Accounting
Accounting Today
The main roll of accounting is to record the transactions of a business firm in the books of accounts like a journal or a ledger in a systamatic way .This information is useful for future reference or r required by internal users( labourers, managers, accountants) or external user( tax authorities, government, investors)
Accounting Careers
1. Tax Compliance and Consultant
2. Management Advisory Services
3. Audit Services
4. Forensic Accounting
5. Financial Consulting
6. Accountant
The main roll of accounting is to record the transactions of a business firm in the books of accounts like a journal or a ledger in a systamatic way .This information is useful for future reference or r required by internal users( labourers, managers, accountants) or external user( tax authorities, government, investors)
Accounting Careers
1. Tax Compliance and Consultant
2. Management Advisory Services
3. Audit Services
4. Forensic Accounting
5. Financial Consulting
6. Accountant
Mentor Interviews
With: Brett Johnson
Job: Corporate Accountant for Ripkin (3 minor league baseball teams)
When: October 12, 2010
With: Jared Imhoff
Job: Senior tax accountant at a medium sized pubic firm
When: October 12, 2010
With: Scott Alden Rampmeyer
Job: Accountant for long term Health care industry
When: October 12 2010
(The colors match for each person's answer respectively)
Marketplace
What are your projections for this type of work or industry? Is it stable, growing, declining?
Accounting is definitely not declining. A good description would be stable or growing. There are a lot of different types of accountants and therefore many options. With the economy changing and need for accountants it is definitely growing
The accounting industry is always growing, A stable job. Everyone needs an accountant
I work in the long term health care industry and a lot of its stability is tied to the on going healthcare debate in congress. Medicare is where my business generates the majority of its revenue and with it being constantly a major topic of debate, we are always very mindful of the issues. Not to say the long term health care field is in trouble by any means.
What are the key trends or issues? New developments? Key challenges?
I think that the current economic environment has definitely provided challenges. There are a lot of new regulations to become a certified accountant and that makes it hard for companies. Also the changes in interest rates add to the challenge. Managing in a graphically changing economic environment is a definitely a problem
The main challenge is obtaining the CPA license. It is strenuous and needed. There are 4 parts and you take it separately. You have 18 months to pass all the parts. In house seminar to keep up on your knowlege
As noted above, health care debate in congress is the biggest issue to follow. The new bill passed by the Obama administration isn’t doing our field any favors but it isn’t going to send up spiraling out of business.
What and where are the opportunities?
With the environment changing it could be looked at as a threat or an opportunity. The changes with the requirements to become an accountant makes it an opportunity because not as many people are willing to become an accountant
Public accountanting you have an opportunity to grow in the company and become a partner one day. 5-10 years there are a lot of people who go private or clients take you. Its a good start for business
There are many long term health companies around – just have to search them out. Though if I was coming out of school again, I’d probably avoid the field.
What are typical salaries in this type of job, entry-level to experienced? What are the opportunities for career growth?
The market plays a huge roll and obviously experience is definitely important. 50-60 K (with CPA) 35-45 K (with out CPA) 80-90 K (5 year experience and CPA exam) 100+ K (after 10 years) That is something that I looked at when I decided to become an accountant. You can always move up whether or not you are in a big or small firm. It is definitely a top profession for growth
Around 48-54 K (starting), 75-80 K (5 years). It takes years and experience and its not for everyone but for certain people, if you're good manager and you buy into the company and you own a certain amount of the company
With my company, entry level accountants start around $38k I believe with salaries growing with experience and advancement. The opportunities for growth however are limited and require patience for them to open up.
Entry Into Position
When and how did you get involved in this work?
Through college I became interested and really enjoyed it. I started with a company called Erikson and worked for 4.5 years. After that I took a job with the baseball company Ripkin and have been here for the past year and a half. The teams that I manage finances are in Aberdeen MD, Augusta GA, and Port Charlotte FL.
I was with my accountant teacher and she got me a few internships. The company that I work for now ended up buying the company that I was interning for. I started as a part time intern for 2 years and after that they offered me a full time job
I was a college kid that needed a job. I started back in September of 2004.
What was your training and background? Is this typical for people in your position and in similar positions?
I graduated from McDaniel College with degree in business and economics and a minor in accounting. Since then I completed my MBA and as we speak I am studying for the Maryland CPA exam just before thanksgiving. I think it is pretty common. There isn't too much other training besides school. Having different degrees or different experience in the field could be important also.
I had a few internships (3 restaurant, parts for company and Isaac and Isaac) When I was an intern I was doing similar stuff which gave me a lot of background. I have a Bachelors so far. Some people go in knowing they want to become a CPA so they get all their requirements before they graduate. It depends on the person.
Background was a Bachelor of Arts in Economics and Business Administration. It was my first job out of school. My job didn’t require a degree at my time of hiring, though it certainly helped. Since that time though they are leaning more towards hiring people with a degree.
How important are specific credentials for entry or success?
I think it would be pretty important to have your CPA exam. If I don't pass it will limit my growth. You can't be a lawyer until you pass the BAR exam. I can hold other jobs but I can't be qualified to be a legal accountant.
CPA exam and graduate school are important
Definitely get your bachelors but not necessarily need an agree in accounting. If you want to move up you are required to get your CPA and if you want to make partner probably need your Masters.
Not so much specific credentials but a college degree helps with entry and in my six years there it has definitely helped with my success within the company because my education allows me to comprehend concepts and ideas a bit quicker.
Job Specifics
What’s a typical day like for you or someone in a similar position?
Very repetitive (not day to day but month to month) Going for similar kind of things. Managing cash paying bills collecting receivables. Throughout the month gathering for a finance close. I don't do something every day but every month.Preparing financial statments
7.5 hour days. Work with the work that you may have each day. Sometimes work longer but I come in and get situated and start doing the work that I have. Basically a 9-5 shifts in the off season. If you go to a client (out of state) you may only have a limited time to finish so longer seasons. Tax seasons are pretty long days usually about 11-13 hour days
Its sort of the tale of two jobs, the month end process (first two weeks of the month with my company) is cranking our revenue reports and expense reports so the company knows how the they did. The 2nd half of the month is a lot of the behind the scenes reconciliations and account maintenance.
What do you like most about your work?
Back in college I realized I liked working with accounting and numbers. Being able to have a job that I enjoy is pretty rewarding.
People around me. Its a great company. I am close to the managers, partners and staff people. We hang out with people outside of work.
The most satisfying work for me is the analytical stuff. Analyzing trends, budget projections, and cost analysis stuff
What do you like least?
Being an accountant is a job where you are stuck in the office. You sit in front of your computer. You can't go out and see how your business works which is not as enjoyable and from time to time it can get old
Tax season and the hours. Very tedious and boring at some times. Clients can be difficult because their stuff is all messed up.
Data entry. Its mindless but part of the process.
What talents or skills do you think are the most crucial to success in this work?
Computers and quick learner - excel and different software. Being able to adapt to the changes in technology
Not great talents are really needed – just an understanding of basic accounting and the desire to learn and not make it a dead end job.
What attitudes or values are important?
I definitely think that credibility and honesty are important. As an account you have heavy access to certain information like salaries and expenses that aren't public knowledge so you need to keep that to yourself.
Try to have a good attitude because people feed off of each other. Go through ups and downs but keeping a good attitude is key.
Positive attitude, the understanding that you will have to put up with bull (goes for any job).
Who doesn’t do well in this type of work?
Someone that is unorganized or somebody that is not credible or dishonest.
Someone who is not very social would not do as well. You are with a client a lot so if you can't socialize its harder.
Really only those that don’t want to put the time in to learn the concepts.
How do you advance or get promoted in this type of work?
As you start to understand the basics of the business you get involved in decision making and analysis. Helping them use them, you have the ability to move up and become valuable to a company. You can make decisions in the future.
Showing the motivation, working hard, trying to jobs the best you can. They can tell when you are working hard
Recommendations
Would my background be appropriate for this type of work?
When you take your first couple of classes you will either like it or you won't. It makes sense or not. There are others where they think it makes sense. If it is something you like there are 2 ways to go. Public accounting where you are working in tax or audit. It gets you a lot of experience but a lot of hours. The second route is a little more difficult to find a job. Corporate Accountant where you are doing the accounting for that company. Its more difficult to find an entry level job
You have to take all the courses (eco and stat) and once you get to CPA you will need all of it. Accounting is so much business you need to know all of it.
What would you recommend I do if I want to go into this type of work?
To jump on the intern ship. Maybe before you go into sophomore year. Try and get experience.
Are there other jobs similar to yours that you would suggest I also consider?
Through the public accounting will give you more entry level positions. I also found that it seems like there are a lot of internships at both types of accounting jobs. I would definitely try an internship. It allows you to see what you want to do or not. It points you in a direction of where you want to go.
Can you recommend other people I can talk to, or other resources I can check out?
Each state has a board of public accountants where you can become an accountant. There are internships
Go to companies web sites that you are planning on working for.
Knowing what you do now, would you approach this career (or job) in the same way? If not, what would you do differently, and why?
Yeah I think you would. It goes back to the internships that I did throughout college. Some were short but you learn the day to day operations.
The one thing that I somewhat regret would be trying have more motivation in my classes. I pretty much had a job in my junior year so I started slacking off a little.
Job: Corporate Accountant for Ripkin (3 minor league baseball teams)
When: October 12, 2010
With: Jared Imhoff
Job: Senior tax accountant at a medium sized pubic firm
When: October 12, 2010
With: Scott Alden Rampmeyer
Job: Accountant for long term Health care industry
When: October 12 2010
(The colors match for each person's answer respectively)
Marketplace
What are your projections for this type of work or industry? Is it stable, growing, declining?
Accounting is definitely not declining. A good description would be stable or growing. There are a lot of different types of accountants and therefore many options. With the economy changing and need for accountants it is definitely growing
The accounting industry is always growing, A stable job. Everyone needs an accountant
I work in the long term health care industry and a lot of its stability is tied to the on going healthcare debate in congress. Medicare is where my business generates the majority of its revenue and with it being constantly a major topic of debate, we are always very mindful of the issues. Not to say the long term health care field is in trouble by any means.
What are the key trends or issues? New developments? Key challenges?
I think that the current economic environment has definitely provided challenges. There are a lot of new regulations to become a certified accountant and that makes it hard for companies. Also the changes in interest rates add to the challenge. Managing in a graphically changing economic environment is a definitely a problem
The main challenge is obtaining the CPA license. It is strenuous and needed. There are 4 parts and you take it separately. You have 18 months to pass all the parts. In house seminar to keep up on your knowlege
As noted above, health care debate in congress is the biggest issue to follow. The new bill passed by the Obama administration isn’t doing our field any favors but it isn’t going to send up spiraling out of business.
What and where are the opportunities?
With the environment changing it could be looked at as a threat or an opportunity. The changes with the requirements to become an accountant makes it an opportunity because not as many people are willing to become an accountant
Public accountanting you have an opportunity to grow in the company and become a partner one day. 5-10 years there are a lot of people who go private or clients take you. Its a good start for business
There are many long term health companies around – just have to search them out. Though if I was coming out of school again, I’d probably avoid the field.
What are typical salaries in this type of job, entry-level to experienced? What are the opportunities for career growth?
The market plays a huge roll and obviously experience is definitely important. 50-60 K (with CPA) 35-45 K (with out CPA) 80-90 K (5 year experience and CPA exam) 100+ K (after 10 years) That is something that I looked at when I decided to become an accountant. You can always move up whether or not you are in a big or small firm. It is definitely a top profession for growth
Around 48-54 K (starting), 75-80 K (5 years). It takes years and experience and its not for everyone but for certain people, if you're good manager and you buy into the company and you own a certain amount of the company
With my company, entry level accountants start around $38k I believe with salaries growing with experience and advancement. The opportunities for growth however are limited and require patience for them to open up.
Entry Into Position
When and how did you get involved in this work?
Through college I became interested and really enjoyed it. I started with a company called Erikson and worked for 4.5 years. After that I took a job with the baseball company Ripkin and have been here for the past year and a half. The teams that I manage finances are in Aberdeen MD, Augusta GA, and Port Charlotte FL.
I was with my accountant teacher and she got me a few internships. The company that I work for now ended up buying the company that I was interning for. I started as a part time intern for 2 years and after that they offered me a full time job
I was a college kid that needed a job. I started back in September of 2004.
What was your training and background? Is this typical for people in your position and in similar positions?
I graduated from McDaniel College with degree in business and economics and a minor in accounting. Since then I completed my MBA and as we speak I am studying for the Maryland CPA exam just before thanksgiving. I think it is pretty common. There isn't too much other training besides school. Having different degrees or different experience in the field could be important also.
I had a few internships (3 restaurant, parts for company and Isaac and Isaac) When I was an intern I was doing similar stuff which gave me a lot of background. I have a Bachelors so far. Some people go in knowing they want to become a CPA so they get all their requirements before they graduate. It depends on the person.
Background was a Bachelor of Arts in Economics and Business Administration. It was my first job out of school. My job didn’t require a degree at my time of hiring, though it certainly helped. Since that time though they are leaning more towards hiring people with a degree.
How important are specific credentials for entry or success?
I think it would be pretty important to have your CPA exam. If I don't pass it will limit my growth. You can't be a lawyer until you pass the BAR exam. I can hold other jobs but I can't be qualified to be a legal accountant.
CPA exam and graduate school are important
Definitely get your bachelors but not necessarily need an agree in accounting. If you want to move up you are required to get your CPA and if you want to make partner probably need your Masters.
Not so much specific credentials but a college degree helps with entry and in my six years there it has definitely helped with my success within the company because my education allows me to comprehend concepts and ideas a bit quicker.
Job Specifics
What’s a typical day like for you or someone in a similar position?
Very repetitive (not day to day but month to month) Going for similar kind of things. Managing cash paying bills collecting receivables. Throughout the month gathering for a finance close. I don't do something every day but every month.Preparing financial statments
7.5 hour days. Work with the work that you may have each day. Sometimes work longer but I come in and get situated and start doing the work that I have. Basically a 9-5 shifts in the off season. If you go to a client (out of state) you may only have a limited time to finish so longer seasons. Tax seasons are pretty long days usually about 11-13 hour days
Its sort of the tale of two jobs, the month end process (first two weeks of the month with my company) is cranking our revenue reports and expense reports so the company knows how the they did. The 2nd half of the month is a lot of the behind the scenes reconciliations and account maintenance.
What do you like most about your work?
Back in college I realized I liked working with accounting and numbers. Being able to have a job that I enjoy is pretty rewarding.
People around me. Its a great company. I am close to the managers, partners and staff people. We hang out with people outside of work.
The most satisfying work for me is the analytical stuff. Analyzing trends, budget projections, and cost analysis stuff
What do you like least?
Being an accountant is a job where you are stuck in the office. You sit in front of your computer. You can't go out and see how your business works which is not as enjoyable and from time to time it can get old
Tax season and the hours. Very tedious and boring at some times. Clients can be difficult because their stuff is all messed up.
Data entry. Its mindless but part of the process.
What talents or skills do you think are the most crucial to success in this work?
Computers and quick learner - excel and different software. Being able to adapt to the changes in technology
Not great talents are really needed – just an understanding of basic accounting and the desire to learn and not make it a dead end job.
What attitudes or values are important?
I definitely think that credibility and honesty are important. As an account you have heavy access to certain information like salaries and expenses that aren't public knowledge so you need to keep that to yourself.
Try to have a good attitude because people feed off of each other. Go through ups and downs but keeping a good attitude is key.
Positive attitude, the understanding that you will have to put up with bull (goes for any job).
Who doesn’t do well in this type of work?
Someone that is unorganized or somebody that is not credible or dishonest.
Someone who is not very social would not do as well. You are with a client a lot so if you can't socialize its harder.
Really only those that don’t want to put the time in to learn the concepts.
How do you advance or get promoted in this type of work?
As you start to understand the basics of the business you get involved in decision making and analysis. Helping them use them, you have the ability to move up and become valuable to a company. You can make decisions in the future.
Showing the motivation, working hard, trying to jobs the best you can. They can tell when you are working hard
Recommendations
Would my background be appropriate for this type of work?
When you take your first couple of classes you will either like it or you won't. It makes sense or not. There are others where they think it makes sense. If it is something you like there are 2 ways to go. Public accounting where you are working in tax or audit. It gets you a lot of experience but a lot of hours. The second route is a little more difficult to find a job. Corporate Accountant where you are doing the accounting for that company. Its more difficult to find an entry level job
You have to take all the courses (eco and stat) and once you get to CPA you will need all of it. Accounting is so much business you need to know all of it.
What would you recommend I do if I want to go into this type of work?
To jump on the intern ship. Maybe before you go into sophomore year. Try and get experience.
Are there other jobs similar to yours that you would suggest I also consider?
Through the public accounting will give you more entry level positions. I also found that it seems like there are a lot of internships at both types of accounting jobs. I would definitely try an internship. It allows you to see what you want to do or not. It points you in a direction of where you want to go.
Can you recommend other people I can talk to, or other resources I can check out?
Each state has a board of public accountants where you can become an accountant. There are internships
Go to companies web sites that you are planning on working for.
Knowing what you do now, would you approach this career (or job) in the same way? If not, what would you do differently, and why?
Yeah I think you would. It goes back to the internships that I did throughout college. Some were short but you learn the day to day operations.
The one thing that I somewhat regret would be trying have more motivation in my classes. I pretty much had a job in my junior year so I started slacking off a little.
Key Accounting Terms:
Balance Sheet - Condensed statement that shows the financial position of an entity on a specified date (usually the last day of an accounting period). Among other items of information, it states (1) what assets the entity owns, (2) how it paid for them, (3) what it owes (its liabilities), and (4) what is the amount left after satisfying the liabilities.
Income Statement - Summary of a management's performance as reflected in the profitability (or lack of it) of a firm over a certain period. It itemizes the revenues and expenses of past that led to the current profit or loss, and indicates what may be done to improve the results.
Statement of Cash Flow - Summary of the actual or anticipated incomings and outgoings of cash in a firm over an accounting period (month, quarter, year). It answers the questions Where the money came (will come) from? and Where it went (will go)? cash flow statements assess the amount, timing, and predictability of cash-inflows and cash-outflows, and are used as the basis for budgeting and business-planning.
Assets - Something valuable that an entity owns, benefits from, or has use of, in generating income. In accounting, an asset is something an entity has acquired or purchased, and which has money value (its cost, book value, market value, or residual value).
Liabilities - General: Claim against the assets, or legal obligations of a person or organization, arising out of past or current transactions or actions. Liabilities require mandatory transfer of assets, or provision of services, at specified dates or in determinable future.
Accounting: Accounts and wages payable, accrued rent and taxes, trade debt, and short and long-term loans. Owners' equity also is termed a liability because it is an obligation of the firm to its owners. Liabilities are entered on the right hand-side of the page in a double-entry bookkeeping system.
Owners Equity - Capital employed in a firm, computed by deducting the book value of the liabilities from the book value of the assets.
Net Income - Total revenue in an accounting period less all expenses during the same period. If income taxes and interest are not deducted, it is called operating profit (or Loss, as the case may be). Also called earnings, net earnings, or net profit.
Revenue - Amount generated from sale of goods or services, or any other use of capital or assets, associated with the main operations of firm before any costs or expenses are deducted. Revenue is shown usually as the top item in an income (profit and loss) statement from which all charges, costs, and expenses are subtracted to arrive at the net income of the firm.
Sources
www.businessdictionary.com/
