Accounting Today
The roles of an accountant today vary depending on the field one goes into. In a typical business however, an accountant is in charge of financial records and data. For example, taking care of tax records and evaluating if there are deductions or fines that apply. An accountant will also handle past spending data and help the company know if they are profitable or lacking in certain areas. An accountant is important because without one, it is hard for a company to progress and be efficient, especially with money. A good accountant will be on top of changes in regulation and the market and will help guide the company in changes that need to be made to be better off than the year before.
Accounting Careers
1. Cost Accounting
2. Auditing
3. Tax Compliance and Accounting
4. Corporate Accounting
5. Governmental Accounting
6. Financial Consulting
7. Run your own business
8. Forensic Accounting
9. Management Advisory Services
2. Auditing
3. Tax Compliance and Accounting
4. Corporate Accounting
5. Governmental Accounting
6. Financial Consulting
7. Run your own business
8. Forensic Accounting
9. Management Advisory Services
Accounting Mentor: Richard Foster
Q: What exactly is your title or position in the business world?
A: He is a CPA (Certified Public Accountant) and was a CFO (Chief Financial Officer) for a large company. He now is a consultant working for many different companies that aren't large enough to higher an accountant or financial advisor full-time.
Q: What type of schooling, or what path did you take to get where you are now?
A: Degree and MBA in Finance. Passage of the CPA exam and other certifications. Diverse work experience in multiple fields.
Q: Are these credentials necessary?
A: For the most part, yes they are important and the more certifications you have the better your chance of getting into an upper level position. Becoming a CPA is necessary for certain careers, but it is not easy to get.
Q: What are other important qualities or characteristics needed to succeed in this field?
A: Being a people person. Someone who can communicate with others, even writing skills are very important although you might not think so.
Q: What are the wages or salaries like throughout the different positions of an accountant?
A: Entry level is $25-$30,000, Controller $60-$65,000, Partner $100-$120,000, even up to $150-$200,000 or as much as you want if you become an independent consultant.
Q: Is there employment opportunity in this area of expertise?
A: Yes, there is always a need for accounting and consulting in business. Government, charities, organizations, even some individuals need an accountant or accounting/tax services. As a consultant, one can work with companies under $50-$75 million who may not need or want a full-time accountant or financial officer.
Q: Can you describe what the work atmosphere is like in general when it comes to this field of expertise?
A: There is always change happening. Not in the numbers or general tasks, but in government regulations and taxes. Especially in banking. Regulations change and the tax code is so complex that it's even hard for a professional to deal with.
Q: What do you like least about working as an Accountant?
A: The job is very detail oriented and repetitive, which he doesn't really care for. The Financial part is preferable. It is the "heart of the business" and deals more with the Big Picture".
A: He is a CPA (Certified Public Accountant) and was a CFO (Chief Financial Officer) for a large company. He now is a consultant working for many different companies that aren't large enough to higher an accountant or financial advisor full-time.
Q: What type of schooling, or what path did you take to get where you are now?
A: Degree and MBA in Finance. Passage of the CPA exam and other certifications. Diverse work experience in multiple fields.
Q: Are these credentials necessary?
A: For the most part, yes they are important and the more certifications you have the better your chance of getting into an upper level position. Becoming a CPA is necessary for certain careers, but it is not easy to get.
Q: What are other important qualities or characteristics needed to succeed in this field?
A: Being a people person. Someone who can communicate with others, even writing skills are very important although you might not think so.
Q: What are the wages or salaries like throughout the different positions of an accountant?
A: Entry level is $25-$30,000, Controller $60-$65,000, Partner $100-$120,000, even up to $150-$200,000 or as much as you want if you become an independent consultant.
Q: Is there employment opportunity in this area of expertise?
A: Yes, there is always a need for accounting and consulting in business. Government, charities, organizations, even some individuals need an accountant or accounting/tax services. As a consultant, one can work with companies under $50-$75 million who may not need or want a full-time accountant or financial officer.
Q: Can you describe what the work atmosphere is like in general when it comes to this field of expertise?
A: There is always change happening. Not in the numbers or general tasks, but in government regulations and taxes. Especially in banking. Regulations change and the tax code is so complex that it's even hard for a professional to deal with.
Q: What do you like least about working as an Accountant?
A: The job is very detail oriented and repetitive, which he doesn't really care for. The Financial part is preferable. It is the "heart of the business" and deals more with the Big Picture".
Key Accounting Terms
Balance Sheet: A condensed statement that shows the financial position of a company or entity
Income Statement: Summary of a management's performance as reflected in the profitability (or lack of it) of a firm over a certain period. It itemizes the revenues and expenses of past that led to the current profit or loss, and indicates what may be done to improve results.
Statement of Cash Flow: Summary of the actual or anticipated incoming and outgoings of cash in a firm over an accounting period(month, quarter, year). It answers the questions Where the money came (will come) from? and Where it went (will go)? cash flow statements assess the amount, timing, and predictability of cash-inflows and cash-outflows, and are used as the basis for budgeting and business-planning
Assets: Something valuable that an entity owns, benefits from, or has use of, in generating income. In accounting, an asset is something an entity has acquired or purchased, and which has money value (its cost, book value, market value, or residual value).
Liabilities: Accounts and wages payable, accrued rent and taxes, trade debt, and short and long-term loans. Owners' equity also is termed a liability because it is an obligation of the firm to its owners. Liabilities are entered on the right hand-side of the page in a double-entry bookkeeping system.
Owners Equity: Capital employed in a firm, computed by deducting the book value of the liabilities from the book value of the assets.
Net Income: Total revenue in an accounting period less all expenses during the same period. If income taxes and interest are not deducted, it is called operating profit (or Loss, as the case may be). Also called earnings, net earnings, or net profit.
Revenue: Amount generated from sale of goods or services, or any other use of capitol or assets, associated with the main operations of firm before any costs or expenses are deducted.
Income Statement: Summary of a management's performance as reflected in the profitability (or lack of it) of a firm over a certain period. It itemizes the revenues and expenses of past that led to the current profit or loss, and indicates what may be done to improve results.
Statement of Cash Flow: Summary of the actual or anticipated incoming and outgoings of cash in a firm over an accounting period(month, quarter, year). It answers the questions Where the money came (will come) from? and Where it went (will go)? cash flow statements assess the amount, timing, and predictability of cash-inflows and cash-outflows, and are used as the basis for budgeting and business-planning
Assets: Something valuable that an entity owns, benefits from, or has use of, in generating income. In accounting, an asset is something an entity has acquired or purchased, and which has money value (its cost, book value, market value, or residual value).
Liabilities: Accounts and wages payable, accrued rent and taxes, trade debt, and short and long-term loans. Owners' equity also is termed a liability because it is an obligation of the firm to its owners. Liabilities are entered on the right hand-side of the page in a double-entry bookkeeping system.
Owners Equity: Capital employed in a firm, computed by deducting the book value of the liabilities from the book value of the assets.
Net Income: Total revenue in an accounting period less all expenses during the same period. If income taxes and interest are not deducted, it is called operating profit (or Loss, as the case may be). Also called earnings, net earnings, or net profit.
Revenue: Amount generated from sale of goods or services, or any other use of capitol or assets, associated with the main operations of firm before any costs or expenses are deducted.
References
www.businessdictionary.com