What are the Pressing IssuesChallengingAccounting Today?

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What are the Pressing IssuesChallengingAccounting Today?

CFO Tech Outlook | Friday, December 03, 2021

Managing withholdings for employees in several locations has also become a significant challenge for payroll managers.

FREMONT, CA: Accounting departments that use technology can better respond to changes and problems, such as the supply chain and revenue disruptions. So, what are the most pressing issues confronting accountants today? Accounting teams continue to face challenges such as cash flow, attracting new personnel, reacting to new tax and regulatory changes, and adjusting to remote work.

Upskilling

As automation becomes more common, enhancing existing skills and experience to take advantage of technology's outputs will benefit both employees and the company. Upskilling and learning about cloud-based payroll and human resource information systems, enterprise resource planning (ERP) systems, data analytics, and financial modeling and forecasting should be prioritized. In addition to technical skills, the ability to work independently and in virtual teams, attention to detail, comfort with change, creativity, a drive to learn continuously, and written and vocal communication skills will all be in high demand. Continuing education and training offers the additional benefit of improving staff morale and retention. Companies with strong employee training ratings have 53 percent lower attrition rates than those with bad ratings.

Payroll Management

New payroll issues are on the horizon as a result of changing federal and state rules and regulations. Managing withholdings for employees in several locations has also become a significant challenge for payroll managers. State income tax administration has become more difficult because defining the principal workplace is intricate with remote work. Consider automating the payroll operations if one has not already. Payroll platforms that are cloud-based assist with the computation of earnings, deductions, corporate contributions, taxes, and paid time off and support for numerous jurisdictions in terms of taxes, forms, and direct deposit.

Artificial Intelligence (AI) and Automation

Although only about two percent of large companies have integrated machine learning or AI, roughly one-in-five say they aim to do so shortly. AI is being implemented to overcome labor shortages, automate labor-intensive operations, and provide more insightful data. As more transactional work is automated, accountants will need to gain new skills to apply their knowledge to information and data created by new technologies and play a larger part in business planning. Accounting automation is aided by cloud-based accounting software, budgeting, forecasting, data analytics, and visualization tools.

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