We are already a month into the New Year, 2018. As with any profession, this year will be an eventful one because of the new trends expected to become popular that will affect accountants from insurance accountant to technology that will dominate the profession.
Accounting software that is cloud-based is currently employed by nearly 30 per cent of small businesses while majority of the accounting firms are still using hosted server or their programs still depend on internal server. It is expected that each year accountants will be geared toward using a model that is cloud-based SAAS or software as a service. A big change is expected in 2018 because an increasing number of small businesses will be using cloud and leading software companies specializing in tax programs are expected to launch to the public cloud-based software that is fully functional.
Tax planning will dominate because of the new tax law that was recently implemented. The new law is more complicated thus businesses will consider tax planning for the coming years. It is not sure how long this new provisions will be implemented because it is still dependent with the coming elections in 2018 as well as 2020 elections. There is a chance that it might change.
In terms of using AI or artificial intelligence as well as automation, the profession is only starting to scratch the surface. In the previous year, minor AI and automation is employed in book keeping and tax programs are also utilizing them. There is more to come as the technology is expected to increase efficiency and offer analytical data that will aid practitioners and their clients in improving the decisions regarding their businesses. Smarter programs are expected in 2018 that will be incorporated with huge payroll companies and a number of brokerage houses to make each tax return an automated task.
There is an expected decrease in compilations and reviews because of the increase in demand for real time accounting that is cloud based. Accountants and their clients are now relying on real time data to make more efficient decisions. Audits, which are the reason many get an insurance accountant, are expected to be rendered unnecessary in the next few years because of real time technology.