5 Trends to Expect for Accounting in 2020

Posted on: January 9, 2020 by Huntersure LLC.

There are a number of industries that have been able to operate steadily without too much change, no matter the trends around them. One is the accounting field, which has operated on tried and true methods over the years. But, like practically every industry around it, accounting is set for major changes heading into the new year and new decade with tech influences making their way into everyday accounting operations.

From artificial intelligence to social media to the cloud, accounting firms and professionals in the industry can expect a whole new way of doing things in 2020.

1. Automation and AI

The new year will see a big focus on automating such tasks as audits, banking, payrolls, and tax prep. Accountants and accounting firms are already integrating artificial intelligence solutions to these tasks to help cut down on human error and streamline the workday.

One major issue that has always plagued accounting firms is human error. Claims of negligence and mishandling of financial records have hurt these firms and their professionals, but having a solution like this could help to limit mishaps. However, regardless of new technologies coming in to help out with performance problems, having accountant liability insurance is always a good resource to have on hand to protect against major claims that can be a financial burden for firms.

2. Accounting in The Cloud

Accounting firms have been taking advantage of storing their data in the cloud, or a network stored elsewhere. Remote servers have been playing host to accountant information for the last few years and will only get more sophisticated and available as we head into the new decade.

Cloud accounting removes the need to install and take care of software on each computer that’s in use at a firm. This means that the industry is poised for more off-site and accessible roles for firms, such as remote accountants and contract workers who can be used during busier times of the year, such as tax season. Moreover, this means that online accounting gives the data and information an extra layer of security from hacking or being lost.

3. Blockchain

You may have heard of blockchain when it’s referring to the financial services industry, such as in the context of mobile banking or cryptocurrency. But the technology is finding its way into practically every industry that has to do with transactions, including accounting.

Blockchain tech will essentially cut out the need to use banks or financial entities to take care of financial transfers. Blockchain provides improved security and enables users to make fund transfers and transactions more directly.

4. Social Media Use

Social media used to just primarily be a tool to post pictures of food or babies or connect with friends from high school. Over time, businesses have used to platform to connect with customers or land potential deals. Now, social media is being utilized by accounting firms to do the same thing.

Clients can research a potential firm to work with before they even attempt to make a connection, making it important for accounting firms to have a social media strategy and good social media presence. Some firms are even employing in-house social media and marketing professionals to help take on this portion of business.

And while social media in business, including accounting, isn’t necessarily anything new, it is expected to be even more prevalent in 2020 to help widen exposure.

5. Mobile Computing

Smartphones are getting smarter and more and more people are doing business and connecting on the go. Through tablets and smartphones, accounting has become an industry that can be carried on the bus on the airplane or executed in the living room. Mobile computing is set to be even more helpful with this off-site, mobile business experience that is taking over other industries.

Larger firms can manage their data and work through mountains of digital paperwork while doing away with the conventional four walls and cubicles.

About Huntersure

At Huntersure, we specialize in providing quality professional liability solutions to accounting professionals. Our Accountant Liability Insurance program provides coverage for accountants, auditors, bookkeepers, and tax preparers, so no matter where your clients lie in the industry they can have the coverage they need to protect themselves and their assets. To learn more about our operation and our Professional Liability Insurance solutions, contact us today at (855) 585-6255.

Posted in: Accounting blog