Certified Public Account in Melville, NY
4 things that await a certified public accountant
August 30, 2016Posted by on
Certified Public Accountant (CPA). Boy does that sound nice, especially after all the effort it took to receive your license. It probably took many long nights and social sacrifices. And let’s not forget cramming day in and day out. All the hard work paid off and you now fill at least the basic requirements of a CPA. Congratulations. You are now part of one of the most important professions that have ever existed. Companies literally could not exist without a CPA checking the books and crunching the numbers. What’s next? What’s out there waiting for you? These are just two of the many questions that might come to mind for newly-certified accountants. One of the most important questions a CPA must ask him or herself is the kind of employment to take on. Self-employed or for a company? Whatever the choice may be, a public accountant has to assume certain responsibilities and duties in order to get the job done.
1 . Ethics and morals above all
Public accountants handle extremely important and sensitive information. They might find themselves in a situation where they are encountered by a client who wants them to cheat a little on the books. A little double bending the numbers in a certain direction, ignoring other numbers, or even making up numbers. These are just some of the most unethical yet common requests CPAs are constantly faced with. While they are strongly frowned upon, it’s very common to see them being committed. Just because something is typical does not make it right (here’s where you hear your mom’s nagging voice saying, “If your friends jumped off a bridge, would you follow suit?”). As a certified public accountant, it is your duty to make sure a company’s figures are presented by the books and without any information that could raise suspicion later on. It’s important to turn down any such requests and not fall under pressure from a client. The right path to take may be the most difficult but your conscience will thank you in the long run.
2 . Mediation between companies or individuals and the government
Governments take tax collection extremely serious and so should you as a CPA. Companies and individuals don’t have the expertise (unless they are an accounting firm or work for one) to face the government in tax related proceedings. That’s where a licensed public accountant steps in to save the day. A CPA has the knowledge and tools to help businesses and people solve any questions or respond to any comments government agencies might have concerning tax records and declarations. Additionally, accountants are trained to present and explain tax documents, such as tax returns, that may be required by tax collecting agencies. Tax season is a busy season so get ready for some work to come your way.
3 . Audits of a company’s figures and processes
Auditing is a huge part of a certified accountant’s responsibilities. They are constantly being hired by state agencies and companies to make sure everything is on the up and up. Governments will often bring on a CPA to go over a business’ books and check that everything is legit or if there is something that needs to be looked into; for example, fraud and misleading figures. On the other hand, companies will seek accountants so that the can review company records to approve the annual balance sheet or give recommendations on how to improve bookkeeping practices.
4 . Consulting for startups
Finances are one of the most difficult things for any entrepreneur to handle. As a start-up business, there are often other things that occupy the founders mind and accounting and the numbers is not usually one of them. Start-up companies will frequently hire a certified accountant to give them sound advice on how to go about basic book keeping practices so that they can have control over the company’s finances. Furthermore, CPAs can help new businesses gather all the financial documentation that is needed to convince investors to inject some capital into the business.
Receiving a license in public accounting comes with great responsibilities and duties. CPAs play a huge role in a company’s financial situation; to the point that they could bring a company down under some circumstances if it is not doing things properly. As such, it’s important to take the different roles that can be had seriously and ethically. An accountant who is known to follow sound practices will surely receive more return business in the long wrong than someone who has no problem taking shortcuts. Finally, being a certified public accountant is a dignified occupation, it makes all the hard work that was done to prepare, take, and pass the CPA exam worth it.
Make sure to keep coming back for more recommendations from Adam Greene related to certified public accounting and for tips on how to prepare and ace the CPA examination.
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