state legislatures and boards of accountancy a national model that can be adopted in full or in part to meet the needs of their own jurisdiction. The changes in the UAA provide for implementing the competency model. They would also make changes to the current substantial equivalency provisions in the UAA, which would be monitored and implemented by NASBA.

Comments on the proposals are due Dec. 6 and Dec. 30, respectively. The AICPA and NASBA are aiming to finalize the framework as early as February.

We at NJCPA support an alternative pathway to licensure but we have fundamental differences with the AICPA/NASBA proposal on how to get there. The basis of our recommendations is to ensure ease and to streamline the process to reduce barriers to licensing while supporting the rigor that is expected to enter the profession. 

The two proposals were reviewed at the NJCPA’s Board of Trustees meeting on Sept. 26. The Board supports licensure with an additional year of experience instead of 30 credits but does not support the proposal’s requirement that the first year of experience be done within the competency-based framework outlined in their proposal. We are concerned about the onerous compliance requirements on employers to document specific competencies. We are also concerned about the potential to disproportionately impact small firms. 

The Board did not support the draft UAA’s proposal to adopt a modified version of the current substantial equivalency system to provide for interstate mobility. Instead, the Board supports the concept of “automatic mobility,” which provides mobility privileges to any person with a CPA license in any other state, so long as they have passed the CPA exam, received a bachelor’s degree, and have two years of experience.

A member working group was formed by the Board to compose the NJCPA’s response by November, which will be shared with members and interested stakeholders. We’d also like to hear from you at feedback@njcpa.org.

You can learn more about the proposals at our free webinar on Nov. 13 or Nov. 19. And, as always, learn more about what the NJCPA and others are doing to meet the pipeline challenge at njcpa.org/pipeline.

As technology continues to become more advanced, it’s more important than ever to be able to identify imposter scams and protect yourself from them. An imposter scam occurs when a scammer pretends to be someone else to deceive an individual into sending them personal identifiable information or money or allowing direct access to bank accounts. In 2023, more than 330,000 business impersonation scams and more than 160,000 government impersonation scams were reported to the Federal Trade Commission (FTC); losses from these scams were more than $1.1 billion, which is about three times what had been reported in 2020.

Imposter scams do not discriminate. Although we typically hear about the elderly being common targets of fraudsters, per the FTC, younger adults, including Gen Z and millennials, were 34% more likely to report losing money due to fraud compared to individuals over 60. Earlier this year, a financial-advice columnist for The Cut put $50,000 in a shoebox and gave it to a stranger, after being duped by a scammer pretending to be an investigator with the FTC.

An imposter scam may start with a text message, phone call, or email — it is likely that those of you reading this blog have received a threatening phone call from the IRS” or a text message from a stranger pretending to be someone you are supposed to know. The FTC has noted that scams involving text messages are on the rise. These fraudsters want you to panic and act irrationally in response to these communications.

Per the FTC, the following are some of the top imposter scams of 2023:

• Copycat account security alerts: An individual receives a text message from a company like Amazon or a bank reporting suspicious activity or unauthorized charges on his or her account. These messages frequently include an additional step, like responding “yes” or “no” to a prompt, or an offer to provide further assistance with the alleged issue. The goal of these messages is to engage in communication that will convince the person to share personal identifiable information.
• Sweepstakes scams:  A scammer convinces someone that they’ve won a prize or a contest and subsequently tricks that person into providing personal identifiable information or paying money to get access to the prize.
• Subscription renewal scams: Phishing emails or text messages attempt to trick people into paying to renew a subscription to a known business. These messages often look legitimate, including company logos and fake invoices; the FTC has seen many instances of this fraud scheme involving a subscription renewal for the Geek Squad.
• Package delivery scams: Fabricated messages about package deliveries from UPS, the Postal Service, FedEx or Amazon indicate that there’s an issue with a package delivery. The message includes a link to a website that typically requests credit card information to process a redelivery fee or update payment information.

Additionally, criminals are using artificial intelligence (AI) to create deepfake videos or phone calls utilizing voice cloning, which has made imposter frauds even more convincing. These methods are typically utilized in a family member scam, where fraudsters will use technology to mimic the voice of a family member to make it sound as if this person is in danger and needs financial assistance. Last year, scammers demanded a $1 million ransom from a mother in Arizona by using AI to clone her daughter’s voice to claim that she had been kidnapped. These scams typically target elderly family members who may be less technologically savvy; however, voice cloning has the potential to fool even the most diligent skeptic.

Action Steps

In 2023, consumers lost $10 billion to fraud, and imposter scams were the most prevalent kind of fraud reported to the FTC. The following are measures CPAs can take to recognize imposter scams and protect their clients:

• Remain educated and communicate.  CPAs need to stay informed about imposter scams and changing technology to be able to identify red flags and tactics used by fraudsters, and they need to communicate this information to clients on a regular basis. Consider creating a newsletter or an awareness campaign regarding new and developing fraud schemes.
• Instill clients with best practices. This could include monitoring bank account statements on a regular basis, avoiding communicating with unexpected text messages from unknown numbers and remaining skeptical and calm in response to unsolicited messages.
• Do an internal controls review.  Review your clients’ internal controls to identify any areas of weakness, especially around data security.

It is important to stay diligent and educated to protect yourself from imposter scams. Remain skeptical and perform your own due diligence in response to suspicious communications. Should you become a victim of a fraud scam, report it to the FTC or the FBI’s internet crime complaint center. 

While it’s certainly reasonable for the New Jersey Division of Taxation to expect that a business’s filed sales tax and income tax returns accurately reflect the business’s true financial activities, unfortunately, that is not always the case.

For numerous reasons, there may exist reporting discrepancies and/or deficiencies with respect to the business’s tax returns and associated books and records that may go back several years. Simply due to their small size, many small businesses (e.g., sole proprietorships, single-member LLCs) — particularly those with primarily cash operations —, do not have proper internal controls. Additionally, their bookkeeping and recordkeeping practices are oftentimes less than adequate.  Moreover, implementing reporting improvements, such as a point-of-sale system, are quite costly to purchase and require constant maintenance. Thus, depending on the nature and/or severity of the associated issues, the business’s stakeholders may be at risk when being audited by the Division. The resulting audit assessment may directly and adversely impact the financial affairs of the business and its owners, as well as the business’s ability to remain as a going concern. 

The good news is that many of the potentially adverse issues and concerns can be timely detected and resolved, thus ensuring that the business remains viable. For example, the business’s CPA or outsourced tax specialist should consider spearheading a team effort which, hopefully, will bring the business entity into reasonable compliance with all of the Division’s applicable statutes, regulations, rules and policies. Creating a compliance plan is a good starting point for the engagement. Many of the items within the plan should be already known and quite familiar to the team’s participants These include the nature and tax implications of the industry the business operates within; the business’s existing accounting system and associated recordkeeping procedures; and a host of other miscellaneous items.

Additionally, there are two critical areas to focus on when reviewing a cash business’s compliance with New Jersey’s taxes.

Reconciliation of Gross Receipts

All primary categories of gross receipts as listed below should be totaled annually/fiscally and then compared to each other for the last four years. 

• Monthly bank deposits
• Total sales per business income tax return
• Total sales per books and records
• Total sales per sales tax returns

All material differences should be investigated and reconciled. This procedure may prove to be extremely difficult due to the passage of time, which may result in the loss of what formerly was readily available information. However, on a go-forward basis, perform the applicable steps in this process at least on a quarterly basis and detail/support/retain the information associated with the reconciliation of gross receipts procedures.

Additionally, the reported taxable receipts as listed on the business’s sales tax returns should be scheduled and analyzed for the same four years with all issues reviewed and further investigated if required. By performing the above procedures, you may be directed into various other areas that may require further investigation and analysis. 

For example, the business’s CPA may file the entity’s income tax returns while the business’s owner may file the entity’s sales tax returns. Since the sales in a cash business (e.g., restaurant, bar, landscaping company) are usually fully subject to sales tax, the totals for each year should be approximately the same. By performing this procedure, material weaknesses in the business’s recordkeeping procedures and/or sales tax compliance processes (among other areas) may be detected. Once an issue or error is detected it can usually be corrected. Choosing to wait for the Division’s auditor to inform you about this type of discrepancy during an audit may prove to be an extremely costly decision.    

Analysis of the Business’s Cost of Goods Sold (COGS)

Reviewing and analyzing the business’s reported COGS is another important area. An appropriate test period to perform this procedure would be the last fully completed year. Generally, the records that should be reviewed are the purchase journals listing all COGS purchases, the bank statements evidencing the payment of all purchases and the purchase invoices from the associated supplying vendors. Additionally, all purchases paid in cash should be fully detailed and also supported by purchase invoices.        

Note: The Division obtains a report directly from New Jersey’s alcohol distributors fully listing all of the business’s purchases of alcoholic beverages (beer, wine and liquor) for all periods under audit. Additionally, auditors generally seek and obtain a report from the business’s additional suppliers detailing all of the COGS purchases for the audit period.

Should any issues be detected when performing this procedure, they should be fully investigated, resolved if possible, and a procedure/system put in place to ensure compliance on a prospective basis.

While the above information only scratches the surface, it’s a start in assisting and safeguarding your clients, so they can remain your clients. Instead of hearing (right or wrong) from small business owners, “Why didn’t my accountant tell me that?” I am looking forward to hearing, “Yep, made it through the audit in fine shape.”

As technology and digitization has increasingly become part of our everyday personal and professional lives, the importance of safeguarding data has only increased. For CPAs, very frequently tasked with handling personally identifiable information (PII) and other confidential/financial information, institution of solid internal controls for firm and client use is of paramount importance. One of the most commonly utilized methods for increasing the security over data is two-factor authentication (2FA). While the specifics will vary depending on the protocol implemented, 2FA is an identity and access management security method that requires users to have access to two forms of ID. This can take the form of a text code, biometric (such as with Bloomberg), facial ID (like with the iPhone) or a retinal scan. In the post-COVID economic landscape, the potential opportunity for bad actors to leverage weak controls and implementation of 2FA has continued to grow.

Two methods have been identified by the Federal Communications Commission (FCC) that have been used by fraudsters to wreak havoc leveraging the very tools individuals trust to keep data safe. Additionally, I myself fell victim to one of these methods in March 2024, so these events can happen to anyone at any time.

SIM Swapping

SIM swapping occurs when a cybercriminal obtains enough personal information — either through phishing scams or via dark web auctions — to trick the victim’s cell service provider into believing the victim has changed carriers. By completing this part, the cybercriminals have transferred the cell number to a new device and gained virtually complete control over the cell phone and all associated data. As all calls and texts are routed to the new device, 2FA protocols now provide unlimited access to all social media, financial and other accounts connected to the phone number.

Port-Out Fraud

Similar to SIM swapping, a port-out fraud occurs when the cybercriminals open an account with a different cell phone carrier than the one the victim uses. Once completed, the cybercriminals will contact the new carrier — the one with the fraudulently set up account — and transfer the victim’s number to it. While slightly more complicated than the SIM swap, which only involves activating a new SIM card, the end result is the same. This is the 2FA fraud that impacted me, and it took me several weeks to unwind and rectify. For more on this please watch the webinar (passcode:  G+^9mj&H) where the entire episode was explained in detail.

Prevention Measures

2FA fraud can strike any individual or institution at any time, but there are steps that CPAs can take with colleagues and clients to help keep important data safe and secure from cybercriminals. These are in addition to the “standard” recommendations for utilizing up-to-date firewalls, establishing (and enforcing) a password change schedule and potentially implementing passkeys for sensitive data. Let’s take a look at a few of them:  

• Invest in identity monitoring. Especially for business owners or high-net-worth individuals, investing in and establishing an identity monitoring program is essential. There are different levels of scanning and protection available but having that real-time access to news about the business and whether websites that are linked to an online profile have been comprised can allow you and your clients to proactively monitor potential hacks and breaches.
• Utilize separate personal and business devices. The popularity of bring-your-own-device (BYOD) policies has been a boon from a convenience perspective but potentially a disaster from a data security point of view. By keeping the devices, numbers and 2FA distinct from each other, this allows a greater ability to minimize damage if a 2FA hack or breach occurs, and it also provides your client with a secondary device from which to maintain contact and operations if such an event occurs.  
• Minimize the use of public Wi-Fi, enable a VPN and obtain backup numbers. As convenient as public Wi-Fi is, public networks are never as secure as an enterprise network or a home network that have passwords that are updated and only have a small number of people that are aware of and/or use them. Especially with the importance of phone numbers, enabling a mobile VPN protocol (usually via an identity protection plan) is a solid first step. Additionally, consider advising clients or colleagues to obtain a non-phone number, such as a Google number, for additional security (or even 2FA) purposes.

2FA is a powerful tool that helps CPAs keep firm and client data secure, but if not carefully monitored and updated, it can be leveraged against its users. CPAs and other financial advisors should be well versed in how to effectively leverage 2FA, as well as how to prevent unethical actors from seizing control of these security measures. 

Fraud schemes targeting older adults and estates have become a growing concern in recent years. The elderly are often targeted because of their financial stability and the perception that they may not be as technologically or cognitively savvy. Estates represent significant wealth repositories and can be easy marks for sophisticated scams. CPAs can inform and educate their elderly clients and estate representatives about the most common types of fraud perpetrated against these groups and essential strategies to protect against them. The common scams/frauds include the following:

• Grandparent scam: This scam preys on the emotions of elderly individuals by exploiting their love and concern for their grandchildren. Scammers call, posing as a distressed grandchild, claiming to need urgent financial help due to an emergency, such as an arrest or accident. The urgency created by these fraudulent calls pressures the elderly victim into sending money without verifying the story.
• Imposter scams: These scams involve fraudsters posing as government officials from agencies like the IRS, Social Security Administration or Medicare. The perpetrators often claim that the victim owes money or is at risk of losing benefits, creating a sense of fear and urgency. This fear is used to manipulate victims into making immediate payments or providing sensitive personal information.
• Tech support scams: In these scams, fraudsters impersonate tech support representatives from reputable companies. They convince the victim that their computer is infected with a virus and offer to fix it. Once they gain remote access, they steal personal information or install malware.
• Romance scams: Scammers create fake profiles on social media or dating websites, building trust with elderly victims over time. Once an emotional bond is formed, they ask for money for fabricated emergencies, such as medical bills or travel expenses. These scams not only result in financial loss but also cause emotional distress.
• Sweepstakes and lottery scams: In these scams, elderly individuals are notified that they have won a prize but must pay a fee to claim it. Fraudsters create a sense of excitement and urgency, persuading victims to pay these fraudulent fees.

Social Engineering Frauds Targeting Estates

Estates are targeted by scammers for their wealth. The fraudsters explore the potential vulnerabilities of the executors or beneficiaries. Common scams in this category include the following:

• Executor impersonation: Scammers pose as executors or other estate representatives, contacting beneficiaries or creditors to obtain personal or financial details. They may claim they need this information to process payments or settle debts, exploiting the trust and lack of familiarity with estate procedures.
• Phishing attacks: Estate representatives or beneficiaries receive phishing emails that appear to come from legitimate sources. These emails or text messages contain malicious links or attachments that, when clicked, can lead to malware infections or theft of sensitive information. Phishing strategy often involves creating a sense of urgency or the promise of a tempting deal.
• Inheritance scams: Fraudsters contact potential beneficiaries, claiming to be the deceased’s relative or trusted representative. They ask for personal information or financial details to facilitate the transfer of an inheritance, often providing seemingly credible details about the deceased to build trust with the target.
• Estate planning fraud: Targeting elderly individuals or those with health concerns, scammers offer fraudulent assistance with estate planning. They may convince victims to sign documents that transfer assets or provide access to financial information.
• Fraudulent probate proceedings: Scammers manipulate or forge probate documents to gain control of an estate’s assets. They might appoint themselves as executors or beneficiaries and divert assets for personal gain.

Steps to Protect Against Fraud

CPAs can review their clients' financial activities for suspicious transactions, which would generally include monitoring for sudden large transfers, unexpected changes in spending patterns, or withdrawals that might indicate a scam. They can also recommend effective internal controls for estates, such as secure communication channels, multi-factor authentication and regular account reconciliations, as well as investigate discrepancies in estate documents. Clients should know the following: 

• Verify information independently. Never provide personal or financial information to someone you don’t know or trust. Always independently verify the identity of anyone contacting you about your finances or estate.
• Be wary of any unsolicited contacts. If you receive a suspicious call, text message, email or letter, verify the sender’s identity before responding. Use trusted and secure communication channels, and avoid clicking on links, scanning bar codes or downloading attachments from unknown sources.
• Secure your digital presence. As cybercrime evolves, securing digital communication is essential, especially regarding sensitive financial documents and confidential personal information. Strong passwords, multi-factor authentication and encrypted communication will help to prevent unauthorized access.
• Consult with professionals. Engaging CPAs, experienced estate attorneys and cybersecurity professionals can help protect against fraudulent scams. These skilled professionals will offer guidance on securing your assets, communications and proper legal procedures.
• Stay informed and educated. Staying informed about the latest scams and understanding how fraudsters operate is crucial. Education on recognizing social engineering tactics can significantly reduce the risk of falling victim to these schemes.

Safeguarding financial assets requires awareness, vigilance and proactive measures. By understanding the various scams and implementing protective strategies, elderly individuals and estate representatives can take steps to protect their assets and financial well-being. 

I am just a practical, old time, semi-retired non-tech savvy CPA who struggles to even use a TV remote control. Don’t waste my time with theory. Just give me answers to a few basic questions:

• What specific practical tasks can artificial intelligence (AI) do today to make a CPA’s life easier?
• What specific practical steps can a CPA do today to prepare AI for the 2025 tax season?
• How much will this save me?

AI Discovery

CPAs understand that there is incredible potential with AI, but they don’t know what to do with it. Last year, with my frustration and passive aggressive nature in hand, I marched into the office of Chris Stephenson, our Director of Intelligent Automation, and aired my AI grievances. I realized his answers to the above questions could help a lot of CPAs.

To him, the answer to all three of the questions above lies in the following: It’s called AI Discovery. Last year he created a think tank with about 200 CPA firm professionals who overwhelmingly said, “I don’t know where to start.” Here are some practical first steps he recommends:

1. Set up an ideation session. This part is a workshop with partners and staff that gives everyone an opportunity to present their problems and ideas for possible AI solutions. Everyone on your team probably has AI ideas.
2. Initiate scoring: So, you got a bunch of ideas but now what? This is where scoring is critical. Discovery often hinges on scoring each idea based on objective measures to determine their priority. Every firm is different, but you want to score on several dimensions like which can get solved the fastest, which will have the biggest impact, which can scale for every department, etc.
3. Do technology infrastructure assessment: Ok, you know which AI projects are going to have an impact on your business but is your firm’s system even ready for AI? You’ll need to have your tech infrastructure evaluated to determine its AI readiness, and to find out if there are any shortcomings preventing you from getting started.
4. Create a roadmap: Finally, you need a clear roadmap to lay out how you’re going to deploy each solution. Do you need to buy a solution? Build an AI? How about training employees? How do you measure if your solution is having an impact?

He instantly identified five problems where AI could help:

• Collecting payments from clients
• Requesting and processing documents from clients
• Moving trial balances to workpapers
• Responding to IRS letters
• Setting up a Chatbox to handle internal queries, like HR questions

With this information, AI solutions can be created to address each of these problems. Do your own AI discovery to identify your firm’s biggest pain points and develop a plan to attack with AI.

How Much Can CPAs Save

With AI in hand, I think about CPAs increasing their bottom-line profits by looking at the following:

• The time spent on client billing analysis such as excel spreadsheets that track time, project by project, to justify hours and bills, and put that into a client letter
• Those routine IRS Notice letters written to explain why a client’s 1099-DIV did not match the tax return Schedule B
• Other mundane tasks which I used to do in public practice that bored me

Would life have been better as a CPA 45 years ago when I started in public practice if AI existed back then? Should I even consider a return to public accounting from my semi-retirement with AI in the picture?

The answer to the first question is an obvious “Yes” and to the second question an even more obvious “No.” But for those still in the game, let’s face it. It’s time to jump on the AI bandwagon to be more profitable, have less stress, have more free time and have more fun.

Accounting seemed to catch my attention when I least expected it. I began college as a marketing major, not entirely sure of what I wanted for my future. I would think of potential career options, but none I could actually picture myself doing for the majority of my life. Scared of the future, and anchored to my past, I quickly realized that the present is the only thing I have control of. This realization pushed me to explore new areas outside of my initial field of study, leading me to discover my passion for accounting- a field I had originally overlooked.

It was during my first accounting class where this newfound interest fascinated me. Throughout my life, I have always gravitated towards structure and precision — traits that I found translate directly into the accounting concepts I was learning. It wasn’t just the numbers that stuck out to me; it was the systematic approach to understanding and managing those numbers, making it evident how closely my personal qualities were mirrored into the field of accounting.

This journey has also sparked a specific interest in forensic accounting, an area I am eager to learn more about. It is a specialization that combines my passion for accounting with a strong desire to protect the public. Despite not knowing what I wanted for my future, the one thing that I have always known is that I want to help people and make a difference in the world; whether big or small. My commitment to pursuing a career in forensic accounting stems from a strong aspiration to utilize my skills in accounting, not just for economic efficiency, but for the greater good.

As I look forward to becoming a CPA, I am driven by the positive impact I am going to make on individuals, businesses and society as a whole. It’s going to be a challenging path, but it also promises a rewarding career where I can not only excel in a supporting work environment, but also contribute meaningfully to the communities I serve.

While embracing accounting in this new chapter of my life, I’ve learned that fear of the unknown is normal, but it should never deter us from exploring new possibilities. This journey from uncertainty to discovery has taught me the value of being open to change and the importance of finding work that aligns who we are with what we dream to accomplish. Accounting, for me, is not simply just a profession — it is the perfect combination of a career that combines my skills, interests and aspirations in a way that I could have never imagined when I first stepped foot at Rowan University. Through this transition of my life, I am no longer afraid of the future. I am excited to have the opportunity to discover who I am and how I can make a difference in the world.

This article was reprinted with permission from Rowan University. Kathryn Meehan won honorable mention in Rowan's "Celebrating Success" accounting essay award program in May. 

As I’m about to begin my second year in college, pursuing a degree in accounting, I am filled with anticipation and excitement for the vast amount of knowledge and experiences that lie ahead. With each passing day, I am immersing myself further into this dynamic field, and I am increasingly captivated by the universal applicability of accounting principles and their profound impact on businesses and economies across the world. Through my academic pursuits and personal reflections, I have come to realize that accounting is more than just a profession; it is a powerful instrument for bringing about positive change in society.

The versatility of accounting principles is what initially drew me in and never fails to intrigue me. Its principles act as the foundation of financial communication, spanning various industries, countries, and economic landscapes. Whether delving into the financial records of a large corporation or a small charitable organization the language of accounting remains consistent, offering a structure for interpretation and strategic planning.

In addition, accounting provides a mentally stimulating setting where individuals can utilize their expertise to tackle real-world problems. Whether it be analyzing intricate financial information or creating plans to minimize costs, the accounting field offers continuous chances for critical thinking and finding solutions. As I continue to advance in my educational path, I find myself becoming more and more captivated by the profound influence that accountants possess in fostering and nurturing economic growth, as well as upholding financial stability and maintaining the integrity of financial markets. Through a combination of classes, and involvement in various activities outside of the classroom, I have been able to participate in practical learning opportunities that have enhanced my comprehension of accounting concepts and how they are put into practice in the business world.

Furthermore, achieving the status of a Certified Public Accountant (CPA) goes beyond simply obtaining a professional certification; it demonstrates a dedication to upholding high standards of excellence, honesty and ethical behavior. By obtaining my CPA license, my goal is to strengthen my reputation, ultimately enabling me to make a greater difference in marginalized communities. With the CPA title, I will have a platform to champion economic advancement.

My passion for accounting and my goal of obtaining a CPA license are fueled by a greater purpose. In addition to my career ambitions, I am inspired by a strong desire to impact the lives of individuals in marginalized communities. An aspiration that holds significant importance for me is the creation of non-profit organizations dedicated to offering financial education and support to minority groups and individuals facing economic hardships.

As a child raised in the Caribbean, I had the opportunity to directly witness the glaring inequalities in terms of access to financial education and resources. This experience served as a catalyst, igniting a deep-seated passion within me to be an accountant and one day utilize my expertise in accounting to make a tangible impact in the lives of individuals, specifically by advocating for and enhancing financial literacy and economic empowerment. One way in which accounting perfectly aligns with my aspirations which will allow me to create nonprofit businesses that focus on catering to minorities and underprivileged individuals. I envision establishing community-oriented initiatives that offer financial education, resources and assistance to those who are in dire need. Through these initiatives, I aim to empower individuals to escape the vicious cycle of poverty and instead, cultivate generational wealth, leading to sustained economic stability and overall prosperity for many years to come.

In conclusion, my journey into accounting has been characterized by a blend of intellectual curiosity, introspection, and a desire to make a meaningful impact on society. Looking ahead, I am eager for the chance to further my knowledge, engage in meaningful collaborations and expand my skills alongside my mentors and other students in the accounting profession. By staying dedicated, upholding ethical principles and channeling my enthusiasm for driving change, I am optimistic about my ability to use my accounting expertise to bring about positive transformations in various communities.

This article was reprinted with permission from Rowan University. Hadassa Juste won second place in Rowan's "Celebrating Success" accounting essay award program in May.  

Getting hacked as a CPA is a grave concern due to the sensitive financial information managed. If you suspect or confirm a breach, prompt action is crucial to minimize damage. Here are ten essential steps to take if you find yourself in this unfortunate situation:

1. Stay calm and assess the situation. First, don’t panic. Take a moment to gather information about the breach. Identify what has been compromised — your email, social media accounts, bank information or your computer system as a whole?
2. Disconnect from the internet. To prevent further unauthorized access, disconnect your device from the internet. This can help stop the hacker from continuing to extract data from your system.
3. Change your passwords. Immediately change your passwords for all your accounts, starting with the most sensitive ones — banking and email accounts. Use strong, unique passwords for each account and consider utilizing a password manager for secure storage.
4. Enable two-factor authentication (2FA/MFA). This adds an extra layer of security by requiring not just a password but also a second verification form, such as a code sent via text. This is also known as multi-factor authentication.
5. Notify relevant parties. Inform your bank, email provider and other relevant organizations about the breach. They can assist in securing your accounts and monitoring for suspicious activity.
6. Run a security scan. Utilize reputable endpoint detection software to perform a comprehensive scan of your device. This can help identify and remove any malicious software that might have been installed.
7. Update your software. Ensure your operating system, browsers and all applications are updated. Software updates often include security patches that protect against known vulnerabilities.
8. Pull from backups. If you have backups of important data, make sure they are in working order now. This ensures you do not lose critical information if you need to reset or reformat your device. If you haven’t been backing up your data, now is the time to start.
9. Educate yourself and your team. It’s crucial to educate yourself and your team on online security best practices. Focus on recognizing phishing attempts, avoiding suspicious downloads and using secure connections. Use secure portals with clients to exchange sensitive information instead of email to ensure encryption and data protection.
10. Initiate risk assessment and incident response protocols. Conduct regular risk assessments to identify vulnerabilities. Develop a comprehensive incident response plan covering communication protocols, data recovery and mitigation strategies.

Being hacked can be distressing, but with immediate and thoughtful action, you can mitigate the damage. Following these steps can help you regain control of your accounts and strengthen defenses against future threats. Staying up to date on state-specific regulations can also help, such as New York’s SHIELD Act, which outlines reasonable security practices and breach notification procedures, and on the IRS’s “Security Six” steps. Stay vigilant and proactive to safeguard your digital life. 

Client engagement is a crucial factor in the success of accounting firms today. To differentiate yourself, it’s best to foster strong relationships with clients by providing personalized and efficient services. Artificial Intelligence (AI) offers innovative solutions that can enhance client engagement, making interactions with your firm more meaningful and responsive.

Effective client engagement builds trust and understanding between a firm and its clients, which leads to the following:

• Improved client retention. Satisfied clients are more likely to continue using your services and recommend them to others. 
• Increased client satisfaction. Personalized interactions make clients feel valued and understood.
• Better communication. AI can help provide timely and accurate responses to client inquiries, improving the overall client experience.

How AI Helps

AI tools transform how accounting firms interact with clients by offering personalized, timely and insightful services, such as the following:

• Personalized communication. AI analyzes client data to provide personalized recommendations and insights, making communication more relevant to each client’s needs.
• 24/7 availability. AI-powered chatbots provide around-the-clock support, answering client queries and helping as needed.
• Proactive client interaction. AI tools identify patterns and trends in client behavior, allowing you to proactively address client needs and concerns.
• Improved feedback mechanisms. AI analyzes client feedback and sentiment to help understand client satisfaction and identify areas for improvement.
• Efficient scheduling and reminders. AI automates scheduling and sends reminders for important deadlines, ensuring clients stay on track with their financial obligations.

Top 10 Tools

Here are ten AI tools that can help enhance client engagement:

1. Drift helps engage with clients through real-time chat, personalized messaging and automated responses, improving communication efficiency.
2. Intercom offers AI-driven messaging solutions for interacting with clients across various channels, providing personalized support and enhancing engagement.
3. HubSpot provides insights into client interactions, helping personalize communication, track client behavior, and improve engagement strategies.
4. Zendesk streamlines customer support, offering quick and accurate responses to client inquiries and enhancing satisfaction and engagement.
5. Freshchat enables real-time communication with clients, offering personalized and efficient support.
6. Jasper AI creates high-quality content focused on client needs and pain points, generating content ideas and optimizing for SEO.
7. Perplexity AI understands market trends, client needs and competitive landscapes, which can be a valuable tool for market research.
8. Talla provides AI-powered chatbots for customer support, efficiently handling client inquiries and improving the client experience.
9. ChatBot handles client interactions, providing personalized and responsive support.
10. Salesforce Einstein offers AI capabilities for analyzing client data, predicting client needs and personalizing engagement strategies.

Implementing AI

To successfully integrate AI tools, consider these steps:

• Identify engagement goals. Determine which aspects of client engagement you want to enhance, such as communication, feedback or personalization.
• Select the right tools. Choose AI tools that align with your engagement goals and integrate seamlessly with your existing systems.
• Train your team: Ensure your team understands how to use the AI tools effectively to improve client interactions.
• Monitor client feedback. Continuously gather and analyze client feedback to assess the impact of AI tools on engagement and make necessary adjustments.
• Stay agile. Be open to adopting new AI technologies and strategies to keep your client engagement efforts fresh and effective.

By leveraging AI tools, accounting professionals can transform their client engagement strategies, offering personalized and efficient services that meet the evolving needs of clients. These tools can help enable you to build stronger relationships, enhance client satisfaction and ultimately drive business success. Where will your AI client engagement strategy take your firm?

With the accounting profession in a position where 300,000 professionals have left their jobs within two years and fewer are entering the field to fill these positions, advisory services can be transformative for your team. After all, your firm is unique. It’s important to home in on what your existing clients already want and need. It’s often more affordable and easier to sell to existing clients than attract new ones, so start thinking of offering more to the clients you already have relationships with.

But what if your clients really want or need a service that you’re not equipped to offer? Or what if your resources are stretched and you want to launch your services with as little friction as possible? Technology can help solve both problems.

Leveraging Technology

The right technology can help bridge skills gaps, ensure your services are delivered efficiently, provide the necessary insights and save time by automating tasks.

While there are many solutions available, here are a few apps that will help you start offering advisory services:

• Ignition automates proposals and payments for your advisory services to help you reclaim revenue and improve cash flow management.
• Clockwork.ai is AI-powered financial planning and analysis (FP&A) software built for professionals. Use it to provide clients with real-time financial insights and automate technical finance tasks like scenario planning and cash flow forecasting.
• Karbon is a practice management platform that can help you streamline your workflow and enhance the delivery of your services.

Every firm will have its own goals and audience. You may find that there are other solutions that help meet your individual needs. However, these three apps will cover the basics and help you deliver your advisory services more efficiently.

Once you’ve hammered out your services, pricing and technology, the only thing left to do is implement your services and monitor your results.

Monitor and Improve

Once you’ve launched your services, this isn’t the end of the road. Your goal is to deliver quality service that meets your clients’ needs and position yourself as a one-stop shop for their financial needs.

Implementing a feedback loop can help you determine whether you’re on track to reaching these goals. Then, you can use client feedback to improve your services over time.

For example:

• You can send out questionnaires and services regularly to ask, “how am I doing.”
• After client meetings, ask how you can improve or whether there are services they want or need that you don’t offer.

Make sure that you review this feedback regularly and actively implement changes to improve your services.

Scaling Your Advisory Services

As you continue to improve your services over time, you may reach a point where you’d like to scale your services. Clockwork has an excellent guide on how to scale advisory services that I highly recommend you check out.

There are so many “myths” about the accounting field — from the hours worked to the traditional pathways. My real-life story breaks all of them!

• Myth 1- Need to love math. Let me tell you what I love about my career in accounting; it’s not math.
• Myth 2 - Need to be happy with a boring job. Read my story to break this myth.
• Myth 3 - Need to stay in public accounting. I initially had plans to stay but another opportunity came along.
• Myth 4 - Need to work long hours. Perhaps sometimes there are extra hours to put in at times but there are also lots of alternatives to that.

Where it Began

My story began with majoring in accounting at Montclair State University. Upon graduation I worked at Coopers & Lybrand in their audit department. I spent eight years in public accounting as an auditor and loved it. I met so many interesting, friendly people and saw so many different companies. It was an adventure I am so glad I experienced. For example, I had clients that made Band-Aids (it was really neat to watch how these were made); companies that harvested bones for use in the medical field (what an experience I had doing the inventory there!); several colleges as clients (it was so fun to stroll through campus on my way to work). With all of these interactions, I learned a lot about the business world and developed the skills I needed to make the jump to my next job.

Next Steps

My next step was to get a job at a large publishing company as an internal audit manager. I was able to travel across the U.S. meeting the people who ran the operations of these company units and receiving an understanding of how businesses ran outside of the numbers. It was a great way to see the country, too!

Next, I took several years off to have children. I decided to go back into the accounting world part time. To accomplish this, I started cold calling local CPAs and small accounting firms. It did not take long to find work. My first job back was working for a sole practitioner doing accounting and tax returns. He was happy to get the help and was very flexible with my work schedule. Once he retired, I decided to go to a small firm. I have been working part time at small firms for almost 20 years, doing reviews, tax returns and estate work. The firms have been flexible with my work schedule — I have been fully remote now for five years.

Becoming a CPA today opens many doors. It’s up to the individual to enter them and find out what they like to do best.

8 Steps to Take Now and to Prepare for the Next Big Hike

The Department of Labor (DOL)’s new overtime rule is here – and it means big changes for many employers. Moreover, the rule impacts CPAs both as employers (since you may need to increase the salaries of your managers) and as trusted advisors to your clients to alert them regarding this important development. Specifically, the salary threshold for the so-called “white-collar” exemptions just rose to $43,888 on July 1 (and will jump to nearly $59,000 at the start of 2025). What’s more, the threshold for the “highly compensated employee” (HCE) exemption rose from $107,432 to $132,964 on July 1, then will increase to a whopping $151,164 on Jan. 1, 2025. While legal challenges to the rule are ongoing, you can’t count on a court halting the rule before the next effective date. So, now is the time to ensure your practices comply with the most recent requirements and to get ready for Phase II. Here are the top eight steps to consider.

1. Review pay practices. Under the federal Fair Labor Standards Act (FLSA), employees generally must be paid an overtime premium of 1.5 times their regular rate of pay for all hours worked beyond 40 in a workweek — unless they fall under an exemption. One of the criteria for the FLSA’s executive, administrative and professional exemptions (the so-called “white-collar” exemptions) is earning a weekly salary above a certain level. As of July 1, that level is $844 a week ($43,888 annualized). For the next phase, which takes effect on Jan. 1, 2025, the salary threshold will rise to $1,128 (or $58,656 a year). For the HCE exemption, employees must be paid at least the HCE threshold of $132,964 on July 1, and $151,164 on Jan. 1, 2025. For more information on how the new overtime rule impacts HCEs, click here.
2. Work through your decision tree. Do you currently have white-collar exempt employees who earn less than $58,656 a year (or $132,964 for HCE)? You will have to decide whether to raise their salary to meet the new threshold or convert them to non-exempt status. If you decide to convert them, there are many considerations, and you should work with legal counsel. Additionally, you may want to start tracking their actual hours worked now to help you understand the potential impact of converting to non-exempt status, as those individuals will need to be paid overtime.
3. When reclassifying employees to non-exempt, consider the impact on employee morale and prepare a communication plan. Reclassifying employees to non-exempt could have a negative impact on morale. Many employees associate prestige with being classified as an exempt-salaried employee, they like the flexibility that comes with being salaried, and they don’t want to track and record their hours worked.
4. Plan to provide advance notice of changes. You’ll want to provide a written communication to each employee about the specific changes to their compensation and what new responsibilities come with the changes, such as timekeeping and record keeping. 
5. Review your policies on company equipment and personal devices. Do you have different policies for exempt and non-exempt employees when it comes to issuing company equipment and using personal devices? Exempt employees may have more leeway to use company laptops or their own personal devices — such as smartphones — to conduct business while traveling or outside of their regular office hours.
6. Develop a training plan for managers and newly non-exempt employees. It is highly recommended that you provide detailed training to newly reclassified employees and their managers prior to the changes taking effect. The specifics may vary from business to business, but you’ll want to cover scheduled hours, overtime approval policies, timekeeping procedures, rules about meal and rest breaks and more.
7. Ensure exempt employees meet the duties test. Besides the salary test, exempt employees also need to satisfy certain duties requirements. Neither their job title nor job description alone determines whether an employee qualifies for a white-collar (or any other) exemption. This is a good opportunity to ensure they meet these standards as well.
8. Track legal challenges. A district court temporarily halted the rule only as it applies to the state of Texas as an employer while it hears an underlying legal challenge. Other lawsuits are likely to be filed throughout the country seeking a broader injunction, and you should also monitor appeals in 5th Circuit Court of Appeals. Meanwhile, New Jersey employers (and private employers across the country) will need to adjust their compensation practices to comply until and unless a court says otherwise. 

Are We Listening?

The 2024 NJCPA Convention & Expo, themed “Your Story. Your Success,” informed, entertained and connected more than 600 attendees with storytelling at the Borgata Hotel in Atlantic City on June 11-14. We hope you were one of them.

Keynote speaker Sandra Bodin-Lerner, MA, owner of Be Compelling! LLC, explained the value of “effective listening” or understanding the speaker’s emotions and what they wanted someone to take away from the conversation. Good listening is a valuable skill, she added, and it can be taught. “Being heard is crucial to our self-worth. Everyone wants to be understood. It’s important to matter at work,” she explained. 

Following our convention, I flew out to Las Vegas for the 2024 National Association of Black Accountants (NABA) Convention & Expo. Hundreds of students and recent graduates from across the country attended to hear presentations about opportunities in accounting, personal branding, networking and leadership. I listened intently as they asked questions of the seasoned professionals and, in some cases, expressed frustrations with accounting and finance employers. 

It would be easy to dismiss their “complaints” as typical generational badmouthing, but as I took note of their disappointment around the absence of willing mentors, a lack of skills training and an unwillingness to provide time to study and sit for the CPA Exam, a thought occurred to me: Are we listening to our young professionals? We have a great opportunity to not only hear them but act. 

In a 2023 study, Righting Retention: A Look into the Accounting Profession’s Greatest Management Challenge, the Illinois CPA Society asked employers about their talent management offerings and asked employees about programs they value. They found a significant disconnect:

• 67% of employees view “career advancement paths and opportunities” as one of the most attractive benefits in an employer, but 48% of employers don’t communicate defined advancement paths for employees (or don’t know if they do).

• 30% of employees ranked “mentors/mentorship program” as a top need, but nearly 43% don’t offer a mentorship program, formal or informal, to foster employee retention (or don’t know if they do).

Results from a May 2024 KPMG study contrasted the stereotypical lazy, job-hopping Gen Z (born 1997 to 2013) narrative.

• When asked for the top three factors they value most in a future employer, respondents not surprisingly identified salary as most common (25%), but that was followed closely by a positive culture and working environment (24%) and opportunities for advancement (20%).
• 89% agreed or somewhat agreed that access to training on “soft skills” or professional skills (e.g., presentation skills, executive presence, client etiquette, interpersonal skills) is an important factor when considering a job/employer.
  

There is a dynamic level of energy from Gen Z on building their skillsets to grow in their careers. They have high expectations around transparency and are very willing to have conversations around salary, mental health challenges, work-life balance and career mobility. 

In the simplest terms, employees want to feel heard and supported. It’s up to company leaders to navigate these expectations if they want to remain competitive in the current labor market.

Where possible, employers should highlight the career pathways and options available for their people — both in the overall organization and specific to each individual. Investing in skills development and career advising will support people in advancing their careers within the organization.

We want to hear from you. Tell us how you are supporting your staff to improve recruitment and retention. And please take a look at the essential skills courses we’re offering.

Do new clients come to you, or do you need to find new clients? In my opinion, it used to be one of the defining characteristics of a “professional” was they did not need to seek out new business. Clients came to them. Accountants, lawyers and physicians fit into this category. I think a turning point came with the arrival of the TV series, “Boston Legal” (2004). When considering an associate for a partnership, they would ask: “How much new business are they bringing into the firm?” Today, finding new business is part of the job description for many fields.

One of the historically effective ways of getting new clients is through referrals. In an ideal world, your client does all the heavy lifting; the phone rings and someone says: “Joe sent me.” How do you get this to happen?

1. Start with an assumption. You need to believe your best clients want you to succeed. They want to help you grow your business. They might not know how. You need to make it as easy as possible for them.
2. Tell current clients you are looking to add more. They might think you are “full up.” This sounds basic, but referring business might not be on their radar until you tell them.
3. Remind them how you helped them. You have done a good job for your client, but they might be so comfortable with you, they do not remember the details. They had an issue or a problem. You addressed it. Who else has a similar problem?
4. Know family comes first. You have heard the expression, “Selling up and selling down.” Your client likely has influence over other family members concerning advice. Who do they know within the family that could benefit from the kind of advice you have been providing for them?
5. Add a sense of urgency. The high quality of service you deliver might be because your clientele is not as large as they think. Do some analysis. How many large relationships similar to theirs might you be able to add without straining your service model?
6. Avoid the word “referrals.” That is an expression within the category of industry jargon. Do they know someone you might be able to help? Is there someone they think you should meet? You might ask: “How well do you know (name)? They are the type of person I may be able to help.”
7. Be specific in your requests. Imagine you sold men’s suits. One person says: “I’m looking for a suit.” Another person says: “I am looking for a single breasted light grey suit in size 42 long. Which do you think the salesperson will find it easiest to address? If you say: “Do you know someone you think I can help,” their mind might go blank. If you ask: “Who else at your company is retiring in the next six months?” names will come to mind.
8. Teach them how to ask. Let us start with how not to ask: “My advisor is looking for new clients. He asked if I knew anyone.” You might suggest they say: “I had this (problem). I found a financial advisor who was able to address it. I am happy with the result. You have the same problem. Would you like to meet them? You can see there are benefits for the prospect.
9. Understand the in-person introduction. When someone is given your name, you don’t know if they will call or not. If you can arrange to meet with your client and their friend over coffee, you have the opportunity for a low-key introduction. This is why the client/prospect dinner strategy has been effective.
10. Avoid awkward moments. The wrong recommendations can put them off ever trying to send a referral again. You want something like: “You mentioned you had a problem. I have an advisor I like and trust. He has helped other people with a similar problem. He might be able to help you too. Would you like to meet him?

Your clients should want to see you succeed. They can act as your ambassadors if they know what to look for and how to bring your name into the conversation. 

Financial planning tools and techniques have evolved over time to meet families' changing needs and align with legislative shifts. Two important tools offer ways to alleviate the financial burden of future commitments, such as purchasing a retirement account or funding a child's college education.

Roth IRAs

A Roth IRA provides qualified distributions, which include:

• Distributions taken at age 59 1/2 or older
• Withdrawals made after the Roth IRA has been open for at least five years and the account holder is at least 59 1/2 years old
• Withdrawals due to total and permanent disability
• Posthumous withdrawals to the beneficiary
• Distributions of up to $10,000 for the purchase of a first home

These distributions are tax- and penalty-free if the original funds are not withdrawn before the age of 59 1/2. Exceptions for the 10% additional tax are outlined in IRS Topic #557, while qualified higher education expenses are detailed here.

Education funding through a Roth IRA offers benefits that are often limited in 529 plans, such as fewer investment options, restrictions on rebalancing and higher investment management fees. For individuals eligible for a Roth IRA, it is a sensible option to consider. Structured settlement

accounting professionals and their clients can utilize structured settlements to achieve financial planning goals. Unlike Roth IRAs, which have contribution limits and income-eligibility criteria, structured settlements do not impose such restrictions. Structured settlements can be funded without limitations and tailored to meet specific needs while growing tax-free or tax-deferred, depending on the circumstances of the case. For individuals whose income exceeds the threshold for Roth IRA eligibility, a structured settlement remains open for investment. How do you decide which option to use? I prefer structured settlements for the following reasons:

• Guaranteed return
• No fees

Unlimited Contributions

Did I mention there are no fees and a guaranteed rate of return?

When a specific need with a known timeframe arises, the optionality of investment is removed. Market volatility often occurs when resources are most needed. Adding financial stress to the emotional departure of a child to college has never seemed appropriate to me.

Once college funding is secured, the financial plan turns to retirement. I often say that there are very few problems a good income stream cannot solve. Accounting professionals and clients who are able to afford structured settlements understand the significance of financial security. Securing the foundation of your financial plan before delving into financial risks is crucial.

IRAs, 401ks and other investments do not guarantee returns. The past 16 years of uninterrupted growth have created a nonchalant attitude towards risk. Educating your clients on these risks will be the most challenging task for financial planning professionals. As a CPA, you can explain guaranteed cash flow and the impact of unlimited income deferral on a taxable basis.

Unlike other retirement assets, structured settlements allow you, as the tax planner, to customize income recognition while establishing a guaranteed retirement income for your client. Knowing which vehicle to use ensures a more comprehensive financial plan. Being well-informed about utilizing tools such as structured settlements can make a significant difference when it matters most.

There it is — that vast white space staring you right in the face. You’re hoping words will fill the page magically, but you have no idea where to start. Drafting a captivating story can be difficult. But with the right tips and tools, a white screen can quickly become an experience that takes readers on a journey.

So, how do you begin? Below are five tips for drafting a captivating story, offering a foundation for creating engaging content for your target audience.

1. Know Your Audience

Effective storytelling begins with understanding your audience. Start by building an audience persona profile so you know exactly who you’re writing for. Here are four common buyer persona segmentations:

• Demographics: Industry, job function, company size, location, age, gender
• Psychographics: Interests, values, lifestyle, business goals
• Media consumption: Where do they get information? What kind of content do they consume?
• Buying behaviors: What are their buying habits? What influences their purchasing decisions? How long is their buying cycle?

Defining this information will empower you to draft a relevant, relatable, captivating story for your target audience.

2. Write Like You Talk

The last thing readers want is content that’s too formal or feels patronizing. Write how you speak.

Writing styles have shifted. Formal writing is a thing of the past, with content exceptions like technical reports, legal documents and academics. Yet, conversational writing continues to trend among audiences of all ages.

Conversational writing gives you more freedom to engage your readers. Formal writing always talks at you, whereas conversational writing talks with you. Invite your readers into your story by using a conversational style with active, direct and engaging language. Writing like a conversation makes your copy more authentic, approachable and easier to understand and digest.

3. Use the KISS Method

Keep your language simple and to the point. As a professor of mine once said — Keep It Super Simple.

A good rule of thumb is to write at an eighth-grade reading level. Keep your sentences short, scannable and easy to digest. Ensure each word in your sentences has meaning for maximum impact. However, depending on where your content lives or its topic, consider adjusting the reading level up or down to better connect with your audience. Published or print work has higher reading levels, while online content is simpler as readers tend to scan.

4. Embrace AI Writing Tools

Artificial intelligence (AI) makes content creation quicker, no question. Some of the best business writers embrace AI as a writing assistant to help draft content and create captivating stories. ChatGPT, Gemini, CoPilot and Claude.ai are just a handful of online AI writing tools to assist with outlines, summaries and competitor research.

AI editing tools like Grammarly, Hemmingway Editor, Wordtune and Microsoft Editor can also strengthen your writing. These tools check for grammar accuracy, offer rewording suggestions to help with delivery and clarity and even check for plagiarism.

5. Make the Reader Take Action

Don’t forget a call to action (CTA). This is often easily missed. When drafting content, convey the action you want your reader to take and be clear. Using urgency or conveying value is also beneficial. Here are five different types of CTAs:

• Lead generation: Capture audience data to build your sales pipeline.
• Sales: Encourage readers to move further down the sales funnel.
• Engagement: Increase interaction and build relationships with your audience.
• Action: Motivate readers to do something specific.
• Consideration: Encourage readers to explore more before making a decision.

Wherever you are in your writing career, it never hurts to go back to the basics. And, above all, make sure your audience leaves knowing what you expect of them through a call to action.

Storytelling is a timeless skill, pivotal not only in our early learning but also in complex fields. The ability to transform abstract numbers into compelling narratives is crucial for an accounting professional. This skill is often underestimated, yet it’s vital for conveying complicated information in an understandable way to both clients and staff.

The Narrative of Numbers

Numbers tell a story. Beyond their quantitative truths, they detail a company's annual highs and lows while also illustrating strategic decisions made throughout the year. For example, a sudden dip in revenue in the third quarter might reveal a need for strategic realignment, while a peak in the first quarter could indicate successful campaign launches. As accountants, by interpreting these patterns, we not only present data but also provide actionable insights, transforming raw numbers into valuable narratives for our clients.

Teaching through Tales

Effective managers transcend basic instruction; they embed lessons within stories drawn from personal experiences and past challenges. Consider a manager using their personal experience to explain tax optimization strategies through a story about navigating a complex tax return. They could share how, by strategically leveraging deductions and credits, they significantly reduced a client's tax liability, demonstrating the direct impact of thoughtful tax planning. This narrative not only educates but also connects emotionally, highlighting the tangible benefits of expert tax management. This approach does more than just instruct, it connects and inspires. By sharing such personal narratives, we can accelerate professional development, making the learning process both more relatable and impactful.

Listening: The Heart of Effective Storytelling

The cornerstone of effective management and storytelling is active listening. This involves more than just hearing words; it's about understanding the underlying emotions and non-verbal cues. Active listening builds a foundation of respect, empathy and trust, which make it easier to convey ideas and necessary feedback in a manner that resonates personally with the audience. For instance, by truly listening to a staff member's feedback on their preferred learning style, a manager can tailor their guidance to better suit that individual's preferences in a way that works for them and, in turn, set them up for success.

At the core of great leadership in accounting is the ability to break down complex concepts into easily digestible narratives. Our effectiveness as leaders and advisors hinges not just on our expertise but on our capacity to convey this knowledge compellingly. Great leaders are not just directors; they are also listeners, learners and storytellers.

Storytelling for Managers

Incorporating storytelling into management isn't just about keeping one’s audience engaged. It’s about being approachable, relatable and translating professional lessons into practical, actionable guidance. This narrative method does not merely make our guidance relatable; it makes it impactful, ensuring that our teams and clients not only understand our advice but are also influenced by it.

In the language of business where numbers are the script, accountants are the best-suited storytellers to bring these numbers to life, aiding in the development of their teams and the success of their clients. By enhancing listening and storytelling skills, we can become more than just trusted advisors; we can become integral narrators of the business world and turn data into stories that inform, persuade and guide. 

Creating a Culture of Advocacy

The mission of professional membership organizations is primarily educational and informational, but here at the NJCPA we also leverage our expertise and influence in the state capitol, amplifying the voices of accounting and finance professionals such as you. 

Nearly 10 years ago, a member survey revealed support for being more active in Trenton. When asked what the top political priorities of the NJCPA should be, nearly 60% of members responded, “Advocating for legislation important to the CPA profession,” followed by “Establishing a larger presence on statewide policy issues” and “Educating and updating members on legislative advocacy initiatives.” Since then, the NJCPA has distinguished itself as an objective, evidence-based promoter of the highest accounting standards.

We learned long ago that just tracking activities in relevant areas doesn’t keep our members abreast of regulatory and legislative proposals; we strive to offer significant opportunities to provide input to important policymakers in Trenton and even with federal agencies. Remaining proactive, rather than reactive, is crucial, and that requires member engagement and support. 

As our survey indicated, most members recognized the need for associations to advocate effectively for themselves and their members, but those same surveys showed fewer members cited advocacy or government relations as a reason that they maintained their memberships. There was a disconnect between the member service (i.e., advocacy) and the perceived value that service provided to individual members.

In recent years, however, our advocacy efforts around tax policy, student loan debt, cannabis, childcare and other issues have catered to members’ interests and convinced them to act.

We’ve encouraged members to participate in the NJCPA’s advocacy efforts and established a “culture of advocacy.”

Perhaps no recent issue is more personal to members than the need for talent. As we continue to address profession-specific pipeline challenges such as the CPA brand and barriers to licensure, we’re also looking at the talent shortage through the advocacy lens, examining broader workforce development opportunities that will create, sustain and retain accounting talent that can support firms and businesses. 

Lawmakers and business leaders recognize that accounting staffing shortages continue to be a significant challenge facing individuals, businesses of all sizes and local governments, and they support the NJCPA’s efforts to help grow the pipeline through public policy. 

I’ve mentioned previously that the NJCPA is actively supporting and advocating at the state and national levels for initiatives that recognize accounting as a science, technology, engineering and mathematics (STEM) subject and that allow STEM K-12 grant funding to be used for accounting awareness and education. Additionally, we’re pursuing both state and federal workforce development funds, researching new initiatives to increase accounting education in high schools and identifying state assistance programs that accounting students and employers can take advantage of.

While these efforts are led by the NJCPA government relations team, there are opportunities for members to get involved: 

• Be a key person. Collaborate with us and any legislators you know on a personal or business level to promote pro-CPA legislation and protect the integrity of the CPA license. 
• Donate to the New Jersey CPA Political Action Committee (NJ-CPA-PAC). Help us continue to promote and protect the profession in Trenton. 
  

As always, we invite you to share your thoughts. What issues are you most passionate about? What types of advocacy are you most interested in? Are you willing to contact your local representatives?

As an accounting professional, you’re no stranger to juggling multiple tasks, deadlines and responsibilities. Delegating effectively can be a game-changer, allowing you to focus on strategic initiatives, improve efficiency and empower your team. 

Let’s explore three key principles for successful delegation: 

1. Document your process. Before you delegate any task, take the time to document the process thoroughly. Why is this crucial? Well, consider it your roadmap. When you have a clear, step-by-step guide, it becomes easier to communicate expectations to your team. Here’s how to go about it: 
   • Break it down. Divide the task into smaller components. What are the inputs, processes and desired outputs? Document each stage meticulously. 
   • Include the rationale. Explain why each step matters. Understanding the “why” behind a task motivates your team and helps them see the bigger picture. 
   • Create visual aids: Flowcharts, checklists or process maps can make complex procedures more digestible. Visual aids enhance clarity and reduce ambiguity.  
     
2. Train your people to understand the process. Delegation isn’t just about handing off work; it’s about ensuring your team members grasp the intricacies. Here’s how to train effectively: 

• Conduct one-on-one sessions: Sit down with each team member and walk them through the documented process. Encourage questions and discussion. 
• Role play: Simulate scenarios. Ask your team to demonstrate their understanding by role-playing specific steps. This reinforces learning and builds confidence. 
• Have feedback loops: Regularly check in with your team. Are they encountering roadblocks? Do they need additional resources or clarification? Adjust your training accordingly.

3. Genuinely delegate and empower ownership. Now comes the critical part: delegation itself. Remember, it’s not just about offloading tasks; it’s about empowering your team. Here’s how to do it right: 

• Trust your team: Trust that your team members can handle the responsibility. Micromanagement stifles growth and creativity. 
• Set clear expectations: Be specific about deadlines, quality standards and desired outcomes. Ambiguity leads to frustration and inefficiency. 
• Encourage autonomy: Once you’ve delegated, step back. Allow your team to take ownership. When they succeed, celebrate their achievements. 

Remember, effective delegation isn’t about relinquishing control — it’s about optimizing resources. By documenting processes, training your team and genuinely empowering them, you’ll not only increase capacity but also foster a culture of collaboration and growth. So, go ahead, delegate strategically and watch your accounting team thrive!