3 Things Holding Back the Accounting Industry w/Seth Fineberg

Podcast

Summary

Today’s guest, Seth Fineberg, a veteran in the accounting industry and founder of Accountants Forward, shares insights on how firm leaders can lead by example to move the profession forward. He discusses his career journey and current services, emphasizing the importance of instituting positive practices in the industry. Tune in to learn from Seth’s wealth of experience and expertise in shaping the future of accounting.

What you’ll learn

The listener will learn about the importance of firm leaders setting an example, addressing issues in the accounting profession, work-life balance, leadership, managing capacity, structuring business, pricing, diversity and inclusion, salary and compensation, transitioning to advisory services, communication, technology, and healthy debate for business growth.

Guest Bio

Seth Fineberg is a seasoned professional with over 30 years of experience in journalism and editorial roles within the accounting industry. Throughout his career, Seth has been a prominent figure in the accounting profession, having held key positions at prestigious publications such as Accounting Today and Accounting Web. His extensive background in accounting journalism has allowed him to witness and analyze the evolution of the profession over the years.

As the founder of Accountants Forward, Seth has taken on the mission of driving meaningful conversations and initiating positive changes within the accounting community. His dedication to addressing crucial issues facing the profession, such as work-life balance, diversity and inclusion, and fair compensation, reflects his deep commitment to fostering a more sustainable and progressive environment for accounting professionals.

Seth’s philosophy revolves around the idea of running accounting firms with emphasis on the importance of efficiency, value pricing, and strategic decision-making. He advocates for a shift towards higher-value services, automation, and technology integration to enhance the overall performance and profitability of accounting practices.

With a focus on initiating uncomfortable conversations and challenging the status quo, Seth encourages firm leaders to embrace change, prioritize their team’s well-being, and strive for continuous improvement. His belief in the power of communication, collaboration, and community engagement underscores his approach to driving positive transformation within the accounting profession.

Through his active presence on social media, participation in industry events, and thought-provoking newsletters, Seth aims to inspire accounting professionals to rethink traditional practices, adopt innovative strategies, and create a more inclusive and rewarding work environment for themselves and their teams

Detailed Synopsis

Prioritizing Work-Life Balance for Firm Leaders and Accounting Professionals

In the episode, Seth emphasized the critical importance of work-life balance for firm leaders and accounting professionals. He underscored the need for leaders to set a positive example by prioritizing work-life balance within their practices. 

Fineberg highlighted the common challenges faced by the profession, such as long hours during tax season, which can lead to burnout and have negative effects on mental and physical health.

While acknowledging the value of hard work and dedication, Fineberg stressed the necessity for firm leaders to prioritize their well-being and that of their team members. He called for a shift in mindset where work-life balance is not just a trendy term but a foundational aspect of professional life. 

By placing an emphasis on personal well-being and structuring practices to support a healthy balance, firm leaders can cultivate a more sustainable and fulfilling work environment.

Furthermore, Fineberg discussed the importance of leading by example and implementing changes within practices to promote work-life balance. 

He recommended strategies such as setting boundaries on work hours, streamlining workflows, and focusing on high-value services to reduce workload without compromising quality.

Overall, the episode highlighted work-life balance as a crucial factor in the success and well-being of firm leaders and accounting professionals. 

By prioritizing work-life balance, individuals can enhance their health and happiness while contributing to a more productive and sustainable work environment for the entire team.

Advancing Diversity and Inclusion in the Accounting Profession

Seth also emphasized the significance of advancing diversity and inclusion efforts in the accounting profession. He emphasized that these initiatives should extend beyond mere compliance and become a top priority for firms. 

Here are key takeaways from the episode that underscore the need for a deeper focus on diversity and inclusion:

1. Talent Attraction and Pipeline Development : Fineberg highlighted the importance of attracting diverse talent to the profession. He noted that firms should consider their outreach strategies, organizational culture, and representation of diversity to attract a broader pool of talent.
2. Representation and Visibility : Fineberg discussed the importance of diversity in leadership and staff to reflect the broader community. He acknowledged the historical lack of diversity in leadership roles within CPA firms and advocated for increased representation to foster an inclusive environment.
3. Overcoming Challenges : Fineberg acknowledged the challenges and risks associated with diversity and inclusion efforts. He encouraged firms to learn from mistakes, seek guidance, and take meaningful action to drive positive change.
4. Communication and Engagement : Fineberg stressed the need for open communication and engagement with employees on diversity and inclusion topics. He recommended creating a safe space for discussions, sharing experiences, and gathering feedback to enhance inclusivity initiatives.

The episode emphasized the critical need to move beyond surface-level diversity and inclusion efforts in the accounting profession. By prioritizing diversity and inclusion, firms can create a more equitable and welcoming environment, fostering a diverse and successful profession.

Addressing starting and mid-level salaries in the accounting field is crucial for attracting and retaining top talent. Seth highlighted the importance of salary considerations in the accounting profession. 

He noted that starting salaries for entry-level positions, such as Associate Audit and Assurance Services and Tax Associate, typically range from $49,000 to $52,750. Similarly, salaries for senior positions like Senior Associate in Audit 

Assurance Services and Senior Tax Associate were around $57,750 to $67,250.

Fineberg pointed out that these salaries are not competitive compared to other professional service fields, potentially leading to challenges in talent attraction and retention. 

To address this issue, firms should consider increasing starting and mid-level salaries to demonstrate value and provide a pathway for career growth and financial stability. By offering competitive salaries, firms can attract top talent and retain experienced professionals seeking higher compensation.

Moreover, Fineberg suggested that firms focus on delivering high-value services to clients to support higher salaries. By emphasizing quality and value in service delivery, firms can justify higher fees and, consequently, increase employee salaries. This approach aligns with the concept of value pricing and fixed fees, emphasizing quality over quantity.

Competitive salaries not only attract top talent but also retain experienced professionals, contributing to the growth and success of the accounting profession.

Timestamps

[00:03:27] The dark underbelly of accounting.

[00:06:11] Work-life balance in accounting.

[00:09:39] Recognizing signs of burnout.

[00:12:09] Capacity planning and margins.

[00:16:30] Maximizing firm efficiency.

[00:22:04] Diversity in the accounting profession.

[00:23:26] Starting and mid-level salaries.

[00:28:26] Salary Guide for Accounting Roles.

[00:31:30] The power of conversations.

[00:35:33] Networking at industry events.