Despite Slowdown, Accounting Salaries Rising
As many industries lose stability amid the economic crisis, the accounting profession is actually weathering the storm. That’s among the findings of a recent survey from the Institute of Management Accountants (IMA). The study shows that accounting salaries are on the rise and demand is growing for professionals with advanced certifications.
Executive search firm, A.E. Feldman, says that accounting firms are in growing demand to assist companies navigating the challenges and opportunities that the current financial environment creates. Accounting and finance executives also continue to be confronted by the increasing complexities of changing tax laws and regulations. As a result, A.E. Feldman says firms are showing strong interest in professionals who can help their companies reduce inefficiencies and enhance profitability. Demand for CPAs with expertise in forensic accounting services has also accelerated.
Accounting Salaries on the Rise
According to the IMA’s 20th Annual Salary Survey, the average salary and average total compensation of more than three thousand respondents held steady since last year, increasing 2.2% and 1.4% respectively. Moreover, despite the weak economy, the vast majority of those polled, 71%, reported salary increases – only 3% less than 2007.
The IMA survey also demonstrates the importance of professional certifications to accountants. Those who have earned the CMA, Certified Public Accountant (CPA), or both (CMA/CPA) enjoyed a far greater salary bump than their noncertified colleagues. The accountants holding the CMA, CPA or both polled by the IMA earned 30% higher in salary and 37% higher in total compensation than those without certifications. Accountants specifically holding the CMA designation earned 24% more in salary and 31% more in total compensation compared to noncertified professionals.
“While the economy has forced many corporations to eliminate positions in previously secure fields, the IMA Salary Survey demonstrates both the stability and the opportunity within the accounting profession,” said Jeff Thomson, IMA President and CEO. “Professionals and their employers are also realizing critical benefits from advanced certification, including higher skill levels and greater ethical cores within finance teams – these attributes being key to both economic recovery and long-term business sustainability.”
Fraud Boosting Demand for Forensic Accountants
Amid economic uncertainty, experts anticipate a rise in fraud. Occupational fraud cases in U.S. organizations are already estimated at $994 billion annually. Compounding the problem, the intense financial pressure of the economic crisis has led to an increase of fraud, according to a survey of fraud experts conducted by the Association of Certified Fraud Examiners (ACFE). As a result, forensic accountants are in growing demand to look behind the numbers and see what they really are.
Among the growing number of firms taking steps to address this need is Yeager & Boyd, LLC. According to the firm, “Two years in to this recession, economic pressures on employees are even greater and record deficits mean fewer people to accomplish more work, leading to the types of dishonest attitudes that rationalize occupational fraud. Preventative measures are more important than ever and Boyd Forensic Accounting and Investigation is growing rapidly.”
Meanwhile, Morrison, Brown, Argiz & Farra, LLP (MBAF), Florida’s largest independent public accounting firm, recently announced that two of its partners, Tami Clemenza-Wilson and Kashyap Bakhai, have been awarded the Certified in Financial Forensics Credential by the American Institute of Certified Public Accountants.
The CFF Credential is a certification that was approved by the AICPA Governing Council in May 2008. According to the AICPA, the designation was created in response to the rising demand for forensic accounting services. This demand is expected to continue as businesses increasingly seek out experts to help them with a broad range of issues such as economic damages, family law, fraud investigations and litigation.
“Today’s businesses’ need for forensic accounting only continues to grow,” said Tony Argiz, Managing Partner of MBAF. “Having two additional CPAs holding the CFF Credential further positions MBAF as the go-to firm to help organizations with their business and accounting challenges.”
Are you working in accounting or forensic services? If you want to grow your career or discuss your company’s talent needs, contact A.E. Feldman’s President, Mitch Feldman. Find out more about accounting jobs today.
