The research conducted by the US Bureau of Labor and Statistics reveals that accounting is a profession that would remain stable and grow exponentially in the coming decade. Cosmetic bubbles are bursting, tax codes are being modified, firms and corporations are closing down and new vacancies are being created every single day. Some of the fields of accounting are growing as much as 25% faster in contrast to their counterparts.
There are plenty of specialties in the vast field of accounting that range from conventional bookkeeping to complicated analysis and appraisals. Contemporary accountants are shrewd business professionals who are familiar with the tactics involved to keeping track of the money trail. An accountant is responsible for maintaining and processing financial information that is required by a firm to effectively manage and operate its functions.
Contemporary accounting is concerned with calculation of costs and harnessing the tremendous potential of the modern technology along with participation in mergers and acquisitions. A knowledgeable and shrewd accountant is pivotal to the success of any firm or corporation. The accountants plat their role in keeping an eye at the quality, development and utilization of systems to monitor finances, tactics relating to taxes and management of health care benefits.
Types of accountants
The four fundamental types of accountants include public, management, government and internal auditors. Five careers in accounting are ranked as the best in terms of remuneration, job structure and scope. There are five areas of specialization within the four fundamental types of accountants:
- Internal auditor
- Compliance executive
- Financial analyst
- Staff accountant
- External auditor
Jobs and remuneration
An internal auditor is responsible to bolstering company controls and so endeavors to ensure that the firm complies with the updated regulatory regimes introduced by the government. Internal auditing is concerned with ensuring operational effectiveness, accurate maintenance of financial reports and investigation of fraudulent activities.
An internal auditor is not expected to fulfill company’s tasks. They advise the executive and the Board of directors regarding the optimization of operational effectiveness of the company. An internal auditor should be a Certified Internal Auditor (CIA) which is a globally recognized certificate for internal auditors. Aspiring accountants for this field require a bachelor’s degree along with a field work of at least a couple of years. The national average remuneration for this career lies between $78,000 and $102,000.
A compliance executive is responsible for ensuring that a company is functioning within specified guidelines, government regulations and mandate. For instance, financial legislation was passed as a consequence of the scandalous activities perpetrated by Enron and WorldCom.
Compliance executives ensure that the public and company shareholders are protected from fraudulent activities and errors in accounting. Chief compliance officers have had high demand in large corporations and companies since 2006.
A financial analyst lends his efforts into ensuring that a company is able to maximize its return on investment. This kind of accountant operates at banks, insurance companies, mutual funds, pension funds, security companies and other financial businesses. Financial statements are studied by a financial analyst as he or she reviews commodity prices, sales, costs, expenditures and taxation rates to figure out future earnings or existing business value.
A financial analyst is responsible to studying an industry and keeping an eye at the current business patterns and competition prevalent in the industry. This account is highly sought for when it comes to management and senior executive positions and thereby commands high remuneration.
Staff accountants have been hanging onto high posts for a long time. They compile financial information and journal entries for company accountants and carry out account reconciliation. They ensure compliance with the regulatory laws enforced by the government.
A staff accountant is responsible for culling financial information, forging reports, keeping a record of the collected information, categorizing entries and preparing summaries of financial transactions. Aspiring candidates for this post need to have three years of experience particularly in public accounting. Large corporations offer at least 5% more remuneration to these employees in contrast to other companies.
An external auditor may be regarded as an independent accountant who visits a certain company or firm to review records and make suggestions regarding financial statements, their clarity and completeness. Financial statements must be void of any false declarations that might lead to allegations of fraudulent activities. They are assigned the task of investigating issues highlighted by government authorities or local taxing entities.
External auditors should be independent; which is a mandatory condition for the accurate appraisal of a company’s financial condition. In case of a relationship between the company and the external auditor, it has to be made a part of the final report compiled by the auditor.
There is an ever-increasing demand of these accountants. If you want to be hired as external auditors, then you should possess three to seven years of experience along with certification as a public accountant. It is estimated that senior external auditors working with small firms are likely to witness a 5% increase in their starting remuneration over the next 10 years or so.