As the busy tax season approaches, accounting firms often struggle. There is a sudden spike in the workload, tight deadlines, and extraordinary pressure on the accountants to deliver accurate and timely services. No matter how much accountants like their job, they dread the busy season. Long hours, all-nighters, and no time for family, when coupled with a workload that seems never-ending often leads to frustration and stress. And all of this is because of one reason – poor planning.
Accounting firms are very much aware of the scenario that is going to happen between the middle of January and the middle of April. For small accounting firms, especially, there is a dire need to plan in the best way possible. Knowing how to set goals the right way is extremely important for accounting industry leaders. The busy season is chaotic, and while many argue about the need for mandatory Saturdays, it all depends on accurate planning.
In this article, Finsmart Accounting – trusted globally for bookkeeping outsourcing services – will share insights with CPAs and accounting firms to manage workflow during tax season in a better way.
Why is goal setting important?
If you have only recently started an accounting firm, you might think that you can plan as you go. But that is the biggest mistake accounting firm owners make. Goal setting is important and here’s why:
To be on the same page: When accountants need to maintain accuracy despite the madness during the busy season, there is just one thing they fail to do – prioritize. That leads them to feel like they aren’t being able to meet deadlines, achieve their goals, and cope. Setting goals helps align the team members’ efforts with the overall objectives of the clients. During the busy season, when every task contributes to the larger financial picture, remaining aligned helps ensure that everyone is working towards the same goal.
To remain focused: Staying focused to attain the goal is one of the key elements to answering why is goal setting important. For accountants, who need to be mindful when completing tasks and ensuring there are no errors that can jeopardize the audits for the clients, it is essential to stay focused. Defining goals helps in prioritizing tasks, reducing distractions, and maintaining focus amidst a pool of activities during the busy season.
To maintain the motivation: Having clear goals gives the accountants a sense of purpose and direction. It motivates them to stay committed and strive towards achieving the targets. During the busy season, accountants lose motivation and always feel stressed. Setting goals helps tackle these daunting times better.
To inculcate a sense of accountability: Setting goals is important. It helps the leaders give ownership and accountability to the teammates, thus ensuring more involvement with the business. This helps accountants to feel that they belong. Team members also understand what is expected of them and it is easy to track the progress.
To ensure you are setting goals right during the busy season, here are some of the top things you should plan:
- Number of resources that need to be allocated, including any extra hands you might need to get through the busy season
- The number of projects and clients you are willing to take on
- The amount of growth your firm is ready for
When you have clear answers on how to set goals through the questions above, you can make a difference on how to survive the period better than others. Without a plan, you would find yourself and the team burdened with tasks, with no way to prioritize them, which in turn leads to a huge mess for the firm and the clients.
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How to set accounting goals for team: A checklist
When aiming to tackle the busy season, it is essential to understand a very important question – how to set goals and achieve them. Here is a checklist that will help you ask the right questions to yourself and your teammates and set the right rhythm:
The number of hours they are expected to work: The busy season often ruins the regular rhythm of work. If you want to avoid sudden surprises of your team members backing out of working long hours, it is essential to specify the minimum number of hours you expect them to work during the busy season per week. Also, mention the overall goal in terms of the work hours during this season. Do not forget to share details of the incentives (if any) for the longer hours. Sharing these targets with your teammates well in advance helps ensure that they hit the goal and easier for you to have a conversation when they fail to achieve them.
If you plan to set a range of hours, you might want to think again. Some members might log off when they hit the minimum value. Not everyone wants to put in the elongated hours. However, when setting the hours be mindful that you do not set it just for the sake of it. Keeping in mind the mental and physical health of the employees, especially during this season is vital.
The number of days they are expected to work: Mandatory Saturdays have been a decade-long practice in the accounting industry. The times have changed and firm leaders need to analyze the need for this model. There might be some clashes with the employees as the younger generation of accountants tends to value their flexibility and balance between the personal and the professional. Understand your client’s needs and discuss with the team members on how many days are needed to meet the deadlines, especially during the season.
In case you expect them to work on the weekends – all of them, alternate, one of the days – let them know in advance. Also, let them know if they get some perks for working on the weekends. If their perception of what is expected and what you expect varies, it might be a good idea to have a detailed chat with them.
The process for preparing and reviewing the work: Even though for most firms the process of preparing and filing for taxation is the same, firms might have different ways of completing a certain task. If you have a process that has been followed in the firm for a while now, you might want your employees to use sticky notes or something similar to set up in their workspace. If it’s not documented already, it might be wise to set up a meeting and train them on what is expected of them in terms of the review process, much ahead of the tax season.
When you document the process once, it becomes your guiding force during a training session or as a reference if any team member needs help. This is also helpful in case you decide on taking some additional hands during the busy tax season and do not have much time to train them in detail.
The expected response time for internal and external communication: Being responsive is a key element in the accounting profession. It is paramount to set clear expectations with clients and internal teams about the turnaround times of any communication. While on a regular day, an accountant might be able to instantly reply to an email or a chat, during the busy season, they might be away for the longest time and the turnaround time increases. At the beginning of any association with the clients, it is essential to set a boundary and to prevent them from expecting the team to be at the beck and call of the client.
By setting response time expectations, you can allow your team to serve the client better and attend to their roles and responsibilities without too many interruptions.
Setting clear goals this accounting season
For an accounting firm leader, it is important to accept that despite setting goals, sometimes your employees will fail to attain them. So how do you set goals that do not fail? The only way to do that is to experiment, fail, and learn. While one process works for a certain firm, it might fail brutally for you. As a leader, you need to equip your team with the means needed to rise even if they fail. Investigate issues that have been in the pipeline for long and provide them with the support they need constantly.
If this busy season is becoming overwhelming for your team, get the expertise, and global tax talents, and serve your clients better by outsourcing. Write to us at connect@finsmartaccounting.com for more.
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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.
