The number of accountants, globally, has been significantly decreasing since 2020. While the pandemic played a significant role in the reduction of the number, many other factors equally contributed to it. In the 2023 PWC Annual Accounting and Tax Symposium, several factors were held responsible. They include:
– For the modern-day accountants, the 150-hour requirement was a barrier
– The youth are looking for “cool” jobs and accounting is technically boring
– The compensation is lower for accountants than for other majors such as finance and technology
– The field is perceived as predominantly male-focused. The low number of women is proof
– The youth who have completed their accounting major are perceived as too specialized
– The cost of accounting education is too high
– The enrollments in higher education are going down as the youth continue to enroll in creative courses
Truth be told, accounting is a demanding profession. After all, no business can truly function without the involvement of an accountant. They are the ones who hold the financial aspect together. Hence, there is no doubt in the fact that accounting is stressful. Especially during the busy seasons, they are compelled to work for long hours.
Factors affecting long hours in accounting profession
Whether you are an accountant or an accounting firm owner, you are most certainly aware of the long hours accountants are expected to go through. Sometimes, the reality of the long hours is far more adverse than they originally signed up for, which leads them to quit. Here are some of the top factors that lead to the incessant long hours in the field.
1. Busy Seasons
– Tax season: For accountants, dealing in tax preparation and filing, the period from January to April is a never-ending loop of long hours. Many of them end up working for about 60 to 80 hours a week. These months of long hours lead to stress and frustration. They lack a balance between the personal and the professional.
– Audit season: Just like the tax season, even auditors face similar situations during the end of the financial year. The extended hours, constantly looking through the screen and an inability to have a personal life leads to burnout, sometimes beyond repair.
2. Industry-specific
– Public accounting: This genre of accounting is client-driven. This means they need to meet tight deadlines and be available for clients longer than usual. Sometimes, this leads to them working even after clocking out.
– Private accounting: Being a private accountant offers better consistency in work hours. It is focused on the firm’s growth as well, besides focusing on the needs of the clients. Accountants and accounting firms make more independent decisions.
– Government accounting: While public and private accounting can be much more lucrative and liberating, government accounting offers more structured hours. This gives accountants more clarity on the working hours and other details.
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3. Size of the company:
– Small firms: Accounting firm owners have to wear multiple hats, and so do the accountants in case it is a small team. Small accounting firms are low on budget, resources, and time. This leads the teams to work for prolonged hours, throughout the year.
– Large firms: Being an accountant in a large firm often provides a better balance. They have more capital and resources, which helps them enjoy more defined working hours.
4. The Experience Level:
– Junior accountants: Accountants often take longer when they are new in the industry, gaining experience and struggling to meet the demands of multiple projects at the same time. Junior accountants spend more time honing their skills, which leads to them losing the vision of what could be even before they can grow.
– Senior accountants: As the accountants become better at their jobs and climb the ladder, they get access to additional resources. The kind of work they do also change. From merely doing the manual work, they often transition into strategic roles. This can leave more avenues to balance the personal and professional.
– Managers and partners: This section steers away from manual jobs completely. This does not necessarily mean they do not work long hours. But while they are still responsible for working long hours, they have more control over their schedules, which helps achieve a better balance.
How to manage the hours better at all levels?
The field of accounting might seem extremely stressful. While we don’t claim it to be all flowery, there are many reasons it is a rewarding career. The most compelling of them all is the value and impact they create in the lives of the clients and on the people of the fraternity. This is often overlooked when people consider this profession. But this is as critical as any other aspect. The rumors of inflation are still ripe and in a rocky economy like it has been in the post-covid world, accountants play a key role in helping businesses stay afloat.
Accounting can be stressful. But there are ways around it. Here are the top ways to manage the hours better:
– Prioritize tasks:
We cannot emphasize enough on how important it is for accountants to prioritize their tasks. The workload will stay the same. Accountants will always have too much to do in too little time. Setting a to-do list before you set out for the day, and breaking down larger tasks into smaller ones can make the tasks less daunting. It is all about the mindset and prioritizing helps see the tasks as more achievable.
– Time management techniques:
No matter what level in your career you are in, time management techniques such as time blocking, can prove extremely useful. It is easy to get distracted – by social media, emails, meetings, and even our co-workers. These techniques help you focus on your goals and get the job done. It also allows you to take breaks as and when needed to prevent burnout.
– Rotation of responsibilities:
The onus of this lies mainly with the accounting firms. Executing a rotational system where accountants rotate responsibilities periodically can go a long way to prevent monotony, dullness, and burnout. Accountants can gain exposure to different tasks, that are, sometimes, out of their comfort zone. This helps in overall growth. Rotational responsibilities can help accountants feel challenged, help develop new skills, and keep the team more versatile.
– Mindfulness practice:
Accountants bear a lot of responsibility, especially because they deal in money. To keep stress at bay, practicing mindfulness in the workplace can help accountants manage stress and improve focus. Mindfulness training sessions or including short mindfulness exercises can help employees stay calm and focused even during the peak seasons.
Long hours in accounting: Conclusion
An accounting career brings a lot of opportunities and can be extremely rewarding. While long hours are a part of the profession, there are many ways to combat it. Apart from the above-mentioned techniques, outsourcing can be a helpful way to help accounting firms beat the hustle, stress, and burnout that the accountants have to go through. By outsourcing, accounting firms can stay focused on tasks that truly make a difference. What is important for firm leaders is to understand what it is that they need help with. The aim is to build a sustainable and supportive work environment, where the team thrives and the business succeeds.
To know how you can start outsourcing, write to us at connect@finsmartaccounting.com.
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Director Growth Strategy & Alliance
Maanoj Shah is a finance and outsourcing expert with strong Business Strategy and Scaling-up experience. Over the last 20 years, he has incubated multiple businesses and helped build global enterprises in verticals as diversified as hospitality, technology, and healthcare.
