Hiring High-Paying Finance, Accountant Roles | Aniday

1. What is an Accountant?

Accounting is the process of collecting, processing, verifying, and providing economic and financial information in terms of money, goods, or labor.

Specifically:

• Collecting is recording economic transactions into accounting vouchers.

• Processing is the process of systematizing data and information from accounting vouchers into accounting books.

• Verifying is the process of ensuring the accuracy and completeness of data.

• Providing is summarising data into financial reports to provide information to users.

Accountants can work for an accounting firm or a large company with an internal accounting department, or they can establish their own private practice. Accountants are certified by national professional associations after meeting specific state requirements, although uncertified individuals can still work under other accountants or independently.

Accountants who have a bachelor's degree also need additional qualifications to enhance their professional expertise. Some popular certifications like CPA (Certified Public Accountant), CFA (Certified Financial Analyst) help expand career opportunities and compensation.

2. How to become an accountant?

A position in accounting is essential for those in the financial and business sectors. Accountants prepare taxes, verify financial records accurately, and prepare financial reports for individuals and businesses. They track a company's figures on profits and losses and ensure their clients comply with tax laws and regulations.

The steps to become an accountant are:

• Graduate with a Bachelor's Degree in Accounting - With 40% of accountants in this profession holding an undergraduate degree, a bachelor's degree in accounting is a first step for applicants to be competitive in the job market.

• Become a Certified Public Accountant (CPA) - The CPA certification is evidence of an accountant's professional competence and expertise, particularly in accounting and risk management. The CPA certification is widely recognized in the accounting industry. Increasingly, businesses require applicants to have CPA certification when hiring for management positions related to accounting and finance.

• Attain additional accounting certifications - Accountants can choose to become certified in a specialised accounting field. Additional certifications accountants can earn include Certified Financial Planner, Certified Valuation Analyst, Certified Information Technology Professional or Certified Fraud Examiner.

3. Roles and responsibilities of an accountant

Some of the most common duties and responsibilities of an accountant include:

• Ensuring the accuracy of financial documents, as well as compliance with relevant laws and regulations.

• Preparing important financial reports.

• Preparing taxes and ensuring that taxes are paid correctly and on time.

• Evaluating financial activities, identifying issues, and strategizing solutions to help organizations operate efficiently.

• Guiding cost reduction, revenue increase, and profit maximization.

• Conducting forecasting assessments and risk analysis.

Additionally, accountants have a legal duty to act with integrity and avoid negligence in practice. Therefore, they are also responsible for ensuring that their client's financial records comply with applicable laws and regulations.

4. What are important skills for an Accountant? 

There are several skills that all accountants need to be equipped with to succeed in their role such as:

• Attention to detail: Accounting professionals must pay attention to every detail to be able to keep the information accurate and organized. With the amount of financial data needing to be analyzed, mistakes can easily be made; however, simple errors can turn into much larger issues if unnoticed.

• Business acumen: To be effective in this role, an accountant must comprehend the basic functions of a business to accurately analyze and interpret financial data. A solid foundation in business provides context for the financial information accountants work with daily.

• Computer literacy: Professionals in this field need the ability to use advanced accounting software and other computer-based tools to operate efficiently.

• Analytical skills: Collecting and analyzing financial data is a large part of accounting and an important aspect of identifying patterns and potential issues. In fact, applying data analytics to accounting is an emerging trend in the industry expected to have an increasingly greater impact in the future.

• Communication skills: Accountants must have the ability to listen carefully to accurately collect events and figures from clients, managers, or other stakeholders. They also must be able to clearly convey the results of their work and present their findings in written reports.

• Numeracy skills: A common misconception is that you must be good at maths to become an accountant. While numeracy skills are indeed important for analyzing, comparing, and interpreting data and figures; advanced mathematical skills are usually not necessary to become an accountant.