5 Ways Technology Has Transformed Accounting

It is a well-known fact that technology has revolutionized every aspect of our lives, both personally and professionally, and the accounting industry is no exception. Dramatic transformations have taken place in accounting in recent years because of developments in technology, and a profession that was once solely dependent on pen and paper and mental arithmetic has now gone completely paper-free.

There have been developments not just in how accounting is done, but also in the qualifications that exist around accounting, and deeper insights can be gained about financial situations and solutions. Unlike in previous times, accountants can now focus their efforts on bigger realms of analysis and the identification of fraudulent activity, as they can now spend less time on administration and manual calculations.

Cloud-Based Systems

Cloud computing has been a great contribution to technology that all aspects of the industry have benefited from, as it allows for the remote running of applications online instead of a personal computer or private server.

It is no surprise that most people in the accounting industry have developed this practice, as it allows for a safer way to store important and private information. Accountants have a lot of data and information that they need access to, and by using cloud-based systems, all the necessary resources are available at the click of a button.

Cloud-based computing also allows for the use of comprehensive systems for more than one accountant or department to access at the same time. This allows for an organized and cohesive work environment that can boost productivity.

An easily accessible cloud-based system will significantly reduce the amount of paper and file keeping expenses that a company must allow for. Additionally, storing data on cloud-based networks improves data security and protection without considerable financial investments. 

Mobile Accounting

As we all know, we have become increasingly dependent on our mobile devices, and our daily productivity is improved because we can now do work while on the go. Small businesses from various industries have started to benefit from the technological developments that have come with the growth of mobile devices.

You can now find applications that are available on various mobile devices. These are aimed at accountants and can make day-to-day accounting tasks much easier and quicker to complete. These apps include features such as sending invoices, creating expense claims, and adding receipts. These are just some of the features that are now available for accountants when they are working on-the-go.

Mobile accounting has increased through developments made by cloud-based systems. It allows for work on the same project to be done on different devices, as changes are constantly saved. This also allows for more than one person to work on a project at any given time.

Through the development of mobile accounting, accountants can work wherever they are with their online offices being available anywhere and at any time of the day. 

Developments in Education

Technology has transformed how people learn and understand accountancy and there are now online accounting MBA courses available. This allows for the more in-depth understanding of what business accounting involves, as well as the proficiency of GAAP (Generally Accepted Accounting Principles).

This development of education surrounding accountancy has not just transformed how people learn, but also on what platform they use. Online degrees, such as the accounting MBA, allow learners to complete courses at their own speed and in a way that better fits around their schedule. 

New Tax Software

One of the main tasks that accountants are faced with is sorting out taxes for businesses or individuals, and through technological advancements in innovative tax software, this has significantly reduced errors as well as time spent on tax issues.

Tax is a serious concern for businesses, as errors can lead to tax penalties and damage to a company’s reputation. 

Social Media

It is essential for every industry to now have a strong internet presence and much of this is developed through social media. Many accountancy companies now advertise their services through social media, which can entice potential customers. Potential revenue can be sought through social media that would otherwise not be accessible using any other advertising method.

There have been major changes to the accountancy industry that have been motivated by technological advancements, and some of them have revolutionized how accountancy work is carried out all over the world. It has allowed for the educating of more hopeful accountants through online courses, as well as on-the-go access to important data by using mobile devices.

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