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Accounting trends
Since trading began, accounting trends and ideas have been essential for business growth and stability. While the basic concepts of accounting like debit and credit, haven’t changed much, the methods we use to keep our books have evolved. This is due to new regulations and people’s creativity, which often complicates things.

In the last 50 years, the biggest shift in accounting has been from paper records to digital ones. Technology is now crucial for any accounting firm. However, the move to cloud-based accounting systems is still happening slowly.

The accounting industry tends to be slow to change because it deals with money. It acts as a gatekeeper for businesses’ financial health and is therefore very cautious. However, I believe we will see faster changes in the industry soon. This will be driven by technological advancements and the need for better customer service. Below are some key trends in the industry.

Future-Proofing with These Seamless Accounting Trends

One-Stop-Shop Advisors

Customers today expect more from their accountants. They want help with their books and valuable advice on financial matters like taxes, financing, mortgages, investments, and pensions.

Sole traders, self-employed contractors, and small businesses want these services at the lowest possible cost. We are seeing a rise in accountant advisors. These professionals not only manage bookkeeping but also assist clients with other financial needs. This is one of the key trends in accounting.

Powerful Cloud Accounting

With the advent of massive cloud infrastructure and accountants needing to access their data anytime, anywhere, accounting firms will slowly move towards accounting systems on the cloud. This will not only help them provide better service but also help them reduce their operating cost.

The benefits of cloud accounting include:

Automation Revolution

Automating accounting services to a virtual accountant has saved accounting firms much time. Automation is gradually eradicating the demand for manual data entry, which saves accounting firms cost and time. Accounting automation is intended to decrease the load of manual accounting and bookkeeping.

Few people think that automation in accounting might seem like a menace for accountants. However, this is not true – automation is unlikely to replace accountants, but it makes it tremendously advantageous for small-business owners and entrepreneurs.

Outsourcing Dynamics

Many people think that if we can automate, why outsource accounting services? The fact is that numerous studies state that, in most likelihood, automation will not remove jobs but change them by making them more productive. The truth is we would still need people to check for quality, complete the books, and analyse the data.

Outsourcing back-ended jobs will continue to help accountants focus on customer service and growth. Outsourcing is likely expected to increase as competition bites the industry due to automation. Small practices that cannot invest in automation must outsource even more heavily to remain competitive and relevant.

Outsourcing will continue to top the Accounting trends chart:

  • Lower costs
  • Ability to scale
  • Access to expertise, technology, and methodology
  • Less reliance on capital expenditure
  • Time for accountants to focus on growth

Collaborative Accounting

Collaborative accounting has significantly changed how accountants and clients interact. This approach allows both parties to work together in real-time, regardless of where they are located.

Key Features of Collaborative Accounting:

  • Real-Time Access: Accountants and clients can access financial data simultaneously. This means that updates made by one party are instantly visible to the other.
  • Improved Communication: With collaborative tools, communication becomes more straightforward. Clients can ask questions and receive answers quickly, leading to a better understanding of their financial situation.
  • Shared Responsibility: Both accountants and clients can take an active role in managing finances. This shared responsibility helps ensure that tasks are completed accurately and on time.
  • Increased Efficiency: By working together in real-time, the accounting process becomes more efficient. This reduces the chances of errors and speeds up decision-making.
  • Flexibility: Collaborative accounting tools can be accessed from various devices, allowing for flexibility in how and when work is done.

Overall, collaborative accounting fosters a partnership between accountants and clients, enhancing the quality of financial management and advice. This trend reflects the growing demand for more integrated and responsive accounting services.

Embracing Change for Future-Ready Accounting Trends

With technology-driven collaborative accounting, accountants can view and change their client’s information anywhere using cloud-based accounting software and interconnect with clients using collaborative tools such as HipChat and Slack. All that is needed to perform the task is the incorporation of technology, portals, and tools to carry out the flow of information between the collaborators.

Adopt the latest Accounting trends and include Outsourcing accounts into your existing business model with a more reliable offshore accounting team today.

Parul Aggarwal - Outbooks
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Parul is a dedicated writer and expert in the accounting industry, known for her insightful and well researched content. Her writing covers a wide range of topics, including tax regulations, financial reporting standards, and best practices for compliance. She is committed to producing content that not only informs but also empowers readers to make informed decisions.

by:Parul Aggarwal