Accounting Opportunities: Personal CFO

Some individuals and families need daily, hands on financial management... kind of a personal CFO of sorts. While most of these people are of the high asset, high activity sort, some are merely going through some sort of crisis, are seniors without a support system in place, or a variety of other issues. For whatever reason, they need a butler who specializes in financial matters.

At its very simplest level, you might be asked to pay bills for a client. To do this efficiently, I require access to their online banking account so that I can quickly and accurately download the transactions into Quicken.

Once downloaded into Quicken (or similar software), you can quickly record the income/expense account for each deposit and withdrawal. Alternatively, the software can be set-up to automatically do this for you under most circumstances. Also, the software will automatically reconcile the account after each banking connection.

With the recording of all transactions, you can now easily prepare an income statement and general ledger (so to speak) for the client, all automatically from the software. The time required to download the transactions, assign the correct income or expense categories to each, and prepare an income statement should take about 30 minutes, maybe less.

Personal bill paying is not a huge money maker, but still profitable. More importantly, it can be an entre into other parts of the client’s business which can really help build your practice.

The logistics involved in paying bills is a bit more involved, but not complex. I will share this with you in my next writing. Other topics will include client reporting, document retention, and gateway conversations with the client for additional, more profitable work.

Irvin Jaffe is an MBA, CPA in private practice for decades dealing exclusively with the daily management of high asset/high activity families and individuals. He routinely deals with both personal and business related issues.

I Still Haven't Filed My Tax Return...Now What?

Last week we talked about 3 reasons you should have filed your tax return on time. Now that you know why not to repeat this next year, there's still that return sitting on your desk that hasn't been filed. How are you going to get your tax return filed now that it's past the deadline?

Are their special steps to take? Is there anything else you need to know that would apply specifically to late returns?

Thankfully, for the most part...no. Last week I linked to a form you can fill out here in Canada to ask to have your late fees and penalties waived.

The one big exception to this is if you are trying to catch up on returns that are from previous years. Up until November 30, 2013, you can NETFILE your 2012 tax return. You cannot, however, file your 2011 or earlier return this way. That means if you're really behind on your tax returns, you're going to have to file them the old fashioned way. 

If that doesn't apply to you, and you just need some tips on filing your return, here are a few links. 

Tax Thursdays: 5 Steps to Getting Your Taxes Together

Simple Strategies for Last-Minute Tax Filers

Tax Thursday: 9 Posts to Prepare You For Tax Season

As always, good luck. I know taxes can be stressful, so if you need any advice, please contact me.

Accounting: A Degree You Can Count On

As many students or job seekers search for fulfilling career paths, perhaps now is the time to seize an opportunity in accounting. According to the U.S. Bureau of Labor Statistics, the employment of accountants and auditors is expected to grow 16 percent by 2020. This outpaces the projected 14 percent growth rate for jobs in general, and could mean over 190,000 new accounting jobs through 2020.

The profession is expected to grow for a number of reasons: • An expanding economy means more businesses, and more businesses inevitably mean more accountants • Certified Public Accountants (CPAs) will be in demand as companies face increased financial scrutiny, and the globalized economy will require accountants capable of navigating complex international accounting rules • Lastly, many “baby boomer” CPAs will be retiring within the next ten years, creating job openings for today’s young professionals prepared to fill the void

What you can expect as an accountant With the advent and growing adoption of technology such as cloud computing and advanced mobile applications, the responsibilities of accountants are rapidly changing. Cumbersome data entry and compilation is becoming more of an automated process with the help of advanced software like Oracle/Peoplesoft, SAP and Epicor, thereby freeing up accountants at all levels and in all industries to take on more consulting, advisory and supervisory roles for their companies and clients.

While traditional accounting principles still apply, the integration of technology has created exciting accounting specializations within the field. For instance: • Green accounting: looks at operations costs as they relate to the environment • Forensic accounting: analyzes numbers involved in disputes or litigation, often for issues like data loss or theft • Healthcare IT auditing: evaluates the numbers associated with healthcare and information technology systems

Who is hiring accountants The job market for accounting is increasing. Job opportunities are especially strong for tax professionals, financial analysts and compliance officers in manufacturing and food services.

An accounting degree is one you can count on, and it’s a field that is rapidly growing each year. Do you see your future career in accounting?

Barbara Davies is an adjunct instructor at DeVry University’s Keller Graduate School of Management. Prior to joining DeVry in 2002, she was an adjunct instructor at Upper Iowa University and an accountant at Deloitte Haskins & Sells (now Deloitte & Touche LLP). Davies holds a bachelor’s of science degree and a master’s degree in management with a specialization in accounting from the University of Wisconsin-Milwaukee.