There are many different career paths to pursue in the field of accounting. Job opportunities can be found in public accounting, management accounting, government accounting and in the field of internal auditing. Someone interested in this profession will be able to seek employment in private industry and business, the public sector (such as the government) and in non-profit organizations. One of the advantages of the accounting field is there are many opportunities for advancement with experience, additional education and licensure.
Types of Jobs
Here is a basic description of the main accounting jobs. For many of these job titles there are different levels available. For example, there are Accounting Clerks I, II, III, and IV. Responsibilities and pay grades increase as one move up the ranks. Education and experience requirements increase, too.
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Bookkeeper – A bookkeeper’s duties vary according to the size of the organization they work for but generally the person maintains financial records. Duties can include posting transactions, reconciling bank statements, paying bills, creating profit and loss statements, generating invoices, paying employees, paying taxes, filling out tax forms like W-2s or 1099s and updating a trial balance. This entry-level job requires a high school diploma. It is necessary to learn accounting software.
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Accounting Clerks – In organizations there are many routine tasks to be done. Having an accountant do them can be costly and limits their time to plan, interpret and analyze financial information. Accounting clerks handle many of the day-to-day activities and need to have a basic understanding of accounting principles and information technology. The typical duties include preparing accounting statements, maintaining the general ledger, creating financial reports and performing the accounts payable and receivable tasks.
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Accountants –An entry-level accountant prepares the balance sheets, financial reports and profit and loss statements. This job is analytical in nature and requires the person to analyze trends, revenues and costs. The educational requirements for this job are usually a college degree. However, someone working in a job for an extended period of time could be promoted to this level. Someone with an associates degree could be well suited for this job if they have enough practical experience and specific expertise.
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Budget Analyst – A budget analyst develops and manages an organization’s financial plans. It is important to have qualitative skills and good people skills because negotiations are involved in this type of job.
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Financial Accountants – Financial accountants prepare financial statements, contribute input to management on decisions regarding mergers and acquisitions, human capital benefits and work on long-term planning projects for the organization. This is a good job for someone interested in both finance and accounting and has taken both types of courses in college.
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Forensic Accountants – A forensic accountant conducts an investigation into possible acts of fraud and white-collar crime. These could involve securities fraud, contract disputes, laundering of monies, embezzlement and bankruptcy. Financial statements and records are scrutinized to determine if any criminal activity has occurred. The accountant uses their knowledge of finance and law to discover any irregularities. These types of jobs can typically be found in the government but businesses also seek to hire this type of accountant as a preventative measure.
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Trustee in Bankruptcy – The U.S. Department of Justice will appoint an accountant when a corporation files bankruptcy under Chapter 7, 12 and 13. The accountant works on behalf of the unsecured creditors. If there are any proceeds of a corporate liquidation these creditors or stockholders can receive some of the proceeds.
Other jobs for accountants are cost estimators, financial analysts, loan officers, personal financial advisors, tax examiners, tax collectors and revenue agents. Anyone working in the accounting profession will be working under generally accepted accounting principles (GAAP). These standards are created by the Federal Accounting Standards Advisory Board (FASAB) and set the accounting standards for the federal level. The Governmental Accounting Standards Board (GASB) sets the standards for the state and local levels.
Education Makes a Difference
Like in most professions the more education 1 earns the better the job 1 can land. This is true for accounting. Here is a breakdown of degrees and the types of jobs 1 can expect to apply for. ¬Don’t forget there will be experience and certification requirement so education isn’t the only factor when applying for a job.
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High school diploma – With a high school diploma you can get an entry-level jobs in the field of accounting. For instance you can be hired as a bookkeeper, an accounting clerk, an accounting assistant, an accounts payable, or accounts receivable clerk.
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Associates degree – With an associates degree from a junior college you can get an entry level job or junior level job in accounting. Some potential jobs you can get would be a full-charge bookkeeper, an accounting clerk and a junior accountant.
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Bachelors degree – With a bachelors degree in accounting can get you a job as an accountant, a senior accountant, or a management position. Many accounting jobs can be had with a bachelor’s job but the higher you go up the ranks the more experience you will need.
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Masters degree – With a Master of Accountancy (MACC) or a Master’s of Business Administration (MBA) with a concentration in accounting you can become a Certified Public Accountant (CPA), get a management job, a senior management job, or teach at the junior college level. There is also the degree Master of Science in Taxation (MST), which is an advanced degree for those specializing in taxes.
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Doctorate degree – One typically gets a doctorate or PhD in accounting if they want to teach at the undergraduate or graduate level. They can get accounting jobs at all levels, too.
Tax Jobs
Many accounting professionals work for businesses that fill out tax forms and submit them to the Internal Revenue Service (IRS) on behalf of their clients. There have been some changes for tax preparers. Beginning in 2011, all tax preparers were required to apply for a preparer tax-identification number (PTIN) from the Internal Revenue Service (IRS). The PTIN needs to be renewed each year so the tax preparer can be recognized by the IRS. A fee must be paid to apply for the PTIN and an annual fee is required to renew it.
Some tax preparers are required to adhere to competency and ethics standards set by the IRS in order to file tax returns on behalf of their clients. They must take and pass a competency test after which they must meet annual continuing education requirements. There are exemptions.
If you are a CPA, a lawyer, or an IRS Enrolled Agent (EA) you are exempt from the test and the continuing education courses as long as you are in good standing with your licensing agency. Professional membership charters for these professions already require basic competencies and continuing education for members.
Also exempt are tax preparers who are supervised by a CPA, a lawyer, or an EA. You are exempt if you do not sign tax forms or if you do not complete Form 1040. However, all tax preparers still need to apply for a PTIN and renew it on an annual basis. All others must take the test and continuing education courses. The reason for these new requirements is the IRS wants to eliminate incompetent tax preparers and those with a history of abusing tax laws.
