“Should I become an accountant?” It’s a question many aspiring professionals ask themselves. I’ve created a list of pros and cons of becoming an accountant to help you find the answer. The state of the accounting profession is complex, blending an increase in demand for the accounting skillset combined with a deepening talent shortage. Add in the impacts of offshoring and the influence of AI, and there are many pros and cons of becoming an accountant to consider.

The Pros of Becoming an Accountant

Let’s start with the positives.

Here are some of the key advantages of pursuing a career in accounting:

Stable Career Outlook: The demand for accountants remains strong across industries, providing job stability and long-term career growth. In fact, the BLS estimates that job openings for accountants and auditors are projected to grow by 6% from 2021 to 2031.

Diverse Career Paths: Accounting offers a wide range of career paths, including auditing, tax accounting, financial analysis, and managerial accounting. This means you can tailor your career to your interests and strengths.

Competitive Salary Potential. Accountants enjoy strong salaries and benefits, with opportunities for advancement and higher earning potential with experience and professional certifications. According to Salary.com, the average entry level staff accountant salary in the U.S. is $61,901 as of January 2024. The average Senior Accountant salary is $89,390. Manager and above can make well into the 6 figures.

Transferable Skills. Accounting provides valuable skills that are transferable across industries, including financial analysis, critical thinking, and attention to detail, enhancing your marketability. Every company needs accountants. Plus, individuals often need accountants. The settings in which you can practice accounting are varied and diverse.  

Opportunity for Advancement. With dedication and hard work, accountants can advance to senior-level positions, such as controller, CFO, or partner in an accounting firm, offering increased responsibility and leadership opportunities.

The Cons of Becoming an Accountant

While there are many benefits to a career in accounting, it’s essential to consider the potential challenges as well. Here are some of the cons to keep in mind:

Long Hours During Peak Seasons. Accountants often experience long hours during peak seasons, such as tax season or month-end and year-end close. This can lead to work-life balance challenges and increased stress. Public accounting can be particularly unforgiving, with 80 to 100-hour weeks not uncommon.

Technical and Regulatory Complexity. Accounting involves navigating complex technical and regulatory requirements, including changes in tax laws and accounting standards. This can place a high level of responsibility on your shoulders for errors or failures to comply. The stakes can rise as you advance, since a CFO or Controller may have the ultimate financial responsibility for an organization.

High Educational Requirements. Becoming a certified public accountant (CPA) requires meeting rigorous educational and experience requirements, which can be time-consuming and costly.

Potential for Monotonous Work. Some accounting roles may involve repetitive tasks, such as data entry or reconciliations, monthly preparation and delivery of financial statements, and regular accounts receivable or accounts payable duties. These can become monotonous, leading to job dissatisfaction for some individuals. People who thrive on a routine cadence and regular, predictable tasks will thrive in accounting. Those seeking something less predictable may prefer roles involved in project-type work (M&A, strategic finance, ad-hoc financial analysis).

Trends Toward Off-Shoring and Automation. More companies, in an effort to reduce costs, have employed offshore accounting resources and automation. This has reduced the availability of entry level roles, which tend to focus on transactional tasks. This has also led to a higher number of errors in accounting, requiring more leg work by onshore accountants to review and correct these errors.

How the Accountant Shortage Impacts the Pros and Cons of Becoming an Accountant

In recent years, the United States has experienced a shortage of skilled accountants and certified public accountants (CPAs). The American Institute of Certified Public Accountants (AICPA) estimates that approximately 75% of CPAs reached retirement age by 2020. Because of a decline in enrolled students, candidates sitting for the CPA have declined 33% from 48,004 first-time candidates in 2016 to 32,188 in 2021 (AICPA).

Here’s how the shortage is impacting the accounting industry:

Increased Openings for Talent. The shortage of accountants and CPAs has led to increased job openings, particularly those with a CPA and/or public accounting experience. Job security for anyone with a CPA is excellent.

An Ongoing War for Talent. Employers are facing challenges in attracting and retaining top accounting talent, leading to intensified recruitment efforts, high salary offers, and enhanced benefits. This reached a peak in 2022, and while it has slowed, the outlook remains the same. Employers will continue to fight over a shrinking pool of qualified accountants. This means continued upward potential for salary and benefits.

Rising Importance of Professional Certifications. With the demand for skilled accountants on the rise, professional certifications such as the CPA credential have become increasingly valuable. Those with a CPA can gain a competitive edge in the job market and opportunities for career advancement.

Focus on Workforce Development. To address the accountant and CPA shortage, industry organizations, educational institutions, and employers are investing in workforce development initiatives. These include scholarship programs, mentoring opportunities, and career advancement pathways. Many in the industry are seeking solutions to combat the barriers to entry in the profession. Such as poor profession reputation, the 150-hour requirement to obtaining the CPA, a relative disparity in compensation compared to other professions, and high education costs.

Emphasis on Technology and Innovation. The accountant and CPA shortage has accelerated the adoption of technology and innovation in the accounting profession, leading to increased automation, data analytics, and the integration of artificial intelligence into accounting processes.

The Impact of AI on the Accounting Profession

Artificial intelligence (AI) has the potential to dramatically evolve the accounting profession, presenting both opportunities and challenges:

Automation of Routine Tasks. AI technology may automate routine accounting tasks such as data entry, reconciliation, and report generation, increasing efficiency and accuracy while reducing the need for manual intervention.

Enhanced Data Analysis: AI algorithms analyze large datasets quickly and accurately, providing valuable insights for decision-making and strategic planning.

Shift in Job Responsibilities. As AI technology handles routine tasks, accountants can focus on higher-value activities such as financial analysis, forecasting, and strategic advisory services, adding greater value to their organizations.

Increased Demand for Tech-Savvy Professionals. The rise of AI in accounting has created a demand for accountants with strong technical skills, including proficiency in data analytics, programming, and AI technologies.

Adaptation and Upskilling. To remain relevant, accountants must adapt to new technologies and upskill in areas such as data analysis, software implementation, and AI integration. This may mean learning advanced skills such as SQL, Power BI, Tableau, and tools yet to be developed.

Now Make Your Own List of Pros and Cons to Becoming an Accountant!

Hopefully this overview gives you a place to start as you decide on your career path.

Despite the challenges in the profession, there are opportunities for aspiring accountants to thrive and make a great living.

Here are some tips for navigating the path forward:

Invest in Education and Professional Development. Pursue a bachelor’s degree in accounting or finance and consider obtaining relevant professional certifications such as the CPA to enhance your career prospects.

Gain Practical Experience. Seek internships or entry-level positions to gain practical experience in the accounting field. While public accounting is a challenging path with a lot of hours and hard work, it is one that can open a lot of doors. Many can write their own ticket at a fairly young age.  

Stay Current and Adapt. Stay informed about changes in accounting regulations, technology trends, and industry developments, and be willing to adapt and embrace new technologies and innovations to remain competitive in the evolving accounting landscape.

Network and Build Relationships. Network with accounting professionals, industry organizations, and recruiters. This will expand your professional network, provide insights into career opportunities, and give you access to mentorship and support resources. While work from home has become popular, don’t make the mistake of sitting on the sidelines in the early years of your career. Get out there, get in person interaction, deepen your interpersonal skills, and grow your network. It will pay off in many ways throughout your career.

Pursue Specialization and Niche Opportunities. Consider specializing in niche areas of accounting, such as tax, forensic accounting, or sustainability reporting. This will differentiate you and capitalize on emerging trends and opportunities in the profession.

Conclusion:

As you consider the pros and cons of becoming an accountant, it’s essential to weigh the potential benefits and challenges. By investing in education, gaining experience, staying current, and building relationships, you can position yourself for success.

If you have any questions or need further guidance, feel free to reach out to me or ask a question. I’m here to help you navigate your career journey and achieve your professional goals as a financial professional.