Why are you thinking about getting a job in the financial services industry? Is it because it is a reliable and expanding industry? Because there are prospects for advancement and travel in other countries? Or perhaps it has something to do with the higher-than-average salary that accountants receive.
There is a multitude of compelling arguments in favour of pursuing a career as an accountant. This blog takes a look at some of the benefits and drawbacks of working as an accountant, as well as what it’s truly like to do the job.
Professionals have access to a diverse range of employment options within the realm of accounting, including positions such as auditors, accountants, accountant clerks, bookkeepers, managers, and financial controllers. Before deciding to pursue a degree in accounting, it is vital to carefully analyze the prerequisites of potential employment in the field. You can determine whether or not you want to pursue one of these occupations by learning the benefits and drawbacks of working in the accounting field.
What Does An Accountant Do?
A professional who is accountable for recording, categorizing, and evaluating a client’s or organization’s financial activities is known as an accountant. This can be done for either an individual or a business. This can entail responsibilities including reviewing financial data, estimating expenditures and revenues, filing tax returns, and generating financial statements.
Accountants have opportunities to work in a wide number of fields and can choose to specialize in areas such as public accounting, management accounting, government accounting, or internal auditing, amongst others. The precise responsibilities of an accountant might differ widely, based not only on their level of expertise but also on the sector in which they are employed.
Being an accountant comes with its fair share of perks, much like any other occupation out there. However, there are drawbacks to this as well. From our perspective, the benefits of pursuing a career as an accountant well exceed the potential drawbacks of such a path. However, if you’re considering a career as an accountant, it’s crucial to look beyond any misconceptions or falsehoods you might have heard about the profession and think about both sides of the coin before you begin your professional life.
Pros Of Being An Accountant
There are several potential benefits to pursuing a career as an accountant:
1. Job Security:
One of the potential benefits of choosing a profession as an accountant is the opportunity for increased job stability. According to projections made by the Bureau of Labor Statistics, the number of jobs available for accountants and auditors will rise by 4% between the years 2019 and 2029. This growth is likely to contribute to the continued expansion of the accounting profession in the years to come.
This growth can be attributed, in part, to the ever-increasing complexity of the financial system and the growing demand for qualified individuals to successfully traverse it. In addition, companies place a high premium on the abilities and information that accountants learn over their careers, which further increases the likelihood that they will be in demand in the job market.
2. High Earning Potential:
Another possible advantage of pursuing a profession in accounting is the possibility of achieving great levels of financial success. In May 2020, the Bureau of Labor Statistics reported that the median annual wage for accountants and auditors was $71,550.
However, accountants with advanced degrees and certifications, as well as those with extensive experience and competence in specialized fields such as tax accounting or forensic accounting, may be able to earn higher incomes than their counterparts who do not possess these qualifications.
A large number of businesses and organizations that employ accountants also provide their employees with bonuses and other types of pay, which can further improve the accountant’s earning potential. It is important to keep in mind that an accountant’s earning potential can vary depending on a variety of factors, such as their amount of schooling, experience, location, and the industry in which they work.
3. Variety Of Career Paths:
Another potential advantage of pursuing a career in accounting is the several different avenues of professional development that are open to you. Accountants have opportunities for employment in a wide range of sectors, including public accounting, private industry, government, and not-for-profit organizations.
Accountants can specialize in areas such as tax accounting, forensic accounting, financial planning, or management accounting within these businesses. Other disciplines include management accounting. This affords the individual a great deal of leeway and the chance to carve out a specialization that is congruent with their professional aspirations and areas of professional interest.
In addition, many people who work in accounting choose to further their education by earning advanced degrees or professional certifications like the Certified Public Accountant (CPA) or Certified Management Accountant (CMA) designations, both of which can lead to expanded opportunities in the accounting field.
4. Opportunities For Advancement:
The possibility of climbing the corporate ladder is another advantage associated with a profession in accounting. Accountants who perform well in their roles and demonstrate strong leadership skills may have the opportunity to move into management positions within their organizations.
This opportunity is available to accountants who demonstrate both strong leadership skills and strong performance in their roles. For instance, an accountant who has worked in the field for several years may receive a promotion to the position of supervisor or manager.
In this role, the individual would be accountable for managing a group of accountants and supervising the accounting processes carried out by the organization. A master’s degree in business administration (MBA), which can further boost a person’s possibilities for growth in their career, is one of the advanced degrees that some accountants may choose to pursue.
5. Professional Development:
Another possible advantage of a job in accounting is the opportunity for further professional development. Accountants may keep abreast of the most recent advancements in their area by taking advantage of the many possibilities for ongoing training and professional development that are provided by a wide variety of accounting businesses and organizations.
For instance, an accountant might enrol in continuing education classes to become more knowledgeable about new accounting software or regulations or to earn additional certifications such as the Certified Public Accountant (CPA) or Certified Management Accountant (CMA) designations.
Continuing education is a requirement for maintaining one’s certification. Accountants can increase their chances of career growth and better their chances of remaining competitive in the job market by engaging in professional development activities.
Drawbacks Of Being An Accountant
There are a few potential drawbacks to pursuing a career as an accountant:
1. Long Hours:
The possibility of working long hours is a deterrent for some people who are considering becoming accountants as a profession. It is not uncommon for accountants, particularly those who work in public accounting, to be forced to put in long hours, particularly during particularly hectic times of the year such as tax season.
Accountants in public practice typically put in more than 40 hours of work each week, and they may also be needed to put in extra time on weekends and holidays.
Those who, outside of work, are responsible for families or other obligations may find this to be an exceptionally tough situation. However, it is important to keep in mind that the quantity of mandatory overtime labour for accountants might change based on the company for which they work and the sector in which they are employed.
2. Stressful Work Environment:
Another potential disadvantage of pursuing a profession in accounting is the possibility of working in an extremely stressful workplace.
In addition to the stress that can be caused by working with complex financial information and meeting deadlines, accountants may also experience pressure to produce results that are accurate and reliable. In certain circumstances, errors can result in severe repercussions for a company, such as monetary losses or legal issues that need to be resolved.
The work of an accountant can also be very detail-oriented and require a high level of focus, both of which can be mentally draining for the person doing the work. Accountants need to be able to deal with stress and discover constructive strategies to manage it in their lives.
3. Limited Opportunities For Creativity:
When compared to other types of occupations, the work of an accountant may appear to be more regimented and offer fewer opportunities for creative expression to some individuals.
The discipline of accounting is predicated on a set of predetermined principles and processes, and it is expected accountants that will adhere to these standards in their job. The day-to-day work of an accountant may involve more conventional activities such as recording and categorizing financial transactions; yet, there is some room for creativity in areas such as financial planning and analysis.
Those who are interested in a line of work that encourages more originality and offers greater leeway in one’s choices may choose to investigate additional opportunities.
4. Required Education And Certifications:
The need for schooling and certificates is one more thing that could work against a person who wants to pursue a career in accounting. To work as an accountant, most people need to have a bachelor’s degree in accounting or a discipline that is closely linked to it.
More qualifications, such as the Certified Public Accountant (CPA) or Certified Management Accountant (CMA) designations, may be necessary for certain roles. Acquiring these certificates may include taking additional classes and passing additional examinations.
Acquiring these certificates may entail a large expenditure of both time and money on top of being a time-consuming process in its own right. Those who are pursuing a career in accounting should be aware of the educational and certification requirements, as well as be prepared to fulfil them, to maximize their chances of success in the field.
5. Competition For Job Opportunities:
The intense rivalry for available positions is another possible disadvantage of pursuing a career in accounting. The field of accounting can be quite competitive, particularly for entry-level positions at the most prestigious organizations.
Those who are unsuccessful in obtaining employment at a sizable accounting firm can want to investigate various other career options or look for positions in more compact businesses or organizations. It is important to keep in mind that the level of competition for accounting jobs might differ significantly based on the particular sector and area in which one is looking for work.
Those who are willing to migrate to regions of the country that have a higher demand for accountants may have an advantage when it comes to seeking work in those regions.
Conclusion
In conclusion, there are many compelling reasons to pursue a career as an accountant, such as the chance for professional growth and promotion, the high earning potential, the numerous employment opportunities, and the job stability.
Before making a selection, it is essential to give careful consideration to the potential negatives of the career, such as the requirement to work long hours and the pressure to achieve strict deadlines. Researching the exact needs and credentials for the type of accounting job that you are interested in, as well as determining whether or not you are prepared to satisfy those requirements, is another vital step to take before applying for an accounting position.
In general, a career as an accountant can be satisfying and lucrative, but before deciding to pursue this path, one should ensure that they have a thorough understanding of the job’s requirements and responsibilities.
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