Employment opportunities for CPAs and accountants are expected to grow by 22% from 2008-2018. The projected 279,400 new jobs represents a faster than average growth for all occupations.
Job growth will be driven by:
- an increased number of businesses during a hoped-for economic expansion
- changing financial laws or corporate governance regulations, and
- increased accountability for protecting an organization’s stakeholders.
To focus increased scrutiny on corporate finances and accounting procedures, more CPA oversight is needed. . CPAs who are management accountants and internal auditors are needed:
- to uncover and eliminate fraud before audits and
- to make sure that critical processes and procedures are documented completely and accurately.
More CPAs who are government accountants are needed to make government agencies more efficient and accountable.
Consulting
While accounting will be a very fast growing sector at 22% from 2008-2018, the growth in jobs for CPAs is expected to be the sector’s fastest growing niche.
Because the Sarbanes-Oxley (SOX) Act prohibits auditing companies from providing services such as consulting and management advice to their clients, it is expected that there will be job growth in accounting companies which provide consulting and other non-auditing advice to their clients.
Economic Expansion
Very strong growth (22%) is forecasted in the number of accountants and auditor jobs (279,400 new jobs) expected from 2008-2018. Within that group, CPAs should have the best prospects for employment with an expected growth rate faster than that for accountants. This is expected because:
IF the economy expands, the number of businesses will increase. New jobs will be created in accounting to set up the books, prepare taxes, and provide management advice. As these new businesses grow, the quantity and complexity of financial information reviewed by accountants and auditors on the costs, expenditures, taxes and corporate internal controls will increase as well.
As the globalization of business accelerates, there will be an increased demand for accounting expertise and services regarding international trade and accounting rules as well as international mergers and acquisitions.
SEC
Since 2002, funding for the Securities and Exchange Commission (SEC) has nearly doubled, resulting in many more jobs for CPAs.
In Washington, D.C., the SEC hires CPAs who can censure or bar from practice stock brokers, advisors, or dealers through the
- Division of Corporation Finance,
- Division of Enforcement,
- Office of the Chief Accountant.
In regional offices from Boston to LA, the SEC hires CPAs to examine financial statements in public filings, resolve controversial accounting issues, and in rule writing:
- Division of Trading and Markets,
- Division of Investment Management
- Office of Compliance, Inspections and Examinations.
The SEC hires experienced CPAs with three to eight years of public accounting experience in the securities industry in the areas of:
- audit work involving SEC financial reporting
- complex audits of multi-national corporations, or
- mergers and acquisitions.
Typically, new hires enter at the mid- and senior staff accountant positions in the SK-13 to 17 levels, with grade being based on graduate education and amount of relevant work experience. (http://www.sec.gov/jobs/jobs_accountants.shtml)
Sarbanes-Oxley Compliance
While accounting will be a very fast growing sector at 22% from 2008-2018, the growth in jobs for CPAs is expected to be the sector’s fastest growing niche.
Prior to 2002, a multitude of corporate accounting scandals (e.g., Enron, Tyco International, Adelphia, Peregrine Systems and WorldCom) cost investors billions of dollars.
When the Sarbanes-Oxley Act passed in 2002, a new layer of accounting oversight was created to thwart the tide of corporate financial malfeasance.
The act established new or enhanced standards for all US public company boards, management, and for public accounting firms. By creating a new public agency, the act created a number of jobs for accounting overseers, regulators, and inspectors.
Further, the Securities and Exchange Commission (SEC) implemented the adoption of dozens of new rules to comply with the Sarbanes-Oxley Act.
Preventing Accounting Scandals
Very strong growth (22%) in the number of accountants and auditor jobs (279,400 new jobs) is expected from 2008-2018. Within that group, CPAs should have the best prospects for employment with an expected growth rate faster than that for accountants. This is expected because:
Because of financial scandals, investors will be demanding increased accountability for protecting an organization’s stakeholders. The need for these “accounting watchdogs” will spur job growth in the accounting sector.
Public Company Accounting Oversight Board
While accounting will be a very fast growing sector at 22% from 2008-2018, the growth in jobs for CPAs is expected to be the sector’s fastest growing niche.
Passage of the Sarbanes-Oxley Act created the Public Company Accounting Oversight Board (PCAOB).
PCAOB will expand to hire more accountants and CPAs to provide independent oversight of public accounting firms which audit their corporate clients.
The central oversight board will register auditors as well as setting up the procedural framework for compliance audits, inspections and policing conduct and quality control, and enforcing compliance with specific elements of Sarbanes-Oxley Act (SOX
More Laws = More Jobs
Congress has never been at a loss for words…or legislation.
As more corporations cross the legal boundaries, more laws will be written to keep others from erring. Legislation, in this case, is like nail the barn door shut after the horse got out: yes, it keeps the others inside but you have to capture the one that got out!
Changes in laws regarding taxes, financial reporting standards, business investments, mergers and other financial matters will lead to an increased need for CPAs, accountants and auditors to police the situation.
Very strong growth (22%) is forecast in the number of accounting jobs expected from 2008-2018. Within that group, CPAs have an expected growth rate faster than that for accountants; a growing niche is enforcing new laws which deal with financial compliance.
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