A Clear & Simple Guide to Accounting Workflow Management

We’ve talked with hundreds of accounting professionals over the years and gained an inside look at how the top CPA firms organize their client work. 

The difference between an unorganized accounting firm and one that runs like clockwork is that organized firms implement and continually improve their workflows. 

In this guide, we’ll explain the importance of accounting workflows, offer examples and an accounting workflow management solution you can start using today, and share how to overcome challenges implementing workflows in your firm.

What Is an Accounting Workflow Anyway?

An accounting workflow is a structured approach for tracking client work and organizing projects, timelines, and assignments. With a clear workflow, you know which team members are working on various tasks, what they’ve completed, and what still needs to be done before the deadline. 

Workflows help eliminate the guesswork about the steps involved in a project so you can complete it more accurately and efficiently. They also allow you to standardize and streamline recurring tasks, reducing time spent on repetitive work. 

Another benefit of the detailed procedures within a workflow is that they can provide consistency no matter which team member is working on a given task. That helps minimize the risk of error and non-compliance with industry guidelines and quality standards.  

Examples of Workflow Management You Can Implement at Your Accounting Firm

Mastering a few key workflows can help ensure your client work gets completed efficiently at consistently high standards. Here are some common workflows successful accounting firms use. 
 

New Client Onboarding Workflow

A well-structured accounting client onboarding workflow can help improve client and team satisfaction. With it, you can set the right expectations from the get-go and have all the necessary information available to start on billable work immediately. 

Here are the standard steps included in this workflow: 

1. Have the client sign a contract.
2. Send a welcome email.
3. Gather basic contact information and business details.
4. Request access to the client’s accounting system.
5. Acquire access to their bank, credit card, and loan accounts.
6. Request access to inventory records.
7. Review invoices from the current period to identify any outstanding payments.
8. Review the tax returns from previous years.
9. Gather the most recent balance sheet, income statement, and cash flow statement.
10. Schedule regular client check-ins.

1040 Tax Return Workflow

Most accountants get swamped during tax season, but a standardized tax return workflow can give your staff much-needed breathing room during this busy time. 

These are the steps for a typical 1040 tax return workflow: 

1. Request basic tax and financial information from the previous year.
2. Send the Affordable Care Act (ACA) form to the client to complete.
3. Receive the completed ACA form.
4. Receive the requested tax and financial information.
5. Send the engagement letter to the client explaining the scope of work and their responsibilities.
6. Receive the signed engagement letter.
7. Enter client data into your tax preparation software.
8. Review the prepared tax return for accuracy and completeness.
9. Send the return to the client for review along with Form 8879.
10. Receive a completed Form 8879 authorizing the tax return’s e-filing.
11. Electronically file the client’s tax return.
12. Send an invoice to the client to receive payment for your tax preparation services. 

Weekly Payroll Processing Workflow

A payroll processing workflow can help you meet strict compliance requirements, ensuring your client’s employees are always paid accurately and on time. 

A standard payroll processing workflow looks like this: 

1. Receive employee timesheets for the pay period.
2. Enter client information into your payroll processing system.
3. Print paychecks or send direct deposits.
4. Send payroll reports to the client.
5. Send pay stubs to employees.

Team Collaboration Workflow

A large portion of client work relies on collaborating effectively as a team. The flow of information, documents, and files between team members directly impacts the efficiency and accuracy of client deliverables. 

A good team collaboration workflow should allow accountants to determine who is working on what, by what deadline, and the current status of each task/project to ensure that all client work is completed on time. 

Many firms will rely on using spreadsheets, sticky notes, or even memory to manage all this. However, they quickly find out that it doesn’t scale as they take on more clients and bring on additional employees. 

You’ll eventually need a more structured and organized solution. So, getting a good workflow software will be critical, but more on that below. 

Bonus: Jetpack Workflow offers a set of 32 accounting workflow templates you can download for free. Rather than creating common workflows from scratch, you’ll find templates for the projects above and many others in this unique package. They can help you streamline your workload and enhance the client experience through quicker and more efficient delivery. 
 

A Simple Solution to Improve How You Manage Workflows

Small firms may use simple to-do lists or spreadsheets detailing each subtask of a certain project to manage their workflows. 

While these are easy to create initially, they’re not scalable and can become convoluted and confusing as you grow your client base, bring in new employees, and expand your services. 

That’s why growing firms often need the additional functionality and greater visibility offered by an accounting workflow management solution like Jetpack Workflow. Our platform is the leading tool dedicated to accounting workflow management, providing busy firms the freedom and flexibility to grow. 

Jetpack Workflow helps firms organize procedures, track client work, and automate recurring tasks. You’ll know who will handle each task and can view upcoming work months in advance, helping your staff complete work efficiently and consistently to your quality standards.

With Jetpack Workflow, you can spend more time on billable work and less on repetitive administrative functions. Start your 14-day free trial today to see how easy it is to optimize your workflows and meet critical deadlines every time. 

How to Overcome Common Workflow Management Implementation Challenges

Bookkeeping and CPA firms have much to gain by switching from spreadsheets and clunky legacy software to a workflow management tool like Jetpack Workflow. However, implementing a new workflow management system can come with some roadblocks. 

Here are a few ways firms can face and overcome these obstacles to establish new, more accurate, and efficient workflows in their daily operations. 
 

Resistance to Change

Some members of your team may struggle to embrace this change. For example, long-tenured accountants might like things the way they are and not see a need to implement a new system for managing client work. 

Successful implementation hinges on buy-in from everyone on the team. If a few individuals stick to their old methods, managers won’t have greater visibility into what everyone is doing. That can cause inefficiency and risk tasks getting overlooked and deadlines missed. 

It’s best to introduce new workflow management systems gradually. Be clear about the benefits of switching and offer sufficient training and support for the platform. This way, staff members have time to become familiar with the tool, preventing frustration or delay in getting work done. 

And work with a provider that is intuitive to use and who can train your team as needed. Ahem, like Jetpack Workflow! 
 

Remote Work and Workflow Management

More firms are adopting a remote or hybrid work model, meaning their team isn’t always working under the same roof every day of the week. 

While this modern work approach helps accommodate the staff’s evolving needs, it can create challenges for productive communication and collaboration among the team. 

A cloud-based workflow management solution can help remedy these issues, giving all team members a unified view of what everyone in the firm is currently working on and the tasks ahead. These platforms give accountants the necessary resources and guidelines to complete client work no matter where they are. 
 

Security and Compliance

Accounting firms handle sensitive client information, such as tax and financial data, payment details, and employee records. 

To meet relevant data security regulations and prevent the risk of client data falling into the wrong hands, firms should ensure their workflow management tools utilize comprehensive data security practices and protocols. 

Any Review the Security discloses page of any tool you’re considering to understand the level of security and privacy offered. You can see Jetpack Workflow’s Security disclosures here.